TMI Blog2022 (9) TMI 590X X X X Extracts X X X X X X X X Extracts X X X X ..... ncome and therefore, the explanation of the source as past saving of the assessee HUF and its members cannot be doubted having regard to the fact that in the past there are the entries of withdrawal of more than 1,00,000/- from the bank account of the assessee. Though, these withdrawals were in the long past and there is a big gap between the withdrawals and deposits but once the assessee has declared this amount of Rs. 1,00,000/- and by considering this amount as well as the total income declared by the assessee at Rs. 1,39,090/- which is below a minimum amount of taxable income the assessment of the income of the assessee under the provisions of section 115BBE is not justified. Accordingly when the assessee has explained the source ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the RBI/IT Department, the same cannot be treated as unexplained income u/s 69A as the same was properly disclosed in the return of income. 3. Because all the additions and disallowances are specifically challenged in the present appeal. 4. Because the appellant reserve the right to alter, modify or take any additional ground of appeal during the course of hearing of appeal. 5. Because the order appealed against is contrary to facts, law and principles of natural justice. 2. The assessee is HUF and filed its return of income for the year under consideration on 19th March, 2018 declaring total income of Rs. 40,743/-. The case was selected for limited scrutiny through CASS on the issue of cash deposit in the bank account ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e has submitted that during the demonetization period, the assessee has deposited the cash of Rs. 1,00,000/- on 21.11.2016 the demonetized notes of Rs. 500-1000/- and the same was properly disclosed in the return of income. The learned AR has submitted that this is from past savings and withdrawal from the bank as there are withdrawals of Rs. 1,65,000/- on 13.9.2001 from the Canara Bank. After the demonetization, these notes were not in circulation from 8.11.2016 and the same were deposited in the bank to avoid the further legal action of keeping invalid currency. He has further submitted that the limited scrutiny was taken up by the Assessing Officer to examine the cash deposit of Rs. 9,00,000/- during the demonetization period however, th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3(2) and in response to the said notice, the assessee submitted that the cash deposit in the Canara Bank of Rs. 8,00,000/- on 21.11.2016 is due to the bank error for which a letter dated 9.2.2019 issued by the bank accepting the mistake which was produced before the Assessing Officer. The Assessing Officer also issued a notice under section 133(6) dated 7.5.2019 to the Branch Manager of Canara Bank seeking a copy of the bank account statement of the assessee. In response to the said notice, the bank accepted the mistake of wrong entry in the bank account of the assessee of Rs. 8,00,000/- dated 21.11.2016 and thereafter the Assessing Officer has issued a fresh notice under section 142(1) on 8.12.2019 on the email ID provided by the assessee. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... this deposit in the return of income and therefore, the explanation of the source as past saving of the assessee HUF and its members cannot be doubted having regard to the fact that in the past there are the entries of withdrawal of more than 1,00,000/- from the bank account of the assessee. Though, these withdrawals were in the long past and there is a big gap between the withdrawals and deposits but once the assessee has declared this amount of Rs. 1,00,000/- and by considering this amount as well as the total income declared by the assessee at Rs. 1,39,090/- which is below a minimum amount of taxable income the assessment of the income of the assessee under the provisions of section 115BBE is not justified. Accordingly, in the facts and ..... X X X X Extracts X X X X X X X X Extracts X X X X
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