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2017 (6) TMI 1045 - AT - Income TaxAddition made under section 68 - the said bank account was not disclosed in assessee's return - family connection - Held that:- The total cash deposit in the said bank was ₹ 18,95,000/- and the explanation of assessee in respect of ₹ 4 lakhs cash deposit being out of withdrawals from his sole proprietary concern, has been accepted and no addition has been made in the hands of assessee. In case the bank account has not been disclosed by the assessee and that is the reason for making the addition, then the addition in the hands of assessee should have been made of ₹ 18,95,000/- and not ₹ 14,95,000/-. The authorities below have taken different stands in respect of cash deposit of ₹ 4 lakhs and cash deposit totaling ₹ 14,95,000/- and there is no merit in the stand of authorities below in this regard. Coming to the explanation filed by the assessee that his father agreed to sell his share of ancestral land to his brother for sum of ₹ 40 lakhs, against which sum of ₹ 6 lakhs was received in the preceding year and ₹ 14,95,000/- was received during the instant assessment year. The assessee has placed on record the copy of agreement to sell and the ‘Rock pavati’ issued by the father of assessee on different dates accepting the said cash. The said cash has also immediately been transferred to the bank account of father of assessee. Thus because of family connection between the persons transacting the said transaction, there is no merit in not accepting the plea of assessee and in making the aforesaid addition. Accordingly, AO directed to delete the addition - Decided in favour of assessee.
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