The Commissioner Of Income Tax vs Madan Lal Dawar
2010 Latest Caselaw 4743 Del

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*       IN THE HIGH COURT OF DELHI AT NEW DELHI

+       ITA 1554/2010

THE COMMISSIONER OF
INCOME TAX                                        ..... Appellant
                 Through:                         Ms. Rashmi Chopra, Standing
                                                  Counsel

                         versus

MADAN LAL DAWAR                                   ..... Respondent

                                  Through:        None


%                                           Date of Decision: 7th October, 2010


CORAM:
HON'BLE THE CHIEF JUSTICE
HON'BLE MR. JUSTICE MANMOHAN

1. Whether the Reporters of local papers may be allowed to see the judgment?

2. To be referred to the Reporter or not?

3. Whether the judgment should be reported in the Digest?

MANMOHAN, J

CM 17625/2010

Allowed, subject to all just exceptions.

ITA 1554/2010

1. The present appeal has been filed under Section 260A of Income

Tax Act, 1961 (for brevity, "Act") challenging the order dated 31st

August, 2009 passed by the Income Tax Appellate Tribunal (in short

"Tribunal") in ITA No. 1908/Del/2006, for the Assessment Year 1997-

1998.

2. In the present case, the Assessing Officer has made an addition in

the respondent-assessee's income solely on the basis of DVO's report.

However, in Commissioner of Income Tax Vs. Shri Bajrang Lal

Bansal, ITA No. 182/2010 decided on 20th August, 2010, this Court

has held that it is settled law that the primary burden of proof to prove

under-statement or concealment of income is on the revenue and it is

only when such burden is discharged that it would be permissible to

rely upon the valuation given by the DVO. It has been further held that

in any event, the opinion of the DVO, per se, is not an information and

cannot be relied upon without the books of account being rejected.

3. Keeping in view the aforesaid mandate of law in Shri Bajrang

Lal Bansal (supra), the present appeal, being bereft of merit, is

dismissed.

MANMOHAN, J

CHIEF JUSTICE

OCTOBER 07, 2010 rn