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2016 (8) TMI 461 - AT - Income TaxAddition u/s 68 - undisclosed bank account - Held that:- Admittedly, the bank account maintained with HDFC Bank Ltd., which was not disclosed by the assessee in the impugned assessment year, was also not disclosed by the assessee in the immediately preceding assessment year. During the course of assessment proceedings in the preceding assessment year the AO had confronted the same to the assessee and the assessee had prepared a profit and loss account on the basis of those deposits in the said bank account and had disclosed net profit of ₹ 2,99,273/-. The AO had determined the income at ₹ 5,21,990/- on account of such bank deposits of ₹ 48,39,641/- by making disallowance of ₹ 2,22,717/- being 5% of the purchases. Therefore, when the very same bank account was not disclosed for this year also, we do not find any reason as to why the AO has taxed the entire deposit of ₹ 75,44,655/- especially when the bank account contains both debit entries and credit entries. Therefore, we are of the considered opinion that those debit entries cannot be ignored altogether. Since the Ld.CIT(A) after considering the totality of the facts of the case has sustained addition of ₹ 15,30,602/- which is the peak credit in the bank account as on 29-12-2009, therefore, we do not find any infirmity in the order of CIT(A)
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