Rajesh Singhvi v. Asstt. CIT - Taxpublishers.in

Case Laws Analysis
REFERRED CIT v. Naresh Kumar Agarwal 2015 TaxPub(DT) 0435 (AP-HC)
REFERRED VGP Ravidas v. Asstt. CIT 2015 TaxPub(DT) 0394 (Mad-HC)
REFERRED CIT v. Satya Narain Patni 2014 TaxPub(DT) 3193 (Raj-HC)

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The Tax Publishers2024 TaxPub(DT) 1215 (Jod-Trib) IN THE ITAT, JODHPUR BENCH S. SEETHALAKSHMI, J.M. & RATHOD KAMLESH JAYANTBHAI, A.M. Rajesh Singhvi v. Asstt. CIT ITA No. 390/JODH/2023Q 7 March, 2024 Appellant by: Sakar Sharma, C.A. Respondent by: Alka Rajvanshi Jain, CIT-D.R. ORDER *Rathod Kamlesh Jayantbhai, A.M.* This appeal filed by assessee is arising out of the order of the Commissioner (Appeals)- Udaipur 02 dated 18-9-2023 (here in after CIT (A)) for assessment year 2017-18 which in turn arise from the Order dated 10-12-2018 passed under section 143(3) of the ACIT, Central Circle-01, Udaipur. 2. In this appeal, the assessee has raised following grounds:- 1. The learned Commissioner (Appeals) erred on facts and in law in upholding addition of Rs. 3,86,552 on account of jewellery found in Bank Locker under section 69A read with section 115BBE of the Act even though appellant was not owner of the jewellery so found. 2. The learned Commissioner (Appeals) erred on facts and in law in not appreciating that higher rate of taxation i.e. @ 60% is not applicable in the case of appellant qua assessment year under consideration under section 115BBE in as much as provisions of section 69A have been incorrectly invoked in the case of appellant. 3. Succinctly, the fact as culled out from the records is that search and seizure proceedings were carried out at the premises of the assessee on 18-9-2016 as per warrant of authorization issued by Director General (Inv.). Jaipur. The assessee has filed return of income electronically on 31-10-2017 vide Acknowledgement No. 281091851311017 at total income of Rs. 42,06,210. 3.1 The case was selected for scrutiny assessment and notice under section 143(2) of the Income Tax Act was issued on 23-8-2018 which was duly served upon the assessee. Subsequently, during the course of assessment proceedings, notices under section 142(1) of the Act were also issued to the assessee on requiring him to produce/explain/furnish various information as specified therein and placed on record. 3.2 It is submitted by the assessee that he derives Salary income, also derives Interest Income from saving bank and share of profit & remuneration from partnership firm M/s. Green Tech and M/s. Green Tech Intelligent Transportation System LLP. During the course of assessment proceedings, the relevant details for the issues involved have been called for and after verification, the relevant details as submitted by the assessee are placed on record. 3.3 During the assessment proceedings, the assessment order under section 143(3) of Income Tax Act, 1961 was passed by the assessing officer at assessed income of Rs. 65,13,680 on 10-12-2018 after making addition of Rs. 3,86,552 on account of unexplained investment in jewellery, Rs. 19,17,692 on account of unexplained investment in jewellery and Rs. 3,225 on account of interest on Income Tax refund. The fact related to the addition is that bank locker of the assessee was operated on 2-11-2016 wherein jewellery weighting 141.10 gms valued at Rs. 3,86,552 was found and seized as per annexure JS-1 appearing at Page 12 of PB. Statement under section 132(4) of the assessee was also recorded at the time of opening of bank locker where in assessee admitted total jewellery weighing 941.10 gms (800 gms as claimed to be taken out from the bank locker and 141.10 gms found in the bank locker at the time of its operation in the presence of income tax officials. The assessing officer, thereafter, taxed jewellery of Rs. 3,86,552 weighing 141.10 gms which was physically found and also Rs. 19,17,692 with reference to about 700 gms of jewellery which assessed claimed as taken out from the bank locker a day prior to the date of search and kept in the kitchen in sugar container under section 69A read with section 115BBE of the Act vide Para 4.5 & 6 of assessment order passed under section 143(3) dated 10-12-2018. SUBSCRIBE FOR FULL CONTENT

The Tax Publishers2024 TaxPub(DT) 1215 (Jod-Trib)

IN THE ITAT, JODHPUR BENCH

S. SEETHALAKSHMI, J.M. & RATHOD KAMLESH JAYANTBHAI, A.M.

Rajesh Singhvi v. Asstt. CIT

ITA No. 390/JODH/2023Q

7 March, 2024

Appellant by: Sakar Sharma, C.A.

Respondent by: Alka Rajvanshi Jain, CIT-D.R.

ORDER

Rathod Kamlesh Jayantbhai, A.M.

This appeal filed by assessee is arising out of the order of the Commissioner (Appeals)- Udaipur 02 dated 18-9-2023 (here in after CIT (A)) for assessment year 2017-18 which in turn arise from the Order dated 10-12-2018 passed under section 143(3) of the ACIT, Central Circle-01, Udaipur.

2. In this appeal, the assessee has raised following grounds:-

1. The learned Commissioner (Appeals) erred on facts and in law in upholding addition of Rs. 3,86,552 on account of jewellery found in Bank Locker under section 69A read with section 115BBE of the Act even though appellant was not owner of the jewellery so found.

2. The learned Commissioner (Appeals) erred on facts and in law in not appreciating that higher rate of taxation i.e. @ 60% is not applicable in the case of appellant qua assessment year under consideration under section 115BBE in as much as provisions of section 69A have been incorrectly invoked in the case of appellant.

3. Succinctly, the fact as culled out from the records is that search and seizure proceedings were carried out at the premises of the assessee on 18-9-2016 as per warrant of authorization issued by Director General (Inv.). Jaipur. The assessee has filed return of income electronically on 31-10-2017 vide Acknowledgement No. 281091851311017 at total income of Rs. 42,06,210.

3.1 The case was selected for scrutiny assessment and notice under section 143(2) of the Income Tax Act was issued on 23-8-2018 which was duly served upon the assessee. Subsequently, during the course of assessment proceedings, notices under section 142(1) of the Act were also issued to the assessee on requiring him to produce/explain/furnish various information as specified therein and placed on record.

3.2 It is submitted by the assessee that he derives Salary income, also derives Interest Income from saving bank and share of profit & remuneration from partnership firm M/s. Green Tech and M/s. Green Tech Intelligent Transportation System LLP. During the course of assessment proceedings, the relevant details for the issues involved have been called for and after verification, the relevant details as submitted by the assessee are placed on record.

3.3 During the assessment proceedings, the assessment order under section 143(3) of Income Tax Act, 1961 was passed by the assessing officer at assessed income of Rs. 65,13,680 on 10-12-2018 after making addition of Rs. 3,86,552 on account of unexplained investment in jewellery, Rs. 19,17,692 on account of unexplained investment in jewellery and Rs. 3,225 on account of interest on Income Tax refund. The fact related to the addition is that bank locker of the assessee was operated on 2-11-2016 wherein jewellery weighting 141.10 gms valued at Rs. 3,86,552 was found and seized as per annexure JS-1 appearing at Page 12 of PB. Statement under section 132(4) of the assessee was also recorded at the time of opening of bank locker where in assessee admitted total jewellery weighing 941.10 gms (800 gms as claimed to be taken out from the bank locker and 141.10 gms found in the bank locker at the time of its operation in the presence of income tax officials. The assessing officer, thereafter, taxed jewellery of Rs. 3,86,552 weighing 141.10 gms which was physically found and also Rs. 19,17,692 with reference to about 700 gms of jewellery which assessed claimed as taken out from the bank locker a day prior to the date of search and kept in the kitchen in sugar container under section 69A read with section 115BBE of the Act vide Para 4.5 & 6 of assessment order passed under section 143(3) dated 10-12-2018.