SRINATH BULLION REFINERY Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) HAVING perused the order of the Income-tax Appellate Tribunal impugned in this appeal filed by the assessee under Section 260A of the Income-tax Act, 1961, we find no question of law much less substantial question of law in the appeal as is required to be made out being the sine qua non for invoking the jurisdiction conferred under Section 260A ibid and hence we have no option but to dismiss the appeal in limine.

(2.) WHAT is involved in this appeal is essentially a question based on facts. The issue was whether deletion of Rs. 1,34,422 made by the Commissioner of Income-tax (Appeals) by relying on Section 40A(3) of the Act is proper or not. It was found by the Tribunal that in this very case, i.e., for the year 1979-80, the matter came up to the Tribunal wherein the Tribunal gave direction to the Assessing Officer to find out and verify the details of the transaction relating to deletion of Rs. 1,34,422 by obtaining confirmatory letters from the person concerned. In other words, the Assessing Officer was asked to examine the genuineness of the transactions in relation to Rs. 1,34,422. This was not done and hence it was held to be the income of the assessee.

(3.) THIS issue does not constitute any issue of law requiring this court to examine in the second appeal which is confined to only examination of substantial questions of law. It also does not involve application of rule 6DD(j) because when the assessee fails to file evidence as directed by the Tribunal, it has to suffer for the consequences of its non-compliance.