TaxTMI 
TaxTMI 
2023 (2) TMI 1253
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....ear 2017-18. The impugned order was emanated from the order of the ld. Income-tax Officer, Ward 2(5), Muktasar (in brevity the AO) order passed u/s. 143(3) date of order 18/11/2019. 2. The brief fact of the case is that during the impugned AY 2017-18, the assessee filed return of income U/s 139 of the Act. In the return of income filed by the assessee, the total income has been declared at Rs. 9,86,360/- under the head Income from Other Sources. The said return of income was processed, and the case of the assessee was selected for "Limited Scrutiny" on the ground "Large Value cash deposits during demonetisation period as compared to Returned Income". In the assessment, the ld. AO made additions amounting to Rs. 13,82,000/- u/s 69A of the A....
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.... of Rs. 12,00,000/- and Rs. 5,00,000/- has not been utilized by the assessee till the date of deposit in the bank account and further, it was also stated that no such part of cash is used for the purpose of purchase of immovable or movable property, marriage of any member of family etc. The copy of the undertaking is placed in the APB at page no.24. 3.1. The AR further argued that the ld. AO issued another questionnaire wherein, the ld. AO inquired about the previous cash withdrawals of Rs. 12,00,000/- and Rs. 5,00,000/- in FY 2013-14 and FY 2014-15 respectively. The ld. AO also asked about the purpose of such cash withdrawals as made by the assessee. Copy is placed at APB page no.25-26. The assessee filed a detailed reply dated 09.08.2019....
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....000/- is reflecting. The said copy of account is placed in the APB at page no.46. 3.3. The AR respectfully relied on the order of the Hon'ble High Courts which are as follows:- * ShivcharanDass vs. Commissioner of Income Tax 126 ITR 263 P&HHC "Unexplained investment-Amount disclosed by HUF under Voluntary Disclosure Scheme- Thereafter kept lying in assessee's house with his wife till her death-ITO questioning its source after the same had subsequently been deposited with a bank in the names of assessee's then major daughters-In the absence of any evidence to the effect that the said sum was utilized by the assessee in any other manner, the Department was not justified in unreasonably rejecting a good explanation and adding the ....
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....39;ble Supreme Court in the case of Dhakeswari Cotton Mills Ltd. (supra) has held that the AO cannot complete the assessment purely on guess and without any reference ITA Nos. 1727/H/14 Sri M. Prabhakar to evidence or any material at all. Also in the case of Umacharan Shaw & Brothers (supra), the Apex Court has held that AO cannot complete the assessment merely on suspicion which cannot take the place of proof in these matters. Respectfully following the ratio laid down by the Hon'ble Supreme Court in the said cases, we hold that the AO made the assessment merely on suspicion and without bringing any cogent material on record to establish that assessee cannot keep the cash in his hand being a NRI. Accordingly, we uphold the order of the....
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....ng Officer, as is evident from his order, on the ground that he has come to the conclusion that cash deposits were from some other source of income which is not disclosed to the Revenue. Assessing Officer nowhere in his order has brought out any material on record to show that assessee is having any additional source of income other than that disclosed in the return nor Assessing Officer could spell out in his order that cash deposits made by the assessee was from some undisclosed source. All throughout Assessing Officer has raised suspicion on the behavioural pattern of frequent withdrawal and deposits by the assessee. There is no law in the country which prevents citizens to frequently withdraw and deposit his own money. Documentary evide....
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....) Appellant claimed that this cash withdrawal was out of deposits made from Commodity Income. Copy of A/c with M/S Balaji Comfin Traders was filed in support. However, as per this copy of a/c the Transaction in this a/c with M/S Balaji Comfin Traders pertain to a period after the date of cash deposits in the Appellants bank a/c. d) On analysis of ITR's and Bank a/c's of Appellant in earlier AY's the AO noted that Appellant got entry of Rs. 12,00,000/- on 26.03.2014 and withdrew it in cash on same date. On 27.032015 the Appellant received entry of Rs. 6,25,700/- from M/S Shri Krishna Comfin Traders and withdrew cash of Rs. 5,00,000/- on 06-04.2015. Appellant has shown Income from other sources of Rs. 3,26,570/- in AY-2014-15 an....