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TMI Blog2006 (10) TMI 202X X X X Extracts X X X X X X X X Extracts X X X X ..... adjudication. 4. Ground No. 2 was not pressed by the learned Authorised Representative. The same is, therefore, dismissed. 5. Ground No. 3 of the assessee's appeal and ground No. 1 of the Revenue's appeal deal with the addition made on account of entries in diary. 6. Briefly stated, the facts of these grounds are that a survey was conducted under s. 133A on 3rd and 4th Oct., 1996 'at the business premises of M/s Rajasthan Commercial House, in which a diary containing transactions not recorded in the regular books was found. Photocopy of this diary, marked as Annex. 18, was obtained. The partners of the firm submitted that the entries in this diary related to the construction of a boundary wall/room on agricultural land owned by Shri Raj ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 750 7500 2. 2025 20250 3. 2120 21200 4. 600 6000 The AO was of the opinion that these changes might have been made by the as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cash having been left by the mother at her death, the same was also found to be unsubstantiated. He, therefore, took the investment at Rs. 72,600 as per the approved valuer's report in addition to the addition made for the diary by holding that such transactions did not relate to the construction. Resultantly, additions of Rs. 72,600 and Rs. 8,03,228 were made separately by the AO. In the first appeal, it was contended on behalf of the assessee that the diary was taken on 4th Oct., 1996 without Panchnama and returned on 5th Oct., 1996 whereupon the changes in the originally recorded figures were noted and the. matter was brought to the notice of the then Addl. CIT. It was further explained that the diary contained transactions in respect o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bsp; Urai 40200 7500 34600 250 5600 20250 21200 1020 520 3045 6000 He further took note of the fact tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... served that the total of the entries in the diary in respect of investment in the boundary wall was to the tune of Rs. 64,861. The contention of the assessee explaining the source being the withdrawals of Rs. 28,050 from M/s Rajasthan Commercial House and the remaining amount having emanated from the amount left by his mother at the time of her death cannot be accepted. Insofar as the amount of Rs. 28,050 is concerned, we shall discuss the same with reference to ground No. 2 of the Revenue's appeal infra which deals with the addition on account of household expenses. As regards the remaining amount, no evidence worth the name has been placed on record, either before the authorities below or before us, indicating the assessee's mother having ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of inadequate withdrawals for household expenses. 10. The assessee has shown total withdrawals at Rs. 43,050, inclusive of the above discussed amount of Rs. 28,050. The AO estimated the household expenses at Rs. 5,000 per month and made an addition of Rs. 16,950 (60,000 43,050). The learned CIT(A) did not sustain any addition on this count on the ground that the amount of Rs. 28,050 was considered as available to the assessee for household expenses. 11. Having heard both the sides and perused the relevant material on record, we observe that this finding of the learned first appellate authority is not sustainable on the ground that the amount of Rs. 28,050 stood considered in the household expenses declared by the assessee before the AO al ..... X X X X Extracts X X X X X X X X Extracts X X X X
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