TMI Blog2010 (11) TMI 460X X X X Extracts X X X X X X X X Extracts X X X X ..... of material on record had observed that the cash credit was not proved to be genuine and was, therefore, liable to be added u/S 68 of the Act and reversing the order of CIT(A). - 73 of 2004 - - - Dated:- 23-11-2010 - MR. JUSTICE ADARSH KUMAR GOEL, MR. JUSTICE AJAY KUMAR MITTAL, JJ. Mr. Pankaj Jain, Advocate for the appellant. Mr. Yogesh Putney, Central Government Standing Counsel for the respondent-Revenue. AJAY KUMAR MITTAL, J. 1. This appeal under Section 260A of the Income-Tax Act, 1961 (for short the Act ) has been filed by the assessee against the order dated 16.7.2003, passed by the Income Tax Appellate Tribunal Chandigarh Bench A , Chandigarh (in short the Tribunal ) in ITA No. 1249/CHANDI/1998, relating ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ade an addition of the said sum vide order dated 27.3.1998. 4. Aggrieved by the order of the assessing officer, the assessee filed appeal before the Commissioner of Income Tax (Appeals), for short [ CIT(A) ]. The CIT(A) deleted the said addition vide order dated 18.9.1998. In the appeal carried by the Revenue before the Tribunal, the order of the CIT(A) deleting the addition of Rs. 50,000/- was set aside and that of the assessing authority restored, vide order under appeal. 5. We have heard learned counsel for the parties and have perused the record. 6. The point for determination in this appeal is, whether the Tribunal had rightly sustained the addition made under Section 68 of the Income Tax Act, 1961 by disagreeing with the e ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... but in reply to source, she stated my husband owns about 10 acres of land in village Jhimalgora and the loan was given out of agricultural income. She also stated that her husband is having income in Italy. In reply to a question 'what was approximate amount sent by your husband from Italy, she replied, '...exactly it is not known to me'. AO further raised a question from the copy of account produced by the assessee M/s Dayal Singh Sons, it is seen that you have deposited Rs.50,000/- in cash on 24.2.95, please explain the exact source of deposit', she relied ' I don't remember exactly but amount might have been deposited from my savings and agricultural income or from money sent by my husband from Italy'. From the said statement, it is cl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uineness of transaction because the creditor has deposited the money on the same day in cash when the money on the same day was advanced to the assessee firm. The creditor was not in a position to pinpoint the exact source of money which was deposited nor did any evidence or circumstantial filed before the tax authorities or even before us. We feel that it is a fit case where the AO has rightly rejected the genuineness of the transaction and added the cash credit. On facts of the case, we set aside the order of CIT(A) on this issue and restore that of the AO. For relying on the surrounding circumstances and applying the test of human probabilities we rely on the decision in the case of Sumati Dayal Vs. CIT 214 ITR 801 (SC). Ground stands al ..... X X X X Extracts X X X X X X X X Extracts X X X X
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