TaxTMI 
TaxTMI 
TaxTMI 
2025 (8) TMI 355
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....howing income of Rs. 4,43,480/-. On the basis of information received by the AO that the assessee had deposited cash of Rs. 18,55,600/- in the bank account, purchased immovable property of Rs. 52,73,625/- and made payment of credit card bills of Rs. 2,05,479/-, the case was reopened under Section 147 of the Income Tax Act, 1961 (in short 'the Act') after recording of the reason by the AO. The assessment was completed u/s.143(3) r.w.s. 147 of the Act on 22.12.2017 at total income of Rs. 52,75,220/-. 3. Aggrieved with the order of the AO, the assessee had filed an appeal before the First Appellate Authority, which was decided by the Ld. CIT(A) vide the impugned order and the appeal of the assessee was dismissed. 4. Now, the assessee is in s....
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....w any ground/s of appeal on or before hearing of the appeal." 5. The first ground taken by the assessee is general in nature and no argument was advanced by the assessee in this regard. Hence, dismissed. 6. The second ground is against the reopening of the assessment u/s.147 of the Act. This ground was also not pressed by the Ld. AR in the course of hearing, hence, the same is dismissed. 7. The next ground pertains to addition of Rs. 23,87,500/- on account of opening cash balance. In the course of assessment, the AO had noticed that the assessee had introduced fresh capital in partnership firm M/s. Rudra Construction, deposited cash in his bank account with State Bank of India and Bank of India and also made investment in cash for purch....
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....ls of source of cash received Amount Withdrawal from Bank of India Rs. 53,95,000 Withdrawal from Rudra Construction Rs. 17,02,154 Withdrawal from State Bank of India Rs. 87,000 Opening Balance Rs. 23,87,500 Total Rs. 95, 71, 654 Details of investment made in cash Amount Cash deposits in bank a/c with State Bank of India - 438 Rs. 4,91,000 Cash deposits in bank a/c with Bank of India - 454 Rs. 18,55,600 Capital invested in Rudra Construction Rs. 50, 17,057 Investment in agricultural land in Asoj Rs. 4,04,000 Investment in agricultural land in Jaspur Rs. 13,97,630 Total Rs. 91, 65,687 7.4 It is, thus, found that the total investment of Rs. 91,65,687/- made during the year was partly explained out of opening b....
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....ssessee. The balance sheet of the earlier years may also be referred to ascertain the opening cash balance available with the assessee. The ground taken by the assessee is allowed for statistical purposes. 8. The next ground pertains to addition of Rs. 12,39,937/- on account of investment in immovable property. In the course of assessment, the AO found that the assessee had purchased a property jointly with one Shri Devanand Parmanand Pithya for a consideration of Rs. 52,74,000/-. The AO, therefore, considered that the share of investment of the assessee in the said property was 50%, to the extent of Rs. 26.37 Lacs. However, the assessee submitted that he had contributed only Rs. 13,97,630/- towards this property which was out of cash avai....
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....ned in the sale deed that the payment made by the assessee was to the extent of Rs. 13,97,630/- only. Rather, in the sale deed the entire payment of Rs. 52,74,000/- was acknowledged to be received in cash. Under the circumstances, the contention of the assessee that he had only 25% ownership in the property was rightly rejected by the Revenue. In the absence of individual share of the two co-buyers being not mentioned in the sale deed, the shareholding of the co-owners in the property had to be considered in equal proportion. The AO had, therefore, rightly added the balance unexplained investment of Rs. 12,39,370/- on the part of the assessee. The addition as upheld by the Ld. CIT(A) is, therefore, confirmed. The ground taken by the assesse....