2019 (4) TMI 1311 - HC - Income Tax

Benefit of declaration made by the assessee under VDIS - Credit of VDIS - HELD THAT - As decided in THE COMMISSIONER OF INCOME TAX-I VERSUS PURSHOTTAMDAS P PATEL 2019 (1) TMI 1553 - GUJARAT HIGH COURT Appellate Tribunal is right in law and on facts in confirming the order passed by the CIT(A) in directing to give benefit of declaration made by the assessee under VDIS Appellate Tribunal is right in law and on facts in confirming the order passed by the CIT(A) in deleting the addition made on account of unexplained investment. Appellate Tribunal is right in law and on facts in confirming the order passed by the CIT(A) in reducing the profit on sales of land being assessee's share of 50% of profit. - Decided in favour of assessee.

Summary

Issues:
1. Appeal under section 260A of the Income Tax Act, 1961 against the order of the Income Tax Appellate Tribunal.
2. Substantial questions regarding the benefit of declaration under VDIS, addition of unexplained investment, and reduction of profit on sales of land.
3. Identical situation of the respondent-assessee to another appeal which was decided in favor of the assessee.

Analysis:
1. The judgment pertains to an appeal under section 260A of the Income Tax Act, 1961 arising from a common order passed by the Income Tax Appellate Tribunal. The appeal challenges the Tribunal's decision in IT(SS)A No.134/Ahd/2002. The substantial questions raised include the Tribunal's confirmation of the order directing the benefit of declaration under VDIS, deletion of the addition of unexplained investment, and reduction of profit on sales of land. The appeal was admitted based on these questions.

2. The Court heard arguments from both parties, including Mrs. Mauna Bhatt for the appellant and Mr. B. S. Soparkar for the respondent. It was noted that the respondent-assessee was in an identical situation to another appeal, Tax Appeal No.108 of 2008, arising from the Tribunal's order in IT(SS)A No.101/Ahd/2003. The Tribunal had decided both appeals through a common order dated June 15, 2007. In Tax Appeal No.108 of 2008, the appeal against the Tribunal's order was dismissed in favor of the assessee.

3. Due to the identical facts and contentions in the present case as in Tax Appeal No.108 of 2008, the Court found it unnecessary to delve into detailed facts and contentions. Following the judgment and order in Tax Appeal No.108 of 2008, the present appeal was also dismissed. The questions raised were answered in favor of the assessee and against the revenue, based on the previous judgment in a similar case.