9911796707
TMI Blog2023 (4) TMI 458X X X X Extracts X X X X X X X X Extracts X X X X ..... Aggrieved by such order passed by ld AO assessee filed an appeal before the CIT(A) which was dismissed vide an order dt. 23.05.2018. Aggrieved by the order passed by ld CIT(A) the assessee filed an appeal before Hon'ble ITAT on 1.8.2018 which was set aside to CIT(A) for deciding the matter a fresh 2. The assessee has duly put forth all the evidences and have also explained the source of cash deposited by him in his bank account which are very much genuine but the same has again been rejected by Ld CIT(A) which is very unlawful and therefore, assessee again knocks at your door in need of natural justice and prefers an appeal before your goodself. 3. On facts and circumstances of the case and in law the Ld CIT(A) has grossly erred in conforming the cash deposited by assessee of Rs 10,00,000 as unexplained and from undisclosed sources. Appellant prays that such deposit being fully explainable deserves to be deleted 4. That the ld CIT(A) has further erred in framing a biased opinion on the submission/explanations submitted by assessee and questioning the usuality or unusuality of the family decisions(as to why father was keeping his mother's jewellery rather than distrib ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... both gold and silver), past savings and agricultural accumulations. But in support of his claim, the appellant did not provide any concrete evidence/proof like sale bills of jewellery, sale bills of agricultural produce or any other documentary evidences. It is further to point out that during the course of assessment proceedings, the appellant's statement was recorded on 30.08.2017 wherein while answering the question no. 13, the appellant admitted that "whatever stated in the affidavit earlier filed he had made observations of his own, but now in absence of having any documentary proof of availability of cash with his father, and being recipients beneficiary of such amount, he admitted it of own and surrendered it for taxation for the year under consideration and promised to pay tax thereupon." The affidavit of the appellant clearly shows that appellant not having any evidence, reason and occasion for gift particularly to him only whereas there were others siblings too. The appellant had no evidence in respect of sources informed to the AO The appellant has also not given any breakup as how much was from past savings, how much was from sale of jewellery and how much was fro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ose of effectively raising the produce from the land. They are operations to be performed after the produce sprouts from the land, i.e. weeding, digging the soil around the growth, removal of undesirable under growths and all operations which foster the growth and preserve the same not only from Insects and pests but also from depredation from outside, tending, pruning, cutting, harvesting, and rendering the produce ft for the market. The latter would all be agricultural operations when taken in conjunction with the basic operations above described, and it would be futile to urge that they are not agricultural operations at all. However, the mere performance of these subsequent operations on the products of the land, where such products have not been raised on the land by the performance of the basic operations which have been described above would not be enough to characterize them as agricultural operations In order to invest them with the character of agricultural operations, these subsequent operations must necessarily be in conjunction with and a continuation of the basic operations which are the effective cause of the products being raised from the land. It is only if the pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... throughout the basic idea that there must be at the bottom of its cultivation of land in the sense of tiling of the land, sowing of the seeds, planting, and simlar work done on the land itself. This basic conception is the essential sine qua non of any operation performed on the land constituting agricultural operation. If the basic operations are there, the rest of the operations found themselves upon the same. But it these basic operations are wanting the subsequent operations do not acquire the characteristic of agricultural operations.'' The aforesaid judgment makes it clear that the term ''agriculture' is ''cultra'', i.e. cultivation of the "agar" i.e. field/land. In other words, raising of a product through the use of human skill and labour on land may be classified as agricultural activity. The product should have some utility either for consumption, for trade and commerce. The term "Agriculture" receives a wider interpretation both with regard to its "operations" as well as the "results" of such operation. Looking to the definition given in the Act and above referred landmark decision of the supreme court on the matter, following ingredients must be existing in Agricultur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n of the above, it is concluded that the amount of Rs. 10,00,000/- which was deposited in the bank belongs to the appellant's himself. Therefore, the contention of the appellant that the amount of Rs. 10,00,000/- was received from his father is not acceptable. Hence, the action taken by the AO is correct and valid. The appeal of the appellant is hereby dismissed. 5.In result, the appeal of the appellant is dismissed.'' 3.2 Now against the order of the ld. CIT(A) dated 25-07-2022, the assessee is in second round of litigation before the Bench on the grounds mentioned hereinabove. The grounds raised hereinabove by the assessee are interrelated and interconnected which relates to challenging the addition of Rs.10.00 lacs made by the AO considering that the said amount deposited by the assessee in the bank as unexplained and treating it as income from undisclosed sources. Therefore, the Bench thought it fit to dispose off these grounds of appeal through a consolidated order. 3.3 The ld. AR appearing on behalf of the assessee reiterated the same arguments as were raised before the ld CIT(A) and also submitted the following written submissions on 30-11-2022. '' In continuation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essee deserves to be accepted and since the cash deposited into the bank account belongs to his father, the addition made deserves to be deleted.'' 3.4 On the contrary, the ld. DR relied upon the orders of the ld. CIT(A). 3.5 The Bench has heard both the parties and perused the materials available on record. It is noted that the assessee has specific stand that the amount of Rs.10.00 lacs deposited by him in his bank account belongs to his father as the assessee was deriving income only from Pension from Indian Army and income from other sources. Besides, agricultural income has also been shown in the computation of income by the assessee. It was submitted by the ld. AR that the source of cash deposit of Rs.45,000/- on 14-05-2009 and Rs.10,00,000/- on 25-02-2009 in the State Bank of India saving bank account was out of agricultural sale proceeds and as regards the deposition of Rs.10.00 lacs, it was given by the father Shri Narayan Choudhary, to the assessee who later on passed away on 01-04-2013. In support of his contention, the assessee filed an affidavit stating that he has received Rs.10.00 lacs from his father out of his past savings from agricultural income and sale of gol ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on oath the transactions of sale of jewellery by his father and handing over the same to the assessee by his father. To my utter surprise, the same does not find any mention in the order of the ld. CIT(A) who added the amount as being undisclosed income of the assessee. Further from the record, it is also noted that the AO has not pointed out any other assets or any source of income other than stated by the assessee. Therefore, the Bench can conclude that there was no contradictory material in the possession of the AO and then in that eventuality the explanation accorded by the assessee and duly substantiated by way of affidavit affirming on oath, the said contentions cannot be rejected summarily. In my view, the affidavits which are duly notorized hold the legal identity which cannot be rejected merely on surmises without having any contrary material on record. In this regard, the Bench finds strength from the decision of Hon'ble Supreme Court in the case of M/s. Mehta Parikh & Co. vs CIT, 1956 AIR 554 (dated 10-05-1956) wherein while accepting the contention of the assessee it has been held that ''a mere calculation of the nature indulged in by the Income Tax Officer or the Appel ..... X X X X Extracts X X X X X X X X Extracts X X X X
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