2023 (11) TMI 81

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....s and common issues are involved in all the above captioned four appeals of the assessee, we proceed to dispose of the same by this common order. 3. For the sake of convenience and clarity, the facts relevant to the appeal in ITA No.85/NAG/2018 for the assessment year 2011-12 are stated herein. ITA No.85/NAG/2018, A.Y. 2011-12 : 4. Briefly, the facts of the case are that the appellant is a company incorporated under the provisions of the Companies Act, 1956. It is engaged in the business of purchase and sale of land and plotting. The Return of Income for the assessment year 2011-12 was filed on 27.09.2011 disclosing the total loss of Rs. 2,51,25,110/. Subsequently, the search and seizure operations were conducted in the business pr....

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....e Iron Ltd., 379 ITR 330 (Kerala). 6. Being aggrieved, the appellant is in appeal before us in the present appeal. 7. It is submitted before us that the decisions relied upon by the Assessing Officer as well as by the ld. CIT(A) have been subsequently overruled by the Hon'ble Kerala High Court in the case of Vijaya Hospitality and Resorts Ltd. vs. CIT, 419 ITR 322 (Kerala). Similarly, even the decision of the Hon'ble Gujarat High Court in the case of Fakir Mohmed Haji Hasan (supra) has been subsequently overruled by the Hon'ble Gujarat High Court in the case of DCIT vs. Radhe Developers India Ltd., 329 ITR 01 (Gujarat). He further submitted that there was no bar under the provisions of the Income Tax Act setting off the loss against t....

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....ounting year, the Income Tax Officer is entitled to draw an inference that the receipts are of an assessable nature". Following the said observations in Lakhmichand Baijnath (supra) the Honourable Supreme Court observes that, "when an amount is credited in the business books, it is not an unreasonable inference to draw that it is a receipt from business". 10. Similarly, the Hon'ble Supreme Court in the case of CIT vs. D. P. Sandhu Bros. Chembur (P.) Ltd., 273 ITR 1 (SC) and in the case of United Commercial Bank Ltd. vs. CIT, 32 ITR 688 (SC) held that the provisions of the Income Tax Act does not envisage taxing any income under any head not specified u/s 14 of the Act. The Hon'ble Madras High Court in the case of CIT vs. Chensing Venture....