2023 (7) TMI 900

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....ed to as "the Act") relevant to the Assessment Year 2009-10. 2. The assessee has raised the following grounds of appeal 1. In law, in the facts and in the circumstances of the appellant's case, the Id CIT(A) has to appreciate suo moto that the impugned order passed u/s 147 r.w.s. 143(3) of the I.T. Act is void and bad in law. He ought to have quashed the proceeding accordingly. 2. In law, in facts and in the circumstances of the appellant's case, the Ld. CIT(A) has grossly erred in confirming the action of the AO of assessing the short term gain at Rs.9200000 as against the short term capital gain of Rs.228700 shown in the return. In the peculiar facts of the case, the Id CIT(A) ought to have inter alia assessed....

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.... 5. The appellant craves leave to add, amend and/or alter the ground or grounds of appeal either before or at the time of hearing of the appeal. 3. The only interconnected issue raised by the assessee is that the Ld.CIT(A), erred in confirming the order of the AO by sustaining the addition of Rs. 89,71,300/- under the head capital gain. 4. The facts in brief are that the assessee in the present case is an individual and declared income under the head capital gain, other sources and agriculture income in response to the notice issued u/s 148 of the Act. The assessee has purchased a property for a value of Rs. 12,00,000/- dated 02/02/2005. The assessee has entered a memorandum of understanding transferring the impugned property at R....

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....rew our attention on MOU (cancelled MOU) and the undertaking given by M/s Frontline Financial Services Ltd. to pay the due taxes on the amount received by it against the MOU as discussed above. Thus, it was contended by the Ld. AR that the assessee cannot be charged for the tax on the amount paid to the M/s Frontline Financial Services Ltd. 9. On the other hand, the Ld. DR vehemently supported the order of the authorities below. 10. We have heard the rival contentions of both the parties and perused the materials available on record. The issue in the present case relates whether the payment made by the assessee to the company namely Frontline Financial Services Ltd for Rs.89,00,000/- which was claimed as deduction against the short-te....

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....namely Frontline Financial Services Ltd has also given undertaking to the assessee that it will be solely responsible for the tax liability on the payment received by it. The relevant extract is reproduced as under: 6. That Shri Babusinh Thakor, is and will not be able or responsible for payment of any tax, of whatsoever nature, on the aforesaid amount of Rs.89,00,000/- and if any demand or notice raised on Shri Babusinh Thakor by Income Tax department or any other Govt. department or authorities, the same shall be the sole responsibility of the Company and the Company shall pay and reimburse to Shri Babusinh Thakor the amount of such tax, demand or loss on damage. 10.3 All these facts discussed above were very much available be....