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2017 (12) TMI 116 - AT - Income TaxTransactions through Credit cards - unexplained purchases - Held that:- The details of the purchased items shows that these were the purchases for the requirement of the assessee or family members. These were the personal expenditure met out by the assessee through his credit cards. The items purchased are sarees, jewellery, handicrafts and payment to petrol pumps. Items purchases suggest that the assessee had purchased various items for him or family members. The claim of the assessee that he was returning the goods back to the seller at the 3% discount to generate cash for payment of credit card dues on account of financial crisis, is completely unsustainable. This statement is not supported by any documentary or oral evidence. It is a completely bald assertion which has no legs to stand. The other pleading of the assessee that purchases by credit cards should be taken as turnover and the GP should be estimated on this turnover is also completely baseless, as this contention of the assessee is also completely unsustainable and without any supporting document or oral evidence. Such recitals not supported by any evidence are unsustainable in law and facts. The last plea of the ld AR that the Assessing Officer has added both the cash deposited in the payment of credit cards account and also the purchases made through these credit cards it is of the view that the assessee had purchased the goods through credit cards and payment was made by unaccounted cash. The source of cash is not explained. The repayments have been made by depositing unaccounted cash of these purchases. The source of these purchases is unexplained. For working out the quantum of disallowance, the matter is restored back to the file of ld. CIT(A). - Appeal of the assessee is partly allowed for statistical purposes
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