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TMI Blog2019 (3) TMI 2065X X X X Extracts X X X X X X X X Extracts X X X X ..... n the benefit of set off of the opening cash balance and opening advance, when peak credit is being considered, and when the business is the same as carried on in the earlier years, it is the peak credit of the earlier year that is liable to be considered as available for explaining the peak credit of the current year. We are not directing this method to be applied as the assessees have not raised any ground for this claim, and also because such a claim would require verification of facts and consequently such a ground cannot be raised as a fresh or additional ground at this stage. Revenue has not been able to point out any error in the findings of the CIT(A). Further, under similar circumstances in respect of another member of the same gro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l filed by the Revenue against the Order of the Commissioner of Income Tax (Appeals)-19, Chennai, in ITA No. 243/16-17 dated 16.10.2017, in the case of Shri Avathan Marimuthu, for the AY 2011-12. 5. ITA No. 42/Chny/2018 is an appeal filed by the assessee ITA No. 168/Chny/2018 is an appeal filed by the Revenue against the Order of the Commissioner of Income Tax (Appeals)-19, Chennai, in ITA No. 246/16-17 dated 16.10.2017, in the case of Smt. Maheswari, for the AY 2011-12. 6. ITA No. 43/Chny/2018 is an appeal filed by the assessee ITA No. 167/Chny/2018 is an appeal filed by the Revenue against the Order of the Commissioner of Income Tax (Appeals)-19, Chennai, in ITA No. 248/16-17 dated 16.10.2017, in the case of Shri Avathan Chettiar Sureshku ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of assessment, it was noticed that the assessees are engaged in money lending and brokerage in money lending. The assessees were not maintaining any regular books of accounts on day to day basis. The assessees claim that they have been making advances for a short period of time and the assessees do not made advances to the same person during the pendency of earlier advance. It was a submission that the assessees had claimed that the collection advances made are the sources for the deposits of the bank accounts. It was a submission that the assessment was completed u/s. 144 and from the bank statements gathered by the department and furnished by the assessees, it was noticed that the assessees made substantial deposits in the bank accounts ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oney lending business was proved by the ld. Assessing Officer and accepted by the assessee. According to him, aggregate deposits Rs. 3,67,75,800/- with the bank account represented investment of the assessee in his money lending business and no explanation was offered for the source thereof. According to him, ld. Commissioner of Income Tax (Appeals) had applied the peak credit principle when assessee could not show that the deposits were made out of earlier withdrawals. 8. Contra, and in support of its own appeal, ld. Authorised Representative submitted that ld. Commissioner of Income Tax (Appeals) though he correctly applied peak credit principle erred in sustaining additions to the extent of Rs. 21,80,646/-. As per ld. Authorised Represen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e. Even if there were some commission earnings it gets subsumed in the peak credit of Rs. 18,12,888/- considered for addition. The further addition of Rs. 3,67,758/- was not justified in the fact and circumstances of the case, such addition stands deleted. 14. We have considered the rival submissions. 15. A perusal of the Assessment Order shows that the AO treated the entire cash deposits in the bank accounts of the assessees as unexplained income of the assessees. It is also an accepted fact by the AO that the assessees have been doing money lending business in the earlier years also. A perusal of the order of the Ld.CIT (A) shows that the Ld.CIT (A) in Para No. 8 of his order has examined the issue of the money lending business of the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X
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