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2014 (7) TMI 205 - AT - Income TaxOpening balance of capital treated as unexplained Held that:- CIT(A) was of the view that AO should not have added the opening capital to the total Income of the assessee - expectation of the AO to maintain books of account by an agriculturist is too much - It is practically not seen anywhere that an agriculturist maintains books of account until & unless he/she has other sources of taxable income for which filing of return of income is mandatory - capital shown by the assessee cannot be said to on higher side by any stretch of imagination - the source of capital stands reasonably explained the order of the CIT(A) is upheld Decided against Revenue. Unsecured loan from brother staying in same house Held that:- CIT(A) rightly was of the view that the source of the brother's income is from agriculture and looking into the details of income, it can be reasonably concluded that, the loan stands explained - the addition is rightly set aside by the CIT(A) Decided against Revenue. Income from agricultural activity treated as income from undisclosed sources Held that:- CIT(A) was of the view that the submission of the assessee is self-explanatory and does not further elaboration - AO should have at least estimated the reasonable agricultural income which may be earned from such land holding even though no details related to agricultural activity - the agricultural income from so much of land holding is very much reasonable does not require any interference by the revenue - the addition made on account of treating the agricultural income as undisclosed income is rightly set aside by the CIT(A) Decided against Revenue.
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