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TMI Blog2016 (5) TMI 138X X X X Extracts X X X X X X X X Extracts X X X X ..... inflow and outflow of the cash for the entire year. In our opinion, the assessee cannot be directed to prove the negative. It is a burden upon the Assessing Officer to prove that cash has been utilised elsewhere by the assessee before he rejects the claim of the assessee. Unless any such contrary material is brought on record by him to prove that cash has been utilised elsewhere by the assessee, he should give benefit of cash withdrawn by the assessee from the bank account against the amount of cash deposit into the bank account of the assessee, especially when the cash has been withdrawn and deposited in the same financial year, even if the bank from where cash was withdrawn and bank where the cash was deposited are different. Thus, after ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that the assessee had made payment by cheque to Super Travels Pvt. Ltd. and to M/s. Paul Merchant for foreign currency. It appears that the learned Commissioner of Income- tax (Appeals), misunderstood the facts and presumed that the entire expenses were incurred by the assessee in cash. The learned Departmental representative did not make any serious arguments to rebut the submissions of the learned counsel. We find the disallowance has been made by the lower authorities under wrong assumption of facts. In our view the entire payment has been made from bank accounts of the assessee. Thus, no disallowance or addition is called for - Decided in favour of assessee. X X X X Extracts X X X X X X X X Extracts X X X X ..... authorised representative (AR) on behalf of the assessee and by Shri K. Mohandas, Departmental representative (DR) on behalf of the Revenue. 3. Ground No. 1 : In this ground the assessee has challenged the action of the lower authorities in making an aggregate addition of ₹ 20.65 lakhs on account of cash deposited in the bank account. We have heard both the parties on these issues. It is noted that the Assessing Officer made addition on account of cash deposited in its three bank accounts, namely :- (i) Axis Bank (ii) PMC Bank (iii) P & S Bank 3.1. During the course of hearing before the lower authorities the assessee tried to explain with the help of cash summary the sources of deposit of cash in the bank account. The lower ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t be directed to prove the negative. It is a burden upon the Assessing Officer to prove that cash has been utilised elsewhere by the assessee before he rejects the claim of the assessee. Unless any such contrary material is brought on record by him to prove that cash has been utilised elsewhere by the assessee, he should give benefit of cash withdrawn by the assessee from the bank account against the amount of cash deposit into the bank account of the assessee, especially when the cash has been withdrawn and deposited in the same financial year, even if the bank from where cash was withdrawn and bank where the cash was deposited are different. Thus, after considering entire facts and circumstances of the case, we direct the Assessing Office ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bmissions made during the course of hearing that the entire amount was spent by the assessee by cheque and for this purpose our attention was drawn on page 16 of the paper book wherein it was shown that entire amount has been spent by different cheques issued from the bank accounts of the assessee. The asses see has given item-wise details and particulars of cheque number of various amounts paid by the assessee for meeting the expenditure incurred on foreign travel. These details clearly reflect that the assessee had made payment by cheque to Super Travels Pvt. Ltd. and to M/s. Paul Merchant for foreign currency. It appears that the learned Commissioner of Income- tax (Appeals), misunderstood the facts and presumed that the entire expenses ..... X X X X Extracts X X X X X X X X Extracts X X X X
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