Dismissing the appeal of the revenue the Court held that ; Chapter XIV-B of Act is a complete code in itself and if assessment has to be made for undisclosed income, such undisclosed income should be out of result of search; since no undisclosed income was detected as a result of search, and amounts in question had been found to have been entered in regulars books of account of assessee, inquiry, if any, in respect of valuation of building was permissible only in course of regular assessment proceedings and, thus, addition made by Assessing Officer was to be deleted.
PCIT v. Rajni Developers (P.) Ltd. (2018)89 taxmann.com 408 ( Guj) (HC) Editorial: SLP of revenue is dismissed PCIT v. Rajni Developers (P.) Ltd. (2018) 257 Taxman 258 (SC)
S. 158BC : Block assessment – Unexplained expenditure –Cost of construction valuation report- Since no undisclosed income was detected as a result of search, and amounts in question had been found to have been entered in regulars books of account of assessee, inquiry, if any, in respect of valuation of building was permissible only in course of regular assessment proceedings and, thus, addition made by Assessing Officer was to be deleted.[ S.69C ]