9911796707
TMI Blog2012 (8) TMI 775X X X X Extracts X X X X X X X X Extracts X X X X ..... ond investment in the course of his Budget Speech on 29.2.1992 for the year 1992-93 but unless and until there is a definite enactment made one could not take advantage of the Minister's Speech to buttress the argument that the import was made consequent on the speech made by the Minister - against the assessee - Tax Case No.110 of 2006 - - - Dated:- 10-8-2012 - Mrs.JUSTICE CHITRA VENKATARAMAN, Mr.JUSTICE K.RAVICHANDRABAABU, JJ. For Petitioner : Mr.Quadir Hoseyn For Respondent: Mr.Arun Kurien Joseph Standing Counsel for Income-Tax O R D E R CHITRA VENKATARAMAN, J. Following are the questions of law referred to this Court under Section 256(1) of the Income Tax Act: "1. Whether on the facts and in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed jewellery weighing 3007 grams. Apart from that, the search party also found bogus credits in the names of Shri.Kapoorchand and Smt.Kiran to an extent of Rs.6,20,000/-; unaccounted investment in shares to an extent of Rs.2.00 lakhs; customs receipt for Rs.50,000/- for delivery of 100 kg of silver and unaccounted investment in gold, which was evidenced by the receipt in the names of Mohammed Mustafa for Rs.1,07,932/- and Abu Tahir for Rs.1,09,005/- evidencing payment of customs duty on 04.06.1992 and 12.06.1992 for import of gold weighing approximately 4,906 grams and 4,897 grams, totalling 9,803 grams. 4. As regards the bogus credits in the names of Shri.Kapoorchand and Smt.Kiran, wife of Kapoorchand, at the time of enquiry, the said ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... A perusal of the assessment order in this regard shows the explanation given by the assessee on the acquisition of gold as one for the purpose of investment in Gold Bond Scheme, 1993; hence, the source for acquisition of gold to be used for investment in the Gold Bond Scheme could not be enquired at all by the Revenue. The Assessing Authority, however, pointed out that at the time of acquiring the gold, there was no such scheme giving immunity and exemption from any enquiry either as regards the investment in gold or gold being invested in bonds. Thus the contention of the assessee that the source of acquisition of gold not to be enquired into, was not accepted. Considering this, the contention of the assessee, particularly with reference ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e two receipts evidencing payment of customs duty. The Tribunal pointed out that the assessee had failed to prove with cogent and acceptable evidence the nexus between the gold imported on 4th and 12th June, 1992 through two persons, namely, Shri.Mohammed Mustafa and Shri.Abu Tahir and the investment of the same imported gold in Gold Bonds. It is no doubt true that the search party did not seize the Gold Bond Certificates, which were found in the assessee's premises during search operation in view of the provisions contained in the Gold Bond (Immunities Exemptions) Act, 1993. However, the Tribunal pointed out that the assessee was called upon to explain the source of amount invested by him in importing the gold from foreign country. No ex ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ment in the Gold Bonds in March, 1993. In the absence of any such convincing material to establish the nexus, the Tribunal upheld the order of assessment. Aggrieved by this, the assessee sought for reference before this Court. 8. Learned counsel appearing for the assessee placed reliance on the Budget Speech of the Finance Minister dated 29.2.1992, wherein the Finance Minister pointed out to the suggestions of the Members about the introduction of Gold Bond, which would help the Government in mobilizing the idle gold resources of ordinary citizens to supplement official reserves. Thus while proposing the Scheme under which citizens could obtain a Gold Bond in return for gold, the Minister, in turn pointed out that as an additional incenti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d was made on 4th and 12th June, 1992 at a time when there was no such Scheme. It is no doubt true that the Finance Minister proposed a Scheme on Gold Bond investment in the course of his Budget Speech on 29.2.1992 for the year 1992-93. Unless and until there is a definite enactment made, we do not think that one could take advantage of the Minister's Speech to buttress the argument that the import was made consequent on the speech made by the Minister. Even though there is a reference in the speech that the Reserve Bank of India was directed to formulate guidelines, the proposal being at a nascent stage and with no certainty spoken thereto, it is difficult to visualise that the assessee had gone for import of gold for the purpose of invest ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
