TaxTMI 
TaxTMI 
2024 (6) TMI 899
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....,68,76,000/- made by the assessing officer towards undisclosed income in respect of on-money paid for purchase of property at Kanchipuram Siruvakkam on the basis of excel sheet seized during the course of search and sworn statement recorded from Smt. Yasodha Rajan, accountant who had made entries in the excel sheet. 2.1 The Ld.CIT(A) failed to appreciate that sworn statement was recorded u/s. 132(4) during the course of search on 21/01/2020 and the same is having evidentiary value, where as she has furnished sworn affidavit retracting the statement on 29/09/2021, nearly after 20 months from the date of recording statement. This clearly shows that the sworn affidavit was made by Smt. Yasodha, accountant on the insistence of the assessee. 2.2 The Ld.CIT(A) erred in relying on sworn affidavit of Smt. Yashodha in which she stated that she had made wrong entry as 38.5 lakh per acre instead of 8.5 lakh per acre by mistake. In the excel sheet, it has been clearly mentioned that agreed cost as Rs. 7,42,28,000/-, Guide line value as 1,73,52,000/-. This guide line value amount is also mentioned as DD against the agreed cost and balance amount shown as Rs. 5,58,76,000/-. Hen....
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....ought on record to prove that the market value of the property purchased is more than the recorded consideration. As is evident, the sole issue that fall for our consideration is impugned addition of Rs. 568.76 Lacs arising out of search assessment. The assessee has challenged the assessment proceedings on legal grounds besides supporting the impugned order on merits. 1.4 The Ld. CIT-DR advanced arguments in support of assessment framed by Ld. AO and relied on various judicial decisions. The Ld. AR, while supporting the impugned supported on merits, raised legal plea by relying on various judicial decisions. In support, the Ld. AR has referred to various documents as placed in the paper book. The Ld. CIT-DR has submitted that the impugned addition is based on statements recorded u/s 132(4) and incriminating material in the shape of excel sheet as founds from digital records. The Ld. AR submitted that in the absence of any corroborative evidences, no addition could have been made. It has been submitted that impugned addition is based on material found during the course of search on another assessee. Therefore, assessment could not have been made u/s. 153A. At the most, the ass....
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....e of the shareholders) for a total sale consideration of Rs. 74228000/- out of which the amount paid in DD is Rs. 17352000 and by cash is Rs. 56876000/-. The source of the cash payments is from the fees collected from M/s Veeramakali Memorial welfare trust. Accordingly, the assessee was show caused as to why the aforesaid amount of Rs. 568.76 Lacs should not be added as undisclosed income of the assessee for this year. 2.2 The assessee denied paying any cash component in the stated purchase transaction. The assessee also submitted that Shri Sasikumar did not admit having paid any on-money on the purchase of property by assessee company but merely admitted for assessment of unaccounted income for a sum of Rs. 568.76 Lacs, Further, the excel sheet do not contain any detail regarding the date of payment of alleged sum of Rs. 568.76 Lacs. However, rejecting the explanation of the assessee, the impugned sum of Rs. 568.76 Lacs was taken to be the undisclosed income of the assessee and the assessment was finalized. Appellate Proceedings 3.1 During appellate proceedings, the assessee assailed impugned addition by way of elaborate written submissions which have been extracted in....
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....ee company, by rebutting the allegation about the excess consideration received other than the consideration mentioned in the sale deed. The same evidence was filed during appellate proceedings also. However, Ld. AO, in the assessment order, did not at all bring on record the sworn affidavit of the vendors in the assessment order and no findings were rendered on the same. To prove the allegations of onmoney, it was essential to prove that the vendors had actually received such excess payment. When the sellers denied receiving excess consideration, Ld. AO must have attempted to prove that such sworn affidavit was wrong. However, no such exercise was carried out by Ld. AO. 3.4 The assessee also submitted that addition were made on the basis of dumb document which did not contain any details as to the date of payment, name and address of person to whom the cash payments were made. The Ld. CIT(A) concurred that the foundation of impugned addition had no corroborative evidence. The lower authorities did not made any attempt to collect further cogent and corroborative evidence to prove the existence of transaction which has resulted into payment of on-money as alleged. The excel sheet....
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....Street, AA Block, Shanthi Colony, Anna Nagar, Chennai, an excel sheet with heading "Kancheepuram-Sirvakkam-Thiruvallur District" was found in the computer of its Accountant Smt. Yesodha Rajan. During the course of search in that case, a statement was recorded from her. On the basis of admission made by her that certain on-money was paid for acquisition of land for the assessee, the impugned additions have been made in the hands of the assessee. No addition has been made on the basis of material seized from assessee's premise since no reference thereof has been made in the assessment order. We find that this is AY 2015-16 and the search has taken place on assessee on 21-01-2020. It is undisputed fact that at the time of search, no proceedings were pending against the assessee for this year. The original return of income as filed by the assessee u/s 139(1) on 16-09-2015 had already attained finality. In such a scenario, the ratio of decision of Hon'ble Apex Court in Pr. CIT vs. Abhisar Buildwell Pvt. Ltd. (149 Taxmann.com 399) would squarely apply to the facts of the case. In this decision it has been held by Hon'ble Court that already concluded assessment could not be disturbed in s....