TMI Blog2024 (3) TMI 205X X X X Extracts X X X X X X X X Extracts X X X X ..... is treated as turnover, the same shall not be treated as unexplained money HELD THAT:- As the sister concern by way of an affidavit has confirmed the cash deposits in the assessee s bank account stating their inability to obtain Demand Draft from their bank account. The details with the dates of cash deposits are also made in the affidavit and it corresponds to the bank statements provided by the assessee. In the light of the peculiar circumstances as stated above, on merits, we are of the considered view that these cash deposits do not belong to the assessee but for only to accommodate the sister concern to obtain the Demand Draft favouring Andhra Pradesh Beverages Corporation for procuring stock for their entity and therefore it cannot b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as been selected for scrutiny under CASS to verify the cash deposits made by the assessee during the year. Thereafter, notice U/s. 143(2) of the Act was issued on 6/9/2018 and served on 12/9/2018. Subsequently, notices U/s. 142(1) of the Act were issued from time to time. Simultaneously, information has been obtained from the Bank Authorities U/s. 133(6) of the Act and on verification of the same, it was noticed that the assessee has made cash deposits to the tune of Rs. 4,92,64,897/- during the entire year and has deposited an amount of Rs. 60,71,390/- during the demonetization period. The assessee was asked to furnish the sources for these cash deposits and other requisite information. It was observed that out of Rs. 60,71,390/- cash depo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed as turnover, the same shall not be treated as unexplained money within the provisions of section 69A of the Act and therefore deleted the additions made by the Ld. AO by allowing the appeal of the assessee. Aggrieved by the order of the Ld. CIT(A), the Revenue is in appeal before the Tribunal by raising the following Grounds of Appeal: 1. The Ld. CIT(A) erred in admitting the new / additional evidence ignoring the provisions of Rule 46A(2) of the Income Tax Rules, 1962. 2. The Ld.CIT(A) erred in taking into account the new / additional evidence, without providing any opportunity to the AO to examine / refute the said additional evidence, ignoring the provisions of Rule 46A(3) of the Income Tax Rules, 1962. 3. Whether the Ld. CIT(A) is co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n which is evidenced by the bank statements submitted in the paper book. The Ld. AR therefore pleaded that the order of the Ld. CIT(A) be upheld. 5. We have heard both the sides and perused the material available on record as well as the orders of the Ld. Revenue Authorities. It is an admitted fact that there is a difference in the turnover to the extent of 55,43,977/-. The explanation of the assessee is that this amount is being deposited by the sister concern of the assessee for the purpose of taking a Demand Draft favouring Andhra Pradesh Beverages Corporation for procuring of stock by them. In this connection, the submission of the Ld. AR is that the sister concern has filed an affidavit stating that it has deposited the cash in the sis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Ld. CIT(A) has concurrent powers like that of the Ld. AO. Further, section 250(4) of the Act confers powers to the Ld. CIT(A) to make such further enquiries as he thinks fit or may direct the Ld. AO to make further enquiry or report of the same. For the sake of brevity, we extract below section 250(4) of the Act. Sec. 250(4): The [ Joint Commissioner (Appeals) or the ] Commissioner (Appeals) may, before disposing of any appeal, make such further inquiry as he thinks fit, or may direct the Assessing Officer to make further inquiry and report the result of the same to the [ Joint Commissioner (Appeals) or the ] Commissioner (Appeals). From the plain reading of the above, the Act confers powers U/s. 250(4) of the Act to the Ld. CIT(A) to disp ..... X X X X Extracts X X X X X X X X Extracts X X X X
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