TMI Blog2019 (10) TMI 658X X X X Extracts X X X X X X X X Extracts X X X X ..... essment u/s. 144 r.w.s. 147 of the Act. Considering all we do not find any force in the ground of appeal of the assessee against confirming the assessment proceeding u/s. 144 r.w.s. 147 of the Act by the Ld. CIT(A) and the same is dismissed. - decided against assessee Addition u/s 68 - merely furnishing of a Xerox copy of common affidavit in respect of 58 cash creditors would not by itself prove that the cash credit have been actually obtained from such person and they had creditworthiness to lend this amount. As during the course of assessment proceedings the assessee has furnished incomplete information in respect of his claim of obtaining cash loan obtained from 58 persons. In spite of giving sufficient opportunity the assessee h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ment proceedings u/s. 144 r.w.s. 147 of the Act and the other ground in confirming the addition of ₹ 10,84,100/- made u/s. 68 of the Act by the AO. 3. The fact in brief is that the assessee has filed return of income on 19.09.2008 showing total income of ₹ 3,41,908/-. The return was processed u/s. 143(1) of the Act. Subsequently, it was noticed that assessee had deposited cash to the amount of ₹ 10,84,100/- during the period 01.04.2007 to 31.03.2008 in his Savings Bank Account No. 1010117950 maintained with Kalupur Commercial Cooperative Bank Ashram Road, Ahmedabad. The AO has also noticed that the assessee had not shown any information related to such transaction in his return of income filed on 19.09.2008 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... copies of Aadhar Card, Election ID card, Driving Licenses of the cash creditors. The AO has stated that barring a common affidavit of 58 persons filed at the fag end of the time barring period the assessee has not filed any evidence to prove the capacity and creditworthiness of the creditors. The AO observed that mere furnishing of a Xerox copy of common affidavit in respect of 58 cash creditors would not by its prove that the cash credits have been actually obtained from such person and they had creditworthiness to lend this amount. Consequently, the amount of ₹ 10,84,100/- found introduced/deposited in the bank account in cash was added to the total income of the assessee as unexplained deposit u/s. 68 of the Act. 4. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... m whom the assessee has claimed to have received the deposit in cash to the amount of ₹ 10,84,100/-. The assessee has only furnished copies of declaration filed by the 58 persons on common affidavit stating that each person has advanced ₹ 19,500/- in cash to the assessee. The assessee has only filed Xerox copy of Aadhar Card, Election Card, and Driving Licenses of such cash depositor and failed to furnish relevant supporting document to establish the creditworthiness of the creditors and genuineness of the transaction. Looking to the facts of the case of the assessee we consider that merely furnishing of a Xerox copy of common affidavit in respect of 58 cash creditors would not by itself prove that the cash credit have been actu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... from the facts as cited above in this order that during the course of assessment proceedings the assessee has furnished incomplete information in respect of his claim of obtaining cash loan of ₹ 10,84,100/- obtained from 58 persons. In spite of giving sufficient opportunity the assessee has failed to satisfy the creditworthiness of the creditors and genuineness of the transactions. We also consider that the Hon ble jurisdictional High Court in the case of Pavankumar M. Sanghvi vs. ITO vide 404 ITR 601 (Gujarat) has upheld the order of the ITAT Ahmedabad for sustaining the addition u/s 68 on account of the assessee s inability to prove the genuineness of the credit transactions. The Ld. Counsel has referred the judicial ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t assessee had deposited huge amount of cash in his book account, the addition of the said amount in the income of the assessee by invoking the provision of Sec. 68 of the Income Tax Act is justified. In the light of the above facts and findings we do not find any substance in the plea of the assessee and consider that it was the bounden duty of the assessee to explain the nature and source of cash deposits found in his bank account as elaborated above. In the light of the above facts and findings we consider that assessee has failed to explain the cash deposit made in his bank account with relevant supporting evidences to proof the genuineness and creditworthiness of his claim that impugned cash loan was rec ..... X X X X Extracts X X X X X X X X Extracts X X X X
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