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TMI Blog2012 (7) TMI 358X X X X Extracts X X X X X X X X Extracts X X X X ..... ot been challenged by the revenue - following the rule of consistency CIT(A) was right in deleting the addition. House hold expenses cannot be estimated while making assessment of undisclosed income under chapter XIVB. Thus CIT(DR) has not been able to show that any material was found in search in respect of this issue. Therefore, this ground cannot be taken up for computing undisclosed income - in favour of assessee. - I.T.A (SS) No. 61/Del/09 - - - Dated:- 22-6-2012 - SHRI U.B. S. BEDI , AND SHRI K.G. BANSAL, JJ. Appellant by: Shri D.K. Mishra,, CIT-DR Respondent by: Shri Satyen Sethi, Advocate ORDER PER K.G. BANSAL, AM: The only ground taken by the revenue in this appeal is that Ld. CIT(A) was not justi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... over the business since 1994 from her husband, and he was earlier carrying on the business of this sole proprietary concern. The reason for change of ownership was stated to be old age and illness of the husband. Therefore, it has been further held that the assessee was earlier owner of this concern but income for a part period has been shown in the name of his wife, which is not of much significance. Therefore, the receipts, found out from the bank account and aggregating to Rs. 26,27,610/-, have been added to the income of the assessee. Further addition of Rs. 30,477/- has been made in respect of house hold expenses. 4. These additions have been deleted by the Ld. CIT(A). In this connection, it is mentioned that in the case of Smt. Pall ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 73,459/- on 27.6.2001. In this high pitched assessment, the AO included the income of his wife and M/s. Pallavi Arts in his undisclosed income. The fact is that she is an independent assessee and assessment has been completed in her case u/s 158-BD. The grounds include a challenge to addition of Rs. 26,27,610/-. Further, it is submitted that the undisclosed income arose on account of negative peak, which showed that unaccounted money was invested. Ld. CIT(A) recorded on page 10 of the impugned order that the bank account of M/s. Transworld International was opened with Punjab Sindh Bank sometime in May, 1994 as proprietorship concern of Smt. Pallavi Sood. The bank has furnished necessary confirmation in this regard. On the basis of this f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s recorded the fact that she has been filing return of income independently prior to the date of search declaring propriety income from M/s. Transworld International. She also opened bank account in this name and assessment has been completed by the income-tax department. No material has been brought on record to hold that this concern is not a proprietary concern of the wife. Similar income has been added in the case of the husband and the wife. Thus, on one hand, the AO has held the assessee to be owner and on the other the wife has also been held to be owner of this business. In the case of the wife it has been held that the assessee was owner till assessment year 1996-97 and thereafter the wife became the owner. This order has been acce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... see. Following the rule of consistency, it is held that Ld. CIT(A) was right in deleting the addition, representing income from aforesaid concern, from the assessment of the assessee. 7.1 The revenue has also challenged the addition made on account of house hold expenses in the appeal. A separate addition was made on this issue, which has been deleted by the Ld. CIT(A) by mentioning that house hold expenses cannot be estimated while making assessment of undisclosed income under chapter XIVB. The ld. CIT(DR) has not been able to show that any material was found in search in respect of this issue. Therefore, this ground cannot be taken up for computing undisclosed income. 8. In the result the appeal is dismissed. - - TaxTMI - TMITax - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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