HC held seizure of items duly disclosed & substantiated with documents as illegal

Harshvardhan Chhajed & Others V. DGIT & Others (Rajasthan High Court) Seizure under Income Tax has to be conducted after due care and caution. Merely on account of reasons to suspect, seizure of goods ought not to be undertaken. In fact the investigation wing has to show reason to believe that a person is carrying undisclosed asset. However, if the concerned person has shown documents in order to explain the goods which he is carrying and also gives a statement like in the present case that the articles were belonging to a firm and were part of stock-in-trade. Before seizure is conduct...