| |
| The Tax Publishers2020 TaxPub(DT) 1556 (Del-Trib) INCOME TAX ACT, 1961
Section 153C
Entire addition was based on some computer generated loose sheets seized from the computer of searched party who had categorically denied of any such transaction. It is also an admitted fact that name of assessee nowhere appeared in the said document albeit name of Shri Kamal Kishore Chaurasia to whom commercial space was sold by the assessee, had been mentioned. Apart from that, there was no corroborative evidence or any statement that payment was received by the assessee other than cheque amount as entered in the sale agreement. Thus, it could be inferred that seized document had no nexus with the assessee and accordingly, addition of suppression of receipt for sale of space made while framing assessment under section 153C could not be upheld.
|
Search and seizure - Assessment under section 153C - Addition based on some computer generated loose sheets seized from the computer of searched party - Name of assessee nowhere appeared in seized document albeit name of party to whom commercial space was sold by assessee
Assessee-company was carrying on the business of real estate developers and had constructed commercial projects for sale. AO received letter along with related seized document from the office of ACIT, Central Circle-21, New Delhi along with satisfaction note, dated 1-12-2011 for issuance of notice under section 153C. On examination of documents seized from the premises of third party, AO of the assessee was satisfied that seized document was related to assessee and after recording the reasons, AO completed assessment under section 143(3) read with section 153C making addition on account of suppression of receipt for sale of space. Held: Entire addition was based on some computer generated loose sheets found and seized from the computer of searched party who had categorically denied of any such transaction. It is also an admitted fact that name of assessee nowhere appeared in the said document albeit name of Shri Kamal Kishore Chaurasia to whom commercial space was sold by the assesse, had been mentioned. Apart from that, there was no corroborative evidence or any statement that payment was received by the assessee other than cheque amount as entered in the sale agreement. Thus, it could be inferred that seized document had no nexus with the assessee and accordingly, addition was not sustainable.
REFERRED :
FAVOUR : In assessee's favour.
A.Y. :
 SUBSCRIBE FOR FULL CONTENT
OR Try Reload the Page |