Case Law Details
Rekha Khaitan Vs DCIT (ITAT Delhi)
ITAT Delhi held that more specific plea and explanation ought to be given by an assessee for discharging burden u/s 69B of the Income Tax Act to explain jewelry beyond that mentioned in Wealth Tax Return.
Facts- The assessee was directed to explain the source of jewelry weighing worth Rs. 7,64,46,500/- found from residence and bank locker of the assessee. After taking into consideration the wealth tax return and invoices the Ld. AO sought explanation of jewelry worth Rs. 2,71,57,132/-.
After considering the wealth tax return, bills supporting articles purchased, there was a balance of 558.74gms. The assessee claimed that the balance 558.74 gm “may” have been received as gifts from family and friends on various occasions ‘after 2015-16’ thus, not forming part of assessee’s wealth tax return. Assessee claimed the same commensurate with the financial and social standing of the assessee. It was also claimed by the assessee that having being married for over 60 years on various religious and customary occasions, the gifts were exchanged on festivals and customary celebrations. The assessee claimed benefit of CBDT Circular and instructions dated 11.05.2014 and certain judicial pronouncements to claim that the balance 558.74 gms should be considered to be explained.
AO made addition. CIT(A) partly allowed the appeal. Being aggrieved, revenue has preferred the present appeal.
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