Statement U/s. 132(4) Whether binding upon assessee or not

Principal CIT Vs Manoj Hora (Delhi High Court) The text of section 132(4), clarifies that the presumption arises in the case of the searched party. In case the statements by the party whose premises are searched, or to be attributed to a third party – as in the case of the assessee, there has to be a connect or corroboration. Clearly, there was none in the present case. On this score, the addition made by the assessing officer was unsustainable; the Commissioner (Appeals) correctly directed the cancellation. FULL TEXT OF THE HIGH COURT JUDGMENT / ORDER IS AS FOLLOWS:- 1. In these appeals, t...