9911796707
TMI Blog2018 (3) TMI 1360X X X X Extracts X X X X X X X X Extracts X X X X ..... 2005-06, the appellant had declared taxable income of Rs. 4,05,265/- from the business of sale/purchase/financing of three-wheeler/scooters on commission basis and income earned under the head "income from house property". 3. The Assessing Officer ('AO'), vide assessment order dated 28.12.2007, made addition of Rs. 36,80,000/- as income from undisclosed sources invoking Section 68 of the Act on account of unexplained cash deposits of Rs. 92,80,000/- in the bank accounts of the appellant and his minor sons- Master Sahil Sethi and Sarik Sethi. These deposits were made on different dates and sometimes there were multiple deposits even on a single day. The appellant, on being asked, could not furnish details and explain source of deposits. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submitted that the assessee is doing the business of sale/purchase (financing of three wheeler scooters) on commission basis. He'also derives income from house property. The assessee has filed his Income-tax return for the assessment year 200506 declaring net income of Rs. 4,05,265/-. 6.2. It has been submitted that the assessee owns property No. F 2/25, Krishna Nagar, Delhi, along with his wife, Smt. Jyoti Sethi. The said property is given on rent to Axis Bank. The rental income from the bank has been duly reflected in the Income-tax return. The bank also deducts tax from the payments of rent. TDS certificate has already been filed along with the return. Copy of purchase deed of property was filed along with the return for A.Y. 1997-9 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of bank statements have already been filed before the Assessing Officer which have been placed on record. 6.6. It has been submitted that subsequently, the buyers could not arrange the balance amount of sale consideration agreed upon, with the result that the deal for the sale of property did not mature and the assessee had to pay back the amount received as advance from the said buyers. At present, the property is still owned by Sh. K. K. Sethi & Smt. Jyoti Sethi. 6.7. It has been submitted that in the assessment order, the Assessing Officer has calculated Rs. 36,80,000/- as peak cash in the hands of the assessee. Out of this, Rs. 33,00,000!- is the cash received as advance for sale of property from Sh. R.K. Garg, Sh. Gaurav Gupta, Sh. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to pass, it is not necessary to take into consideration the facts of the case in detail. The issue pertains to addition made under Section 68 of the Income Tax Act. There were certain deposits made in cash in the bank account from time to time. According to the Assessing Officer, assessee could not explain some of these entries and taking into account the peak of cash in hand, on Rs. 36.80 lakhs addition was made under Section 68 of the Income Tax Act. CIT (Appeal), however, deleted this addition. In the circumstances, the Department preferred further appeal before the Income Tax Appellate Tribunal (hereinafter referred to as "the Tribunal"). 3. Learned counsel for the appellant has produced certain papers indicating that in the appeal not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for the parties, we find substance in the aforesaid submissions. In these circumstances, without commenting upon the merit of the order passed by the Tribunal, we set aside the said order on the aforesaid ground giving liberty to the assessee to file the paper book containing the documents on which the appellant wants to-rely in support of his submissions. The Tribunal shall hear the parties afresh and take into consideration the said material to decide the issue again. 5. The appeal and the application are disposed of with the aforesaid direction." 7. After remand, the appellant had filed paper book, enclosing photocopy of agreements to sell dated 27th August, 2004, copy of confirmations from the proposed purchasers and cash flow statem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... facts and circumstances. Relevant facts and evidence has been considered. 11. The facts of the case are rather glaring and one-sided. The appellant accepts and admits that cash deposit of Rs. 92,80,000/- were made in bank accounts belonging to him and his two minor sons during the period relevant to the AY 2005-06. These cash deposits were made on different dates and there were multiple deposits on one day. There were also multiple withdrawals. The peak cash credit was Rs. 36,80,000/-. To this extent, there is no factual dispute. It is accepted that the appellant was engaged in the business of financing and sale/purchase of scooters. On the question whether the appellant was able to show source of funds and receipt of Rs. 33,00,000/- in ca ..... X X X X Extracts X X X X X X X X Extracts X X X X
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