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2016 (11) TMI 958 - AT - Income TaxAddition u/s 68 - undisclosed cash deposited by the assessee in her bank account - Held that:- The assessee cannot prove that cash was not utilized elsewhere. In our opinion, the assessee as was very much at her liberty to keep availability of cash in such a manner so as to fulfill her family needs by withdrawing cash from her one bank account, keeping it with with her and depositing it into another bank account, in accordance with her family needs and other requirements especially after the death of her husband. In our view, the assessee has been able to successful prove the source of cash deposited in her account maintained with Standard Chartered Bank. Thus, addition made was illegal and incorrect on facts and therefore same is directed to be deleted. This ground is allowed in favour of assessee. Addition on account of cash deposited in bank account - source of cash claimed to be reimbursement received from Imperial Academy and Ms. Sheetu Luthra against expenses incurred earlier by the assessee - Held that:- We do not appreciate the approach followed by the Ld. CIT(A) in this regard. While rejecting the evidence submitted by the assessee, in case the Ld. CIT(A) felt some deficiencies in the confirmation, the same should have been confronted to the assessee. Alternatively, it was well within the powers of the lower authorities to get these facts directly verified from Ms. Sheetu Luthra whose complete particulars were there before them. Without properly examining the evidences, these should not be rejected on some surmises and conjectures. Such kind of approach leads to unfairness and shakes the faith of the taxpayers and therefore, it should be avoided. Under these circumstances, in our opinion, the assessee had duly submitted the evidences with respect to said amount. Therefore, the AO is directed to delete sum. This ground is allowed in favour of assessee. Amount received from Imperial College of Professional Studies(ICPS) - Held that:- It is noted that assessee brought on record of complete details and findings on record, and copy of ledger account of Imperial College of Professional Studies was also submitted. When the Ld. CIT(A) himself believed the transaction to the extent of ₹ 1,80,000/-, there were no concrete basis to disbelieve the remaining amount of ₹ 20,000, merely because same was received in cash. The Ld. CIT(A) had full powers under the law to make direct verification from the said property in case there were any doubts. But, without making any verification, he was not justified to partly disbelieve the account. Thus, addition of ₹ 20,000/- has been wrongly sustained and same is directed to be deleted. This ground is allowed in favour of assessee.
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