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2016 (9) TMI 694 - AT - Income TaxUnexplained cash deposits - Estimation of income of the assessee - cash deposits made by assessee's brother in bank account - Held that:- The fact is that the Assessee being a salaried employee, allowed his brother to operate his bank account to run his business. The same was confirmed by his brother before the AO. In our considered view, we will have two ways to address the current issue. Either to assess the income in the hands of Assessee’s brother or assess the income in the hands of assessee on presumptive basis. The assessment in the hands of assessee’s brother may not feasible considering the fact that all the transactions done in the assessee’s bank account. It will put the AO in diffcult situation. The easiest way is to assess the income in the hands of the assessee on presumptive basis. We find it reasonable and appropriate to charge at 8% of the deposits as his income. Accordingly, we direct the AO to estimate the income of the assessee at 8% of the total deposit amounts as done in the case of Assessee’s brother. - Decided in favour of assessee
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