Case Law Details
Anjanee Vijetha Kasturi Vs ACIT (ITAT Hyderabad)
ITAT Hyderabad held that once additional income offered during survey was simply accepted and assessment order was passed u/s 143(3) of the Income Tax Act without invoking provisions of section 115BBE. Then, provisions of section 115BBE cannot be invoked via rectification as per section 154.
Facts- Assessee is an individual, earning income from salary and other sources. There was a survey in the business premises of the assessee on 19/02/2015. At that time, a statement of Shri Kasturi Skanda Kumar was recorded u/s. 131 of the Act. In such statement, Shri Skanda Kumar offered an additional income of Rs. 20 lakhs in the hands of the assessee. Subsequently, assessee filed return of income on 30/12/2015 admitting an income of Rs. 23,62,650/-incorporating Rs. 20 lakhs additional income that was offered during the survey. Having issued notice u/s. 143(2) of the Act and considering the impounded material, books impounded in relation to survey and other documents produced after due scrutiny, AO by order dated 07/09/2017 accepted the return of income and concluded the proceedings u/s. 143(3) of the Act.
Subsequently, learned Assessing Officer proposed rectification of the assessment order. He considered the objections raised by the assessee for such proposed rectification. By order dated 09/04/2019, AO recorded that the additional income of Rs. 20 lakhs was to be taxed at flat rate at 30% u/s. 115BBE instead of slab rates and, therefore, such an unaccounted money had to be brought to tax u/s. 115BBE of the Act. He passed order dated 09/04/2019 accordingly.
Assessee aggrieved, preferred appeal before the learned CIT(A), however, the same was dismissed. Being aggrieved, the present appeal is filed.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
Author Bio
