TaxTMI 
TaxTMI 
2024 (11) TMI 700
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....60A of the Income Tax Act, 1961 (hereafter the Act) impugning an order dated 13.06.2022 (hereafter the impugned order) passed by the learned Income Tax Appellate Tribunal (hereafter the ITAT) in IT (SS) A No. 02/Del/2014 and IT (SS) A No. 03/Del/2014 in respect of the block period from 01.04.1990 to 17.10.2000. 2. A search was conducted on the premises of the Assessee on 17.10.2000 and a debit card of the overseas bank - Barclays Bank, PLC St.40, Birmingham, London, United Kingdom was found in the joint name of the Assessee and his wife (Smt. Jyoti Jaggi). 3. In the given circumstances, the assessing officer (hereafter the AO) raised a demand of Rs. 50,00,000/- on account of unexplained credit in respect of the Assessee. A protective ....
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....t name with the Assessee). Accordingly, the learned ITAT noted that the reasons for remanding the matter in the Assessee's wife's case was also applicable in the case of the Assessee. 5. The relevant extract of the order passed by the learned ITAT in respect of the Assessee's wife, which also supplied the reasons for remanding the matter to the AO in the Assessee's case is set out below: - "12. The second ground of appeal is against confirmation of addition of Rs.25,00,000/- as undisclosed income of the assessee on account of unexplained deposit in foreign bank account. 13. During the course of search evidence of a joint bank account of the assessee and her husband was discovered, the assessee failed to give the details....
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....opened only for the limited purpose by depositing $4000; (vi) no other amount were deposited in the account and (vii) the undisclosed deposits were wrongly presumed to have been made during the relevant block period. 15. We have carefully considered the issue. In our considered opinion even if the foreign joint bank account was opened by the husband and the inquiries were also made by the Assessing Officer from the husband, the assessee should have given complete details, copy of statement of bank account for the block period and other relevant details which were filed neither by the assessee nor by her husband. The Assessing Officer was, therefore, empowered to draw adverse inference. But since it has not been as....
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....ddition on account of undisclosed foreign bank account Rs. 50,00,000.00 - As no details have been furnished, there is no option at the amount of Rs. 50 lacs." 8. The Assessee appealed the said decision before the learned CIT (A), inter alia, on the ground that the addition was made on surmises and without any material to substantiate the same. The learned CIT (A) held that there was no basis for presuming that the deposit made in the foreign bank was equivalent to Rs. 50,00,000/-. 9. The learned CIT (A) also directed the AO to make reference to the authorities of Isle of Man through the FT&TR Division of CBDT to verify the details of the said account, which would reveal unexplained deposits made in the said bank account. However, at t....
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....e deposits were made in the said bank account were not disclosed. The AO thus, in his best judgment estimated the quantum of deposit. However, it is also admitted that no enquiries were made, as directed by the learned ITAT in terms of the order dated 31.12.2007. 14. The learned counsel for the Assessee also concedes that in the absence of the Assessee producing the relevant material, the AO was well within his right to make an estimate bearing in mind the income profile of the Assessee. 15. We find it difficult to accept that any interference with the estimation of the deposit made in the bank account, are called for in the absence of Assessee producing his own bank account statement. 16. At this stage, the learned counsel appeari....