Gian Chand & Sons (HUF) Vs ACIT (ITAT Delhi)
The appeals were filed by the assessee against the orders of the Commissioner of Income Tax (Appeals)-16, New Delhi dated 26.11.2018. Since identical issues arose in all the appeals, they were heard together and disposed of by a common order. The case was fixed for early hearing pursuant to an order dated 27.08.2021.
During the hearing, the assessee relied upon the decision of the Coordinate Bench of the Income Tax Appellate Tribunal in M/s Shagun Jewellers (P) Ltd. Vs ACIT, ITA No. 9890/Del/2019 dated 16.06.2020. The Departmental Representative supported the orders of the lower authorities.
The Tribunal examined the earlier decision relied upon by the assessee. In that case, a search conducted at Ahmedabad and New Delhi resulted in the seizure of documents relating to an alleged unaccounted money lending business involving Shri Asharam Bapu and his associates. During the investigation, the statement of Shri Devi Das Tikamdas Chattani was recorded under Sections 131A read with 131 of the Income-tax Act. According to his statement, the loan accounts were maintained by Shri Popat Lal Vani, while Shri Sant Lal Aggarwal allegedly handled disbursement of cash loans in Delhi to numerous parties. Based on information received from the Investigation Wing, the Assessing Officer reopened the assessment under Section 148, alleging that the assessee had received cash loans reflected in seized documents.
