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2015 (8) TMI 262 - ITAT HYDERABADCash deposits made in ING Vysya Bank as unexplained cash credits u/s. 68 - Assessee stated that the cash is deposited by customers in ING Vysya Bank account and those funds were utilized for purchase of bitumen for his customers. - Held that:- It transpires from the rejoinder to the remand report that the deposits could be categorised into three categories viz., deposits made by the parties and for which they have got supply of material amounting to ₹ 55,83,000 in the first place. In the second place deposits made by the parties and for which they have got the money back amounting to ₹ 11,25,000 and in the third category cheques deposited by the parties and which are dishonoured by the bank amounted to ₹ 10,00,000. Thus, insofar as the cheques were dishonoured, no element of income could be attributed. In the first and second category of deposits, it could be said that the deposits were in the course of transactions and could be held that some business advantage accrued as such monies were there with the assessee for some considerable time. Hence the contentions of the AR that in the first category materials were supplied and in the second category the parties got back the monies deposited and as such no business advantage accrued is not tenable. It is an undisputed fact that cash deposits were available to the assessee for considerable period whose turnover is the total of first and second items amounting to ₹ 67,08,000 on which a reasonable return could be around 6% - We do not find any infirmity in the order of the CIT(A) and the same is confirmed. - Decided against revenue
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