9911796707
TMI Blog2016 (9) TMI 388X X X X Extracts X X X X X X X X Extracts X X X X ..... d in the bank as unexplained investment under section 69 of the Income Tax Act, 1961 ["Act" in short]. 2.1 The Brief facts of the case are that at the time of assessment proceedings, the Assessing Officer found that the assessee has deposited an amount of Rs..30 lakhs in his bank account maintained in Dena Bank, T. Nagar Branch, Chennai in account No. 10728, which had been invested on the same day in the fixed deposit in FD/4461/3 on 21.12.2001. The Assessing Officer has called for explanation for this amount regarding source and nature of the transactions. The assessee has not filed any details before the Assessing Officer. Therefore, the Assessing Officer treated the amount of Rs..30 lakhs as unexplained investments under section 69 of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ween the assessee and Shri Prasad Potluri and the circumstances under which it was paid by Shri Prasad Potluri to the assessee on behalf of Indira Production Pvt. Ltd. Further, the Assessing Officer during the course of assessment requested Indira Production Pvt. Ltd. for the personal appearance and explains it. But, instead of personal appearance before the assessing authority, they opted to send the statement of account, which does not explain itself the nature of transaction between the parties. In our opinion, as rightly pointed out by the ld. DR, the evidence brought on record by the assessee, the assessee has not discharged his burden cast upon him to substantiate the source and genuineness of the transaction. In these circumstances, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... agreement for directing Hindi version of "Kushi", it was agreed for Rs..1.50 crores and he was actually paid Rs..1,15,96,614/- during the year ended 31.03.2002 and 31.03.2003 and balance amount of Rs..34,13,386/- was outstanding, which was not paid to the assessee since Shri Bonny Kapoor has written back the sum in his books of account in the assessment year 2005-06. This amount of Rs..1,15,96,614/- also includes an amount of Rs..11 lakhs as consideration for distribution rights for Tamil Nadu circuit for the Hindi film "Kushi". Further, at the time of assessment, the assessee filed revised computation of income which reads as under: Rs. Income admitted as return dated 15.09.2004 40,00,000 Add: Amount paid treated as advance or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erials on record and gone through the orders of the authorities below. The contention of the ld. AR is that the correspondence between Shri Bonny Kapoor andf the Department was not put to the assessee for his comments and it cannot be relied upon. On the other hand, the ld. DR submitted that there is an agreement for remuneration to be payable by Shri Bonny Kapoor to the assessee for directing the film "Kushi" and the same was considered as income of the assessee for the assessment year 2002-03 as the assessee was following mercantile system of accounting. Admittedly, in this case, the assessee has filed a statement before us confirming the receipt of income from Narasimha Enterprises owned by Shri Bonny Kapoor for Rs..1,15,96,414/-. In add ..... X X X X Extracts X X X X X X X X Extracts X X X X
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