2015 (2) TMI 497

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....961 as against the total credit in the said account as held by the AO after having held that the assessee failed to substantiate the claim that cash deposits in the bank account have been partly made from the withdrawal of the same account; 2. On the facts and circumstances of the case and in law, the Assessee having failed to discharge the onus of explaining the source of investments made in "Share Purchase", the ld. CIT(A) erred in deleting Rs. 30,72,971/- as against Rs. 45,58,634/-" 3. The facts relating to the case are stated in brief. The Assessee filed the return of income for the year under consideration declaring total income of Rs. 1,63,439/-. The said return of income was taken up for scrutiny. From the AIR information, the AO n....

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....sh balance of Rs. 13,68,828/- found in the bank account is to be assessed as unaccounted income of the assessee u/s 69 of the Act. However, the ld CIT(A) directed the AO to verify the peak credit working furnished by the assessee. 5. With regard to the share transactions, that the ld. CIT(A) noticed that the Assessee could not explain the payments made towards purchases of shares to the tune of Rs. 12,29,609/-. Further, the ld. CIT(A) noticed that the Assessee has earned capital gain of Rs. 2,72,425/- out of the share transactions. It was also noticed that the Assessee had also earned interest income of Rs. 2,101/- on the account maintained with M/s Raligare Securities Ltd. Accordingly, the ld. CIT(A) directed the AO to assessee the above ....

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....ade in odd figures, the said explanation may not be applicable, since the same is against normal human conduct. Hence, in our view, the assessee has to explain the deposits made in odd figures, failing which the same is liable to be assessed to tax. From the summary of cash transactions, we ourselves worked out the deposits made in the round figures of Rs. 2000/- and above for the period started from 01.8.2007 to 25.3.2008, i.e., the period starting from first major withdrawal. Date Amount in Rs. 12.9.2007 16,000 1.9.2007 2,00,000 24.10.2007 3,000 5.12.2007 20,000 12.12.2007 16,000 24.12.2007 4,000 (2000+2000) 11.01.2008 3,00,000 16.01.2008 1,75,000 24.1.2008 31,000 25.1.2008 1,00,000 5.2.2008 15,000 7.2.2008 14,00....

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....ld. AR submitted that the AO has made an addition of Rs. 45,58,634/- as per the table shown in the assessment order. However, out of the transactions noted by the AO, the transaction entered on 14.9.2007 amounting to Rs. 7,80,319/- only pertains to purchase of shares and remaining amounts pertain to sale of shares. Accordingly, the ld. AR submitted, the AO was not correct in treating the sale consideration also as unexplained investment. From the order passed by ld. CIT(A), we notice that the First Appellate Authority has considered the Assessee's account as appearing in the books of the share broker, M/s Raligare Securities Ltd and has noticed that the Assessee has paid a sum of Rs. 12,29,609/- to the share broker for purchase of shares. S....