2022 (6) TMI 181

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....d, does not require adjudication. 3. Common issue raised in ground nos. 4 and 5 relates to addition of Rs. 9 lakhs towards unexplained investment. 3.1. Briefly the facts are, the assessee is a resident individual. A search and seizure operation under section 132 of the Income-tax Act, 1961 (for short 'the Act') was conducted in case of M/s. Mauria Udhyog Ltd. and its group concerns on 07.08.2013. The assessee was also covered under the said search and seizure operations. In response to the notice issued under section 153A of the Act, the assessee filed its return of income on 21.09.2015 declaring total income of Rs. 1,81,133/-. In course of assessment proceeding, the Assessing Officer noticing that the assessee, allegedly, had inv....

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....ear. He submitted, the sale proceeds of Rs. 2 lakhs received from sale of aforesaid shares were invested in shares of M/s. SSKS Estates Pvt. Ltd. in the succeeding financial year, i.e., on 09.04.2012. Thus, he submitted, the assessee had actually invested an amount of Rs. 3 lakhs in purchase of shares during the year. 5. As regards the source of such investment, learned counsel submitted, Rs. 2 lakhs invested in shares of M/s. SSKS Estates Pvt. Ltd. was from the sale proceeds of shares of M/s. GL Estates Pvt. Ltd. and further Rs. 2 lakhs invested in shares of M/s. SSKS Estates Pvt. Ltd. in the succeeding financial year was out of sale proceeds of shares of M/s. Quality Synthetic Industries Ltd. purchased earlier. To demonstrate the aforesa....

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....f M/s. GL Estates Pvt. Ltd., 2,00,000   Total 900000 8. However, on a perusal of facts and materials on record, it is evident, in course of proceedings before the departmental authorities; the assessee did submit that so called investments in shares of M/s. Quality Synthetic Industries Ltd. were actually purchased by the assessee on 05.03.2000 for a total consideration of Rs. 2 lakhs. During the year under consideration, the assessee had sold the shares for a consideration of Rs. 2 lakhs. The sale proceeds have been credited to assessee's bank account on 03.04.2012. Similarly, the assessee has purchased shares of M/s. GL Estates Pvt. Ltd. on 19.04.2004 for a consideration of Rs. 1 lakh and has sold them during the year for a....