9911796707
TMI Blog2016 (10) TMI 882X X X X Extracts X X X X X X X X Extracts X X X X ..... utstanding. However, the Assessing Officer without appreciating the materials filed by the assessee made addition. The Ld.counsel further submitted that the assessee has furnished all the details with regard to hand loan and interest received, etc. before the Assessing Officer. In fact, the Assessing Officer has reproduced the same at page 2 of his order. The CIT(Appeals) confirmed the addition without going into the details filed by the assessee. According to the Ld. counsel, the income estimated by the Assessing Officer is arbitrary. The Assessing Officer estimated the rate of interest as 24 to 30% in the money lending business. According to the Ld. counsel, 24 to 30% is very unreasonable. Therefore, the addition made by the Assessing Officer is not justified. 4. On the contrary, Shri Supriyo Pal, the Ld. Departmental Representative, submitted that the assessee is a partner in number of financial institutions, receiving salary and interest income. The assessee is also engaged independently in money lending business. Since the assessee has not produced any books of account and other details regarding the name and address of the persons to whom the loan was advanced, rate of inter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tmental Representative also. As seen from the order of the CIT(Appeals), the assessee filed the copy of patta and details of the crop cultivated. The CIT(Appeals) rejected the claim of the assessee on the ground that the assessee has not produced bills or vouchers. This Tribunal is of the considered opinion that agricultural sector continues to remain unorganized. The agricultural produces are sold in an unregulated market. Therefore, expecting bills and vouchers for sale of agricultural produce is not justified. When the assessee has filed the copies of the patta to substantiate the land holding and the details of the crop, the Assessing Officer is not justified in restricting the income from agriculture. Expecting bills and vouchers from the agriculturist for sale of agricultural produce is something which could not be produced by the ordinary agriculturist. The assessee is an individual and not maintaining any books of account. This Tribunal is of the considered opinion that when the assessee filed the copies of the patta and the details of the crop cultivated, the Assessing Officer is not justified in disallowing the claim of the assessee. Accordingly, the orders of both the au ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sessing Officer on presumption observed that money belongs to the assessee was deposited. The fact remains that DD was issued from the account of Shri Pugazhendi. The cash was deposited to the account of Shri Pugazhendi. Therefore, it is for Shri Pugazhendi to explain the source for making deposit in his bank account. From the orders of the lower authorities it appears that the said Shri Pugazhendi was examined by the Assessing Officer and he confirmed the fact of giving the money to assessee. The Assessing Officer apparently disbelieved the statement of Shri Pugazhendi on the ground that a sum of Rs. 3 lakhs was entrusted to the assessee to maintain Shri Pugazhendi's mother. The fact remains that money was given by Shri Pugazhendi to the assessee by DD and the DD was issued from the bank account of the above said Shri Pugazhendi. Therefore, as observed earlier, addition, if any, has to be made in the hands of Shri Pugazhendi and not in the hands of the assessee. Accordingly, the orders of both the authorities below are set aside and the addition made by the Assessing Officer is deleted. 13. The next ground of appeal is with regard to addition made towards investment in chits in t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gard to addition on account of sale of jewellery. 17. Shri N. Quadir Hoseyn, the Ld.counsel for the assessee, submitted that in the cash flow statement, the assessee has shown a sum of Rs. 3,84,000/- towards sale of jewellery. The assessee has claimed capital loss in computation of income from sale of jewellery at Rs. 3,84,000/- and worked out the loss to the extent of Rs. 2,66,899/- after adjusting the cost of acquisition of 960 grams of jewellery claimed at the cost of Rs. 6,50,899/-. The Assessing Officer disallowed the claim of the assessee on the ground that the assessee has not produced any bills or vouchers for purchase and sale of gold jewellery. According to the Ld. counsel, the assessee in fact sold the gold jewellery and suffered a loss. Therefore, the Assessing Officer is not justified in making any addition. 18. On the contrary, Shri Supriyo Pal, the Ld. Departmental Representative, submitted that the addition was made in the absence of bills and vouchers on sale of jewellery. When the assessee claims that he sold gold jewellery to the extent of Rs. 3,84,000/- and claims capital loss at Rs. 2,66,899/-, it is for the assessee to produce necessary bills for purchase an ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
