TaxTMI 
TaxTMI 
2023 (3) TMI 611
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....es leave to add, alter or delete ground(s) either before or in the course of hearing of the Appeal." 2. Brief facts of the case are that assessee is an individual, filed his return of income for the assessment year 2017-18 on 01.08.2017 declaring income of Rs.4,29,100/-. The case was selected for scrutiny. During the assessment, Assessing Officer noted that as per information available of ITBA portal, the assessee made cash deposit of Rs.10.75 lakh of old currency Notes of Rs. 500/- and Rs.1000/- during demonetization period in HDFC Bank Ltd. The assessee was asked to explain the nature and source of such deposits. The assessee filed his reply and stated that he was having sufficient cash balance on hand as on 31.03.2014at Rs.4,92,185/-. The Assessing Officer after verification of chart showing cash-in-hand and cash flow statement held that return of assessee does not commensurate with the cash deposits in the assessment year 2016-17 the assessee has shown income at Rs.4,02,830/- and cash expenses of Rs.2,74,895/- have been shown. On further verification, it was noted that cash of Rs.2.00 lakh was deposited during the year in assessee's bank account. From such fact, it is apparent....
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....ncial year 2013-14 and suddenly deposited in November-December, 2016 after demonetization of currency note of Rs. 500 and Rs. 1,000/- respectively and upheld the action of Assessing Officer. Further aggrieved the assessee has filed present appeal before Tribunal. 6. I have heard the submissions of learned Authorized Representative (Ld.AR) for the assessee and learned Senior Departmental-Representative (Ld. Sr-DR) for the Revenue and perused the materials available on record and the orders of lower authorities carefully. The Ld. AR for the assessee submits that assessee submitted details of cash deposits in his bank account during the assessment as well as in First Appellate Proceedings. No contrary evidence was brought on record by Assessing Officer that such details available with assessee is not correct. The Ld. AR for the assessee submits that cash deposit in bank is supported by ITR filed by assessee for the last preceding four years. The Ld. AR for the assessee submits that assessee furnished the cash book for his last four years including the assessment year under consideration along with balance-sheet, profit and loss account, capital account, ITR and computation income. Th....
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....essed as normal course of income and the same is also once again assessed as deemed income. Thus, same income has been taxed twice, which is not permissible in law. The cash deposit in bank out of cash income received by assessee from assessment years 2014- 15 to 2016-17 were duly reflected in the return of income filed in due course and cannot be added as deemed income in the current year also. Such action of Assessing Officer is bad in law for the reasons, firstly, the income of earlier year cannot be taxed in the current year and secondly disclosed income in the returned income cannot be taxed in the current year, which is tantamount to double taxation of the same income neither in assessment order nor the appellate order spoke to anything about cash income declared in last four preceding assessment years. Thus, no addition can be made for the income already declared in the returned income by assessee. 10. The Ld. AR for the assessee submits that lower authorities have not doubted cash deposit out with the income declared for the earlier preceding assessment years. The assessee furnished the cash book before the Assessing Officer and no defects were pointed out either in the re....
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....enue submits that assessee in his return of income has shown income from salary and other source of income, the books of account produced by assessee are not reliable. The entry in the books of account of assessee is not sacrosanct. 13. I have considered the rival submissions of both the parties and have gone through the order of lower authorities carefully. I find that Assessing Officer made the addition of Rs.9.75 lakh after giving the benefit of Rs. 1.00 lakhs as reasonable estimation of cash-in-hand. The ld CIT(A) also upheld the addition made by the assessing officer by holding that assessee made more or less same submission as made before assessing officer that he was having sufficient opening & closing balances. And that the assessee has not explained as to how such cash balance generated to a salaried person and source of income is salaried and other sources. It was held that entry in the balance-sheet or capital account, has no meaning unless the source of cash substantiated. I find that the assessee is regularly filing his return of income for 2014-15 and is showing cash income in his return of income, copy of return of income, with computation of income is filed on reco....