TaxTMI 
TaxTMI 
2019 (3) TMI 2067
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....enting the Revenue vehemently and fervently urged that from a plain and simple reading of the I.T.A.T's order dated 22.3.2013, following substantial question of law arises in the instant matter: "Whether findings of I.T.A.T. were perverse on facts while holding that the additions were based only on the statement recorded during search, when the fact is that the addition on account of on-money of Rs. 3 crore was made on the basis of the seized documents (Annexure A-1, Pages 57 to 63), which was upheld by CIT (A) to the extent of Rs. 2.66 crore?" 3. He urged that the confessional statements which the assessee made during the search and survey proceedings were retracted after significant delay and thus, the burden would be upon t....
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....the course of search and seizure and survey operation Instances have come to the notice of the Board where assessees have claimed that they have been forced to confess the undisclosed income during the course of the search & seizure and survey operations. Such confessions, if not based upon credible evidence, are later retracted by the concerned assessees while filing returns of income. In these circumstances, such confessions during the course of search & seizure and survey operations do not serve any useful purpose. It is, therefore, advised that there should be focus and concentration on collection of evidence of income which leads to information on what has not been disclosed or is not likely to be disclosed before the Income-tax Depa....
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....gment and the material available on record. It is not in dispute that the entire case of the appellant Revenue is based on the confession of the assessee which was extracted during the search/seizure and survey proceedings. 7. It is also not in dispute that the assessee retracted the confession on 27.07.2009. It is also an admitted position from the record that the allegation of the Revenue that the assessee had undisclosed income over and above what was mentioned in the return, is based sheerly on the confession and no corroborative material or substantive proof was collected by the Revenue during the search/seizure and survey proceedings. In this background, we are of the firm opinion that the circular No. 286/2/2003-IT (Inv.II) dat....