2026 (5) TMI 1479

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....144B of the Income Tax Act, 1961 (hereinafter referred to as 'the Act') relating to the Assessment Year 2015-16. 2. Brief facts of the case is that the assessee is an individual and has not filed the Return of Income for the Asst. Year 2015-16. Information received in the Insight portal that the assessee has purchased an immovable property for Rs. 62,00,000/- and made cash deposit in Bank of Baroda of Rs. 52,00,000/- during the Financial Year 2014-15. Therefore a show cause notice u/s. 148 A(b) was issued to explain the above transactions. The assessee responded that he does not have bank account with Bank of Baroda. Whereas he had three fixed deposits with Bank of Baroda which were pre-closed on 28-04-2014 and 07-01-2015 receptively. Th....

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....eriod and also categorically denied any transaction/cash deposits through these bank accounts. But as informed by the Bank, the assessee has closed the account nos., 03030300011808 & 03030300011809 on 28.04.2014 and 03030300011810 on 07.01.2015. From above it is seen that, the accounts were active during the concerned A.Y. under consideration. But the assessee categorically denied the above fact and intentionally didn't provide the details of transactions in these Bank Accounts 4. In view of the above it is clear that during the course of Assessment proceedings, the assessee has neither provided any submission nor Bank Statement to verify the source of deposited Cash which is to the tune of Rs. 52,00,000/-. Which clearly signif....

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....809 17-08-2013 5,00,000/- 28-04-2014 4,94,781/- 03030300011810 17-08-2013 5,00,000/- 07-01-2015 4,95,554/- 4.1. The assessee also produced a certificate from Bank of Baroda that the majority proceeds of this fixed deposits were credited to the bank account of Smt. Sejal Pragneshkumar Pandya and not the bank account of the assessee. Thus the addition made on account of cash deposit of Rs. 52,00,000/- is liable to be deleted. 5. The Ld. CIT(A) considered the above submissions however confirmed the addition by observing as follows: 7.2 The appellant has contended that He has not maintained any account in Bank of India, and that the three bank accounts referred to by the AD were Fixed Deposit (....

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.... been made by the Assessing Officer on account of the said investment to avoid double taxation, given the possible overlap in the source of funds In view of the above facts and circumstances: The appellant has failed to explain the nature and source of the cash deposit of 152,00,000/-made in the account flagged by Insight. The explanation regarding the deposit by a third party is unsupported by any verifiable documentary evidence. The ownership of the account and the deposit remains linked to the appellant, either solely or jointly. Therefore, the addition made by the Assessing Officer is justified. The addition of 52,00,000/- made under section 68/69A of the Income-tax Act, 1961, is her....