Deputy Commissioner Of Income Tax, ... vs Jagannathan Sekat, Chennai on 28 February, 2025
cross
examination of the adverse party. In this case, the assessee contended
that the silver articles were purchased from 'R'. However, 'R' denied the
transaction in his statement recorded behind the back of the assessee.
The Assessing
essing Officer made the addition without allowing cross- cross
examination of 'R'. Copy of the statement of 'R' recorded was not
provided to the assessee. The Assessing Officer also ignored the
affidavit filed by the assessee. He solely relied on the statement of 'R'
for the addition. The addition was deleted.
6.3.26 In the case of B. Ramakrishnaiah v. ITO [2010] 39 SOT 379
(Hyd.-Trib.),
Trib.), the Assessing Officer made addition of a certain amount in
the hands of the assessee based on the entry of a transaction relating
relati to
a property deal in the books of 'B' who was a third party. No opportunity
for cross-examination
examination was afforded to the assessee with reference to the
material gathered from the third party. The Tribunal held that the
Assessing Officer cannot base his assessment
assessment on the statement and
material collected by him to frame the assessment without affording
opportunity of cross-examination.