1999 (7) TMI 110

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..... al premises of the assessee on 25-3-1996. There was also survey action under section 133A at the factory/godown premises of M/s. Prakash Industrial Corporation which is the proprietary concern of the assessee. A notice under section 158BC was issued on 5-8-1996 requiring the assessee to file the return for the block period. Since there was no return, another notice was issued on 13-2-1997 fixing the hearing on 28-2-1997. The assessee filed the return on 3-4-1997 showing nil undisclosed income for the block period. 3. During the survey conducted at the business premises of the assessee M/s. Prakash Industrial Corporation, the total stock found was Rs. 4,81,121. As per the reconciliation furnished by the assessee, the excess stock worked ou .....

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..... any assets are requisitioned under section 132A in the case of any person, then the Assessing Officer can assess under this Chapter. Therefore, the counsel for the assessee submitted that section 133A's action is out of the scope of this and this can be assessed only under the regular assessment. The counsel for the assessee submitted that on the very next day of the search, the difference was taken as opening stock and on that basis, the difference was reflected in the books and the same was assessed also under regular assessment. The counsel further submitted that in any case, the difference cannot be assessed under the Chapter XIV-B as the section is exclusively applicable only for the action initiated under sections 132 and 132A. Actio .....

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..... s, already assessed under the regular assessment cannot again be treated under Chapter XIV-B. In view of the above, I am of the opinion that this amount cannot be treated as the assessee's undisclosed income as it is covered by regular assessment. Coming to the decision relied upon by the learned Departmental Representative in the case of Rameshchandra Co. v. CIT [1987] 168 ITR 375/35 Taxman 153 (Bom.) for the proposition that if the assessee had surrendered some amount, he can have no grievance if the Taxing Authorities tax him in accordance with the statement. The principles laid down by the Hon'ble High Court, in the instant case cannot be made applicable. The said decision is distinguishable on the following facts:- (a) The amount i .....

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