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TMI Blog2023 (11) TMI 284X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessment order. There is no loose end in the entire transaction of the assessee having paid on-money, which was received by Mahalaxmi and also admitted for taxation. Authorities below were fully justified in making and confirming the addition u/s 69 on account of such on-money paid in cash to Mahalaxmi during the year under consideration. AR made a without prejudice submission to the effect that the addition, if at all, could have been made in the succeeding year when sale deed was registered. This contention is sans merit because section 69 provides that where the assessee has made investments in the financial year immediately preceding the assessment year and these are not recorded in the books of account and further no/unsat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he other grounds is against the confirmation of addition of Rs. 18,50,000/- made u/s 69 of the Income-tax Act, 1961 (hereinafter also called the Act ) on account of unexplained investment made in purchase of plot No.14 from Mahalaxmi Properties Developers (hereinafter also called Mahalaxmi). 4. Pithily put, the factual matrix of the case is that the assessee did not furnish his return u/s 139 of the Act. Notice u/s 148 was issued. In response, the assessee furnished return declaring total income at Rs. 2,73,590/-. The Assessing Officer (AO) observed that a Survey action u/s 133A was carried out in the case of Mahalaxmi on 13.03.2015, during the course of which various books of account, diaries and documents, were found and impounded. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the property, the AO made an addition of Rs. 18,50,000/- (one half of Rs. 37.00 lakh) in the hands of assessee and remaining in the case of Shri Gitesh Manoharlal Wadhwa. On a pointed query, the ld. AR submitted that the appeal of Shri Gitesh Manoharlal Wadhwa is still pending with the concerned CIT(A). The assessee remained unsuccessful before the ld. CIT(A), which has brought him before the Tribunal. 5. I have heard the rival contentions and perused the relevant material on record. It is found as an admitted position that Survey action 133A at the premises of Mahalaxmi divulged that they sold plots to various persons accepting on-money. In fact, separate books were maintained for recording on-money transactions. All banking transacti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s the assessee who entered into the transaction with Mahalaxmi through Naresh Jethalia as a mediator. The very fact that the name of Naresh Jethalia is written in on-money cash book against the plot under-purchase by the assessee and also on the on-money Ledger account along with that of the assessee, which was struck out, clearly evidences that he was involved in the transaction on behalf of the assessee. All other particulars of the property including the number and area are matching. It is also undisputed that the ultimate beneficiary of the plot is the assessee as the transaction was concluded by registered sale deed having the name of the assessee as purchaser of the same plot. Mahalaxmi clearly admitted during the course of Survey u/s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... heques in the year 2012 and finally the sale deed was executed in favour of assessee on 28.03.2014. It is an open and shut case of the assessee paying on-money to Mahalaxmi. 7. It is borne out from the assessment order that some other plot purchasers, who had paid on-money to Mahalaxmi during such period as transpired from the impounded documents found during the course of survey, disclosed the payment of such on-money in Income Declaration Scheme, 2016 (IDS). This fact has been recorded on page 9 of the assessment order. 8. There is no loose end in the entire transaction of the assessee having paid on-money, which was received by Mahalaxmi and also admitted for taxation. In my considered opinion, the authorities below were fully just ..... X X X X Extracts X X X X X X X X Extracts X X X X
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