TMI Blog2015 (2) TMI 497X X X X Extracts X X X X X X X X Extracts X X X X ..... ut ₹ 14,00,000/-. On comparison of both the amounts and in the absence of any other material, we are of the view that the assessee should, out of cash withdrawals of about ₹ 14,00,000/-, have utilized a sum of ₹ 11,18,000/- only for making re-deposits in the banks account. However, our computation, referred above, needs to be verified by both the parties. In our view, the Assessee may be given set off of aggregate amount of deposits made at a sum of ₹ 2,000/- and above during the period mentioned above against the cash deposit of ₹ 26,38,404/-. The AO is directed to verify the above said computation along with the assessee and give set off of the amount as arrived at by both, if the above said figure of ₹ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d against the order dated 15.6.2012 passed by Ld CIT(A)-31, Mumbai and it relates to the assessment year 2008-09. 2. The effective grounds of appeal raised by the Revenue are as under: 1. The ld. CIT(A) has erred in facts and law to consider the peak credit in the account as undisclosed cash credit u/s 68 of the Income Tax Act, 1961 as against the total credit in the said account as held by the AO after having held that the assessee failed to substantiate the claim that cash deposits in the bank account have been partly made from the withdrawal of the same account; 2. On the facts and circumstances of the case and in law, the Assessee having failed to discharge the onus of explaining the source of investments made in Share Purcha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g the order passed by the AO. During the course of appellate proceedings, the Assessee furnished certain details relating to the bank deposits and share transactions. The ld. CIT(A) called upon the remand report from the AO. After hearing the Assessee, after considering remand report of the AO and the reply filed by the Assessee, the ld. CIT(A) held that the peak cash balance of ₹ 13,68,828/- found in the bank account is to be assessed as unaccounted income of the assessee u/s 69 of the Act. However, the ld CIT(A) directed the AO to verify the peak credit working furnished by the assessee. 5. With regard to the share transactions, that the ld. CIT(A) noticed that the Assessee could not explain the payments made towards purchases of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... etc., and also deposited round sums like ₹ 1,00,000/-, ₹ 10,000/- ₹ 2,000/- etc., on various dates. Cash withdrawals have been made mostly in round sums. According to the Assessee cash withdrawals made on an earlier occasion was also utilized to make deposits on the subsequent dates. In our view, the said explanation may hold good in respect of deposits made in round sums only. In respect of deposits made in odd figures, the said explanation may not be applicable, since the same is against normal human conduct. Hence, in our view, the assessee has to explain the deposits made in odd figures, failing which the same is liable to be assessed to tax. From the summary of cash transactions, we ourselves worked out the deposits ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... om 13.6.2007 to 25.3.2008 works out to about ₹ 14,00,000/-. On comparison of both the amounts and in the absence of any other material, we are of the view that the assessee should, out of cash withdrawals of about ₹ 14,00,000/-, have utilized a sum of ₹ 11,18,000/- only for making re-deposits in the banks account. However, our computation, referred above, needs to be verified by both the parties. In our view, the Assessee may be given set off of aggregate amount of deposits made at a sum of ₹ 2,000/- and above during the period mentioned above against the cash deposit of ₹ 26,38,404/-. The AO is directed to verify the above said computation along with the assessee and give set off of the amount as arrived at by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed to share transactions of purchase and sale carried on by the assessee. The Ld CIT(A) has noticed that the assessee has realized a sum of profit of ₹ 2,72,425/- out of share trading. Accordingly, the ld. CIT(A) has directed the AO to assess above amount as Short Term Capital Gain . In addition to the above, the Assessee has also received a sum of ₹ 2101/- from the share broker as interest and reward amount. The Ld CIT(A) has directed that the same to be assessed. Though we notice that the ld. CIT(A) has taken a conscious decision after analyzing the share transactions carried out by the Assessee and we notice that the revenue could not find any defect with the said analysis made by the ld. CIT(A). Under these circumstances, w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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