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TMI Blog2019 (6) TMI 540X X X X Extracts X X X X X X X X Extracts X X X X ..... le consideration to the land owners during the subsequent two financial years. It appears that neither the Ld.AO has verified the same nor disputed the same. AO has arrived at his decision only based on the registered document closing his eyes on all other events and transactions. From the conduct of the AO it appears that the assessee has paid the sale consideration in the two subsequent years which the AO has taken note off as it was brought to his notice by the assessee however the AO has restrained to address or comment on the same. If the sale consideration is not paid then it cannot be said that the sale had taken place. In the case of the assessee it appears that the sale consideration is paid only in the subsequent years and ther ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f ₹ 1,04,62,826/-. The case was selected for scrutiny under CASS and notice U/s.143(2) 142(1) of the Act was issued. Finally assessment order was passed U/s.143(3) of the Act on 29.03.2016 wherein the Ld.AO made addition of ₹ 1,60,51,200/- U/s.69 of the Act towards unexplained investment in four immovable properties registered with Sub-Registrar, Melapalayam, Tirunelveli. 4. During the course of scrutiny assessment proceeding, it was observed by the Ld.AO the assessee-firm had purchased land at Kulavanigapuram Village on 28.01.2013 registered as Document No.680, 677, 679, 678 /2013 for an aggregate sale consideration of ₹ 1,60,51,200/-, whereas, the value for the purpose of stamp duty was &# ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2013-14 and 2014-15. (7). Affidavits from each of the 13 joint owners of the land were filed to justify the above transaction. 5. However, the Ld.AO was of the view that the facts mentioned in the registered document cannot be ignored. The Ld.AO further opined that when there is a conflict between the registered document and self servicing affidavits, then the contents mentioned in the registered document shall override the contents mentioned in the self serving affidavits. Reliance was placed in the decision of Hon ble Punjab Haryana High Court in the case of Paramjit Singh v. ITO reported in 195 Taxman 273. Accordingly, the Ld.AO treated the purchase consideration of the land amounting to ₹ 1,60,51,2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... davits from the land owners confirming that the money was not paid during this year. In the circumstances, I find that the above decision of the Hon'ble Punjab and Haryana High Court cannot be applied to the facts of this case. The appellant has treated the land as an asset when the registered sale deeds were actually registered and released in the next year determining the stamp duty to be paid and, therefore, it cannot be stated that the above decision would be applicable to the facts of the case. Even otherwise when the appellant submitted reasonable and satisfactory explanation as to why the money was not paid during this year with creditable evidences in the form of agreements and affidavits, the same would constit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 8. We have heard the rival submissions and perused the material on record. It is pertinent to mention that in income-tax proceedings, the entire actual facts have to be taken into consideration in order to assess the income of an assessee. Documentary evidence will only have a persuasive value and the genuine events and transactions will override documentary evidence. Precisely, the law of evidence is not strictly applicable for income-tax proceedings. In the case of the assessee, it is not in dispute that the land owners, power of attorney holders and the assessee firm are all inter related. In fact, assessee firm is the concern of the land owners and the power of attorney holders and these facts are not in dispute. In s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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