TaxTMI 
TaxTMI 
2022 (9) TMI 50
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....al, Varanasi (hereinafter called " the tribunal") , reads as under : "1. Because the learned C.I.T (Appeals) has erred in not deleting the addition of Rs. 4,00,000/- which were investment in mutual funds, made from the S/B A/C of 1.C.I.C.I. bank, statement of which was filed before the learned C.LT.(Appeals) along with application U/R 46 A. 2. Because the learned C.I.T.(Appeals) has erred in mentioning that the appellant had stated in his reply dt 19.11.2012 that the appellant had only one bank account in S.B.I. Gorakhpur. The learned CIT. (Appeals) has not considered the fact mentioned in the letter dt. 19.11.2012 the word "At present" written in the letter regarding S/B A/C of S.B.I. 3. Because when a notice U/S 133(6) dt. 20.03.2012 was issued, the appellant submitted a reply in which he had mentioned regarding I.C.I.C.I Bank account. The letter dt. 10.12.2012 incorporated in the assessment order also shows that in para 3 the I.C.I.C.I. bank has been mentioned. The learned ITO in his remand report has erred in mentioning that only one bank account of S.B.I. has been disclosed at the time of assessment and has erred in mentioning that the desire of disc....
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....after considering personal expenses, he must be having Rs. 6 lacs in bank accounts and in cash, as on 01.04.2004. The assessee explained before AO that he filed return of income for impugned assessment year declaring income of Rs. 1,66,388/- , and he invested Rs. 4 lacs during the relevant period in Mutual Fund, and no dividend and interest was received. The assessee also submitted before AO that he is not able to get his ICICI Bank statements for relevant period ( for which it was claimed by assessee that application is already filed with ICICI Bank for seeking bank statement for relevant period ), and prayers were made by assessee before AO to grant some more time. Thus, the assessee could not produce complete details before the Assessing Officer. The AO observed that the assessee has presumed that it has Rs. 6 lacs in bank account and cash in hand , as on 01.04.2004, but no evidence to that effect is produced. The AO also observed that capital account submitted by assessee is also not reliable as the IDBI Flexibonds, House Loans, PPF Balance were not disclosed by the assessee in the said capital account. The AO also observed that opening balance of capital is also not verifiable....
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.... also observed that assessee has claimed that maturity amount of investments in Mutual Fund of Rs.6.20 lacs was received in this year, but since the assessee could not produce any details as to the same nor capital gains were declared by the assessee in the return of income filed with Revenue, ld. CIT(A) did not accept the contentions of the assessee. The ld. CIT(A) dismissed the appeal filed by the assessee , by holding as under vide appellate order dated 11.07.2019: "The submissions of the appellant were considered and it is seen that he had disclosed investment in mutual fund for Rs. 4,00,000/- only. Whereas as per the bank statement submitted by him, during the course of appellant proceedings , he has made investment of Rs. 5,10,310/- in the mutual funds during the year. Thus it is clear that the statement of capital submitted by the appellant was not based on correct facts but was made to justify only the point of query raised during the assessment proceedings. The appellant had deliberately concealed the investment made by him. Even the investment made in the Government of India bond was not disclosed by the appellant. The appellant had submitted that he did not rece....
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....ade u/s 69A of the Act is made for unexplained money invested in the following 1. Rs. 1,00,000/- invested in HDFC Premium Multi Cap Fund: 2. Rs. 10,310/- Invested in ICICI Pru fund 3. Rs. 46,800/-Invested in PNB FPO 4. Rs. 47,250/-Invested in Jet FPO The appellant has not disclosed the interest income received by him nor has given any information regarding the taxability of mutual fund investment which have matured during the year. Considering the facts and circumstances of the case a sum of Rs. 15,000/- is added to the income of the appellant on this ground. The appellant has stated that he had received Rs 125877/- from the closure of bank account in City Bank during the year but no evidence regarding the nature and period of holding of the account was submitted in support of the contention. Since, the bank account with the City Bank has not been disclosed by the appellant, accordingly the funds received by the appellant are treated as unexplained money and added to the income of the appellant." 5. Aggrieved by aforesaid appellate order passed by ld. CIT(A), the assessee has come in appeal before the tribunal. The ld. Counsel for the....
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....opening capital. The assessee could not explain sources of the investment made by the assessee. The Ld. Sr. DR submitted that he has no objection if the matter is restored back to the file of Assessing Officer for denovo assessment. 6. I have considered rival parties and have perused the material available on record. I have observed that the assessee case was reopened u/s 148 of the 1961 Act by Revenue based upon AIR information that assessee has made investment of Rs. 4 lacs during the year under consideration in Mutual Funds. The AO issued statutory notices, which is not disputed by the assessee. The assessee has claimed that the assessee is an Engineer and was posted as Junior Engineer in 1968 at Durgapur Fertilizer Factory. The assessee also claimed that he came to Gorakhpur as Additional Chief Engineer. The assessee also claimed that he joined Private company namely Vam Organics Limited as General Manager(Engineering) in 1994, at Gajraula. Thereafter, he claimed that he retired in 2002 and joined Aurbindo Pharma Limited at Hyderabad as Professional Engineer. The assessee also claimed that since 1998, he was filing return of income and for the ay:2000-01 to 2004-05 , he file....
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....eclared in the return of income, the ld. CIT(A) did not accept the contentions of the assessee. The matter reached tribunal, and it is explained by ld. Counsel for the assessee that there were old investments made by assessee in earlier years which got matured during the year , and fresh investments were made by assessee out of the maturities of old investments. It is claimed that the old investments cannot be brought to tax in the year under consideration, more so the assessee is regular tax payer having regular income , wherein savings over a period of time were utilized to invest in these Mutual Funds. My attention was drawn to ICICI Bank statement , which is now placed on record in fike. It was submitted that dividend income was received and credited in ICICI Bank , which could not be taxed as the same is tax free. Thus, it was prayed that one more opportunity be provided to assessee to explain all the transactions in the bank statements and other details required by the AO, so that correct income which is chargeable to tax under the provisions of 1961 Act can be brought to income-tax. The ld. Counsel has stated before me that the assessee will provide complete details with AO ....