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TaxTMI 
TaxTMI 
TaxTMI 
2017 (9) TMI 1871
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....Bank Account No. Cash Deposit (Rs.). Other than cash (Rs.) Total (Rs.) HDFC Bank Ltd. 00441000124939 3,60,000 44,991 4,04,991 Axis Bank Ltd. 910040001261099 Nil 1,01,310 1,01,310 Axis Bank Ltd. 911010021993895 Nil Nil. Nil HDFC Bank Ltd. 01221930007863 21,01,000 4,30,686 25,31,686 Total 30,37,987 4. The Assessing Officer made addition of Rs. 30,37,987/- to the income of the assessee as undisclosed income on the ground that they were not disclosed by the assessee in the return of income. 5. On appeal, the CIT(A) observed that an amount of Rs. 1,01,310/- has been added by the Assessing Officer being credits other than in cash in Axis Bank A/c. No. 910040001261099. The assessee explained that the said amount is fixed deposit of Rs. 1,00,000/- plus interest accrued thereon. It was submitted that the source of the said fixed deposit of Rs. 1 lac was transferred from Axis Bank A/c. No. 909018041840143. The CIT(A) observed that after going through the said Axis Bank A/c. No.909018041840143, which shows that an amount of Rs. 1 lac was debited on dt.19.1.2010 in favour of Axis B....
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.... justified in adding Rs. 30,37,987/- as income from undisclosed sources since four bank accounts were not disclosed by the assessee in the return of income filed. 8. On the other hand, ld A.R. supported the order of the CIT(A) and submitted that the CIT(A) after appreciating the evidences furnished before him has deleted the addition. Hence, the order of the CIT(A) be confirmed. 9. We have heard the rival submissions, perused the orders of lower authorities and materials available on record. In the instant case, the undisputed facts are that during the course of assessment proceedings, the Assessing Officer found that four banks accounts two of HDFC Bank and two of Axis Bank were not disclosed by the assessee in the return of income filed with total of deposit of Rs. 30,37,987/-. Therefore, the Assessing Officer added the sum of Rs. 30,37,987/- to the income of the assessee under the head "undisclosed sources". 10. On appeal, the CIT(A) deleted the addition of Rs. 15,00,000/- by observing that the amount of Rs. 101.310/- was credits other than in cash in Axis Bank Account No. 910040001261099. He observed that the source of this deposit was transfer of Rs. 1 lakhs from Axis....
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....lakhs. In the circumstances, we find no good reason to interfere with the order of the CIT(A), which is hereby confirmed and ground of revenue is dismissed. 13. In Ground No.2 of the appeal, the grievance of the revenue is that the CIT(A) is not justified in deleting the addition of Rs. 26,71,433/- under the head "unexplained receipts in cash/cheque, when the CIT (A) has himself admitted that there is a mismatch of dates in the submission made by the so-called creditor of Rs. 9,45,000/-. 14. The brief facts of the case are that the Assessing Officer added Rs. 9,45,000/- as unexplained cash deposits in the Axis Bank A/c. No. 909018041840143. The assessee explained before the Assessing Officer that cash was received from Sri Soumya Ranjan Samal, brother-in-law of the assessee for incurring expenditure for construction of a house for Sri Soumya Ranjan Samal. Sri Soumya Ranjan Samal in his statement recorded u/s.131 confirmed the same and stated to have withdrawn an amount of Rs. 10 lacs from his Axis Bank account on 29.12.2009. The Assessing Officer observed that the withdrawal on the said date was not in cash and disbelieved the versions of the assessee and Sri Soumya Ranjan Sa....
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....cash deposit in Axis Bank A/c. No. 909018041840143. The assessee submitted that an amount of Rs. 11,00,000/- was received from the Capt. Manoranjan Mahapatra by RTGS of Rs. 10 lacs and cash of Rs. 1 lac, which are the sources of said cash deposit of Rs. 12 lacs. The Assessing Officer did not accept the contention of the assessee. He called for explanation from Capt. Mahapatra, who confirmed to have given Rs. 1 lac in cash and Rs. 10 lacs by RTGS. The CIT(A) observed that the record shows that the assessee received an amount of Rs. 10 lacs by RTGS on dt.9.3.2010 from Capt. Mahapatra. The bank account shows cash of Rs. 10 lacs and Rs. 9 lacs were withdrawn on dts.9.3.2010 and 22.3.2010 and cash of Rs. 12 lacs was deposited on dt.31.3.2010. The bank account also shows that an amount of Rs. 11 lacs was returned to Capt. Mahapatra on 3.4.2010 by RTGS. Therefore, the CIT(A) held that the assessee's submission that Rs. 11 lacs was received from Capt. Mahapatra including cash of Rs. 1 lac is correct. He further observed that copy of confirmation given by Capt. Mahapatra was filed wherein Capt. Mohapatra has stated as under: "Sri Manoranjan Mahapatra S/o-Sri Jagabandhu Mahapatr....
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.... Samal was a high net worth individual and has shown total income of Rs. 4,05,26,834/- for the assessment year 2010-2011. He is the Managing Director of Kalinga Commercial Corporation Ltd. and Orissa Order Suppliers (P) Ltd. He has confirmed to have given an amount of Rs. 15,71,433/- including cash of Rs. 9,45,000/-. The CIT(A) observed that the assessee was supervising the construction work on behalf of Sri Soumya Ranjan Samal was undisputed. He has also observed that Rs. 1,26,433/- and Rs. 5 lacs by cheques were given by Shri Soumya Ranjan Samal and that he has confirmed the same in his statement recorded on oath and he has capacity to pay such amount. Therefore, he deleted the addition of Rs. 9.45,000/-made by the Assessing Officer observing that mismatch of date was not a fatal error. 22. Further, the Assessing Officer added Rs. 5 lakhs credited in Axis Bank A/c No. 909018041840143 received by cheque from Sri Samal. The Assessing Officer also added Rs. 1,26,433/- credited in P&N Bank A/c No. 0553000400018385 from Soumya Ranjan Samal by cheque. The explanation of the assessee before the Assessing Officer that the amount was received from his brother-in-law for incurring expen....
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....smissed. Now we take up the appeal of the assessee in ITA No.302/CTK/2015. 28. Ground Nos 1 and 7 of the appeal are general in nature and hence, requires no separate adjudication by us. 29. In Ground No.2 of the appeal, the grievance of the assessee is that the CIT(A) erred in confirming addition of Rs. 4,04,991/- as unexplained deposit in HDFC bank account. 30. The Assessing Officer made addition of Rs. 4,04,991/- being credits including cash deposit of Rs. 3,60,000/- in HDFC Bank A/c No.00441000124939 as the assessee failed to explain the source for the same. 31. On appeal, the CIT(A) confirmed the same on the ground that no credible explanation was submitted for the source of the said deposits. 32. Before us, ld A.R. submitted that addition made was not justified as the assessee claimed to have received Rs. 19,05,000/- from Smt. Archana Samal, sister of the assessee, which facts is not in dispute as will be observed from para 6.1 at page 9 of the order of the CIT(A). He submitted that Rs. 19,05,000/- was deposited by the assessee in HDFC Bank Account No.00441000124939. From this, Rs. 14 lakhs was utilized for payment to Reeva Pvt mLtd., on behalf of Smt. Archan....
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....same, we find no good reason to interfere with the order of the CIT(A), which is hereby confirmed and ground of appeal of the assessee is dismissed. 40. In Ground No.4 of the appeal, the grievance of the assessee is that the CIT(A) erred in confirming the addition of Rs. 8,31,677/-. 41. The brief facts of the case are that the CIT(A) observed that the assessee submitted that the deposit in the bank account to the extent of Rs. 8,31,677/- was out of cash withdrawals from the bank. The Assessing Officer observed that the assessee could not explain the source of Rs. 8,31,677/- deposited in the bank. Therefore, he made addition for the same. 42. On appeal, the CIT(A) confirmed the action of the Assessing Officer 43. Before us, ld A.R.submitted that Rs. 8,31,677/- deposited in the bank account was out of withdrawal from different banks, which could not be spent for the purpose for which it was withdrawn and was again deposited in the bank account. In support of the same, the assessee filed before the Assessing Officer as well as the CIT(A), copy of passbook and bank book to substantiate cash deposit together with relevant ledger account. Hence, it was the submission of ld A.....
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....en that on 19.1.2010, the assessee issued a cheque No.28972 as yourself cheque to the bank and made fixed deposit of Rs. 1 lakh by debit to the said account. He submitted that at page 24 of PB, bank statement of Axis Bank A/c No.909018041840143 for the period 1.4.2010 to 31.3.2011 is filed. It will be observed that on 12.8.2010, the proceeds of the said fixed deposit together with interest was credited for Rs. 1,03,429/-. He submitted that in view of this overwhelming evidence, both the lower authorities were not justified in making addition for Rs. 1 lakh in the hands of the assessee as unexplained deposit in the bank. 49. Ld D.R. supported the orders of lower authorities. 50. We find that the Assessing Officer has made addition of Rs. 12 lakhs as unexplained cash deposit in Axis Bank A/c No. 909018041840143. On appeal, the CIT(A) deleted the addition to the extent of Rs. 11 lakhs being satisfied with the explanation and evidence of the assessee that he has received Rs. 11 lakhs from Capt. Mohapatra by RTGS and Rs. 1 lakhs in cash. Therefore, he confirmed the addition of Rs. 1 lakhs for want of evidence. 51. We find that ld D.R. could not controvert the submission of ld A....