9911796707
TMI Blog2015 (5) TMI 576X X X X Extracts X X X X X X X X Extracts X X X X ..... edings the assessee offered the cash deposit of Rs. 15,00,000/- in HDFC and Rs. 22,10,000/- in State Bank of Patiala as his income from unexplained sources vide letter dated 20.12.2011. As regards source of cash deposit of Rs. 20,60,300/- in the ICICI Bank, it was submitted that the said cash has been deposited out of the withdrawals made from M/s. Sona Transport Pvt. Ltd wherein the assessee was a director and the expenses were incurred from the said IClCI Bank A/c for trip expenses of the drivers of M/s. Sona Transport pvt. Ltd. by giving debit cards to the truck operators. The AO however did not agree to the explanation of the assessee on the grounds that since the assessee has already admitted the cash deposits in HDFC Bank & State Bank of Patiala as income from unexplained sources, which shows that the assessee is generating cash from undisclosed sources. The AO also observed that the assessee had not shown the ICICI Bank account as well as HDFC and State Bank of Patiala account in the return of income. Accordingly the cash deposit of Rs. 20,60,300/- in the ICICI Bank account was treated by AO as income from undisclosed sources. 3. By the impugned order, the CIT(A) deleted th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d form the ICICI bank account of the assessee, the assessee was asked to give the ledger a/c wherein the expenses incurred through debit cards by the assessee has been incorporated in the books of company STPL. From the details given, it is verified that the expenditure incurred by the assessee on various trip expenses and diesel and oil of the trucks have been duly considered in the ledger account of the assessee in the books of the company also and such expenses have been claimed by the company as a deduction in P&L A/c. Thus there is a clear nexus between the withdrawals made from cash book of STPL, its deposit in ICICI bank of appellant, the expenditure incurred by appellant from ICICI bank a/c on behalf of STPL and their accounting in books of company thereafter. The AO in the assessment order has not at all looked into the verification of the entries from books of company which could have easily proved the contention of the assessee. The mere fact that the assessee has voluntarily offered to tax the cash deposits in other two bank accounts will not by itself prove that the cash deposits in lCICl bank account too are unexplained. It is well settled principle that no addition c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in ICICI bank account of the assessee. A finding has also been recorded to the effect that the amount withdrawn in the company's cash books has been duly considered in the ledger account of the assessee in the books of company. The CIT(A) has also recorded a finding to the effect that the expenditure incurred by assessee on various trips expenses, diesel and oil of the trucks has duly been considered in the ledger accounts of the assessee in the book of the company and also such expenses has been claimed by the company by the deduction in its P & L account. Thus, there was a clear nexus between withdrawal made from cash book of the company and its deposit in the ICICI bank account of the assessee. The finding recorded by the CIT(A) is as per material on record and the same has not been controverted by the ld. DR by bringing any positive material on record. Accordingly, we do not find any reason to interfere in the order of CIT(A) deleted the addition made on account of cash deposited in the ICICI bank account which were actual withdrawal of the amount from the companies cash books. 5. The AO also made addition of Rs. 26,11,350/- on account of unexplained investment in shares of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aid up value of shares prior to death of the father of the appellant and after remains the same, it proves that it is the same shares which were held by the father, which have now been transferred in the name of the appellant and no further payment to acquire these shares have been made by the appellant. In fact the AO also in the assessment order has not mentioned anything to suggest that the assessee had made any payment for acquiring such shares during the year. He has disbelieved the contention only on grounds that no documentary evidence has been given. There is no evidence that after furnishing the reply on 14/12/2011, the AO did ask the assessee to produce any further documents before completing the assessment on 23/12/1011. When the shares have been acquired through inheritance, without paying any money, the balance sheet can be prepared without such shares cannot be said to be faulty, as suspected' by the AO. Even otherwise since the shares have been allotted in the name of the appellant on 1.4.2000, there can be no case for making addition of unexplained investment in A.Y. 2009-10. Considering totality of facts and circumstances of the case, the contention of the appe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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