2010 (11) TMI 1025 - AT - Income Tax

Summary

Issues involved: Appeal by Revenue against deletion of addition for unexplained sources.

Summary:
The appeal was filed by the Revenue against the order of the CIT(A) deleting the addition of Rs. 1,50,00,000 on account of unexplained sources. The Revenue contended that additional evidence was not admitted and the impugned order was disputed. The assessee defended the order, stating that the investment was made by Tajendra Singh & Sons as per a joint venture agreement. The brief facts revealed that the assessee purchased agricultural land jointly with another individual and entered into a joint venture agreement with Tajendra Singh & Sons for development. The impugned amount was invested by Tajendra Singh & Sons for construction, not by the assessee. The joint venture agreement clearly outlined the terms, with the cost of construction to be borne by Tajendra Singh & Sons. The assessee's ownership and the agreement details were supported by various documents and statements. The Tribunal found no infirmity in the impugned order and dismissed the appeal of the Revenue.

In conclusion, the Tribunal upheld the CIT(A)'s decision to delete the addition for unexplained sources, as the investment was made by Tajendra Singh & Sons as per the joint venture agreement, and there was no evidence to suggest otherwise.