CHANDRABHAN Vs. COMMISSIONER OF INCOME TAX-I

JUDGEMENT

(1.) This appeal under Section 260-A of the Income Tax Act has been filed by the assessee challenging order dated 13.10.2005 passed by Income Tax Appellate Tribunal, Agra Bench, Agra (hereinafter called as 'Tribunal').

(2.) This appeal was admitted on 11.01.2011 on the following question of law:-

(3.) Brief facts of the case are that assessee was intercepted by police and was found to be carrying silver jewellery in a Maruti van weighing 242.507 kg. As the assessee could not explain source of acquisition of silver ornaments, warrant of authorisation for requisition of the same was issued under Section 132 A of the Income Tax Act (hereinafter called as 'Act') on 29.04.1998 by Commissioner of Income Tax, Agra. Assessing Officer issued and served notice under Section 158BC on the assessee on 08.10.1998. Assessee filed return in Form 2B for the block period on 23.07.1999. During course of block assessment proceedings, assessee initially surrendered 54 kg of silver ornament for taxation, the same was revised to 75 kg and finally to 100 kg. Assessing Officer treated 102.54 kg of silver ornament as unexplained and the balance as explained. The value of unexplained silver jewellery ornaments was determined at Rs.4,33,907/-. The said amount was taxed in the assessment year 1999-2000.