SASEENDRA JEWELLERY Vs. ASSISTANT COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) PETITIONER is a jeweller. On 24.11.2000, petitioner's premises was searched under Section 132 of the Income Tax Act. During the search, gold ornaments weighing 19014 grams valued at the rate of Rs.79,85,880/ - were seized. Block assessment for the block period 1991 -92 to 2001 -2002 under Section 158BC was completed and gold ornaments weighing 18666.075 grams valued at Rs.78,40,130/ - were treated as unexplained stock and brought to tax. Similarly, silver articles weighing 2492.67 grams valued at Rs.17,449/ - were also treated as unexplained stock and brought to tax. The assessment resulted in tax demand of Rs.52,80,294/ -.

(2.) IN appeal filed by the assessee, the Appellate Commissioner brought down the value of undisclosed income to Rs.62,56,273/ -. Insofar as 8640.330 grams of gold claimed to have been purchased from a dealer in Ahmedabad is concerned, the Commissioner remitted the matter to the assessing authority to decide the issue. Against the remand order of the Appellate Commissioner alone, Department filed appeal before the Tribunal and the Commissioner's order was set aside and was directed the Commissioner(Appeals) to consider the issue on merits. The matter was pending before the Commissioner(Appeals). It was at that stage, after making a request to respondents, the petitioner filed this writ petition, with the following prayers:

(3.) THUS , assessment proceedings are still not complete and one kilogram of gold has been released to the petitioner after this writ petition was filed and what is held by the Department is, according to the Department, insufficient to realise the probable demand. In such circumstances, the prayer sought in this writ petition, cannot be granted and therefore, the writ petition is dismissed. This shall be without prejudice to the right of the petitioner to seek appropriate orders once the assessment proceedings attained finality.