2016 (3) TMI 1418

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....f the case and in law, the Ld.CIT(A)-II, Surat has erred in deleting addition of Rs. 3,00,00,000/- made under section-68, section-69 and section- 69C of the I.T.Act, without appreciating the fact that assessee failed to offer an explanation regarding the source of Rs. 3,00,00,000/- credited in its Books of account as WIP, eventhough during the course of Survey u/s.133A of the I.T.Act on 13.03.2008, the partners of the assessee firm accepted Rs. 3,00,00,000/- as the receipt of the firm from undisclosed sources. [2] On the facts and in the circumstances of the case, the Ld.CIT(A) ought to have upheld the order of the Assessing Officer. [3] It is, therefore, prayed that the order of the CIT(A) may be setaside and that of Asse....

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....ision of the ld.CIT(A) in the case of M/s.D.R.Construction(supra). However, reliance was placed on the decision of M/s.D.R.Construction which has been reversed by the Tribunal. Therefore, there is no illegality into the order of the ld.CIT(A). 4. We have heard the rival submissions, perused the material available on record and gone through the orders of the authorities below as well as the decision in the case of M/s.D.R.Construction. The AO was of the view that the unaccounted income of Rs. 3-crores offered by the assessee during the course of survey, no expenses can be claimed in any manner whatsoever, viz. by debiting corresponding expenses account and transferring it to work-in-progress account as done by the assessee. The AO rejecte....

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....d of the flats is executed in subsequent years. In the said case, the Coordinate Bench of this Tribunal observed that if the amount given by cheque carries the character as an advance against sale consideration, then "on-money" in cash will also carry the same character. Both types of receipts, i.e. receipt through cheques and receipt through cash as "on-money" will arise as income to the assessee as soon as transfer of immovable property is executed and not before, or possession thereof is handed over and for this it is necessary that such immovable property should be in existence. Therefore, the Coordinate Bench was of the considered view that "on-money" received by the assessee did not have the character of income but was only an advance....