Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2021 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (10) TMI 67 - AT - Income TaxUnexplained cash deposit in the Bank A/c - Estimation of income under the presumptive taxation u/s 44AF - HELD THAT:- A perusal of the letter addressed to the A.O. shows that assessee has categorically mentioned that he is engaged in the retail trading of tailoring materials since long and his total income had never become taxable, for which, he never filed his return of income. The assessee had also explained before the A.O. that he is having only one S.B. A/c maintained with ICICI Bank Limited and has no Current A/c for maintaining business transactions and all his sales and purchases have been routed through his S.B. A/c only. There is no material on record before the A.O. that apart from the aforementioned Bank A/c, the assessee is having any other Bank A/c. therefore, find merit in the arguments advanced by Assessee that when all business transactions i.e., purchases and sales etc., are routed through the only Bank A/c maintained with ICICI Bank Limited and since in the subsequent assessment year the A.O. himself has accepted that the S.B. A/c of the assessee is used for his business transactions and since the assessee has opted for presumptive taxation under section 44AF lower authorities are not justified in sustaining the addition as unexplained cash deposit in the Bank - Decided in favour of assessee.
|