Bhavesh K Shah vs. Income Tax Officer

Parties Involved

Facts Summary

The assessee, Bhavesh K Shah, filed his return of income for the assessment year 2014-15 under the presumptive taxation scheme of section 44AD of the Income-tax Act, 1961, declaring gross receipts of ₹92,54,031/- and taxable income of ₹6,88,570/-. During reassessment proceedings, the Assessing Officer observed that the assessee had purchased a property for ₹1.35 crore, out of which a sum of ₹1,04,86,000/- (including TDS of ₹1,35,000/-) was paid in money terms, and the balance consideration of ₹30,14,000/- was discharged by way of allocation of one of the newly constructed flats to the seller of the land. The Assessing Officer treated the value of ₹30,14,000/- as undisclosed income (being undisclosed sale consideration) of the assessee and added the same under the head 'income from other sources,' on the basis that the sale value of such flat was not reflected in the return of income as part of the total receipts by the assessee.…

Legal Issues

• 1. Whether the delay in filing the appeal should be condoned?
• 2. Whether the amount of ₹30,14,000/- should be treated as undisclosed income?

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

Similar Judgements

• Amit Girdharbhai Patel vs. ACIT

  Ahmedabad bench

• Sarayu Krishna Kamat vs DCIT Circle 22(1), Mumbai

  Mumbai Bench 'G', Mumbai benchAY 2018-19Allowed

• Mohd. Ikram Vs. ITO

  SMC Bench, Delhi benchAY 2012-13Allowed

• The Dy. Commissioner of Income Tax (Appeals), Central Circle, Ballari Vs. M/s Abdul Maneed Engineers and Contractors

  'A' Bench, Bangalore benchAY 2016-17Dismissed

• Swapnal Subhash Anbhavane Vs. Income Tax Officer, Ward

• Active Brothers vs Income Tax Officer, Non-Corp Ward-9(1), Chennai