2004 (2) TMI 698 - AT - Income Tax

Issues Involved:

1. Deletion of addition on account of low withdrawals for household expenses.
2. Deletion of addition on account of unexplained investment in purchase of agricultural land.
3. Deletion of addition on account of unexplained investment in money lending.
4. Deletion of addition on account of unexplained investment in purchase of plots.
5. Relief on account of marriage expenses.
6. Deletion of addition on account of unexplained investment in purchase of land.
7. Deletion of addition on account of unexplained investment in purchase of agricultural land.
8. Deletion of addition on account of unexplained investment in purchase of land from various individuals.
9. Deletion of addition on account of unexplained cash found during search.
10. Deletion of addition on account of gold ornaments found during search.
11. Deletion of addition on account of valuation of ornaments.
12. Deletion of addition on account of estimated profit on sale of gold ornaments and job charges.
13. Deletion of addition on account of gold ornaments and Chandra Haar based on slips found during search.
14. Deletion of addition on account of investment in proprietary business.
15. Deletion of addition on account of investment in money lending business.
16. Deletion of addition on account of investment in purchase of land from Sh. Tara Chand.
17. Deletion of addition on account of alleged investment in properties based on statement u/s 132(4).
18. Non-allowing of set off/credit of various amounts.

Summary of Judgment:

1. Deletion of Addition on Account of Low Withdrawals for Household Expenses:
The Tribunal upheld the deletion of the addition of Rs. 2,00,391 made by the Assessing Officer on account of low withdrawals for household expenses. It was noted that no incriminating evidence suggesting higher household expenses was found during the search.

2. Deletion of Addition on Account of Unexplained Investment in Purchase of Agricultural Land:
The Tribunal upheld the deletion of additions totaling Rs. 1,14,000 (Rs. 69,000 + Rs. 30,000 + Rs. 15,000) made by the Assessing Officer on account of unexplained investment in agricultural land. The documents on which the additions were based were only Xerox copies, and no original sale deeds were found during the search.

3. Deletion of Addition on Account of Unexplained Investment in Money Lending:
The Tribunal upheld the deletion of the addition of Rs. 68,000 made by the Assessing Officer on account of unexplained investment in money lending. It was noted that the document in question showed that the assessee received Rs. 68,000 from Shri Chattar Singh and delivered gold ornaments worth Rs. 34,500, with a balance of Rs. 33,500 remaining due.

4. Deletion of Addition on Account of Unexplained Investment in Purchase of Plots:
The Tribunal upheld the deletion of the addition of Rs. 50,000 made by the Assessing Officer on account of unexplained investment in purchase of plots in the names of Smt. Uma and Shri Shiv Prakash Soni. The documents found were only Xerox copies, and no original sale deeds were found during the search.

5. Relief on Account of Marriage Expenses:
The Tribunal upheld the relief of Rs. 1,00,000 granted by the CIT(A) out of the addition of Rs. 3,00,000 made by the Assessing Officer on account of marriage expenses. The Tribunal also upheld the sustenance of the addition of Rs. 57,872 over and above Rs. 1,92,128 shown by the assessee.

6. Deletion of Addition on Account of Unexplained Investment in Purchase of Land:
The Tribunal upheld the deletion of the addition of Rs. 50,000 made by the Assessing Officer on account of unexplained investment in purchase of land based on Annex. A-6/pages 10 to 12.

7. Deletion of Addition on Account of Unexplained Investment in Purchase of Agricultural Land:
The Tribunal upheld the deletion of the addition of Rs. 18,58,000 made by the Assessing Officer on account of unexplained investment in purchase of agricultural land measuring 45 Bighas.

8. Deletion of Addition on Account of Unexplained Investment in Purchase of Land from Various Individuals:
The Tribunal upheld the deletion of the addition of Rs. 25,25,000 made by the Assessing Officer on account of investment in land due to payment made to six individuals.

9. Deletion of Addition on Account of Unexplained Cash Found During Search:
The Tribunal upheld the deletion of the addition of Rs. 80,000 made by the Assessing Officer on account of unexplained cash found at the time of search. The cash balance as per seized books was Rs. 82,250, which matched the cash found.

**10. Deletion of Addition on Account of Gold Ornaments Found During Search:

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