Kishanchand Chellaram v. CIT

125 ITR 713Supreme Court of India1980#46 most cited

What is Kishanchand Chellaram v. CIT authority for?

An assessee is entitled to be confronted with evidence used against them and to an opportunity for cross-examination, especially when that evidence is from a third party or a retracted statement. Failure to provide such an opportunity violates the principles of natural justice.

962

judgments rely on this decision, according to BharatTax’s citation analysis of 367,181 Indian tax judgments — from 2013 to 2026.

Also referred to as

Kishanchand Chellaram v. CIT · 125 ITR 713 · natural justice · cross-examination · evidence · third party statement · retracted statement · opportunity to rebut · assessment proceedings

Sections most often in play

Section 143(3)Section 147Section 132Section 153ASection 153CSection 148Section 132(4)Section 69C

Issues it is cited on

section 158bbsection 292cretracted statementdumb documentssection 132(4a)on-moneyloose papersdocuments seizedlive linksection 34section 69bsection 292

Judgments citing Kishanchand Chellaram v. CIT

Preeti Yadav, New Delhi vs. ITO, Ward-33(5), New Delhi

In the result, ITA.No.5883, 6457, 6458 and 6459/Del

ITA 6457/DEL/2018[2014-15]Status: DisposedITAT Delhi12 Dec 2018AY 2014-15

Bench: Shri Bhavnesh Saini

For Respondent: Shri S.L. Anuragi, Sr. D.R
Section 10(38)Section 68

…any of these persons for indulging in taking accommodation entries. He has, therefore, submitted that such evidence cannot be read in evidence against the assessee and relied upon the decision of the Hon'ble Supreme Court in the case of Kishan Chand Chela Ram 125 ITR 713 (SC). He has submitted that for claiming exemption u/s 10(38) of the Act, the assessee shall have to prove twin conditions i.e. the income arise from the transfer of long term capital asset and being equity share in a company where the transfer of sale of such equity share is entered into on or after the date of which Chapter-VII of the Finance A…

Rajesh Garg, New Delhi vs. ITO, Ward-40(2), New Delhi

In the result, ITA.No.5971/Del

ITA 5974/DEL/2018[2015-16]Status: DisposedITAT Delhi12 Dec 2018AY 2015-16

Bench: Shri Bhavnesh Saini

For Respondent: Shri S.L. Anuragi, Sr. D.R
Section 10(38)Section 131

…any of these persons for indulging in taking accommodation entries. He has, therefore, submitted that such evidence cannot be read in evidence against the assessee and relied upon the decision of the Hon'ble Supreme Court in the case of Kishan Chand Chela Ram 125 ITR 713 (SC). He has 25 I.T.A.No.5971 to 5974/Del./2018 Ms. Anupama Garg, New Delhi & Others. submitted that for claiming exemption u/s 10(38) of the Act, the assessee shall have to prove twin conditions i.e. the income arise from the transfer of long term capital asset and being equity share in a company where the transfer of sale of such equity share i…

Bhushan Garg (HUF), New Delhi vs. ITO, Ward-40(1), New Delhi

In the result, ITA.No.5971/Del

ITA 5973/DEL/2018[2015-16]Status: DisposedITAT Delhi12 Dec 2018AY 2015-16

Bench: Shri Bhavnesh Saini

For Respondent: Shri S.L. Anuragi, Sr. D.R
Section 10(38)Section 131

…any of these persons for indulging in taking accommodation entries. He has, therefore, submitted that such evidence cannot be read in evidence against the assessee and relied upon the decision of the Hon'ble Supreme Court in the case of Kishan Chand Chela Ram 125 ITR 713 (SC). He has 25 I.T.A.No.5971 to 5974/Del./2018 Ms. Anupama Garg, New Delhi & Others. submitted that for claiming exemption u/s 10(38) of the Act, the assessee shall have to prove twin conditions i.e. the income arise from the transfer of long term capital asset and being equity share in a company where the transfer of sale of such equity share i…

Pushpa Garg, New Delhi vs. ITO, Ward-40(2), New Delhi

In the result, ITA.No.5971/Del

ITA 5972/DEL/2018[2015-16]Status: DisposedITAT Delhi12 Dec 2018AY 2015-16

Bench: Shri Bhavnesh Saini

For Respondent: Shri S.L. Anuragi, Sr. D.R
Section 10(38)Section 131

…any of these persons for indulging in taking accommodation entries. He has, therefore, submitted that such evidence cannot be read in evidence against the assessee and relied upon the decision of the Hon'ble Supreme Court in the case of Kishan Chand Chela Ram 125 ITR 713 (SC). He has 25 I.T.A.No.5971 to 5974/Del./2018 Ms. Anupama Garg, New Delhi & Others. submitted that for claiming exemption u/s 10(38) of the Act, the assessee shall have to prove twin conditions i.e. the income arise from the transfer of long term capital asset and being equity share in a company where the transfer of sale of such equity share i…

Anupama Garg, New Delhi vs. ITO, Ward-40(1), New Delhi

In the result, ITA.No.5971/Del

ITA 5971/DEL/2018[2015-16]Status: DisposedITAT Delhi12 Dec 2018AY 2015-16

Bench: Shri Bhavnesh Saini

For Respondent: Shri S.L. Anuragi, Sr. D.R
Section 10(38)Section 131

…any of these persons for indulging in taking accommodation entries. He has, therefore, submitted that such evidence cannot be read in evidence against the assessee and relied upon the decision of the Hon'ble Supreme Court in the case of Kishan Chand Chela Ram 125 ITR 713 (SC). He has 25 I.T.A.No.5971 to 5974/Del./2018 Ms. Anupama Garg, New Delhi & Others. submitted that for claiming exemption u/s 10(38) of the Act, the assessee shall have to prove twin conditions i.e. the income arise from the transfer of long term capital asset and being equity share in a company where the transfer of sale of such equity share i…

Arvind Goenka, Delhi vs. ACIT, Circle-20(2), New Delhi

In the result, ITA.No.5883, 6457, 6458 and 6459/Del

ITA 5883/DEL/2018[2015-16]Status: DisposedITAT Delhi12 Dec 2018AY 2015-16

Bench: Shri Bhavnesh Saini

For Respondent: Shri S.L. Anuragi, Sr. D.R
Section 10(38)Section 68

…any of these persons for indulging in taking accommodation entries. He has, therefore, submitted that such evidence cannot be read in evidence against the assessee and relied upon the decision of the Hon'ble Supreme Court in the case of Kishan Chand Chela Ram 125 ITR 713 (SC). He has submitted that for claiming exemption u/s 10(38) of the Act, the assessee shall have to prove twin conditions i.e. the income arise from the transfer of long term capital asset and being equity share in a company where the transfer of sale of such equity share is entered into on or after the date of which Chapter-VII of the Finance A…

Amar Nath Goenka, Delhi vs. ACIT, Circle-20(1), New Delhi

In the result, ITA.No.5883, 6457, 6458 and 6459/Del

ITA 5882/DEL/2018[2015-16]Status: DisposedITAT Delhi12 Dec 2018AY 2015-16

Bench: Shri Bhavnesh Saini

For Respondent: Shri S.L. Anuragi, Sr. D.R
Section 10(38)Section 68

…any of these persons for indulging in taking accommodation entries. He has, therefore, submitted that such evidence cannot be read in evidence against the assessee and relied upon the decision of the Hon'ble Supreme Court in the case of Kishan Chand Chela Ram 125 ITR 713 (SC). He has submitted that for claiming exemption u/s 10(38) of the Act, the assessee shall have to prove twin conditions i.e. the income arise from the transfer of long term capital asset and being equity share in a company where the transfer of sale of such equity share is entered into on or after the date of which Chapter-VII of the Finance A…

Uma Singal, New Delhi vs. ACIT, Centrl Circle-3, New Delhi

ITA 1484/DEL/2018[2014-15]Status: DisposedITAT Delhi07 Dec 2018AY 2014-15

Bench: Shri Bhavnesh Saini & Shri Prashant Maharishi

For Appellant: Shri S. K. Tulsiyan, AdvFor Respondent: Shri S S Rana CIT DR
Section 10(38)Section 143Section 153ASection 250Section 68

…INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ―G‖: NEW DELHI BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER ITA No. 1415 to 1417/Del/2018 (Assessment Year: 2013-14 to 2015-16) Shri Brij Bhushan Singal, Vs. ACIT, W-29, Greater Kailash Part-II, Central Circle-3, New Delhi New Delhi (Appellant) (Respondent) ITA No. 1483 & 1484/Del/2018 (Assessment Year: 2013-14, and 2014-15) Mrs. Uma Singal, Vs. ACIT, W-29, Greater Kailash Part-II, Central Circle-3, New Delhi New Delhi (Appellant) (Respondent) ITA No. 1479 to 1481/Del/2018 (Assessment Year: 2013-14 to 2015-16) Mrs. Ritu Si…

Ritu Singal, New Delhi vs. ACIT, Central Circle- 3, New Delhi

ITA 1481/DEL/2018[2015-16]Status: DisposedITAT Delhi07 Dec 2018AY 2015-16

Bench: Shri Bhavnesh Saini & Shri Prashant Maharishi

For Appellant: Shri S. K. Tulsiyan, AdvFor Respondent: Shri S S Rana CIT DR
Section 10(38)Section 143Section 153ASection 250Section 68

…INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ―G‖: NEW DELHI BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER ITA No. 1415 to 1417/Del/2018 (Assessment Year: 2013-14 to 2015-16) Shri Brij Bhushan Singal, Vs. ACIT, W-29, Greater Kailash Part-II, Central Circle-3, New Delhi New Delhi (Appellant) (Respondent) ITA No. 1483 & 1484/Del/2018 (Assessment Year: 2013-14, and 2014-15) Mrs. Uma Singal, Vs. ACIT, W-29, Greater Kailash Part-II, Central Circle-3, New Delhi New Delhi (Appellant) (Respondent) ITA No. 1479 to 1481/Del/2018 (Assessment Year: 2013-14 to 2015-16) Mrs. Ritu Si…

Varsha Aggarwal, G B Nagar vs. ITO, Ward-39(5), New Delhi

In the result, all the 04 appeals filed by the assessee are

ITA 4484/DEL/2018[2014-15]Status: DisposedITAT Delhi03 Dec 2018AY 2014-15

Bench: Shri H.S. Sidhu[Assessment Year: 2014-15]

For Appellant: Shri Sandeep Sapra, AdvocateFor Respondent: Shri SL Anuragi, Sr. DR
Section 10(38)Section 142(1)Section 143(2)Section 143(3)

…xamination and not providing the copy of the Investigation report on which the AO has relied, is against the law laid down by the Hon’ble Supreme Court of India in the case of Andaman Timber Industries vs. CIT 127 DTR 0241 and Kishinchand Chellaram vs. CIT 125 ITR 713 at page no. 714; Hon’ble Delhi High Court decision in the case of CIT vs. Ashwani Gupta 322 ITR 396. He further submitted that exactly on the similar facts and circumstances the ITAT, SMC, Delhi Bench vide its order dated 06.11.2018 passed in ITA No. 3510/Del/2018 (AY 2014-15) in the case of Smt. Jyoti Gupta vs. ITO the SMC Bench, Delhi has con…

Subhash Chand Aggarwal, Gautam Budh Nagar vs. ITO, Ward- 39(5), New Delhi

In the result, all the 04 appeals filed by the assessee are

ITA 4483/DEL/2018[2014-15]Status: DisposedITAT Delhi03 Dec 2018AY 2014-15

Bench: Shri H.S. Sidhu[Assessment Year: 2014-15]

For Appellant: Shri Sandeep Sapra, AdvocateFor Respondent: Shri SL Anuragi, Sr. DR
Section 10(38)Section 142(1)Section 143(2)Section 143(3)

…xamination and not providing the copy of the Investigation report on which the AO has relied, is against the law laid down by the Hon’ble Supreme Court of India in the case of Andaman Timber Industries vs. CIT 127 DTR 0241 and Kishinchand Chellaram vs. CIT 125 ITR 713 at page no. 714; Hon’ble Delhi High Court decision in the case of CIT vs. Ashwani Gupta 322 ITR 396. He further submitted that exactly on the similar facts and circumstances the ITAT, SMC, Delhi Bench vide its order dated 06.11.2018 passed in ITA No. 3510/Del/2018 (AY 2014-15) in the case of Smt. Jyoti Gupta vs. ITO the SMC Bench, Delhi has con…

Rakhi Goyal, G B Nagar vs. ITO, Ward-39(5), New Delhi

In the result, all the 04 appeals filed by the assessee are

ITA 4482/DEL/2018[2014-15]Status: DisposedITAT Delhi03 Dec 2018AY 2014-15

Bench: Shri H.S. Sidhu[Assessment Year: 2014-15]

For Appellant: Shri Sandeep Sapra, AdvocateFor Respondent: Shri SL Anuragi, Sr. DR
Section 10(38)Section 142(1)Section 143(2)Section 143(3)

…xamination and not providing the copy of the Investigation report on which the AO has relied, is against the law laid down by the Hon’ble Supreme Court of India in the case of Andaman Timber Industries vs. CIT 127 DTR 0241 and Kishinchand Chellaram vs. CIT 125 ITR 713 at page no. 714; Hon’ble Delhi High Court decision in the case of CIT vs. Ashwani Gupta 322 ITR 396. He further submitted that exactly on the similar facts and circumstances the ITAT, SMC, Delhi Bench vide its order dated 06.11.2018 passed in ITA No. 3510/Del/2018 (AY 2014-15) in the case of Smt. Jyoti Gupta vs. ITO the SMC Bench, Delhi has con…

Ajay Goel, G B Nagar vs. ITO, Ward-39(5), New Delhi

In the result, all the 04 appeals filed by the assessee are

ITA 4481/DEL/2018[2014-15]Status: DisposedITAT Delhi03 Dec 2018AY 2014-15

Bench: Shri H.S. Sidhu[Assessment Year: 2014-15]

For Appellant: Shri Sandeep Sapra, AdvocateFor Respondent: Shri SL Anuragi, Sr. DR
Section 10(38)Section 142(1)Section 143(2)Section 143(3)

…xamination and not providing the copy of the Investigation report on which the AO has relied, is against the law laid down by the Hon’ble Supreme Court of India in the case of Andaman Timber Industries vs. CIT 127 DTR 0241 and Kishinchand Chellaram vs. CIT 125 ITR 713 at page no. 714; Hon’ble Delhi High Court decision in the case of CIT vs. Ashwani Gupta 322 ITR 396. He further submitted that exactly on the similar facts and circumstances the ITAT, SMC, Delhi Bench vide its order dated 06.11.2018 passed in ITA No. 3510/Del/2018 (AY 2014-15) in the case of Smt. Jyoti Gupta vs. ITO the SMC Bench, Delhi has con…

ACIT, Central Circle - 2(4), Kolkata vs. M/S. Asian Housing & Infrastructure Pvt. Ltd., Kolkata

In the result, the appeal of the revenue is dismissed

ITA 1985/KOL/2017[2014-15]Status: DisposedITAT Kolkata30 Nov 2018AY 2014-15

Bench: Shri A. T. Varkey, Jm & Dr. A. L. Saini, Am]

Section 132

…o the assessee, so the statement of the broker which is adverse against the assessee cannot be relied upon by the AO for drawing adverse inference against the assessee. We note that the Hon’ble Supreme Court in the case of Kishanchand Chellaram Vs. CIT (1980) 125 ITR 713 (SC) held that any information gathered by the AO without confronting the same to the assessee did not have any evidentiary value and cannot be used for the purpose of assessment or other proceedings. We also note that the assessee’s plea to the AO to cross examine the so called broker whose statement was recorded by the AO was also not done by t…

M/S Balbir Kumar Tarun Kumar Traders Ltd., Ludhiana vs. ITO, W-5(1), Ludhiana

In the result, the appeal of the assessee is allowed for statistical purposes

ITA 883/CHANDI/2018[2009-10]Status: DisposedITAT Chandigarh28 Nov 2018AY 2009-10
For Appellant: Shri Sudhir SehgalFor Respondent: Smt. Zenia Handa, Sr.DR
Section 148

…xamination and no such opportunity of cross examination have been granted, the whole basis of addition is, therefore, totally devoid of any valid reasoning in view of the Judgement of Hon'ble Supreme Court in the case of Kishin Chand Chella Ram as reported in 125 ITR 713. 2. The ld. AR addressing the grounds submitted that in the facts of the present case, the material utilized by the tax authorities has not been confronted to the assessee. On query, it was conceded though reasons had been recorded and copy of the same is available at paged 39 of the Paper Book, however, it was his submission that the assessee in…

Sh. Gurinder Singh Toor, Nawanshahr vs. ITO, Chandigarh

In the result, appeal of the assessee is allowed for statistical purposes

ITA 1300/CHANDI/2016[2010-11]Status: DisposedITAT Chandigarh16 Nov 2018AY 2010-11
For Appellant: Shri. Sudhir SehgalFor Respondent: Smt. Chandrakanta

…nce of the authorities. 9. He also referred to the judgments in the case of Andaman Timber Industries Vs Commissioner of Central Excise (2015) 127 DTR 0241 (SC), ACIT Vs. M/s Great India Steel Fabricators in ITA No.746/Chd/2014 and of Krishan Chand Chela Ram 125 ITR 713 (SC)in his support. 10. Having gone through the record and hearing both the parties, we are of the view that interest of the justice would be well served if the matter is remanded back to the file of the Assessing Officer to afford due opportunity to the assessee in producing the parties who have paid the amounts as advance. The Assessing Office…

Anuradha Anilkumar Agarwal, Surat vs. The Dy. Commissioner of Income Tax, Circle-1(2), Surat

In the result, appeal of the assessee is allowed

ITA 2911/AHD/2016[2012-13]Status: DisposedITAT Surat14 Nov 2018AY 2012-13

Bench: Shri C.M.Garg & Shri O.P.Meenaआ.अ.सं./I.T.A. No.2911/Ahd/2016/Srt िनधा"रण वष"/Assessment Year : 2012-13 Anuradha Anilkumar Agarwal, Vs. The Deputy Commissioner Of G-1315, Surat Textile Market, Income Tax, Circle-1(2), Ring Road, Surat – 395 002. Surat – 395 001. [Pan: Aarpa 7732 J] अपीलाथ" Appellant ""यथ"/Respondent Shri Mehul R. Shah - Ca िनधा"रती क" ओर से /Assessee By राज"व क" ओर से /Revenue By Shri Vinod Kumar – Sr.Dr 23.10.2018 सुनवाई क" तारीख/ Date Of Hearing: 14.11.2018 उ"ोषणा क" तारीख/Pronouncement On आदेश /O R D E R Per O. P. Meena, Accoutant Member: 1. This Appeal Filed By The Assessee Is Directed Against The Order Of Learned Commissioner Of Income Tax (Appeals)-2, Surat(In Short “The Cit (A)”) Dated 19.09.2016 Pertaining To Assessment Year 2012-13 Which In Turn Has Arisen From The Order Passed By The Deputy Commissioner Of Income Tax, Circle-1(2), Surat(In Short “The Ao”) Dated 30.03.2015 Under Section 143(3) Of Income Tax Act,1961 (In Short ‘The Act’).

Section 131Section 143(3)Section 68

…e AO for cross examination even though specifically demanded by the assessee. Therefore, it was submitted that the evidence which is not shown to the assessee cannot be admitted as held by the Hon'ble Supreme Court in the case of Kishanchand Chellaram Vs. CIT 125 ITR 713 (SC). Further, the amount of Loan has been re-paid during the year under consideration. Therefore, no adverse view is called for and Anuradha Anilkumar Agarwal Vs. DCIT, Circle-1(2), Surat /ITA No.2911/Ahd/2016/SRT/AY.2012-13 Page 5 of 7 the issue is squarely covered by decision of Gujarat High Court in the case of CIT vs. Ayachi Chandrasekhar N…

ITO, Faridabad vs. Sh. Satish Kumar, Faridabad

In the result, the appeal is partly allowed for statistical

ITA 3698/DEL/2010[2007-08]Status: DisposedITAT Delhi06 Nov 2018AY 2007-08

Bench: Shri H.S. Sidhu & Dr. Mitha Lal Meena

…see nor any opportunity to cross examine Sh. Vinod Kumar Goyal was allowed to the assessee. Thus, any statement of Sh. Vinod Kumar Goyal relied upon by Ld. AO cannot be admitted as evidence and, therefore, needs to be excluded from consideration in view of 125 ITR 713 (SC) and 288 ITR 345 (Del.). As regards to the Inspector’s report as to the non-existent of the parties which was submitted that copy of the said report was not available to the assessee. Therefore, this report cannot be relied upon. He further argued that even if it is considered, though denied that assessee has not made purchases from these tw…

Mr. Jagat Singh, Delhi vs. ACIT, New Delhi

ITA 3039/DEL/2015[2007-08]Status: DisposedITAT Delhi02 Nov 2018AY 2007-08

Bench: Shri N. K. Saini & Ms Suchitra Kambleita No. 3037/Del/2015 ( A.Y 2005-06) Ita No. 3039/Del/2015 ( A.Y 2007-08)

Section 147Section 148Section 68Section 69

…to the assessee and has not seen the light of the day as such, even otherwise, such evidence cannot be relied. The Ld. AR relied upon the following judgments: i. AndamanTimber Industries v. CCE [2015] 127 DTR 241 (SC) ii. Kishinchand Chellaram v. CIT. [1980] 125 ITR 713 (SC). The Ld. AR further submitted that in respect of initiation of the reassessment proceedings, assessee has made its detailed submissions before the CIT (A) who has extracted such submissions at page 6 to 18 (in the order of the CIT (A) for the AY 2005- 2006), and for the sake of brevity, such submissions are not repeated here and is prayed t…

Mr. Jagat Singh, Delhi vs. ACIT, New Delhi

ITA 3038/DEL/2015[2006-07]Status: DisposedITAT Delhi02 Nov 2018AY 2006-07

Bench: Shri N. K. Saini & Ms Suchitra Kambleita No. 3037/Del/2015 ( A.Y 2005-06) Ita No. 3039/Del/2015 ( A.Y 2007-08)

Section 147Section 148Section 68Section 69

…to the assessee and has not seen the light of the day as such, even otherwise, such evidence cannot be relied. The Ld. AR relied upon the following judgments: i. AndamanTimber Industries v. CCE [2015] 127 DTR 241 (SC) ii. Kishinchand Chellaram v. CIT. [1980] 125 ITR 713 (SC). The Ld. AR further submitted that in respect of initiation of the reassessment proceedings, assessee has made its detailed submissions before the CIT (A) who has extracted such submissions at page 6 to 18 (in the order of the CIT (A) for the AY 2005- 2006), and for the sake of brevity, such submissions are not repeated here and is prayed t…