Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2016 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (10) TMI 414 - AT - Income TaxUnexplained cash credits - rental advance received - Held that:- Admittedly, there is no dispute over Cenotaph Road property acquired by the assessee. It is the submission of the assessee that cash deposit of ₹.5,00,000/- relates to rental advance received from the previous owner for letting out the property on rent. He also submits that the rental advance paid by the tenant earlier was held in credit by the previous owner and once the property was acquired by the assessee, the rental advance received by the previous owner was directly deposited in cash into assessee’s bank account. If the above amount was deposited by the previous owner of the property, what prevented the assessee to furnish the details of his PAN, identity, address, etc. before the Assessing Officer for verification. The copy of the rental agreement filed by the assessee cannot be accepted as a valid document since the rental agreement in the twenty Rupees non-judicial stamp paper does not contain valid details such as PAN number of two tenants or the rental agreement was notarised by Registered Notary or it is registered document. As in the document, it was mentioned that the amount of ₹.5,00,000/- towards rental advance shall be payable by the tenants to the owner of the property, but no evidence has been filed by the assessee before any of the authorities. Not only that the assessee has not furnished any details about the PAN number, identity of the tenants, etc. In the absence of any valid evidence, the submissions of the assessee are not acceptable. In the written submission dated 13.10.2015 before the ld. CIT(A), the assessee has also submitted that no independent enquiry was made by the Assessing Officer. Without giving any details about the tenants, it is not possible for the Assessing Officer or the ld. CIT(A) to make enquiry or order the Assessing Officer to make enquiry. Hence the submission is vague. In the written submission dated 13.10.2015 before the ld. CIT(A) at para 3.9, the assessee submits that “there is no need for him to provide any documentary evidence to show the receipt of ₹.6,00,000/- so long the previous owner of the Cenatoph Road property did not contradict the payment of ₹.6,00,000/- to the assessee or the Assessing Officer has any information to that effect which he has chosen to bring upon record in support of the assessment order”, appears to be contrary to the rental agreement, wherein, it was mentioned that the tenants have paid the rental advance/payable to the owner of the property Shri Selvam, the assessee. In view of the above fact and circumstances, we are of the opinion that the addition made by the Assessing Officer was rightly confirmed by the ld. CIT(A) and accordingly, the ground raised by the assessee is dismissed.
|