TaxTMI 
TaxTMI 
2022 (5) TMI 1412
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...., an individual in status, was deriving income on commission basis from real estate business. For the assessment year in question, she filed her return of income on 06.02.2012 admitting a total income of Rs.4,44,750/-, which was initially processed under section 143(1) of the Income tax Act, 1961 (in short, 'the Act'). Subsequently, notice under section 143(2) of the Act, dated 31.07.2012 was issued, which was served on the appellant on 17.08.2012. In response, the relevant details were furnished by the appellant to the respondent. Thereafter, an assessment order under section 143(3) of the Act, dated 21.03.2014 came to be passed, making addition of Rs.25,00,000/- as unexplained investment under section 69 of the Act, on the premise....
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....was no mandate under the statute for the department to question the source for each and every entry that formed the basis to arrive at the gross income for the purpose of applying 8% rate. It is further contended that the appellant had been earning income from real estate business from the assessment year 2007-08 onwards and the records produced by her were very much available with the respondent. However, the respondent erred in concluding that the cash deposits in the SB account do not represent the business receipts as admitted under section 44AD and that, the source for the peak cash balance of Rs.25,00,000/- was not proved by the appellant and accordingly, made addition of the said amount as unexplained investment under section 69 of t....
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....ppearing for the respondent submitted that after analysing the entire facts and circumstances of the case in the light of the materials placed, the authorities below rightly held that the sources of the deposits in question, were not properly explained by the appellant. Hence, the order impugned herein warrants no interference at the hands of this court. 6.Heard both sides and perused the documents enclosed in the typed set of papers. 7. The short question that arises for consideration herein is relating to the unaccounted credit of Rs.25,00,000/- in the savings bank account of the appellant. According to the appellant, the said sum is to be taxed at 8% as per section 44AD of the Act, as the same is her business receipts. However, the....
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....erefore, this tax case appeal by the appellant / assessee. 8.There is no dispute with regard to the legal position that Section 44AD of the Act was inserted by Finance Act, 1994 with effect from 01.04.1994. Sub-section (1) of Section 44AD clearly provides that where an assessee is engaged in the business of civil construction or supply of labour for civil construction, income shall be estimated at 8% of the gross receipts paid or payable to the assessee in the previous year on account of such business or a sum higher than the aforesaid sum as may be declared by the assessee in his return of income notwithstanding anything to the contrary contained in Sections 28 to 43C of the Act. This income is to be deemed to be the profits and gains o....
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....come filed by the assessee. The question of cash deposit was a subject matter of AIR information based on which the Assessing Officer had called for details. In response to the query by the assessing officer, the assessee has made a claim that the amount of Rs.12,45,000/- was her own accounted money and Rs.12,55,000/- was cash gift received from here NRI son and her husband. However, no evidence was produced & hence, the assessing officer made the additions. The assessee and her authorized representative are unable to produce any evidence in support in their claims even during the proceedings before me. Therefore, I do not find any reason to interfere with the Assessment Order. Hence, this ground of appeal is dismissed." Income Tax Appel....