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TMI Blog2002 (9) TMI 271X X X X Extracts X X X X X X X X Extracts X X X X ..... f debtors. The learned authorised representative of assessee, has relied on his written statement. In the written statement of assessee, it has been contended that the addition has been made solely on the basis of surrender made by assessee during search conducted from 17th Aug., 1990 to 23rd Aug., 1990. It has been contended that in assessee's statement recorded on 23rd Aug., 1990, the assessee surrendered Rs. 50,000 towards deposits with the parties, but the surrender was wrong as in fact the assessee is not having any debtor. It has been contended that the assessee had explained to the AO that the company in which the assessee is director was having huge liabilities, and he cannot have any deposit with the parties. It has also been conte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... less and voluntary, and were retracted, and there being evidence supporting retraction, the additions could not be sustained on merits. In (1983) 15 TTJ (Chd) 155 Tribunal, Chandigarh, has held that when surrender has been made by assessee under misunderstanding, the same cannot be included in his income. In (1994) 48 TTJ (Bom) 389, Tribunal, Bombay, has held that it is otherwise open to the assessee to demonstrate the correct facts. It has also been held therein that in the absence of any other material, apart from original admission, there was nothing to support the addition, and so the addition was deleted. From the perusal of record, it is revealed that apart from the surrender statement made by assessee, there is no material on record ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uite excessive and not based on any material. It has also been contended that there was no reason to deduct monthly deposits aggregating to Rs. 7,200 by the assessee's sons in their RD accounts from the cash available (Rs. 28,200) with the assessee as the children made deposits out of savings and gifts received from relatives on various occasions. It has been contended that as such, the cash available with the assessee was Rs. 28,500 and not Rs. 21,300. It has been contended that the assessee's wife Smt. Seema has stated in her statement, as recorded during search, that the household expenses were Rs. 1,000 to Rs. 1,200 p.m. As against this, the learned Departmental Representative of Revenue has supported the orders of authorities below. 7 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mt. Seema and assessee's three sons. He has relied on the orders of AO. As against this, the learned authorised representative of assessee has contended that the assessee has furnished details of interest and the source has also been examined by the AO in asst. yr. 1988-89, and in this regard he has referred to pp. 59 and 60 of paper book being the assessment order for asst. yr. 1988-89. He has taken me through last para on p. 60 of paper book wherein the AO has observed in respect of assessee's three minor sons that the deposits have been explained satisfactorily as the same are supported by relevant copies of accounts and declaration of gifts, etc. He has relied on his written statement. In the written statement of assessee it has been co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the following: 1. CIT vs. Zafrul Hasan Iraqi (1998) 62 TTJ (Jp) 795; 2. Madholal vs. ITO (1991) 40 TTJ (Jp) (TM) 333; and 3. CIT vs. Smt. Durgawati Singh (1998) 234 ITR 249 (All). 12. I have considered the rival contentions the relevant material on record as also the cited decisions. Considering all the facts and circumstances of the case together with the elaborate contention made in the written statement of assessee, I consider it to be not justified on the part of the AO to have made addition in respect of the aforesaid interest income being in the name of assessee's wife and his three sons. In the circumstance, the deletion of addition by learned CIT(A) is found to be quite proper and justified. I therefore, decline to interfere wit ..... X X X X Extracts X X X X X X X X Extracts X X X X
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