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2012 (9) TMI 330 - AT - Income TaxUnexplained investment - addition on account of peak credit available in the account - Held that:- As CIT(A) has rightly permitted the assessee to place on record bank statement, copies of the DDs and copy of the invoices exhibiting purchase of medicines by M/s. Shiva Distributors. However, from the record no conclusive evidence could be found showing that assessee is having a proprietaryship concern which is running a medical store in the name of Shiva Distributors. The only evidence produced by the assessee is that DDs were issued from his account to the suppliers of medicines coupled with the sales bills raised by those suppliers upon Shiva Distributors, thus these documents are insufficient to say that assessee was running Shiva Distributors. Thus looking to the nature of bank account that amounts have been deposited and withdrawn systematically which suggest that there is circulation of the money. As only credit sides are not to be considered as unexplained investment the benefit of set off representing the withdrawals has also to be granted to the assessee, in such situation, the learned first appellate authority has rightly held that peak credits in the bank account is to be assessed as income of the assessee - against assessee.
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