JASPAL SINGH Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE assessee has filed this appeal under Section 260(A) of the Income Tax Act (hereinafter referred to as 'the Act') against the order dated 30 -3 -2007 passed by the Income Tax Appellate Tribunal, Amritsar Bench, Amritsar (hereinafter referred to as the Tribunal') in IT(SS)A No. 24/Asr/2004 of the assessee for the block period 1 -4 -1989 to 28 -1 -2000, while raising the following substantial questions of law:

(2.) IN this appeal, the issue is with regard to the addition of Rs. 7.5 lacs made by the assessing officer and sustained by the Commissioner (Appeals). The said amount was recovered from the possession of the appellant on 30 -5 -1996 when he was apprehended by the Punjab Police at Shamboo, District Patiala. The matter was informed to the Income Tax department. The statement of the appellant was recorded on 31 -5 -1996 and on 1 -6 -1996 by the Enforcement Directorate authorities where he had stated that on instructions of his brother, namely, Vijay Kumar, living in Abu Dhabi, he had received a sum of Rs. 14.50 lacs from one Ganga Ram which includes the seized amount of Rs. 7.5 lacs and further the same was to be distributed to various persons in Punjab as per the instructions of his brother. Subsequently, during the course of block assessment, the statement of the assessee was recorded where he had retracted from his earlier statement and stated that the money recovered from him was the sale proceeds of 13 Kanal and 8 Marlas of land agreed to be sold by his brother Kewal Krishan by entering into an agreement of sale to one Budh Singh son of Naranjan Singh for a consideration of Rs. 12,25,000 out of which a sum of Rs. 6,10,000 was received by him in cash. It was stated that an amount of Rs. 1,40,000 was the savings of his brother Kewal Krishan and his brother had given the total amount of Rs. 7.5 lacs to him for purchasing a plot at Delhi.

(3.) WE have heard the counsel for the appellant and gone through the impugned order.