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2022 (12) TMI 1379 - AT - Income TaxAddition u/s 68 - unexplained cash credit - AO partly accepting assessee’s explanation accepted the source of investment, whereas, he treated the balance amount as unexplained cash credit - HELD THAT:- As in course of assessment proceedings, while the AO accepted the withdrawals from bank and past savings, he rejected the claim of loan from mother and brother as well as part of agricultural income, claimed to have been received from sale of potato. However, he accepted that the assessee received some amount from the sale of crops like sugarcane and maize. In course of first appellate proceedings, Commissioner (Appeals) had directed the AO to examine the evidences including sale invoices of agricultural produce and in the remand report, AO has partly accepted assessee’s claim on sale of potato - He has rejected balance amount only because sale invoices were not produced by the assessee. The fact that the assessee has sold agricultural produce, cannot be disputed because, even, the departmental authorities have accepted a part of assessee’s receipts from sale of agricultural produce. Only a part of amount claimed to have been received from sale of potato has been rejected due to alleged non-furnishing of evidence. When the assessee has established on record that it had receipts from sale of agricultural produce, only because some invoices relating to sale are not available, assessee’s claim cannot be rejected. More so, considering the reasonable quantum of sale proceeds. The assessee has furnished the details of agricultural land holdings, which clearly supports assessee’s claim of receipts from sale of agricultural produce. Thus, assessee’s claim that he received Rs.24,00,000 from sale of potato, can be accepted. In such a scenario, the source of investment in purchase of land stands explained. That being the factual position emerging on record, the addition cannot be sustained.We delete the addition sustained by Commissioner (Appeals).
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