COMMISSIONER OF INCOME TAX Vs. STAR BUILDERS

JUDGEMENT

(1.) THE following questions are referred for the opinion of this Court.

(2.) HEARD Shri M. R. Bhatt, learned Counsel for the revenue.

(3.) ASSUMING but not accepting that some unexplained income has been 4 invested in the construction, the fact remains that the business of the assessee is construction. If we add on account of unexplained income in the investment, that will give rise to the cost of the construction and the result will remain the same i.e. "zero". Even otherwise also, this addition has been made on the basis of the Valuation Officer's report. Their Lordships have considered the issue "whether reference can be made to any Valuation Officer to find out the cost". Their Lordships have taken the view in the case of Smt. Amiya Bala Paul v. : [2003]262ITR407(SC) that reference can be made to the Valuation Officer for the purpose of Sections 55(A), 131, 133(6), 142(2) and not for the purpose of finding out the cost.