TaxTMI 
TaxTMI 
2013 (7) TMI 802
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....y evidence with regard to sale of agricultural production; (iii) Not considering the fact that the copies of bills of sale of jewellery amounting to Rs.9,18,560/- does not bear sale tax no.(BST/CST/VAT), invoice no., Tel. No. and even the jewelers, to whom the assessee stated to have sold the jewelers, did not reply the notices u/s 133(6) sent by the AO and in such circumstances, genuineness of the said bills and the explanation of the assessee cannot be verified. The appellant craves the right to alter, amend, add or substitute the grounds of appeal." 2. Briefly stated the facts of the case are that, the assessee filed his return of income on 30.07.2008 declaring an income of Rs.4,67,677/-. Subsequently the case was selected for scrutiny and statutory notices u/s 143(2) and 142(1) of the Income Tax Act 1961 (for short the Act) along with questionnaire and AIR were served on the assessee. The AO made addition of Rs.19,55,000/- after treating cash deposit in Axis Bank account of the assessee as income from undisclosed sources and accordingly taxed the same as assessee,s income from other sources. The AO also made another addition of Rs.4,296/- on account of interest income ....
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....ove, the Ld. Counsel for the assessee submitted that the AO rejected the explanation of the assessee in an objective manner without touching roots of the dispute. The Counsel further submitted that the AO has not disputed the fact that the assessee holds 3.5 bighas of agriculture land and the assessee received agriculture income earned there from. The counsel also submitted that the second explanation of the assessee about the second source of cash has been stated to be sale proceed of sale of jewellery. Which is supported by documentary evidence and the CIT (A) has rightly accepted the above evidence. The Counsel of the assessee pressing cross objection also submitted that the assessee offered explanation which was supported by documentary evidence for the amount of Rs.20,00,000/- and the CIT (A) has accepted the explanation in regard to amount of Rs.17,55,000/-. The CIT (A) has rejected the claim of the assessee for part amount of Rs.2,00,000/- which is not reasonable and justified. The Counsel pointed out that when the explanation offered by the assessee has been accepted by the first appellate authority then that the confirmation of the part addition of Rs.2,00,000/- is alsonot....
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....1.4401-and not 20 lacs as mentiond by the Ld. AO. Secondly it is again reiterated that this was the accumulated savings over the number of years and not the savings out of agricultural income in the year under consideration. 3. With regard to AO observation that the asssessee has not mentioned the name of his mother in the list of family members it is submitted that the mother of the assessee keeps on moving and stay with her different relatives at various places and does not permanently stay at one place. 4. With regard to Ld. AO's observation that the facts of the two affidavit of the assessee mother's are different is submitted that the facts of the two affidavits were not at all different which would be clear from the affidavits them selves. Moreover regarding different signatures on the two affidavits it is submitted that the Ld. AO has not appreciated the facts of the case with a fair and judicious mind and has ignored the realities of life altogether. He has ignored the fact that on one affidavit the signatures are in English and on the other are in Bangla Language. It is, no where mentioned that a person has to sign in one language only. In fact this is the reason why....
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....an' of an old hindu lady of 87 years of age and who got married about 70 years ago and belong to a respectable family. 4. The observation of the AO that the evidence are flimsy and non verifiable in nature is, thus, not correct in the facts and circumstances of the case. C. The AO is not justified in rejecting the affidavits of the assessee and of his mother without cross examination and without giving proper and sufficient opportunity in this regard. The appellant has also furnished a copy of a Certificate issued by Pradhan, Kaiyar Gram Panchayat, Kaiyar, Thana-Khandagosh, (Dist. Burdwan, (West Bengal) where the agricultural land of the mother of the assessee Smt. Sibrani Das and earning of agricultural income there from. The appellant's village is 21 Ian from District Head quarter's of Burdhaman District. The Agricultural lands are irrigated by a canal from Damodar Valley Corporation (17 km away). The population of the village is- ground 2000 to 2500. Nearest Bank united Bank of India and some other cooperative bank) is at 4 km at Sehara Bazar, near the village. The lands are given to share copper(4 in numbers). There is no shop or hat or bazzar in the village. The buses....
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.... directly arrived to a finding that it would be fair and reasonable to Rs.2,00,000/- to the return of income of the assessee as income from other sources but we are unable to see any basis of this segregation and part confirmation of the addition made by AO. From part B of the impugned order has been reproduced hereinabove, we observe that CIT (A) has considered a certificate issued by Gram Pradhan and also held that the AO was not justified in rejecting the affidavits of the assessee and his mother without cross examination and without giving proper and sufficient opportunity in this regard. At the same time, we also observe that the CIT (A) has also not given basis of segregation and part confirmation of the addition made by the AO. 9. In this situation, we find it appropriate that the issue of cash deposit of Rs.19,55,000/- to the saving bank account of the assessee deserve fresh adjudication by the AO. In the light of provisions of u/s 68 of the Act, the AO is directed to decide the issue afresh without being prejudiced to the findings of this Tribunal in this order and findings and observations of the CIT (A) in the impugned order by giving reasonable opportunity of hearing....