AI Drafter 
TaxTMI 
TaxTMI 
2023 (3) TMI 1314
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.... "1. On the facts and circumstances of the case as well as law on the subject, the ld. CIT(A) has erred in confirming the action of Assessing Officer in making addition of Rs.6,00,000/- on account of unexplained money u/s 69A r.w.s. 115BBE. 2. On the facts and circumstances of the case as well as law on the subject, the ld. Assessing Officer has erred in taxing the addition by taking the rate @ 77.25% by attracting Section 115BBE instead of normal tax rate. 3. On the facts and circumstances of the case as well as law on the subject, the Assessing Officer has erred in taking the income u/s 115BBE @ 77.25% in a retroactive manner by applying the duly substituted S. 115BBE inserted retrospectively instead of taxing it at....
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....y supporting evidence. The assessee stated that the deposits were made from cash withdrawals from bank and accumulated amount was deposited in bank account. The assessee filed cash flow statement from 01/04/2015 to 31/03/2015. The Assessing Officer after considering the submissions of the assessee and the details so furnished accepted the explanation with regards to deposits of Rs. 9.90 lacs deposited on 26.11.2016, and for remaining amount of Rs. 60.00 lacs, was of the view that deposited on 30/11/2016 is not substantiated with cash flow statement. On the basis of such observation, the Assessing Officer issued another show cause notice dated 25/11/2016 as to why Rs. 6.00 lacs should not be treated as unexplained cash credit and added under....
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....ndisclosed income of assessee and brought the same to tax under Section 115BBE of the Act. 3. Aggrieved by the additions, the assessee filed appeal before the ld. CIT(A). Before the ld. CIT(A), the assessee filed similar submission as made before the Assessing Officer. The submission of assessee is recorded in para 3 of order of ld. CIT(A). The assessee in addition to, submitted that he took voluntary retirement from his services and received Rs. 22,17,402/- from Employees Provident fund and Rs. 10.00 lacs as gratuity from employer which was credited in his bank account. The assessee withdraw the said sum at regular interval and during demonetization, Rs. 15.90 lacs were deposited out of accumulated cash and also furnished cash flow stat....
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....or the Revenue and have gone through the orders of the lower authorities carefully. The ld. AR of the assessee submits that the assessee was employed with Venus Jewels from last so many years. The assessee filed its return of income showing business income of Rs. 2,29,875/- and income from other sources. Copy of income tax return is placed on record and has shown gross total income of Rs. 45,239/- which was below the taxable limit. The assessee shown such income under the head income from 'other sources'. During the relevant financial year, the assessee availed voluntary retirement from his employer i.e. Venus Jewels. The assessee received Rs. 22,17,402/- on account of employee's provident fund and Rs. 10.00 lacs as gratuity from his employ....
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.... placed on record at page No. 66 and 67 of the paper book. The Assessing Officer accepted the cash deposit of Rs. 9.90 lacs, however, Rs. 6.00 lacs was not accepted by taking a view that some cash was deposited after withdrawal from salary account. The assessee was not maintaining cash book or books of account, therefore, theory of cash balance of Rs. 6.00 lacs kept in house is not acceptable and held that the source of such cash deposit remains unexplained and added the same under Section 69A of the Act. The ld. AR of the assessee submits that keeping in view the frequency of transaction and availability of cash, the addition of Rs. 6.00 lacs is not sustainable. The ld. CIT(A) has not given any specific finding except confirming the action....
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....ase cash withdrawals of Rs. 20.23 lacs apart from opening cash of Rs. 82,400/-. I find that apart from regular withdrawal through ATM of amount of Rs. 5,000/- to Rs. 20,000/- on regular interval, which may be used for day to day household expenses. The assessee made cash withdrawal of Rs. 5.00 lacs each on 17/08/2016, 19/08/2016 and 23/09/2016. Source of credit in the bank account is not at dispute as the assessee has received Rs. 10.00 lacs as gratuity on 15/04/2016 and Rs. 22,17,402/- on account of provident fund on 30/06/2016. The assessee made deposit of Rs. 9.90 lacs on 24/11/2016 which has been accepted by the Assessing Officer. However, the Assessing Officer has not accepted Rs. 6.00 lacs deposited on 30/11/2016. On careful perusal o....