TaxTMI 
TaxTMI 
2022 (9) TMI 1374
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....me Tax (Appeals) has erred in reopening the assessment u/s 147 of the Income Tax Act, 1961 and issuing notice u/s 148 of the Act, 1961. 2. On the facts and in the circumstances of the case as well as law on the subject, the learned Commissioner of Income Tax (Appeals) has erred in confirming the action of the Assessing Officer in making addition of Rs. 32,55,324/- on account of cash deposited of Rs. 13,72,000/- and credit of Rs. 18,83,324/- into saving bank account treated as alleged unexplained money u/s 69A of the Act. 3. On the facts and in the circumstances of the case as well as law on the subject, the learned commissioner of the Income Tax (Appeals) has not offered ample opportunities to hear the case and passed ex-parte order, he....
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....ment of Vinaben B Vyas, it was also noted that the said account is also not disclosed in her books as well. The Assessing Officer issued show cause notice dated 05/10/2019 in fixing the date of hearing on 11/10/2019. In the show cause notice, the Assessing Officer issued show cause as to why total credit of Rs. 32,55,324/- should not be treated as unexplained money and be added to the total income of the assessee. The Assessing Officer recorded that no reply was received by assessee despite giving sufficient time. The Assessing officer while passing assessment order added the total credit of Rs. 32,55,324/- in the bank account, as unexplained money under Section 69A of the Act. 3. Aggrieved by the additions in the assessment order, the ass....
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....of income for assessment year under consideration on 18/02/2013. Copy of acknowledgement of return is filed and the same is available on record. In the return of income, the assessee has offered business income as reflected in the return of income. The assessee was running his business in the name of 'Varsha Packaging and Plastic Industry'. The assessee was in the business of trading of plastic items. The assessee has offered 8% income under Section 44AD of the Act on the total receipt of Rs. 41,83,221/-. The cash deposited on various dates in the bank account was unreported business receipts. There were certain entries through cheques. The Assessing Officer added aggregate of entire cash deposit and cheque deposit in the bank account. The ....
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....it in the impugned bank account as it was the additional and unrecorded income of assessee. Now, the assessee cannot take the plea of taxing profit margin on the cash deposit in the bank account. 6. I have considered the submissions of both the parties and have gone through the orders of lower authorities carefully. I find that the during the assessment, the Assessing officer made addition of aggregate of cash as well as cheque deposit in the bank account of assessee. The ld. CIT(A), confirmed the additions by taking a view that despite being given ample opportunities during appellate proceedings, the assessee failed to explain about the nature and source of the cash deposits and other credit entries amounting to Rs. 32,55,324/- in the ban....
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.... that transaction in bank account pertained to her textile business. The assessee claimed that only peak credit appearing in the bank account should be considered which was not accepted and the amount after reducing the cheque deposits, remaining was treated as unexplained. However, on appeal before Tribunal, the plea of assessee that amount credited in the bank was a part of textile business and only profit element @ 5% of total deposit including of credit by way of cheque was considered as a profit element on the total deposits. 8. I am of the view that entire amount of deposits cannot be considered for addition, when the assessee is specifically contended before ld CIT(A) that the credit in the bank account if his unreported income. The....