Neeraj Goel Vs ACIT (ITAT Delhi)
Summary: The appeal arose from the order of the Commissioner of Income Tax (Appeals) for Assessment Year 2009-10, who had upheld an addition of ₹5,31,217 made by the Assessing Officer as alleged interest income based on a seized document. The assessee challenged the addition, contending that the document was a bald or dumb document, that Section 292C had been wrongly invoked, and that the document was neither found in the assessee’s possession nor under his control.
The assessee had originally filed a return declaring income of ₹10,97,600. Following a search under Section 132, a return under Section 153A was filed declaring the same income. During assessment proceedings, the Assessing Officer relied on a seized loose paper to make an addition of ₹5,31,217 as alleged interest income and completed the assessment. The Commissioner (Appeals) affirmed the addition, leading to the present appeal before the Tribunal.
Before the Tribunal, the assessee argued that the loose paper contained only certain jottings and did not bear the assessee’s name, signature or handwriting, nor did it identify any other person. It did not indicate whether the figures represented receipts, payments, investments, deposits or loans. The assessee also submitted that the document was found at his residence, which was frequently visited by friends and relatives, and therefore it could not be presumed to be in his exclusive possession or control. Reliance was placed on an earlier Tribunal decision in Praveen Juneja, which had been affirmed by the Delhi High Court, where additions based solely on similar loose papers were deleted.
