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TMI Blog2016 (9) TMI 605X X X X Extracts X X X X X X X X Extracts X X X X ..... Shri Bhaichand Gandhi (1982 (2) TMI 28 - BOMBAY High Court ) has approved the proposition that a bank Pass Book maintained by the bank cannot be regarded as a book of the assessee for the purposes of section 68 of the Act . Factually speaking, in the present case, assessee is not maintaining any books of account and section 68 of the Act has been invoked by the Assessing Officer only on the basis of the bank Pass Book. The invoking of section 68 of the Act has to fail because as per the judgment of the Hon'ble Bombay High Court in the case of Shri Bhaichand Gandhi(supra), the bank Pass Book or bank statement cannot be construed to be a book maintained by the assessee for any previous year as understood for the purposes of section 68 of the Act. - Decided in favour of assessee - ITA No. 4223/Mum/2015 - - - Dated:- 12-8-2016 - SHRI G.S.PANNU, ACCOUNTANT MEMBER For The Appellants : Shri Devendra Jain For The Respondent : Shri A.K.Kardam ORDER The captioned are two appeals pertaining to assessment year 2011-12, preferred by husband and wife. In both the appeals the dispute is common, which revolves around treating cash deposits made in the joint bank account to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is based on a legal position enunciated by the Hon'ble Bombay High Court in the case of Bhaichand Gandhi (supra) and it involves a pure point of law for which the necessary facts are already on record. Therefore, the Additional Ground of appeal deserves to admitted in the light of the judgment of the Hon ble Supreme Court in the case of National Thermal Power Company Ltd., vs. CIT, 229 ITR 383(SC). Accordingly, at the time of hearing, it was pointed out that the Additional Ground of appeal is being admitted for adjudication. As a consequence, both the sides have been heard on merits of the Additional Ground of appeal also. 6. Briefly put, the relevant facts are that the appellant is an individual, who was employed with the Municipal Corporation of Greater Mumbai. The Assessing Officer noted that during the year under consideration cash was deposited on various dates totalling to ₹ 29,53,500/- in the joint bank account held with his wife in Thane Janata Sahakari Bank. On being asked to explain the nature and source of such deposits, assessee pointed out that the amounts were received from his father, father-in-law, son and various other relatives friends that such amo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... problems with vision, balance, muscle control, and other basic body functions. It is a very rare kind of disease. 4. She is bedridden for last many years. The treatment involves a substantial medical expenditure. The medicines to the above disease are purchased from outside India which are very costly. The injection which is to be taken daily costs around ₹ 6000/-. All these medicines require refrigeration at a particular temperature. Kantilal Chhaganlal Sec. Pvt. Ltd is having import licence which provides medicines through Time Temperature courier. The monthly expenditure is nearly ₹ 2.5 Lakhs Le ₹ 30 Lakhs a year. 5. I am attaching herewith the photographs from which one can have an idea about her illness. 6. I was a salaried employee having taxable income of ₹ 7 ,48,290/- and had no other source of income. Hence, I had to take the funds from parents, in-laws, other relatives and also from friends and colleagues. 7. There were numerous relatives, friends and well wishers who were helping our family by giving small contributions on humanitarian grounds. Since the payment for medicines to Kantilal Chhaganlal Sec. Pvt. Ltd was requi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is found credited in the account books of the assessee for any previous year that the deeming provisions of section 68 of the Act would apply in the circumstances mentioned therein. Notably, section 68 of the Act would come into play only in a situation where any sum is found credited in the books of an assessee ............. . The Hon'ble Bombay High Court in the case of Shri Bhaichand Gandhi (supra)has approved the proposition that a bank Pass Book maintained by the bank cannot be regarded as a book of the assessee for the purposes of section 68 of the Act . Factually speaking, in the present case, assessee is not maintaining any books of account and section 68 of the Act has been invoked by the Assessing Officer only on the basis of the bank Pass Book. The invoking of section 68 of the Act has to fail because as per the judgment of the Hon'ble Bombay High Court in the case of Shri Bhaichand Gandhi(supra), the bank Pass Book or bank statement cannot be construed to be a book maintained by the assessee for any previous year as understood for the purposes of section 68 of the Act. Therefore, on this account itself, the impugned addition deserves to be deleted. I hold so. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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