2020 (12) TMI 13 - ITAT VISAKHAPATNAM - Income Tax

Head Note / Extract:
Addition u/s 68 v/s 69 - deposits made in the bank account - AR argued that the addition made u/s 68 is unsustainable, since, the deposits were made in the bank accounts but not in the books of accounts - HELD THAT:- AO found that the deposits were made in Savings Bank account with Andhra Bank and the same was not taken in to account in books of accounts, thus, it is clear that the deposits made in the bank account were not entered in the books of accounts. Therefore, the AO ought to have considered the addition u/s 69 instead of 68. As discussed earlier, the deposits made in the bank account are not to be taxed u/s 68 of the Act and the correct course of action is to tax the same is u/s 69 of the Act. On similar facts, this Tribunal in the case of Smt.Asha Sanghavi [2019 (11) TMI 868 - ITAT VISAKHAPATNAM] held that the cash deposits required to be brought to tax u/s 69, but not u/s 68 of the Act. - Decided in favour of assessee.