2017 (5) TMI 1790

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....and not each and every individual deposits as there were withdrawals as well. 2. Briefly stated, Assessee is the Vice President of M/s Alghamin Industries having income from salary, property and other sources and has filed return of income of Rs. 7,20,241/-, whereas the assessment was completed determining the taxable income at Rs. 2,47,61,970/-. One of the issue for consideration is with reference to the deposits in bank account to an extent of Rs. 1,03,28,500/- in various accounts of Assessee in Axis bank, Journalist Colony, Jubilee Hills and Andhra Bank, Jubilee Hills. Since Assessee could not explain the source of deposits, the entire amount was brought to tax by the AO. 3. Before Ld. CIT(A) Assessee furnished more details including r....

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....que or transferred the money from one account to the other account without taking the pain of withdrawing the cash and depositing the same in his account in the same bank, same branch. The cash withdrawals and deposits made by the appellant in his bank account is enclosed in the form of Annexure-A. The Aughorized Representative relied on the decision in the case of Sri Gopal Agarwal vs ITO, ITA No. 408/Hyd/2009 Order dated 05.02.2010. In this case, the Hon'ble Tribunal held that the nexus between debits and credits need not be proved by the assessee as the account was undisclosed. However, the f acts in the present case are different. All the accounts of the assessee are disclosed. Hence it is not correct to compute peak credit, as I consid....

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....e has placed on record the decision of ITAT Delhi in the case of Shri Manoj Kumar Jain Vs ITO 13 ITR (TRI) 227 and Shri Sudheer Kumar Sharma HFU Vs CIT-3, 69 Taxman.com 219 (Supreme Court), the corresponding Hon'ble High Court judgment in the same case reported at 224 taxman.com 178 (Punjab & Haryana). 7. We have considered rival contentions and perused the orders of the authorities. Admittedly, Assessee is not in a position to justify fully the large number of deposits. Assessee before CIT(A) furnished certain sources for cash deposits and withdrawals, particularly amounts borrowed by cheques and drawn in cash. Considering that there is no allegation that Assessee has made unexplained investments and/or indulging any business, there is no....