- (1.) The petitioner, an assessee under the Income Tax Act, 1961, hereinafter referred to as the IT Act, has challenged an order of assessment for the assessment year 2006-07, which is dated 29th December, 2011 on the ground of the same being in violation of principles of natural justice. The petitioner claims to have filed his return for the aforesaid assessment year declaring his total income at Rs. 44,15,276/-. The petitioner claimed Rs. 1,19,840/- and 31,61,564/- as short term capital gain.
(2.) The case of the petitioner was selected for scrutiny assessment and notice under section 143(2) was issued to the petitioner on 19th June, 2007. The petitioner claims to have received the notice on 25th June, 2007. Later notice under section 142(1) was also issued and served on the petitioner.
(3.) The Assessing Officer also issued notices to Calcutta Stock Exchange under section 133(6) of the IT Act, after which a show cause notice was issued to the petitioner alleging that the short term capital gain in respect of sale of scripts of "Srinidhi" was not properly shown and that a false claim of such short term capital gain had been made by the petitioner. The short term capital gain on the script "Srinidhi" of Rs. 32,52,162/- was proposed to be disallowed and added as income of the petitioner from undisclosed sources.;