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2019 (5) TMI 887 - ITAT DELHIAssessment u/s 153A - non issuance of notice u/s 143 (2) - Addition u/s 68 - cash deposited the savings bank account maintained with the state bank of India - HELD THAT:- The words 'so far as may be' in clause (a) of sub-section (1) of section 153A cannot be interpreted that the issue of notice u/s 143(2) is mandatory in case of assessment u/s 153A. The use of the words 'so far as may be' cannot be stretched to the extent of mandatory issue of notice u/s 143(2). A specific notice is required to be issued under clause (a) of sub-section (1) of section 153A calling upon the persons searched or requisitioned to file return. That being so, no further notices u/s 143(2) can be contemplated for assessment u/s 153A. In view of this, we do not find any infirmity in the order of the learned assessing officer in issuing notice u/s 143 (2), on 6/12/2007, as there is no requirement prescribed under the law for issue of notice under that section where the assessment is taken u/s 153A - Decided against assessee. Addition u/s 68 - assessee has also taken care that none of the alleged loans exceeds the amount of INR 20,000. There is no documentary evidences produced before the lower authorities with respect to creditworthiness and genuineness of transactions of loan. Assessee had various opportunities to adduce evidence at the time of assessment. The assessee did not the used them and during the course of remand proceedings could produce only six persons who also lacks credibility. None of the persons produced also submitted their bank passbook to show the source of the funds. AO further noted an interesting fact that all the persons who are the lender to the assessee are also employed with the same company in which the assessee is a managing director. This it shows the genuineness of the transaction in serious doubt as the managing director of the company is taking loan of INR 18,000 from the various employees from his company. In view of this, we do not find any infirmity in the order of the learned CIT – A, in confirming the addition u/s 68 of the amount deposited in the bank account of the assessee. Unexplained bank deposit u/s 68 - bank passbook is books or books of accounts - no requirement that the books of account should be maintained by the assessee himself - HELD THAT:- Even if the assessee does not maintain any books of accounts but the amount is deposited in the bank account of the assessee, which remains unexplained the addition could be correctly made u/s 68. Further looking at the definition of the “books or books of accounts‟ it is apparent that passbook is a daybook which is kept in the return form or as a printout of data stored in a floppy. After the introduction of the definition of the books or books of account u/s 2 (12A) of the act, the passbook can also be considered as books or books of account. There is no distinction who writes it, but it is record of the transactions entered into by the assessee with the bank. The provisions of section 68 also does not make any distinction about who maintains the books of account, the only requirement is that the books should be of an assessee. There is no requirement that the books of account should be maintained by the assessee himself. In view of this, we do not find any infirmity in the order of the learned CIT – A, in confirming an addition on account of unexplained bank deposits u/s 68 of the income tax act. Accordingly, the additional ground raised by the assessee for assessment year 2004 – 05 is also dismissed.
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