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2018 (2) TMI 1523 - AT - Income TaxAddition u/s 69 - deposits made by the assessee in an undisclosed bank account of the assessee - Held that:- Although, the assessee has disclosed interest income from savings bank account with the HDFC Bank Ltd., he has not disclosed the interest income from ICICI Bank Ltd. Therefore, from the conduct of the assessee, it is apparent that the assessee had no intention of disclosing the impugned bank account. Also when the assessee was required to explain before the Assessing Officer that if he had received cash amount of ₹ 20,45,400/- as gifts from the various friends and relatives and that cash was kept as cash in hand during the previous financial year, why the assessee did not file a wealth tax return in respect to this cash, no explanation was forthcoming from the assessee in this regard. Also, since the assessee had not been preparing and filing the statement of affairs on a regular basis, this claim cannot be substantiated by a statement of affairs which has been filed by the assessee post the inquiry by the Assessing Officer. Thus, it is seen that the assessee could not give details of marriage expenses incurred by him and has claimed the entire gifts received as cash lying with him. Thus, as far as the cash of ₹ 20,45,400/- is concerned, given the fact that the assessee was asked to substantiate his stand by the Ld. CIT (A) by providing numerous opportunities and many queries were raised by the Ld. CIT(A), which the assessee has failed to reply, we are of the considered opinion that the Ld. CIT(A) has recorded a proper finding of fact that this cash of ₹ 20,45,400/- was rightly added as unexplained amount u/s 69 of the Act. As far as the remaining cash balance of ₹ 10,38,000/- is concerned, it is seen that no explanation was given from the assessee in this regard. In this case also it is seen that the assessee has not responded to the queries raised by the Ld. CIT (A) and, therefore, this amount also deserves to be added back to the income of the assessee and we find the action of the Ld. CIT (A) in confirming the addition as correct. In so far as the contention of the assessee that the opening cash balance brought from the earlier years cannot be challenged in the year under consideration is concerned, it is our considered opinion that in view of the assessee’s failure to substantiate the existence of cash balance as on the close of the previous financial year, the statement of affairs as on 31.03.2008 loses its persuasive value - Decided against assessee.
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