TMI Blog2019 (2) TMI 166X X X X Extracts X X X X X X X X Extracts X X X X ..... otality of circumstances of the case and that the assessee is the owner of the land to the extent of 8.50 acres, which is having rubber, coconut, pineapple plantation, cardamom plantation etc., the receipt of agricultural income cannot be totally ruled out. Therefore, on a fair estimation of agricultural income out of 8.50 acres of land, there could be receipt of agricultural income to the tune of ₹ 2 lakh. Direct the AO to grant further reduction of ₹ 2 lakh out of ₹ 5,64,012 and balance ₹ 3,64,012 alone should be brought to tax as an unexplained deposit in the hands of the assessee. It is ordered accordingly. - ITA No.174/Coch/2018 - - - Dated:- 30-1-2019 - Shri George George K, Judicial Member For The Appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s 69 amounting to ₹ 11,28,024. The addition was made for the reason that the assessee had credits to the tune of ₹ 17,08,024 in her South Indian bank account held along with her husband. The deposits made in the bank was sought to be explained as follows:- (i) Gold loan from South Indian Bank credited on 11.05.2009 ₹ 1,25,000 (ii) Gold loan from South Indian Bank on 25.08.2009 ₹ 2,00,000 (iii) Cash deposited out of her Agricultural Income ₹ 6,00,000 (approx.) (iv) Cash deposited out of her husband s Agricultural Income ₹ 8,00,000 (approx.) 3.1 The Assessing Officer, out of the above accepted explanation for a sum of ₹ 3,25,000 being gold loan from South Indian Bank credited on 11.05.2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t of ₹ 17,08,024 in South Indian Bank belongs to the assessee as well as her husband. Therefore, it was submitted only 50% of the unexplained investment should have been added in the hands of the assessee and balance in the hands of her husband. Copy of the bank account opened in the name of the assessee and her husband in South Indian Bank is on record. The learned AR further submitted that the assessee is having agricultural land in Ramapuram Village of Meenachil Taluk and Vandamedu village in Udumpumchola Taluk. This fact is also borne out from the assessment order, which is not in dispute. It was stated that the assessee did not declared agricultural income in her return of income since she was having income liable to Income-tax b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the I.T.Rules. 6. The learned Departmental Representative, on the other hand, strongly supported the orders passed by the Assessing Officer and the CIT(A). 7. I have heard the rival submissions and perused the material on record. The bank account in South Indian Bank, wherein the credit of ₹ 17,08,024 is standing in the name of the assessee and her husband. Copy of the bank account is on record and on perusal of the same, it operated by the assessee or her husband (either or the survivor). Therefore, the addition of ₹ 11,28,024 as unexplained cash deposit in the bank account ought to have been treated as unexplained, both in the hands of the assessee and her husband. Therefore, I direct only 50% of ₹ 11,28,024 alone ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ture income did not make any impact in relation to the rate of tax (zero in this case) to be applied on total income. The non-declaration of agricultural income in the return of income does not lead to a conclusion that the assessee had not earned any agricultural income from cultivation of land of 8.50 acre owned by her. It is an admitted fact that the assessee is owner of 8.50 acres of land. In all probabilities, the assessee would have earned agricultural income. The assessee has produced agreement dated 02.04.2009 to support the claim of receipt of agricultural income. By virtue of this agreement, the assessee was in receipt of ₹ 11,00,000. The agreement dated 02.04.2009 was not accepted by the CIT(A) since the assessee had not ma ..... X X X X Extracts X X X X X X X X Extracts X X X X
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