9911796707
TMI Blog2014 (2) TMI 432X X X X Extracts X X X X X X X X Extracts X X X X ..... – thus, no case of addition under section 69B as undisclosed investment could be made out by the department and the addition made is accordingly deleted – Decided in favour of Assessee. X X X X Extracts X X X X X X X X Extracts X X X X ..... bmissions of the Assessee and made addition u/s 69B of the Act of Rs 30 lacs. Aggrieved by the order of AO, Assessee carried the matter before CIT(A). CIT(A) confirmed the order of AO by holding as under:- 3.3.1 I have considered the submissions of the learned Authorized Representative and the order of the Assessing Officer. Admittedly the assessee is not maintaining balance sheet and the as per the record, he filed return showing only Rs. 2,52,924/- as income during the year. Same is the situation in preceding years. Assessee has claimed that in the years between 1985-86 to 1995-96, when he was practicing as architect, he accumulated and invested Rs, 20-22 lakhs-in lands through M/s. Rudra Developers Pvt. Ltd. it is also a fact that M/s. Rudra; Developers Pvt. Ltd. is a family concern of the assessee. There is no evidence, .whatsoever, to establish that the assessee had enough income or sources to accumulate to Rs.30 lakhs. There is also no evidence to establish that the so much of money, was actually given by her to Rudra Developers. None of the returns filed by the assessee or the Balance Sheets relating to those years-has been produced as evidence. Even in the books of Rudra D ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... id not figure .in the balance sheet of the company as creditor as on 31.03.2006. In case of CIT vs. Durg Prasad More (1971) 82 ITR 540 (SC), Apex Court has observes as under: "8. Now we shall proceed to examine the validity of those grounds that appealed to the learned judges, (it is true that an apparent must be considered real until it is shown that there are reasons to believe that the apparent is not the real party who relies on a recital in a deed has to establish the truth of those recitals, otherwise it will be very easy to make self-serving statements in documents either executed or taken by a party and rely on those recitals If at all that an assessee who wants to evade tax is to have some recitals made in a document either executed by him or executed in his.favour then the door will be left wide open to evade tax. A little probing was sufficient in the present case to show that the apparent was not the real, The taxing authorities were not required to put on blinkers while looking at the documents produced before them, They were entitled to look into the surrounding circumstances to find out the reality of the recitals made in those documents. 9. Now, coming to the ques ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ces of fund or that they had given credits to any other person or company then method and manner adopted by assessee clearly established that he was playing a fraud with revenue and since genuineness of transactions were not established at all, there was no question of shifting burden under section 63 on revenue. 3.3.6 In view of the above discussion and legal position, since the assessee is claiming that the. investment made by him during the year under consideration was out of his own funds returned back by Rudra Developers, an explanation not acceptable due to the foregoing discussion particularly in view of the fact that impugned amount was being reflected -in the books of Rudra Developers.as on 31.03.2006, the action of the Assessing Officer in treating the investment as unexplained and adding the amount to total income u/s. 69B, is correct and is upheld. 6. Aggrieved by the order of CIT(A), Assessee is now in appeal before us. 7. Before us, at the outset, the Ld.A.R. Submitted that the present appeals arise out of the similar additions made out of the similar transaction of investments in mutual funds, in the case of Krinaben Kirankumar Patel and which was been decided by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... note forming part of the account in which all the relevant facts have been recorded and also the amount of Rs. 30 lakhs as repayment of contributijon to the Assessee was recorded. 4. We have considered rival submissions and have perused the orders of the A.O. and the CIT(A) and also copies of various documents filed in the compilation of the assessee before the Tribunal. We find that in this case, the addition has been made only for the sake of addition. The assessee had litigation and between the litigants a compromise order was passed by the Additional Senior Civil Judge of Vadodara in SP.Civil Suit No. 105/1999, a copy of which has been filed in the compilation before the Tribunal. The assessee has filed a copy of bank account with Bank of Baroda, Vadodara wherein the amount paid by "RDPL" of Rs.30 lakhs per cheque was credited in the assessee's account on 5.12.2006. The assessee on the same day i.e. on 5.12.2006 invested this amount of Rs.30 lakhs in a short term fixed deposits .On 3.4.2007 the assessee encashed the fixed deposits and was paid Rs.30,47,495/- by credit entry in account of the assessee by the Bank of Baroda. The assessee on 16.04.2007 has invested this amount o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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