By Ajay R. Singh, Advocate
Pr. CIT – Central-02 vs. Shri Krishan Lal Madhok
ITA No. 229 of 2022
Date of order: 16th September, 2022 Delhi High Court
16 [Arising from the order dated 3rd August, 2021
passed by the ITAT in ITA No. 3917/Del./2017
& 6268/Del./2017 and ITA No. 6648/Del/2017 & ITA No 6269 /Del./2017]
A.Ys.: 2006-07 and 2007-08
16. Statement recorded – peak credit calculated by the tax authorities - assessee offered the same and paid taxes – Department wanted to bifurcate the disclosed amount in two A.Ys – tax rate in both the A.Ys is the same and there is no loss to the revenueThe assessee’s statement was recorded wherein he offered certain income for taxation. The assessee honoured his statement and offered Rs. 2,23,68,000 in his return of income for A.Y. 2007-08 and paid taxes thereon. There is no dispute that the peak credit was calculated by the tax authorities and at the behest of the tax authorities the assessee offered the same in his income for A.Y. 2007-08 and paid taxes thereon.
The Department wanted to bifurcate the disclosed amount in two A.Ys when the tax rate in both the A.Ys is the same and there is no loss to the Revenue.
The ITAT did not find any merit in bifurcating the income in two A.Ys when the assessee has paid taxes in A.Y. 2007- 08.
Before the Hon. High Court, the Revenue contended that the ITAT has erred in deleting the addition of Rs. 2,05,50,545 and Rs. 18,58,3
