9911796707
TMI Blog2015 (10) TMI 1465X X X X Extracts X X X X X X X X Extracts X X X X ..... e deem it fit and proper to hold that the impugned cash deposits in the bank account cannot be construed as unexplained within the meaning of section 68 of the Act. Accordingly, we set aside the order of CIT(A) and direct the Assessing Officer to delete the addition - Decided in favour of assessee. - ITA NO.7494/MUM/12 - - - Dated:- 19-8-2015 - SHRI G. S.PANNU AND SHRI SANJAY GARG, JJ. For The Appellant : Shri Dhiren P. Talati For The Respondent : Shri Sunil Kumar singh ORDER PER G. S.PANNU, A.M: The captioned appeal is preferred by the assessee and it is directed against the impugned appellate order dated 25/09/2012 passed by CIT(A)-34, Mumbai pertaining to the assessment year 2008-09, with reference to assessmen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... thdrawn from the above three banks was redeposited into the bank accounts and, hence, the source of cash deposits stood explained. The CIT(A) analyzed the aforesaid explanation of the assessee and rejected the same on the test of human probabilities, as according to him, no person would withdraw cash from one account only for the purpose of redepositing it into another account. Accordingly, he sustained the addition made by the Assessing Officer. Against the sustenance of addition of ₹ 19,39,790/- under section 68 of the Act, assessee is in further appeal before us. 4. Before us, Ld. Representative of the assessee contended that the summary of cash withdrawals and deposits in the three bank accounts tabulated by the assessee clearl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g the cash and re-depositing it into bank accounts, whenever it was required. It has been explained that the business of the assessee was under a strain because his main family concern namely, M/s. Toto Packaging Pvt. Ltd., owning a manufacturing unit at Vasai Mumbai, was flooded and had made losses. It has been pointed out that somewhere in June 2005, as a result of floods the factory had to be completely closed down. This lead to the lending banks foreclosing the loan account and initiation of stringent recovery proceedings against the concern, M/s. Toto Packaging Pvt. Ltd., where assessee is a principal shareholder. The assessee explained that he was running his family business alone and during such period there were family responsibilit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... planation furnished by the assessee, whose bonafides are not doubted, we deem it fit and proper to hold that the impugned cash deposits in the bank account cannot be construed as unexplained within the meaning of section 68 of the Act. Accordingly, we set aside the order of CIT(A) and direct the Assessing Officer to delete the addition of ₹ 19,39,790/-. 7. The only other ground raised by the assessee is to the effect that the assessment order passed by the Assessing Officer is barred by limitation. Since assessee has been allowed the relief on merits, the said ground of appeal is rendered academic in nature and is not being adjudicated. 8. In the result, the appeal of the assessee is partly allowed. Order pronounced in the op ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
