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2022 (9) TMI 1234 - AT - Income TaxUnexplained money u/s 69A - unexplained deposits - HELD THAT:- As there was no cash involved in inter-banking deposit or rejection of return of cheques. The bank details have been submitted before us and it is seen that ICICI Bank out of total bank transaction except for an amount in respect of rejection of cheque, the remaining amount was on account of transfer of funds from Majumder Hosiery the proprietorship concern of the appellant. The details of the date wise transfer with narration and amount is seen to be matching with the bank entries as per record and therefore there is not discrepancy in the matter as alleged. As in respect of ICICI Bank and Bandhan Bank out of inter-bank transactions details of date wise transfer with narration and amount is seem to be matching with the bank entries and there are no discrepancies found as alleged by the AO in his order. The view taken by the AO in respect of impugned addition as unexplained deposit u/s 69A of the Act was deleted by the ld. CIT(A) since assessee clearly explained the transaction by furnishing details of date-wise transfer with narration and amounts are matching with bank entries and no discrepancies found in the transactions and therefore, we do not want to interfere in respect of this issue and view taken by the ld. CIT(A) is affirmed. Addition on account of realization from sundry debtors account from the order - The books of accounts were not disturbed and on the settled principle that once books of assessee are not rejected and explanation furnished is reasonable no addition can be made. The ld. CIT(A) also relied on the various decisions pronounced by the Hon’ble High Court as well as Hon’ble Apex Court and stand taken by the AO was deleted. We also going through the facturl matrix of the case, we do not want to interfere in the findings given by the ld. CIT(A) since one goods have been sold the buyer became the debtor and such in respect of money from him is nothing but realization of such debt. As such section 68 cannot be applied in the case of assessee and the addition made by the AO stand deleted by the ld. CIT(A) and we do not want to interfere in the order passed by the ld. CIT(A) in respect of this issue and ground taken by the revenue is dismissed. Unexplained deposits - On perusal of the assessment order as well as the order passed by the ld. CIT(A), we noticed that the AO never rejected the books of accounts of the assessee and without rejecting the books of accounts, the addition made by the AO cannot be sustained and it is settled principle of law that without rejecting books of accounts, the addition made by the AO cannot be sustained and as such the addition confirmed by the ld. CIT(A) is hereby deleted. Appeal of assessee allowed.
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