Vijay Makhija v. The Principal Commissioner of Income-tax-I, Jaipur / Assistant Commissioner of Income-tax, Circle-3, Jaipur
[Citation -2019-LL-0916-139]

Citation 2019-LL-0916-139
Appellant Name Vijay Makhija
Respondent Name The Principal Commissioner of Income-tax-I, Jaipur / Assistant Commissioner of Income-tax, Circle-3, Jaipur
Court HIGH COURT OF RAJASTHAN
Relevant Act Income-tax
Date of Order 16/09/2019
Judgment View Judgment
Keyword Tags incriminating document • search proceedings • purchase of property • undisclosed payment
Bot Summary: Urging that the Lower Appellate Authorities and ITAT fell into error of law the assessee questions the concurrent findings whereby a sum of 23,78,500/- was taxed in his hands in the course of search proceedings under Section 153A of the Income Tax Act. The assessee s premises-as well as those of his elder brother Prakash Makhija, were searched on 12.10.2011. In the course of the search, Prakash Makhija made a statement admitting that 6 lakhs undisclosed amount was paid by the assessee for purchase of immovable property. The assessee admitted to this amount and surrendered the said sum of 6 lakhs. It is argued on behalf of the assessee that the revenue did not examine the seller of the property, without which it could not have added back the sum of 11,53,500/-. This Court is of the opinion that having regard to the concurrent findings, no error can be found with the order of the ITAT. There was no obligation on the part of the Revenue to examine the seller to determine the value the profit or the real cost, given that the incriminating document was seized from the assessee s possession. The assessee could well have summoned that party, for any clarification.


HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR D.B. Income Tax Appeal No. 82/2019 Shri Vijay Makhija S/o Shri Govind Ram Makhija, Aged About 38 Years, (Approx) B/c Makhija C/o Of M/s Bharat Traders, Old Dhan Mandi, Kota Appellant Versus 1. Principal Commissioner Of Income Tax-I, N.c.r. Building, Statue Circle, C-Scheme, Jaipur 2. Assistant Commissioner Of Income Tax, Circle-3, N.c.r. Building, Statue Circle, C-Scheme, Jaipur Respondents For Appellant(s) : Mr.Naresh Gupta, Adv. For Respondent(s) : HON'BLE CHIEF JUSTICE HON'BLE MR. JUSTICE PRAKASH GUPTA Judgment 16/09/2019 1. Urging that Lower Appellate Authorities and ITAT fell into error of law assessee questions concurrent findings whereby sum of `23,78,500/- was taxed in his hands in course of search proceedings under Section 153A of Income Tax Act. 2. assessee s premises-as well as those of his elder brother Prakash Makhija, were searched on 12.10.2011. In course of search, Prakash Makhija made statement admitting that `6 lakhs undisclosed amount was paid by assessee for purchase of immovable property. assessee admitted to this amount and surrendered said sum of `6 lakhs. A.O. relied upon document found during search and held that true value of transaction (i.e. purchase of property) was worth `20,75,000/- brought compliance (Downloaded on 19/09/2019 at 12:52:09 PM) (2 of 2) [ITA-82/2019] including amount surrendered- part of which was adjusted towards registration charges etc., to tax. 3. This was upheld and affirmed by Lower Appellate Authorities i.e. CIT(A) and ITAT. 4. It is argued on behalf of assessee that revenue did not examine seller of property, without which it could not have added back sum of `11,53,500/-. It was also urged that addition if at all could have been made to amount surrendered i.e. `6 lakhs. 5. This Court is of opinion that having regard to concurrent findings, no error can be found with order of ITAT. There was no obligation on part of Revenue to examine seller to determine value profit or real cost, given that incriminating document was seized from assessee s possession. assessee could well have summoned that party, for any clarification. 6. appeal is accordingly dismissed. (PRAKASH GUPTA),J (S. RAVINDRA BHAT),CJ NAVAL KISHOR-Arun/90 Powered by TCPDF Vijay Makhija v. Principal Commissioner of Income-tax-I, Jaipur / Assistant Commissioner of Income-tax, Circle-3, Jaipur
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