TMI Blog2017 (5) TMI 918X X X X Extracts X X X X X X X X Extracts X X X X ..... the CIT(A)-V, Surat s order dated 26.06.2014, passed in case no. CAS/V/80/2013-14 upholding Assessing Officer s action in adding unexplained cash deposits of ₹ 17,77,380/- in assessment order dated 26.03.2013, in proceedings u/s. 143(3) of the Income Tax Act, 1961; in short the Act . Case called twice. None appears at assessee s behest. The Registry has already issued RPAD notice dated 10.04.2017. The same has been received back unserved. We thus proceed ex parte against the assessee. Her main appeal is taken up for adjudication on merits. 2. The assessee s sole substantive ground challenges unexplained cash deposits addition of ₹ 17.77lacs as made by the Assessing Officer and affirmed in lower appellate proceedings on a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h book produced during the appellate proceedings is a self serving documents in absence of any supporting evidence in form of bill, vouchers etc. In absence of primary documents the benefit of the peak credit also cannot be given to the appellant. 6.1.1 It is an obligatory duty cast upon a person filing the return of income to disclose all his income derived from any source under various heads and indicate the income under each head, which is chargeable to income-tax, after making the permissible deductions. Disclosure of income would be disclosure of particulars of income, which a person is duty bound to disclose in fulfillment of his statutory obligations to pay tax on the income chargeable to tax. After the return is filed under se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and determine the sum payable by the assessee or refundable on the basis of such assessment. If the income chargeable to tax has escaped assessment for any assessment year, by reason of omission or failure of the assessee to disclose fully and truly all material facts necessary for his assessment, reassessment proceeding can be initiated as provided under section 147. This again shows that full and true disclosure of income is a primary obligation of the assessee. 6.1.2 The appellant has also contended that the total cash deposited has been erroneously added and only addition of the peak credit could have been taken even if addition is to be made. But the appellant has not provided any supporting document to demonstrate the claim of p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... entry system. Even a rough account where dates of receipt and payment of money are recorded would suffice. For example: where an assessee maintained undisclosed bank accounts, from the bank account statements, peak credit or the-peak of the amounts deposited can be worked out. But if the records are incomplete or if the records available only show total amount received on a particular date, a peak credit statement cannot be prepared. In the instant case, the appellant does not maintain any books of accounts -regular or rough on the basis of which the peak credit can be worked out. Hence this contention of the appellant falls flat on merits and facts as he is unable to demonstrate the source and utilization of the cash deposits and withdraw ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ullion found in his possession at the time of the search or survey does not belong to him but someone else, the onus is on him to establish it because the ordinary presumption is that he is the owner as the money etc. was found in his possession. Similarly, in all cases where a particular receipt is sought to be taxed as income, the initial onus is on the Assessing Officer to prove that it is taxable. Where, however, the assessee claims exemption, the burden is on the assessee to prove it to be exempt. Same is the position in case of allowances,-deductions, or claims of loss, etc. Similarly, where there is a statutory rebuttable presumption against the assessee, as in case of cash credits etc., u/s 68 or unexplained investment u/s 69, the i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be wrapped in pedantic coverage the offenders of serious offences would be the major beneficiaries and the society would be the casualty... 6.1.7. This raises the question whether the apparent can be considered as real. As laid down by Apex Court in the case CIT v. Durga Prasad More [1971] 82 ITR 540, apparent must be considered real until it is shown that there are reasons to believe that the apparent is not the real and that the taxing authorities are entitled to look into the surrounding circumstances to find out the reality and the matter has to be considered by applying the test of human probabilities. The Hon Supreme Court held that It is true that an apparent must be considered, real until it is shown that there are reasons t ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
