DCIT Vs Ashok Kumar Singh (ITAT Delhi)
ITAT held that once additions have been made under Black Money Act the same addition cannot be made under Income Tax Act on the same set of facts, therefore, the deletion of the addition by the CIT(A) does not call for any interference.
FULL TEXT OF THE ORDER OF ITAT DELHI
ITA No.426/Del/2022 and 427/Del/2022 are two separate appeals by the revenue preferred against a consolidated order of the CIT(A)-24, New Delhi dated 23.08.2021 pertaining to A.Y.2013-14 and 2014-15.
2. Since common issues are involved in both the appeals they were heard together and are disposed of by this common order for the sake of convenience and brevity.
3. The common grievance in both the appeals is that the CIT(A) erred in deleting the addition made on protective basis without appreciating that the assessment u/s. 10(3) of the Black Money Act has not yet attained finality and is under sub-judice.
4. Briefly stated the facts of the case are that a search and seizure operation u/s. 132 of the Act was carried out on 04.2016. Accordingly statutory notices were issued and served upon the assessee.
5. During the course of the assessment proceedings certain information was available on website of International Consortium of Investigative Journalists (ICIJ) regarding Indians having undisclosed foreign companies and assets offshore. Investigation was carried out by the Investigation Wing, Delhi which revealed that the assessee was Director and Shareholder of a BVI Company namely M/s. Everbez Business Inc. Assessee was asked to explain his relationship with the said company who submitted that he is neither been beneficial owner/ trustee/ settler in any foreign entity nor he has foreign bank account after 04.1997.
6. Information was received from BVI under the tax information exchange agreement thereafter information was also received from competent authority of Singapore who informed that company M/s. Everbez business NIC had one bank account with UBS AG Singapore dealing in three foreign currencies. The details of bank accounts are under :-
