· The assessee is a Chairman of Jindal group of industries. Search and seizure operation was conducted at various business premises of Jindal Group as well as residential premises including assessee’s residence. Pursuant to search, assessment order was served on assessee making addition for Rs.69.07 lakhs as undisclosed deposit in the alleged foreign bank account.
· The AO made the impugned addition based on copy of alleged bank statement of assessee’s HSBC Swiss account, which AO claimed to have received as information under DTAA.
· Hon’ble Tribunal observed that assessee was asked specifically if he or any of his family members had any bank account with HSBC Bank at Geneva / London, to which assessee had replied adversely. Tribunal also took into account the fact that AO did not receive requisite information from Swiss Banking authorities. Tribunal further noted that AO did not mention in assessment order that he had any original documents in his possession, instead, he shifted the burden on assessee, asking him to furnish the bank statement of impugned bank account.
· Thus, the Hon’ble Tribunal concluded that the alleged bank statements relied by AO were only the copies which did not have any signature of bank official or name of the bank or the place or the country were the branch was situated and further stated that it is not clear how and in what manner the said document was considered as the bank statement of HSBC Bank, Geneva, particularly when there was no indication as to the branch and country to which the alleged bank statement related.
· Therefore, in the absence of clear facts on record, the matter was set aside to the AO’s file for fresh adjudication.
For further reading, refer the attachment.
Further Reading