TaxTMI 
TaxTMI 
2022 (4) TMI 484
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....llowing grounds of appeal: "1. On the facts and circumstances of the case, the Ld. CIT(A) erred in allowing relief to the assessee by deleting the unexplained cash credit of amounting to Rs. 9,80,05,649/- by increasing the capital. Since, the assessee had unable to explain the complete and true picture of financial position in the Income Tax return and after issued of notice u/s 143(2) on 06.09.2017 assessee filed her return for the A.Y 2017-18 disclosing proprietor capital of Rs. 12,98,33,489/- which shows that the claim of assessee is genuine." 2. The brief facts of the case are that during the course of assessment proceedings, the Assessing Officer noted that on verification of the return of income, the Learned Assessing Officer obse....
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....e complete and true picture of the financial position in Income Tax Returns. He further observed that even on verification of Income Tax Return pertaining to assessment year 2017-18, it was found that the assessee disclosed proprietor's capital of Rs. 12,98,33,489/-. He, therefore, observed that the assessee did not rectify the mistake even the subsequent assessment year 2017-18. He, therefore, treated the increase in capital as unexplained cash credit u/s 68 of the Act. 4. In appeal before the ld. CIT(A), the assessee reiterated its submissions and furnished the reconciled accounts, whereupon, the ld. CIT(A) called for remand report from the Assessing Officer. The ld. CIT(A) thereafter called comments of the assessee on the said remand re....
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....ome from Business/Profession, Interest Income, Dividend Income and Capital Gains. The assessee has duly reported these incomes in the return of income filed for the year. A Copy of the computation of income for the current year is enclosed at page 2. As such, the source of capital is explained. 2 As per mandate of ITR-4, the assessee showing income exceeding Rs. 50 lacs must disclose the personal assets and liabilities in Schedule AL In the submissions filed before your goodself, the assessee had herself submitted that the employee who had prepared the return of income should have reported the personal assets and liabilities of the individual file of the assessee under 'Schedule AL but had wrongly clubbed the same with the assets ....
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....he Act was issued on 06-09-2017. A copy of the notice is enclosed at page 17-18. Notice u/s 142(1) was issued on 19-07-2018 and 30-08-2018 and replies were on 09-08-2018, 14- 09-2018 and 25-09-2018. Copies enclosed at page 3-14. Hence, at the time the replies were made to notice issued u/s 142(1) of the Act, the return for AY 2017-18 was already uploaded on the e-filing website by the same employee who filed the return for AY 2016-17. Further, with regard to the allegation of the learned AO that the assessee had mala fide intention please note that the assessee had filed the correct ITR for AY 2018-19 wherein the assets/liabilities of the personal file of the assessee were not consolidated with the assets/liabilities of her proprietorship f....
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.... the earlier AY 2015-16 wherein only the balance sheet and profit & loss account of the proprietorship business was reported with the clubbed balance sheet and profit & loss account of the appellant reported in the relevant year is found to have fully reconciled as well. It is also not a case that the income/revenue generated from the personal assets & liabilities have not been disclosed in the return of income filed for the relevant AY 2016- 17 or the earlier years or that the personal assets & liabilities reported in her individual balance sheet is unexplained/undisclosed. It is a simple case wherein the appellant maintains two profit 8& loss account and balance sheets for her individual self and her proprietorship Business. Under the new....
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.... reported due to inadvertent mistake on the part of the employee as he inadvertently consolidated the assets and liabilities of the personal file of the assessee with the assets and liabilities of the proprietorship concern, 'M/s Selfcare - The Natural Way'. The audited accounts of the assessee were duly verified by the Assessing Officer during the assessment proceedings. So far as the objection of the Assessing Officer that the assessee repeated his mistake in the return for assessment year 2017-18 is concerned, the assessee duly replied that by the time, the aforesaid mistake came to the notice of the assessee, the return for assessment year 2017- 18 was already filed. It was also explained that the assessee has filed the correct Income T....