TMI Blog2014 (6) TMI 220X X X X Extracts X X X X X X X X Extracts X X X X ..... bank account - The AO ought to have examined the withdrawals made by the assessee during the relevant period, the time gap between the withdrawal made and the deposit made, and in the process, the possible nexus between the withdrawal made earlier and the redeposit made by the assessee, instead of brushing aside the explanation of the assessee in that behalf, in a summary manner – thus, the matter is remitted back to the AO for examination of the source explained by the assessee with regard to the source for the deposits - Decided partly in favour of Assessee. - ITA No. 652/Hyd/2013 - - - Dated:- 23-5-2014 - Shri Chandra Poojari And Shri Saktijit Dey,JJ. For the Appellant : Shri U. L. N. Sudhakar For the Respondent : Shri Sh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s of the turnovers, etc. reflected through the relevant columns of returns of income and failed to produce the relevant details such as purchase bills or sale bills, related to the business transactions. He further observed that interest receipts as well as miscellaneous receipts are also not indicated in the relevant columns of the return. The Assessing Officer also noted that the rental receipts and expenses related to property such as municipal taxes are related to his mother viz. Smt. Padma Bai. In this view of the matter, and in the absence of any details or statement of affairs in relation to other transactions, the Assessing Officer treated the entire credits of Rs.29,70,000 as unexplained and accordingly made addition under S.69 of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to Padmabai a) Amounts by cheque 79,200 b)Amount by cash 2,73,000 13,32,826 Net Amount 16,37,176 i) Business receipts 2,62,500 ii) Amounts from credit cards 1,29,600 3,92,100 Net Balance Rs. 12,45,076 Thus, the CIT(A) noted that as per the assessee, the amount of Rs.12,45,076 represent the cash balances available with him and the cash withdrawals made from the bank account earlier after claiming credits for business receipts and receipts through credit cards, as indicated in the abo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ATM withdrawals or the amounts paid through bearer cheques for specific purposes. He further noted that there were no withdrawal of cash by self cheques so as to assume them to be the cash withdrawals by which cash is available to the assessee. Further, the credit was already given to the cash available on hand, after recognizing the opening balances and closing balances as shown in the statement of affairs prepared by the assessee. For these reasons, the CIT(A) found the explanation of the assessee that cash withdrawals made are available for re-depositing into the bank account as not maintainable. In the circumstances, the CIT(A) held that the credits into the bank account of Rs.29,70,000, stand explained only to the extent of Rs.12,77,82 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... orders of the Revenue authorities. While the assessee has explained the ostensible sources for all the deposits aggregating to Rs.29.70,000 made into bank account, the Assessing Officer disbelieved the explanation of the assessee in its entirety, and added the entire amount under S.69 of the Act. The CIT(A) restricted the said addition to an amount of Rs.16,92,176, which comprises of discrepancy in the opening and closing cash balances claimed and the deposits claimed to have been made out of the withdrawals made earlier. As far as the discrepancy noticed in the opening and closing cash balances of Rs.4,47,100 is concerned, we do not find any justification to interfere with the order of the CIT(A), since the aggregate sum for which the expl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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