TaxTMI 
TaxTMI 
TaxTMI 
2023 (11) TMI 982
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.... by Assessing Officer and as confirmed by Commissioner of Income tax (Appeals) is totally against the facts of the case and erroneous and the addition is required to be deleted. 3. In any case, the learned Commissioner of Income tax (Appeals) has erred in holding that:- a) The appellant has not proved the facts of giving agricultural land on lease. b) The appellant has not proved that agricultural land was used for agricultural purposes. c) That the agricultural income as it claimed by the appellant is not substantiative. The above conclusions drawn by the learned Commissioner of Income tax (Appeals) are not based on facts and evidences and only on surmises and therefore are to be disregarded especially when in the assessment order the learned Assessing Officer has himself partially accepted the claim of agricultural income. 4. In any case, the learned Commissioner of Income tax (Appeals) has erred in relying on the remand report issued by the learned Assessing Officer. Since this report itself was passed without hearing the appellant and without considering the facts of the case and evidence available. The substance of addition based on such remand report is bad ....
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.... Year under consideration can be estimated at Rs. 16.30 lakhs out of 8 acres 20.5 guntas of land. The assessee thus submitted that considering the certificate issued by the Tehsildhar and the total land owned by assessee, the net agricultural income of Rs. 76,79,150/- is justified. The Ld.AO based on the above submissions of the assessee observed and held as under: "5. The assessee's submissions have been examined. The Tahsildar's Certificate is an estimate of the earning and not a certificate of the earning of the agricultural income of the assessee. The Tahsildar has not certified that the assessee has grown crops in its land and the yield from the crops cultivated is Rs. 1,90,000/- per acre. The certificate by the Tahsildar is indicative of the potential yield of agricultural income of land in the area. Further, it is a known fact that the yield on account of cultivation of crops is subject to various factors and not dependent only on the land. The yield of agricultural produce is dependent not just on the land, on which cultivation of crops are done but is subject to irrigation, maintenance and other variants. Therefore, the certificate of the Tahsildar cannot be used....
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....not in itself lead to a conclusion of having earned exempt agricultural income as the requirement of the law is "land is used for agricultural purposes". Anyhow, in the case under consideration the factum of giving land on lease itself is not proved. 4.8 As regards the reliance of the appellant on the certificate of the Tehsildhar, the same is totally misplaced. The said certificate can at the most be considered as the capacity of the land to yield certain income. However, the same does not show that the appellant had actually carried out the agricultural activities and earned any agricultural income. As rightly pointed out by the AO the certificate can indicate potential of the land but actual yield and actual income is not established by the same. Copy of RTC has not been produced by the appellant. Details of sale of agricultural produce are also not brought on record. Since it is the appellant who has claimed exempt agricultural income, the onus was upon him to substantiate his claim. Owning an agricultural land in itself is not sufficient to show that agricultural income was received from such land. The land might not have been cultivated at all or the actual income from the....
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.... assessee had also leased out agricultural land to the extent of 5 acres 13.08 guntas to one Mr. B.N. Venkataramaiah vide agreement dated 19.03.2008 from whom assessee had received Rs. 24 Lakhs during the year. He submitted that the leased agreement has been placed at pages 62-69 of the paper book. It is submitted that the above leased agreements were filed before the Ld.CIT(A) which has not been considered by the officer. 5. The Ld.AR brought our notice to page 74, wherein the details of holding of the agricultural land by assessee has been listed along with the details of the crops. He has also filed the ledger account of net agricultural income at pages 72-73 and as per the said ledger account, assessee received in cash Rs. 76,79,150/- towards the agricultural income. 6. The Ld.AR submitted that in the subsequent assessment year being 2015-16, the assessee declared agricultural income of Rs. 74,47,774/-. The Ld.AO for A.Y. 2015-16 accepted the leased income of the agricultural land amounting to Rs. 9,20,000/-. He thus prayed for the deletion of the addition made in the hands of the assessee. 7. On the contrary, the Ld.DR submitted that the certificate issued by the Tehsildhar....