Tax Case v. Shrisatyanarayannathoolal,Gandhichowk, Neora, Raipur

HIGH COURT OFCHHATTISGARH. BILASPUR CORAM: DB: HON'BLE SHRI YATINDRA SINGH. C.J. &HON'BLE SHRI SUNIL KUMAR SINHA. J APPELLANT Tax Case No. 6/2006Assistant Commissioner of Income TaxCircle 1 (1) Raipur RESPONDENT Versus ; ShriSatyanarayanNathoolal,GandhiChowk, Neora, Raipur Tax Case Income Tax Appea! u/s 260 of Income Tax Act1961 Appearance: Shri Anand Dadariya, counsei for the Appellant.ShriShashank Dubey, Sr. Advocate with Shri Neelabh Dubey,counsel for the Respondent. ORDBRt2"dJanuary,2013) 1.This is an appeal against the order dated 7th April, 2006 passedby thetncomeTax AppellateTribunal,Nagpur Bench,Nagpur (theTribunal), dismissing the appeal ofthe Appellant and upholding the deletionof the amount by the Commissioner of Income Tax (Appeals) {the CIT(A)}for the block period 1987 to 1999. THE FACTS 2.A search and seizure operation was conducted on M/s ChaitanyaSolvex Pvt. Ltd. on 4.2.1999. Whiie proceeding for the assessment againstM/s. Chaitanya Sovex Pvt. Ltd. certain papers relating to M/s SatyanarainNathulal, Raipur (the Assessee) were also found and the proceedings were ^B':/-3Ss:'f ^v-'"-^"TS^lll1'--^''"'11."^ ^^J/ taken against it.The Assessing Officer by its order dated 31.12.2002added, apart from other amounts, the sale of unrecorded purchases of? 17,36,137/- as a undisclosed income. 3.Aggrieved by the aforesaid order, the Assessee fiied an appeai. Itwas ailowed by the Commissioner of Income Tax (Appeals) {the CIT(A)} on30.12.2002.Against the aforesaid order the Income Tax Department (theDepartment) filed an appealbefore the Income Tax Tribunal.It wasdismissed on 7.4.2006. Hence, the present appsal. 4.We have heard counsel for the parties.5.This appeai was admitted on the appeai was admitted on the was admitted on the admitted on the on the the following substantial question oflaw:5.This appeai was admitted on the appeai was admitted on the was admitted on the admitted on the on the the following substantial question oflaw: This appeai was admitted on the appeai was admitted on the was admitted on the admitted on the on the the following substantial question of "Whether on the facts and in the circumstances of the case,the learned tncome Tax Appellate Tribunal was justffied indeleting the addition under Section 69B amounting to sum of?17,51,727/-,onaccountofunrecordedandpurchasesales?" 6.The CIT(A) in its order has mentioned that out of the unrecordedpurchase of paddy, a sum of ?10,03,903/- was shown in the regularassessment, a sum of ? 3,00,000/- was shown in the block assessment, anda sum of ? 3,58,045/- was the credit purehases. It is for this reason that theCIT(A) had found the explanation to be valid and it deleted the amount. Thisfinding has been upheld by the Tribunal. This is a finding of fact.There isno illegality in the same. 7.The appeal has no merits. It is dismissed. Sd/- Sd/-Sunil Kumar SinhaJudge Chief Justice