TMI Blog2023 (2) TMI 194X X X X Extracts X X X X X X X X Extracts X X X X ..... rged the initial onus cast on him explaining the nature and source of cash deposit being proceeds of sale of popular trees. Where the Revenue authorities disbelief the contents of the affidavit/confirmation, merely stating so and expressing such disbelief is not sufficient. The PAN number cannot be held to be proof of identity of the buyer. What was stopping the Revenue authorities in calling these persons whose name, address and Aadhar number are on record and recording their statement. There is nothing on record in respect of any steps taken in this regard including any direction to the assessee to produce these persons. There is nothing on record that the assessee was involved in any other activities other than agriculture activities. Revenue has to bring some positive evidence rebutting the explanation so furnished and the contents of the affidavit from the buyers so placed on record. In absence thereof, the explanation of the assessee which is duly corroborated cannot be negated and the onus cannot be shifted back on the assessee. Similar findings have been recorded by the Co-ordinate Chandigarh Benches in the case of Shri Mahavir Singh [ 2019 (8) TMI 1854 - ITAT CHANDIGARH ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ated as income of the assessee from undisclosed sources and addition of Rs. 13,90,000/- was made in the hands of the assessee. 3. Being aggrieved, the assessee carried the matter in appeal before the ld. CIT(A) who has allowed part relief to the assessee to the extent of Rs. 4.90 lacs and the remaining additions have been sustained and the relevant findings of the ld. CIT(A) are contained at para 17 of the impugned order which reads as under: 17. Coming to the main Ground of Appeal No. 1 against the addition of Rs. 13.90 Lakhs the following facts are relevant:- i. The contents of J form annexed by the assessee connote payments received amounting to Rs. 2.10 Lakhs (wheat) on 06.04.2009, Rs. 88,200/- (Bajra) on 20.08.2009 and Rs. 2,00,850/- (Rice) on 01.09.2009. ii. Additionally there is a joint confirmation from Sh. Harchand Khan s/o. Sh. Nasib Khan Gurinder Singh s/o. Sh. Naib Singh regarding purchase of poplar trees from Sh. Hardev Singh s/o. Sh. Gurdial Singh on several dates (14 times during the year), evidencing small payments each time, totaling to Rs. 9 lakhs. Evidence has also been filed regarding ownership of land that have been sold subsequently by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... before the assessing officer. (iii) In light of the above the explanation given on account of sale of poplar trees needs to be negated. The J form in respect of sale of cereals, even though at variance with the details given before the AO, is accepted given the fact that the assessee is in possession of agricultural land and undertakes cultivation. The amounts contained therein go on to explain Rs. 4.90 lakhs of cash deposits in the present case. 17.1 In light of the above, the issue raised in Grounds of Appeal No. 1 is partly allowed. 4. Against the said findings and the order of the ld. CIT(A), the assessee is in appeal before us. During the course of hearing, ld. AR reiterated the submissions made before the lower authorities. It was submitted that the fact that the poplar trees were grown on the specified land holding owned by the assessee is not in dispute. However, ld. CIT(A) has failed to appreciate that the popular trees were only planted on the periphery of its agriculture land and not on the whole of the agriculture land measuring 6.3 acres and therefore, the findings of the ld. CIT(A) are not borne out from the facts on record. It was further submitted tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted on the periphery of the field. Therefore, by considering the totality of the facts, particularly the acceptance given by the purchasers of the Popular trees in their respective affidavits, I am of the view that the sale proceeds amounting to Rs. 20.65 Lakhs from Shri Ziledar Ali and Shri Mohan Walia apart from the agriculture income estimated by the Ld. CIT(A) at Rs. 11,00,000/- was sufficient to make the deposit of Rs. 26,68,850/- in the bank account of the assessee. In that view of the matter the addition sustained by the Ld. CIT(A) is deleted. 5. It was accordingly, submitted that the additions made and confirmed by the ld. CIT(A) be directed to be deleted. 6. Per contra, the ld. DR relied on the finding of the ld. CIT(A). It was submitted that part relief of Rs. 4.90 lacs has already been provided to the assessee and the balance amount of Rs. 9 lacs was disallowed since the assessee failed to substantiate the source of cash deposit with any documentary evidence. Regarding decision of the Co-ordinate Chandigarh Benches in the case of Shri Mahavir Singh relied upon by the ld. AR, it was submitted that the facts of the said case are distinguishable from the present cas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dated under law to maintain any regular books of accounts. In my view, the assessee has discharged the initial onus cast on him explaining the nature and source of cash deposit being proceeds of sale of popular trees. Where the Revenue authorities disbelief the contents of the affidavit/confirmation, merely stating so and expressing such disbelief is not sufficient. The PAN number cannot be held to be proof of identity of the buyer. What was stopping the Revenue authorities in calling these persons whose name, address and Aadhar number are on record and recording their statement. There is nothing on record in respect of any steps taken in this regard including any direction to the assessee to produce these persons. There is nothing on record that the assessee was involved in any other activities other than agriculture activities. The Revenue has to bring some positive evidence rebutting the explanation so furnished and the contents of the affidavit from the buyers so placed on record. In absence thereof, the explanation of the assessee which is duly corroborated cannot be negated and the onus cannot be shifted back on the assessee. Similar findings have been recorded by the Co-ordi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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