TMI Blog2015 (7) TMI 943X X X X Extracts X X X X X X X X Extracts X X X X ..... But application of Section 68 and Section 69 are not restricted to business income. It can encompass any type of income, as the facts may call for. Confirmation filed by the assessee at pages 22 to 36, did carry the address of the persons from whom it had received cash. None of these persons were examined by the lower authorities. Further, accumulation of cash in cash-book perse cannot be a reason for disbelieving the source of a deposit in Bank. An assessee might have myriad of reason for withdrawing cash from bank or keeping cash with him. Unless the distance of time is such as to make it unbelievable, in our opinion explanation of source should not be brushed aside. We are therefore, of the opinion, that rules of justice require a ver ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sought explanation for the source from the assessee. Assessee vide his letter dated 20-12-2007 stated as under; With reference to the above, I would like to inform that I have deposited ₹ 3,00,000/- on 23-11-2004 and ₹ 9,00,000/- on 12-01-2005 respectively. I have submitted bank statement and remarks and cash book for your records. I have deposited ₹ 3,00,000/-on 23- 11-2004 from my cash withdrawn from bank and cash on hand on that date I have taken money of ₹ 50,000/- from Mahabaleshwar, Advocate, M/s MGC Co. and he was asking money back immediately. Hence I don t have any choice of getting money repay the same to him and I collected the money which I was lent to various persons and that money was lent to va ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , which no prudent business person would have done. Especially so, since assessee was in moneylending business. He thus, confirmed the addition. 6. Now before us the learned AR , referring to PB pages 2 to 5 submitted that the cash book prepared and produced by the assessee at the behest of the AO, clearly showed that there was sufficient cash balance with the assessee to make the deposits. According to him confirmation from Shri Abdul Raheem for ₹ 45,000/- received on 10-01-2005, from Shri Anil Kumar Singh for ₹ 50,000/- received on 29-09-2004, from Smt. Geetha for ₹ 20,000/- received on 03-01-2005, from Guru Kamal for for ₹ 95,000/- received on 12-08-2004 and ₹ 27,500/- received on 30-09-2004, from Shri Im ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ts debtors, reflecting repayment in cash by them placed at PB pages 22 to 36 are nothing but the ledger pages of these debtors in assessee s books. May be its true that cash book was prepared at the behest of the AO. However, it remains a fact that the cash book was before the AO at the time of assessment proceedings. Copy of this cash book has been placed before us at PB pages 2 to 5 and bank book at page 6 to 10. Hence, assesssee s statement before the AO that it had not maintained cash book as contrary to what was on records. 9. Once assessee produced a cash book, the onus was on the assessee to prove the entries therein. If it was unable to do so, AO could certainly invoke Section 68, even otherwise AO can invoke Section 69, if sourc ..... X X X X Extracts X X X X X X X X Extracts X X X X
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