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TMI Blog2013 (10) TMI 150X X X X Extracts X X X X X X X X Extracts X X X X ..... hin his right to infer that the impugned purchases are unexplained and, therefore, liable to be taxed under section 69. Held that:- if the assessee had any dispute on the final conclusion, it was always open to seek further remedy of appeal in accordance with law. However, invoking the jurisdiction of the Tribunal for rectification was rightly not permitted by the Tribunal. - Decided against the assessee. - TAX APPEAL NO. 626 of 2012 - - - Dated:- 11-3-2013 - AKIL KURESHI AND SONIA GOKANI , JJ. For the Appellant : K.R. Dixit. ORDER:- PER : Akil Kureshi Assessee has challenged an order dated 25.5.2012 passed by the Income Tax Appellate Tribunal raising various questions for our consideration. Issue pertains to a dispute ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to review of the previous order which power the Tribunal does not enjoy under section 254(2) of the Income Tax Act, 1961. Having heard the learned counsel for the appellant-assessee, we are in broadly in agreement with the view of the Tribunal. In the decision disposing of the proceedings on merits, the Tribunal had considered the issue in following terms. "18. We have considered the rival submissions and perused the material on record. In our considered view it is not necessary that post search investigation necessarily be done in respect of the evidence found in the search. If documents found in the search are sufficient to fasten the liability then the AO may decide not to make investigation further. The octroi receipts found in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... efore, liable to be taxed under section 69. It is now well settled law that provisions of section 69 can be invoked while making the assessment under section 158BC. Support is derived from the decision of Hon. Karnataka High Court in Bengatbava v. CIT [2009] (Karnataka), Rajendra Labotia v. DCIT [2004] 266 ITR (Raj.) and H. Sahul v. ACIT [2002] 258 ITR 266 (Mad.). When the assessee failed to explain and reconcile the purchases on which octroi duty was charged the Assessing Officer was justified in making the addition. The decision relied on by the ld. A.R. In A. Ramanlal Co.'s case (supra) is distinguishable on facts. In that case assessee had reconciled the purchases on which Octroi duty was charged at Rs.90,000/-. There was no independe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f books of account for inferring that assessee could not have made purchases outside the books cannot be prima facie accepted particularly when stock deficiency was found at the time of search by the Income-tax Department and also irregularities were found by octroi department. 20. However, we are inclined to accept the alternative submission that all the purchases could not have been made on one day. Assessee is also making sales outside the books. There would be a turnover and recycling of the purchases and sales, therefore entire investment of Rs.45,75,000/- cannot be said to have been done on a single day. There is also no material to infer that they were done in a single day. Looking to the closing stock as on 31.3.99 shown at R ..... X X X X Extracts X X X X X X X X Extracts X X X X
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