2015 (6) TMI 1241

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....on 144 of the Act. Since the issues involved in these four appeals are common, they are heard together and disposed off by this common order for the sake of convenience. 2. First we take up the appeals of the assessee Mr. A.Natarajan in ITA Nos. 780 & 781/Mds/2014 for consideration. The first ground raised by the assessee is that Commissioner of Income Tax (Appeals) should have accepted the contention of the assessee that appeal filed on 9.4.2009 as infructuous as the ex-parte order appealed against had been set aside by the Commissioner under section 263 of the Act on 18.3.2009. 3. Counsel for the assessee submits that assessment in this case was completed on 27.12.2006 making various additions. This assessment was made under section 144....

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....should have been treated as infructuous is not correct. This ground of appeal is rejected. 6. Coming to the merits of the case, i.e. on various disallowances / additions made, the assessee has raised several grounds as under:- "No evidence should have been required in support of non-taxability of a cheque for Rs. 7,70,680/- wrongly held as received, while the transaction with share brokers have been separately considered to arrive at income. There was no cheque for this amount at all, as it represented settlement and auction debited to assessee's account by share broker. An uncashed cheque for Rs. 1,88,683/- (Rs. 9,59,363/- less above sum of Rs. 7,70,680/-) should not have been held as taxable income for same reason. Addition of Rs....

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....ced the assessment by assessing income from financing business at Rs. 4.5 lakhs without giving opportunity to the assessee and ignoring the fact that there was money lending activity during the year. Counsel for the assessee submits that account statements were obtained directly from the bank by the Assessing Officer while framing assessment under section 144 and therefore it is not correct in allowing prior withdrawals shown against deposits on the ground that no evidence was furnished. Counsel submits that income not having been computed on the basis of increase / decrease in capital, the Commissioner of Income Tax (Appeals) is not justified in holding that computation made is a reasoned and logical one. Counsel for the assessee submits t....

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....and Mr. A.Natarajan and therefore assessment in the case of Smt. N.Pappi also needs to be set aside as the present conclusions are based on the findings of the assessee's husband case. He further submits that penalty appeals may also be go back to the Assessing Officer and the Assessing Officer is free to levy penalty after afresh proceedings. 10. Departmental Representative supports the orders of lower authorities. 11. Heard both sides. Perused orders of lower authorities. In this case , assessment was made under section 144 of the Act by the Assessing Officer making various additions/disallowances. On appeal, Commissioner of Income Tax (Appeals) partly allowed the appeal of the assessee by recomputing the income at Rs. 54,84,356/-. The ....