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Survey, Search & Seizure | 87 |Q.18 whether addtions can be made in the hands of Assessee in respectof valuable documents / Agreements standing in the names ofchildren, who are major and assessed to tax are found, foundduring search?Ans. Normally it does not happen.Q. 19 If an assessee has many group concerns and bank account and thecash credits are rotated by the assessee through his different bankaccounts. Whether the addition can be made of the all the creditsappearing in different bank accounts?Ans. In such a case the Peak Theory should be followed by thedepartment, by calculating the Peak credit available to assessee on aparticular date and only addition of the Peak credit can be made.Q. 20 In case of search conducted at the site office of the builder andthe supervisor gives a statement that the rate of flat per sq. ft. isRs. 6000/- and the builder gives the statement that the rate of flatper sq. ft. is Rs. 1,500/-. Then whether the statement given by theSupervisor supercedes the statement of the builder and whetherthe same can be relied upon?Ans. In case of search no third party statement can be relied upon unlessthere is corroborative evidence.Q 21 On whom search notice can be served?Ans. If during the course of search the search authorities find valuablessuch as jewellery, investments, cash of a third person, then searchwarrant can be taken out at the said third party too.Q. 22 If the premises of an assessee is searched and till date of search hehas not filed any return of income. Whether such an assessee canfile his return of income thereafter?Ans. Yes. Once an assessee is searched and it is found that no return ofincome is filed by him before search. His income for the past 06years would be treated as part of search assessment and tax onthe same would be charged at the rates as applied in the relevantassessment.www.taxguru.in