9911796707
TMI Blog2017 (7) TMI 1322X X X X Extracts X X X X X X X X Extracts X X X X ..... . Whenever explanation offered by the assessee were not fully relied upon by the Department, it cannot be said that the Department had any further burden to prove that this was an income of assessee. Where the assessee had failed to prove the source of investments to the satisfaction of the AO, the AO should be justified in treating the same as unexplained investment u/s.69 of the Act. In the present case, the plea of assessee is that it is the part of the undisclosed turnover and being so, only GP of such to be estimated as income of assessee. The assessee, before us, was not able to show the details of the sales made by the assessee with reference to any purchase. As rightly pointed out by the ld.D.R, all the purchases and expenditu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ank account and a sum of ₹ 9,40,000/-, which is being the amount deposited into current account of the assessee. 3. The facts of the case are that the assessee is an individual, earning income from Snack Bar Business and trading in edible essences. Subsequently, the case was selected for scrutiny and notice u/s.143(2) was issued on 14.06.2011. In response, the ld.A.R submitted P L account and Balance sheet of the Assessee. During the assessment proceedings, the AO found that as per the AIR information, the assessee has made cash deposits of ₹ 41,80,050/- during the year 2008-09 in SB account with M/s.Axis Bank and has made some cash deposits in his current account with ICICI bank and paid an amount of ₹ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... losed sales turnover, being so, only GP on it to be estimated. Further, he submitted that in terms of Sec.285A of the Act, annual Information Return should report only the cash deposits in a Savings Bank account for assessment purposes and any cash deposits into the current account cannot be considered for making assessment as unexplained investment. 5. On the other hand, ld.D.R relied on the order of lower authorities and submitted that these deposits is undisclosed sales turnover of the assessee and the assessee has already accounted for purchase and expenses relating to these turnovers and hence, the entire amount of unexplained deposits into savings bank account as well as current account is to be considered as unexplained i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... with reference to any purchase. In other words, in my opinion, as rightly pointed out by the ld.D.R, all the purchases and expenditure already recorded by the assessee in its books of accounts and once the purchases and expenses were already recorded by the assessee in his books of accounts, there is no question of estimating any income. On such deposits made into bank account, the entire unaccounted deposits to be considered as unexplained income of assessee u/s.69of the Account. 6.2 Another argument of the ld.A.R is that Sec.285A provides only information with regard to cash deposit into SB A/c and it does not authorize the AO to collect information with reference to current account. In my opinion, addition made by the AO u/ ..... X X X X Extracts X X X X X X X X Extracts X X X X
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