Tribunal held that the total discrepancy in stock was Rs.1,30,26,864. The total declaration made by the assessee was Rs.1,30,26,864 only for the assessment year 2012-13 in which it had undertaken payment of self-assessment tax of Rs. 40 lakhs in four instalments. No other declaration of the partners was recorded during the course of search. Once the statements had been accepted by the survey team the tax should be calculated for the years accepted by the assessee. Accordingly, the orders of both the authorities were quashed and the entire addition made by the Assessing Officer were to be deleted. In regard to the issue of cash balance found in the cash box the declaration should be added in the assessment year 2012-13, and there was no question for deciding this issue again because the amount was included in the entire amount of declaration made by the partners. (AY.2013-14)
Laxmi Narayan Jewellery v. ITO (2020) 80 ITR 17(SN) (Cuttack) (Trib.)
S. 133A : Power of survey-Stock discrepancy and unexplained cash Offered for taxation in earlier year but Commitment retracted-Once statements accepted by survey team tax should be calculated for relevant year accepted by assessee-Addition made for the year under consideration was deleted.