Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2019 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (10) TMI 658 - AT - Income TaxReopening of assessment u/s 147 - addition u/s 68 - unexplained cash credit - HELD THAT:- Since the assessee had not shown the relevant transaction in the return of income therefore the AO has initiated proceedings u/s. 147 of the Act by issuing of notice u/s. 148 of the Act. In spite of giving number of opportunity the assessee has failed to make full compliance before in the assessment proceedings. Assessee has submitted only partial information before the AO which was considered and placed on the record. On account of not furnishing complete information and not making compliance to the notices issued the AO has completed assessment u/s. 144 r.w.s. 147 of the Act. Considering all we do not find any force in the ground of appeal of the assessee against confirming the assessment proceeding u/s. 144 r.w.s. 147 of the Act by the Ld. CIT(A) and the same is dismissed. - decided against assessee Addition u/s 68 - merely furnishing of a Xerox copy of common affidavit in respect of 58 cash creditors would not by itself prove that the cash credit have been actually obtained from such person and they had creditworthiness to lend this amount. As during the course of assessment proceedings the assessee has furnished incomplete information in respect of his claim of obtaining cash loan obtained from 58 persons. In spite of giving sufficient opportunity the assessee has failed to satisfy the creditworthiness of the creditors and genuineness of the transactions. We also consider that in the case of Pavankumar M. Sanghvi vs. ITO [2018 (2) TMI 1161 - GUJARAT HIGH COURT] sustaining the addition u/s 68 on account of the assessee’s inability to prove the genuineness of the credit transactions. We do not find any substance in the plea of the assessee and consider that it was the bounden duty of the assessee to explain the nature and source of cash deposits found in his bank account as elaborated above - assessee has failed to explain the cash deposit made in his bank account with relevant supporting evidences to proof the genuineness and creditworthiness of his claim that impugned cash loan was received from 58 different persons. - Decided against assessee.
|