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2017 (5) TMI 357 - AT - Income TaxUndisclosed income U/s 69 - unexplained source of cash deposits made in the bank account - Assessee has a Joint account with his father - Held that:- In the present case, in the paper book filed by the assessee, it was clear from the documentary evidence that at the relevant time, the assessee was a student of ICFAI University, Dehradun and had no source of income. The bank account details filed clearly shows that both the accounts, one was the joint account with his father and another was with the mother of the assessee. From taking guidance of the case of CIT Vs. Smt. P.K. Noorjahan (1997 (1) TMI 6 - SUPREME Court) the question whether source of investment should be treated as income U/s 69 has to be considered in the light of the facts of each case. A discretion has been conferred on the ITO U/s 69 of the Act to treat the source of investment as income of the assessee if the explanation offered by the assessee is not found satisfactory. However, the said discretion should be exercised keeping in view the facts and circumstances of a particular case. when it is claimed that the assessee could not possibly have any source of income, the addition on his hand is not justified within the parameters of the Income Tax Act. If at all, the additions could have been made, it could have been done either in the hands of the father or the mother of the assessee, therefore, we arrive at our considered view that the findings of the ld. CIT(A) are hereby reversed and we direct the deletion of entire addition U/s 69 from the hands of the assessee. - Decided in favour of assessee
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