9911796707
TMI Blog2021 (10) TMI 19X X X X Extracts X X X X X X X X Extracts X X X X ..... 17-18and the cross objections are filed by the assessee. 2. Ground No.1, 6 and 7 are general in nature which does not require specific adjudication. 3. Ground No.2 is related to the addition of Rs. 42,00,000/- made u/s 69A of the Income Tax Act, 1961 (in short 'Act') in respect of cash deposits made during the demonetization period in specified bank notes. During the assessment proceedings, the Assessing Officer (AO) found that the assessee has made cash deposits of Rs. 42,00,000/- in South Indiann Bank. The assessee was asked to explain the source, but the assessee has not offered any explanation regarding the source of such money. Therefore, the AO made addition u/s 69A of the Act. 4. Against which, the assessee went on appeal before t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vehemently supported the order of the Ld.CIT(A). 7. We have heard both the parties and perused the material placed on record. The assessee has furnished the paper book on 21.06.2021. In paper book, the assessee has furnished the copy of cash book as well as statement of South Indian Bank Ltd. along with the paper book. The department did not place any material to show that the entries made in the cash book furnished along with paper book were incorrect or defective. Though the assessee has filed the paper book, the department did not take any steps to verify the correctness of the information in the paper book. The assessee furnished the entire details before the CIT(A) and the Ld.CIT(A) verified the material placed before him and allowed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l before the CIT(A) and the Ld.CIT(A) deleted the addition holding that the AO has erroneously invoked section 69A for making the addition, therefore, held that the addition made by the AO is unsustainable, accordingly deleted the addition. 10. Against the order of the Ld.CIT(A), the department is in appeal before this Tribunal. During the appeal hearing, the Ld.DR supported the order of the AO and argued that the assessee did not furnish any details during the appeal hearing, therefore argued that the Ld.CIT(A) ought to have given opportunity to the AO under Rule 46A. Therefore, requested to remit the matter back to the file of the AO. 11. On the other hand, the Ld.AR argued that the AO made the addition u/s 69A. There is no dispute that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... jewellery or other valuable article and such money, bullion, jewellery or valuable article is not recorded in the books of account, if any, maintained by him for any source of income, and the assessee offers no explanation about the nature and source of acquisition of the money, bullion, jewellery or other valuable article, or the explanation offered by him is not, in the opinion of the Assessing Officer, satisfactory, the money and the value of the bullion, jewellery or other valuable article may be deemed to be the income of the assessee for such financial year. From the plain reading of section 69A, it is clear that if the assessee found to be the owner of money, bullion, jewellery which is not recorded in the books of account, require ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... epreciation statement, hence, no separate addition is warranted. The Ld.CIT(A) extracted the depreciation on machinery @15% which is as under : Machinery @15% Rs. W.D.V. as on 01.04.2016 2,12,108.90 Add : Addition before 30.09.2016 Purchase of new car 10,80,090.70 12,92,199.60 Less : Sale of old car 3,80,090.70 9,12,108.90 Since the assessee has reduced the sale proceeds of the old car from the written down value and claimed the correct depreciation from the written down value, the Ld.CIT(A) held that there is no case for making addition for shorter capital gains, hence directed AO to delete the addition. 15. Against which the department has filed appeal before this Tribunal. During the appeal hearin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... posing the appeal, which is evident from the Ld.CIT(A)'s order, hence, argued that there is no need to remit the matter back to the file of the AO and requested that the revenue's appeal may be dismissed. 20. We have heard both the parties and perused the material placed on record. As per the provisions of section 250(4 )of the Act, the Ld.CIT(A) is permitted to make further enquiries before disposing the appeal. The assessee has filed paper book and furnished the information that was placed before the CIT(A) or lower authorities. Copy of cash book from page No.15 to 23, copy of South Indian Bank statement from page No.24 to 29, Computation income statement, copy of financial statements and proof for purchase and sale of shares. The inform ..... X X X X Extracts X X X X X X X X Extracts X X X X
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