TaxTMI 
TaxTMI 
TaxTMI 
2023 (10) TMI 369
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....essee-respondent despite service of notice. We find from the order-sheet that the assessee has not put his presence throughout the hearing since the institution of the appeal in 2019 and therefore, we proceed to dispose of the appeal of the Revenue ex-parte assessee-respondent after hearing the ld. DR and considering the material available on record. 3. As transpires from the order of the authorities below, assessment in the case of the assessee for the impugned year was framed under section 147 of the Act and addition made to his income on account of unexplained source of investment in land amounting to Rs. 2,44,77,373/- and on account of short-term capital gain earned on sale of this land amounting to Rs. 3,90,72,307/- resulting in addit....
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....ing in relief of Rs. 1,17,27,587/- to the assessee on account of addition made to his income of short-term capital gain. 5. Aggrieved by this relief granted by the ld. CIT(A) on the two additions of unexplained investment and short-term capital gain, the Revenue has come in appeal before us raising the following grounds: "A. Assessment u/s. 144 rws 147 of the Act was finalized on 26.12.2016 assessing income at Rs. 6,35,49,680/-. B. The A.O. made an addition of Rs. 2,44,77,373/- on account of unexplained investments by invoking the provisions of section 69 of the Act. The CIT(A) gave relief of Rs. 49,25,127/-. C. The A.O. made an addition on account of re-worked short-term capital gains on sale of land of Rs. 3,90,72,307/-. The CIT(....
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.... 199/3, he had no such information, but noting that they were adjacent to survey No. 198/3, he estimated cost of land for Survey No. 199/1 and 199/3 on the basis of cost of land No. 198/3. With respect to the land at survey no. 1/2, the AO in his order mentions that he had information that the land was purchased for a consideration of Rs. 1 crore, and further expenditure on account of stamp duty of Rs. 12,46,500/- and registration fee of Rs. 1,00,200/- was incurred on the same. Thus, total value of the investment made in the aforesaid five pieces of land was arrived at Rs. 2,44,77,373/- as under: i) Land at survey No. 198/3 : Rs. 39,63,000/- ii) Land at Survey No. 201/1(both the above as per copy Of purchase/sale deed obtained f....
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.... Rs. 53,54,100/- Total : Rs. 1,95,52,180/- 10. His finding, noting the purchase cost of all piece of land from the registered sale deed, and thereafter arriving at the cost of investment of Rs. 1.95 crores, is at para 5.3 to 5.5 of the order. Further, his finding in relation to the land at Survey No. 1/2 whose value the AO taken at Rs. 1.13 crores, and which the ld. CIT(A) deleted, noting that there was no information with the AO regarding this land, is at para 5.6 of the order. 11. Before us, the grievance of the Revenue is, with respect to substituting the purchase cost of land taken by the AOwith respect to four piece of land with that shown by the assessee adding to it NA premium paid by the assessee and further deletin....
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....d. CIT(A) has noted that there was no information with the AO with respect to the said piece of land; that even in the reasons recorded by the AO for reopening the case of the assessee, this land was not mentioned as investment made by the assessee, and even the assessee had claimed to have made no investment in this piece of land. The ld. DR was unable to demonstrate before us by way of documents or evidence, as to the basis with the AO for treating the assessee to have invested in this piece of land i.e. survey no. 1/2. In view of the same, we see no reason to interfere in the order of the ld. CIT(A) deleting the addition made on account of unexplained investment in the impugned land to the tune of Rs. 1.13 crores. 14. In view of the abo....