TaxTMI 
TaxTMI 
2026 (9) TMI 916
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....ed income from salary and from other sources and filed his return of income on 25/07/2022. The case of the assessee was selected for verifying the large cash deposits into his bank account and also purchased / sold property during the year. Notice u/s. 143(2) and 142(1) were issued. The assessee filed his reply on 08/11/2023. Show cause notices were also issued and hearing was also provided through VC. Insofar as the transaction of purchase / sale of property, the assessee denied the said transactions and the AO after verifying the records, had accepted that the assessee had not effected any purchase / sale of properties during the relevant year. 3. Insofar as the cash deposits made with the State Bank of India, the assessee filed a deta....
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....the assessment. 4. The assessee challenged the said order before the Ld.CIT(A) and explained the facts in detail and also furnished the various documents in support of his case that the cash deposits are only from the agricultural activities. The assessee also explained that the sale bills are the authenticated records issued by the wing of the State Government and therefore, on that basis, the plea of the assessee has to be accepted even though the RTC records does not reflect the correct fact. The Ld.CIT(A) had considered the plea raised by the assessee and dismissed the appeal on the ground that the explanation offered by the assessee is not substantiated by credible evidence. 5. As against the said order, the present appeal has be....
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....genuineness of the sale bills submitted by the assessee and in such circumstances, the explanation has to be accepted and the benefit should be granted to the assessee. The Ld.AR filed a written submissions and also a paper book enclosing the various documents including the APMC sale bills, RTC records etc. and prayed to allow the appeal. 7. The Ld.DR submitted that the RTC document furnished by the assessee does not contain the details of the cultivation made by the assessee and the assessee had also not reported the agricultural income in his return of income and therefore, the genuineness of the submissions could not be relied on and prayed to confirm the orders of the authorities below. The Ld.DR further submitted that the assessee h....
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....o them. Moreover, the APMC is a market committee established by the State Government for the sale of agricultural produce by the farmers. It is coming under the control of the Department of Agricultural Marketing of the State Government. The assessee sold his produce through the said market committee for which the market committee had issued sale bills which were produced by the assessee before the authorities. In such circumstances, we cannot simply deny the claim of the assessee when one authority of State Government has issued sale bills to the assessee to show that the assessee had sold the agricultural commodities in the APMC Yard and received cash which was later on deposited into his bank account. If the AO had conducted any further ....