9911796707
TMI Blog2013 (11) TMI 580X X X X Extracts X X X X X X X X Extracts X X X X ..... search was conducted under Section 132 of the Income Tax Act at the business premises of the appellant on 12.12.1996. Thereafter, the assessment proceedings were initiated under Section 158BC of the Income Tax Act for the block period from 1.4.1986 to 12.12.1996. The assessment was completed for the said period as per order dated 26.08.1998 fixing the undisclosed income for the assessment years 1993-'94 to 1997- 98 as Rs.1,06,62,370/-. The matter was taken in appeal before the Income Tax Appellate Tribunal, Cochin Bench by way of first appeal as per the relevant law for appeal prevailing at the time of search by virtue of Section 253(1)(b) of the Income Tax Act as the search was before 1st January 1997. The Appellate Tribunal set aside the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appreciate and consider the grievance of the appellant in the light of the facts brought on record as per the original assessment order and the previous orders of the Appellate Tribunal. It was contended that the Appellate Tribunal should have found that the quantification of Rs.4 lakhs is not on the basis of any material or seized document. That apart, it is contended that the Tribunal ought to have found that the estimate of undisclosed income in the block assessment order was not legal and not sustainable under the provisions of the Act. The appellant raised the following questions of law: i)Whether on the facts and in the circumstances of the case, the Appellate Tribunal was justified in its impugned order ignoring the directions as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , the Assessing Officer computed the income for the year on the basis of the seized material, i.e. the profit and loss account for the period from 12.10.1992 to 31.3.1993. The purchase of liquor debited to the said account is at Rs.12,50,865/- when total amount comes to Rs.13,93,882/- as evident from the copy of the ledger account. After referring to the Tribunal's order dated 28.3.2007, it is found that the Tribunal has confirmed the assessment and the remand was only to consider the transaction with reference to the payment of licence fee of Rs.3,00,000/- and whether it would be deducted or not. In other words, as far as the determination of total income for the assessment year 1993-94 is concerned, Rs.7,23,754/- was declared as undisclos ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is for the assessment years 1992-93 to 1994-95, even when it was assessed to sales tax and was also paying excise duty as well as Bar licence fee for those years. Its first return was filed for the assessment year 1995-96 only on 22.02.1996 showing a loss of Rs.56,330/-. Even thereafter no returns were filed by the assessee. It was found that the undisclosed income for all the years including assessment year 1995-96 has been arrived at primarily on the basis of the assessee-firm's profit and loss account compiled from the seized documents, viz. day book and ledger. The same were found and seized from the residence of Smt.E.L.Gracy, its Managing Partner for the relevant years. She confirmed the same as being the full account of the firm's b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... profit as Rs.15,59,869/-, it is found that there were several mistakes in the statement and finally the undisclosed income was quantified at Rs.18,11,480/- 7. In regard to the assessment year 1996-97 also, it is found by the Assessing Officer that the undisclosed income would come to Rs.32,51,910/. That finding is confirmed by the Tribunal in its order dated 28.3.2007 which has become final. The matter was remanded only for limited purpose of claiming deduction of the licence fee. Therefore, the Tribunal accepted the finding of the Assessing Officer in this regard. 8. Having gone through the orders passed by the Assessing Officer and the Tribunal on different occasions, we do not think that none of the questions of law raised by the lear ..... X X X X Extracts X X X X X X X X Extracts X X X X
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