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TMI Blog2022 (12) TMI 530X X X X Extracts X X X X X X X X Extracts X X X X ..... assessees, many of them are seen to be agriculturists in a small village. Assessee has filed confirmation from all the parties. Assessee also produced land ledger account of the various creditors to prove that they are engaged in agricultural activities. In the above circumstances, we do not find that the addition made by the AO is correct in law. For the above reasons, the addition confirmed by the Ld. CIT(A) are hereby deleted. Appeal filed by the Assessee is allowed. - ITA No. 701/Ahd/2019 - - - Dated:- 19-10-2022 - Ms. Annapurna Gupta, Accountant Member And Shri T.R. Senthil Kumar, Judicial Member For the Appellant : Shri Vivek Chavda, A.R. For the Respondent : Shri V.K. Singh, Sr.D.R. ORDER PER : T.R. SENTHIL KUMAR, JUDICIAL MEMBER:- This appeal is filed by the Assessee against the order dated 07.02.2019 passed by the Commissioner of Income Tax (Appeals), Gandhinagar, as against the Assessment order passed under section 144 r.w.s. 147 of the Income Tax Act, 1961 (hereinafter referred to as the Act ) relating to the Assessment Year (A.Y) 2010- 11. 2. The brief facts of the case is that the assessee is an individual and engaged in agricultura ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... creditworthiness of the creditor. Further, the AO as well as the appellant has not furnished any further details in this regard so as to explain as to whether the source of cash loan given is receipts of one year or the past savings of the said creditor. However, the appellant has relied on the decisions in the case of ACIT vs. Vardaan Fashion . others and in other five cases. Ongoing through these decisions, it is noticed that all these decisions are with regard to penalty proceedings u/s.271D whereas in the instant case, the issue is of genuineness of transaction alongwith creditworthiness of the creditor and not that of taking cash loan. Therefore, the facts of this case are clearly distinguishable. It has also not been clarified since when the appellant's wife is carrying out these activities. In absence of such vital details, cash amount of Rs,3,00,000/- as savings in her hand cannot be believed to this extent. Therefore, after considering the totality of the facts and circumstances, Rs.1,00,000/- is treated as explained and Rs.2,00,000/- is held to be unexplained. (3) Rs.3,25,000/- is claimed to have been taken from the appellant's father i.e. Shri Baldevbhai R ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aken from Shri Vishnubhai Ramdas Patel. He has filed contra confirmation. His source of income is business of services. He has not maintained any bank account and no return of income has also been filed by him. However, the AO has not mentioned what kind of services this person is rendering and he has also failed to give a finding with regard to his creditworthiness. Mere filing of contra confirmation will not prove the creditworthiness of the creditor. Considering this fact, this credit of Rs.19,500/- treated as unexplained. (17) Rs. 19,000/- is claimed to have been taken from Ms. Shobhanaben Ramanbhai Patel. She has filed contra confirmation. She had not been engaged in any business activities during the year under consideration. She has not maintained any bank account and no return of income has also been filed by her. The AO has not made any further enquiries about the source of her income and he has also failed to give a finding with regard to her creditworthiness. Mere filing of contra confirmation will not prove the creditworthiness of the creditor. Considering this fact, this credit of Rs.19,000/- is treated as unexplained. (19) Rs.17,500/- is claimed t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... own as labour work, Pashupalan work. He has not filed any return of income. However, the AO has not mentioned what kind of labour work this person is doing and he has also failed to give a finding with regard to his creditworthiness. Mere filing of contra confirmation will not prove the creditworthiness of the creditor. Considering this fact, this credit of Rs.20,000/- is treated as unexplained. 3.1. Thus the Ld. CIT(A) partly allowed the assessee s appeal. 4. Aggrieved against the same, the assessee is in appeal before us. The Ld. Counsel for the assessee submitted before us a Paper Book containing the account statement of assessee s wife Smt. Kiraben Rajeshkumar Patel for the Financial Year 2008-09 and 2009-10 wherein income generated from Stitching of Garment, Jobwork on Leather Material and Sales of Namkeen, Athana and Confirmation letters along with Photo Identity Proof and Ledger of Agricultural land holding by various creditors from page nos. 19 to 94. Thus the Ld. A.R. submitted that the Ld. CIT(A) erred in confirming the addition of Rs. 2,00,000/- received from assessee s wife as the Vouchers are self-serving evidences and does not prove the creditworthiness of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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