TMI Blog2023 (6) TMI 109X X X X Extracts X X X X X X X X Extracts X X X X ..... as provisions of Section 37(1), 40A(2) , 40A(3), 40(a)(ia), 36(1)(va) etc etc. The onus is squarely on the assessee to prove that he is carrying on business and compliance with provisions of statute before any business deduction is allowed to the assessee. Similarly, the onus is on the assessee to explain every source of deposits in his bank account . Similarly, for other addition being made by the AO which were the cash deposits in the bank accounts of the assessee during demonetization period (account no.13920100031032 and 501000186411596), for which no explanation was furnished by the assessee before the AO as well before ld. CIT(A). CIT(A) on its part has simply confirmed the assessment order, while he was required to give his ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eal filed with Income Tax Appellate Tribunal, Allahabad Bench, Allahabad (hereinafter called the tribunal ) , reads under: 1. That in view of the matter assessment framed u/s 144 by order dated 29.11.2019 in income of Rs. 13,59,680/- is bad both on the facts and in law. 2. That in view of the matter CIT(A) wrong in decide the appeal ex-parte without providing reasonable opportunity to the assessee and the order is not speaking in the eye of laws. 3. That in view of the matter addition of Rs.8,65,180/- by applying net rate of 8% on total deposit in bank as made by the assessing officer and confirmed by CIT(A) is highly unjustified. 4. That in view of the matter addition of Rs.4,94,500/- on account of cash deposit duri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he AO sought information from bank u/s 133(6), and bank statements were directly obtained by the AO, and it transpired that the cash deposited in bank accounts by the assessee during the demonetization period was Rs.19,00,300/- , while total cash deposited in the bank accounts during the entire year was Rs. 56,63,626/- , and total deposits in the bank accounts were to the tune of Rs. 1,13,81,775/- . The details are as under: The AO issued further statutory notices, but the same remained uncomplied with by the assessee. The AO observed that the nature of transactions in the bank account no. 502000202052767 were in the nature of business transactions. This bank account was in the name of Yogi Enterprises and an amount of Rs. 1,08,14 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... taxed by computing income by way of net profit@8% of the total deposits , more-so the assessee never filed any return of income and the assessee never came forward to give any explanation as to nature and source of the deposits to the tune of Rs. 1,08,14,767/- in this bank account , out of which Rs. 51,63,126/- was deposited in cash in this bank account during the entire year as also out of which Rs. 14,05,800/- was deposited in cash in this bank account during demonetization period. Thus, the finding of the AO that deposits in this bank account in the name of Yogi Enterprises are business receipts is without any basis and evidence on record. The onus is entirely on the assessee to file return of income as also to explain nature and sourc ..... X X X X Extracts X X X X X X X X Extracts X X X X
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