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TaxTMI 
TaxTMI 
TaxTMI 
2019 (9) TMI 679
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....who was in judicial custody. The case was selected for scrutiny. In the course of assessment proceedings, the Assessing Officer (AO) called for, inter alia, the bank accounts and on examination thereof observed that there were cash deposits to the extent of Rs. 16,80,500/- made in her Bank account with Corporation Bank, Vijayanagar Branch, Mysore. The assessee explained that the aforesaid cash deposits in her Bank account represent the cash component of the consideration received for sale of her father's immovable property. It was submitted that the father of the assessee was in judicial custody and the assessee had sold the property which was in the name of the father by taking GPA from her father. It was further submitted that amounts tot....
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....this appeal before the Tribunal, wherein she has raised the following grounds:- 1. The learned AO, has failed to provide sufficient opportunity to the Appellant before passing the assessment order under section 143(3) of the Act. 2. The assessment order/ order of the learned Commissioner of Income Tax (Appeals) is erroneous in law and under the facts and circumstances of the case. 3. The learned AO has erred in law and on facts in raising demand of Rs. 7,05,530. 4. The learned AO has erred in law and on facts in making addition of Rs. 16,80,500 without appreciating the explanations offered by the Appellant. 5. The addition made by the AO as "unexplained investment" is erroneous both under the law and on facts as the Appellant....
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....e duly considered. 3.3.1 In appeal proceedings, the learned AR of the assessee put forth various submissions, the gist of which is as under:- (i) The assessee in the period under consideration is admittedly a student and therefore has no independent source of income and was therefore incapable of earning any such unexplained income or investment; as alleged. (ii) The father of the assessee Shri. R. Rachaiah was in judicial custody and the assessee had obtained General Power of Attorney (GPA) from her father and sold the property; which fact is borne out from the recitals in the sale deed dated 07.06.2010. As such the sale of the said immovable property was by her father and the income from the sale should be assessed only in the han....
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....rt of the assessee's contentions, the learned AR placed reliance on the following judicial pronouncements:- (i) Ramawathi Vs. ITO (ITA No.701/JP/2014) (ITAT Jaipur Bench). (ii) CIT Vs. P. K. Noorjahan (1999) 237 ITR 570 (SC); (iii) Gyan Chand Agarwal Vs. Addl. CIT (ITA No.266/JP/2017) (ITAT - Jaipur Bench). 3.4 Per contra, the learned DR for Revenue supported the orders of the authorities below. 3.5.1 I have considered the rival contentions, the submissions made, documents submitted and carefully perused the material on record; including the judicial pronouncements cited. The basic undisputed facts are that in the year under consideration the assessee was a student; a fact recorded on page 1 of the order of assessment and there....
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.... mentioned in the sale dee. From a perusal of the assessee's bank account with Corporation Bank, Vijayanagar Branch, Mysore, it is evident that apart from the cheque deposit of Rs. 2 lakhs of the sale consideration and the impugned cash deposits, there are no other deposits of any great value; clearly establishing that the assessee has no other source of income. 3.5.3 In the case of Smt. Ramawati Vs. ITO in ITA No.701/JP/2014 dated 10.04.2015, the Jaipur Bench of the ITAT has explained the scope of section 69 of the Act and has drawn on the decision of the Hon'ble Apex Court in the case of CIT Vs. P. K. Noorjahan (1999) 237 ITR 570 (SC) to hold that when a person has no source of income, it cannot be presumed that the assessee has undiscl....