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2004 (8) TMI 46 - HC - Income TaxAdditions - firm vis-a-vis partner - it is settled that if an entry of cash credit is found in the books of account of a firm, it is for the firm to give explanation regarding the identity and source of such deposits and if the explanation is disbelieved then it is to be added as an income under section 68 of the Act in the hands of the firm. Similarly, if an assessee, who is a partner in the partnership firm, has made investments which are not recorded in the books of account maintained by him for any source of income and the explanation given by the partner or individual regarding the source of deposits is disbelieved, then such deposits which are investment can be brought to tax as income from undisclosed sources under section 69 of the Act. There is no question of any double taxation. Full effect of the deeming provisions and the presumptions provided under sections 68 and 69 of the Act has to be given. The partnership firm and the partners being treated as separate assessees under the Act, assessment of the income at the hands of different assessees under different provisions of the Act is permissible - Tribunal was justified in upholding the addition
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