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TMI Blog2018 (9) TMI 288X X X X Extracts X X X X X X X X Extracts X X X X ..... GPA for several properties and was authorized to execute the sale deed. There is no bar on GPA Holder to execute sale deed in Law when he is authorised to execute sale deed. Therefore, there is no infirmity in the orders of the authorities below in making and confirming the addition. Even before the Tribunal, assessee failed to explain the source of the investment in the above property. Assessee miserably failed to substantiate any of her explanation through any evidence or material on record. The appeal of assessee has no merit and the same is accordingly dismissed. - Decided against assessee. X X X X Extracts X X X X X X X X Extracts X X X X ..... ve been filed. Thereafter, mother of the assessee appeared on behalf of the assessee before A.O. but again no satisfactory explanation have been filed. Ultimately, no explanation regarding source of investment in purchase of the above property was made either by the assessee or by her mother. The A.O. thereafter again issued statutory notices seeking explanation of assessee. The assessee, ultimately, reiterated that her maternal uncle who made gift to purchase property at Shamli had expired. The A.O. asked the assessee to prove the nature of the transaction along with identity, creditworthiness and genuineness of the transaction of the donor i.e., maternal uncle. But, assessee did not lead any evidence to explain the same. The A.O. in the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he assessee, but, due to some legal conditions the title will be transferred by way of sale deed only. Therefore, sale deed was executed by the mother of the assessee in favour of assessee. The Ld. CIT(A) called for the comments of the A.O. on the additional evidences. The report of the A.O. is reproduced in the appellate order in which the A.O. reported that assessee has made contradictory statements. In order to verify the contents of affidavit of the assessee that no consideration was paid, enquiry letter under section 133(6) of the I.T. Act, 1961 was issued to Sub-Registrar, Shamli who has reported that if there is any Gift of immovable property, then, Registration of Property would have been done under section 18(33) of the Indian Stam ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it is worthwhile to note that nowhere in the GPA, holder of the GPA is allowed to Gift the property to anybody. Therefore, it can be safely acknowledged that transfer of property could not have been made by way of gift i.e. without accepting any consideration. Also, what is written in the registration deed cannot be ignored. In the registration deed, it has been clearly stated that consideration of ₹ 42,00,000/- has been received in cash by the seller. Thus, in the absence of any explanation of source of ₹ 44,05,000/- and gift deed to prove that the transaction between mother and daughter was not a sale transaction but a gift transaction, I find the additions for ₹ 42,00,000 and ₹ 2,05,000/- (on account of payment o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Ld. CIT(A) and it was claimed for the first time that in fact, it was a property of the father of the assessee who has given GPA to mother of the assessee, who has executed the sale deed in favour of the assessee. Learned Counsel for the Assessee contended that since mother of the assessee was GPA holder, therefore, no sale deed could have been executed for consideration. The contention of Learned Counsel for the Assessee has no merit and is liable to be rejected. The Income Tax Department is concerned with the source of the investment in purchase of property at the end of the assessee. There is nothing wrong for the Income Tax Department to seek explanation of assessee regarding source of investment in property. The A.O. in the remand rep ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee which was in fact a gift deed. The explanation of assessee is rebutted by the A.O. in the remand report because the Sub-Registrar who has registered sale deed in question has reported that in case of gift of immovable property, the property should have been registered under a different head. The property in question is registered as sale deed for a cash consideration of ₹ 42,90,000/-. Thus, the claim of assessee cannot be accepted and appears to be an afterthought. The assessee did not produce any evidence on record in support of any of the contradictory explanation made before A.O. or before Ld. CIT(A). The Ld. CIT(A) on examination of the GPA found that mother of the assessee was holding GPA for several properties and was a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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