RAMESHWAR SONI Vs. ASSISTANT COMMISSIONER OF INCOME

JUDGEMENT

(1.) THIS is an assessee's appeal, seeking to challenge the order of the learned Tribunal dt. 11th May, 2002 (Annex. 2), partly allowing the appeal against the block assessment, made by the AO. A search was undertaken on 5th Jan., 1996, and consequent thereupon proceedings were initiated, and vide Annex. 1, assessment was made under Section 158BC of the Act, assessing a total undisclosed income of Rs. 12,19,481, and assessing tax thereon.

(2.) THE appeal was admitted vide order dt. 9th Dec, 2002, by framing four substantial questions of law. First being, as to whether for the purposes of block assessment under Section 158BC, the computation of undisclosed income can include income of any previous year, which was below taxable limit, but for which no return under Section 139 was filed since there was no obligation under the Act to file return. Then second question is, as to whether the Tribunal has failed to appreciate that the burden of proof lies heavily on the Department to show that undisclosed income belongs to the assessee alone, and none else, was evident from the seized documents. The third question framed is, as to whether the income from undisclosed source represented through assets acquired by parents of the assessee can be subject -matter of block assessment in the hands of assessee, when search was conducted only against the assessee, and not against his parents. The fourth question framed is, as to whether block assessment made by the assessing authority, as modified by the Tribunal, can be sustained in view of the amended Clause (c) of Section 158BB of the Act, as inserted by the Finance Act, 2002, w.e.f. 1st July, 1995.

(3.) THIS question has already been decided by this Court, in IT Appeal No. 91 of 2002 CIT v. Late Manohar Lal Soni decided on 23rd Nov., 2007 : reported at (2008) 1 DTR (Raj) 346 - -Ed., wherein the provisions of Section 158BB(l)(c), as inserted by amendment had been considered, and the above view has been taken.