2023 (1) TMI 271 - AT - Income Tax
Undisclosed cash deposits made in its bank account - cash deposited in the undisclosed bank account - deduction/set off of unrecorded expenses - undisclosed and unexplained receipts which were deemed to be the income of the assessee u/s 69A - HELD THAT:- CIT(A) while adjudicating appeal has already allowed deduction/set off of unrecorded expenses to the tune of 40% of undisclosed professional receipts , to be set off against undeclared professional receipt of Rs. 65,15,836/-which means that undisclosed/unrecorded expenses to the tune of Rs. 26,06,334/- were allowed by ld. CIT(A) to be set off against undisclosed professional receipt of Rs.65,15,836/- , while at the most the assessee has cash availability of Rs. 6,00,000/- during the year under consideration (being cash withdrawn from the undisclosed bank account) to meet unrecorded/undisclosed expenses to be set off against undisclosed professional receipts and for that too also no details/evidences for such expenses have been submitted by the assessee on which the onus lay.Thus, the ld. CIT(A) was more than reasonable/lenient in allowing 40% of undisclosed professional receipts as deduction towards undisclosed/unrecorded expenses , from undisclosed professional receipts.
The assessee has also claimed that some of the expenses were paid in next year such as fee of juniors, although no evidence is brought on record by assessee , while the onus was squarely on the assessee to have brought evidence on record. Thus, in our considered view already an extremely liberal view has been taken by ld. CIT(A) in granting part relief to the assessee as above and no further relief can be granted to the assessee keeping in view the facts and circumstances of the case as there is no availability of funds/cash to meet any further unrecorded expenses, and hence the appeal filed by the assessee stands dismissed.
Interest income credited by SBI In assessee’s undisclosed bank account maintained with SBI, High Court Branch, Allahabad , which was not offered to tax by the assessee, while filing return of income - We do not find any error in the orders of authorities below in bringing to tax said interest income in the hands of the assessee , as the said bank account pertains to the assessee and the assessee never offered such bank interest to tax in the return of income filed with the department, thus, we uphold this additions as were confirmed by ld. CIT(A). While dismissing the appeal filed by the assessee, we note that the Revenue did not came in appeal before tribunal against the part relief granted by ld. CIT(A) nor any Cross objections were filed by Revenue. Thus, this appeal filed by the assessee fails