LAWS(DLH)-2007-7-157

RAJEEV TANDON Vs. ASSISTANT COMMISSIONER OF INCOME TAX

Decided On July 13, 2007
RAJEEV TANDON Appellant
V/S
ASSISTANT COMMISSIONER OF INCOME TAX Respondents

JUDGEMENT

(1.) The Assessee is aggrieved by an order dated 8th September, 2006 passed by the Income Tax Appellate Tribunal, Delhi Bench 'C' in ITA No.3495(Del)/2004 relevant for the assessment year 2001-02.

(2.) The Assessee claims to have received two gifts from abroad. One gift was from Mr. P.B. Bhardwaj and was of an amount of Rs.30,04,300/- while the second gift was from Mr. Surender Khoka of an amount of Rs.4,61,942/-. The Assessee produced documentation to show the creditworthiness of both the donors but the Assessing Officer took the view that the gifts were bogus and that the Assessee had merely routed his own money through these persons to increase his capital for purchasing a house. The alleged gifts were given to the Assessee by persons who were not related to him in any manner and were not given to him for any particular reason except because he needed the money to purchase a house and these donors wanted to help him.

(3.) The Assessee preferred an appeal before the Commissioner of Income Tax (Appeals) [CIT (A)] before whom he contended that the identity and creditworthiness of the donors had been established and consequently it was submitted that the Assessing Officer should not have come to the conclusion that the gifts were bogus. The CIT (A) did not agree with the view canvassed by the Assessee and dismissed the appeal. Similarly, the Tribunal also dismissed the appeal of the Assessee and that is how we are required to deal with this appeal under Section 260A of the Income Tax Act, 1961.