9911796707
TMI Blog2024 (11) TMI 1366X X X X Extracts X X X X X X X X Extracts X X X X ..... there is a peak shortage of Rs. 1,05,000/- on 01.06.2010 which can only be treated as unexplained. Consequently, the addition made by AO is restricted to the extent of Rs. 1,05,000/- and the rest of the addition is deleted. The assessee gets relief accordingly. - SHRI VIJAY PAL RAO, JUDICIAL MEMBER AND SHRI B.M. BIYANI, ACCOUNTANT MEMBER For the Assessee: Shri Milind Wadhwani, CA For the Revenue: Shri Ashish Porwal, Sr. DR ORDER Per B.M. Biyani, A.M.: Feeling aggrieved by appeal-order dated 17.01.2024 passed by learned Commissioner of Income-Tax (Appeals), NFAC, Delhi [ CIT(A) ] which in turn arises out of assessment-order dated 13.12.2018 passed by learned ITO, Dhar [ AO ] u/s 144/147 of Income-tax Act, 1961 [ the Act ] for Assessment-Y ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s and in the circumstances of the case and in law, the Ld. CIT(A) erred in upholding the action of the AO in making an addition of Rs. 11,61,603/- to the income of assessee on account of unexplained cash deposits. 4. Ground No. 1 relates to the addition of Rs. 2,25,133/- upheld by CIT(A) out of addition of Rs. 2,47,881/- made by AO on account of salary income. During hearing, Ld. AR for assessee submitted that the assessee is not pressing this ground. Ld. DR did not have any objection. Accordingly, Ground No. 1 is dismissed as non-pressed. 5. Ground No. 2 relates to the addition of Rs. 11,61,000/- (amount is wrongly mentioned as Rs. 11,61,603/- in ground) made by AO on account of unexplained deposits in bank a/c and upheld by CIT(A). 6. Apr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le with the facts of the case as to why and how the appellant made no cash deposits for last 38 years in the bank account and retained such cash of Rs. 16,21,000/- for depositing in cash in this relevant assessment year of Rs. 11,61,000/- and again not depositing the entire such inflow of cash, had continue to keep cash in hand of Rs. 3,40,000/- as calculated in the submission made during the appellate proceedings. Apart from all the factual details against the appellant, the appellant also had not complied to any of the notices before the AO. Further, the natural disaster etc. of submergence of the Narmada River Basin, in my opinion, cannot be the due explanation for the sudden cash deposit after 38 years and not the gradual deposits from ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e submitted that the AO has made addition of Rs. 11,61,000/- just by making arithmetical total of credit entries/deposits in bank a/c of assessee during financial year 2010-11 instead of taking a peak shortage of cash, if any, with the assessee having regard to the funds available from opening cash balance as on 01.04.2010 and cash withdrawals made from the very same bank a/c during the same financial year 2010-11 itself. To show the peak shortage, if any, Ld. AR has filed three alternative statements of cash flows at Page 34 to 36 of Paper-Book which incorporates opening cash-balance, deposits made in bank and withdrawals from bank. The 1st statement starting with opening cash balance of Rs. 3,80,000/- does not show any peak shortage; the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... th sides and perused the documents to which our attention has been drawn. Admittedly, the AO has made impugned addition of Rs. 11,61,000/- by just aggregating various credit/deposits made by assessee throughout the financial year 2010-11 in bank a/c. On perusal of bank statement, we find that the assessee has made frequent deposits in bank a/c and it is not a case of one time sudden deposit. Further, the assessee has also made frequent cash withdrawals from the very same bank a/c. Therefore, looking at the pattern of deposits and withdrawals, the assessee should not be denied the benefit of peak credit. That means, only peak-shortage can be considered as unexplained income. This is in consonance with the view taken by various judicial forum ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 0009988 7000.00 67000.00 03/08/2010 BOI 980810100009988 5000.00 72000.00 11/08/2010 BOI 980810100009988 5000.00 77000.00 16/08/2010 BOI 980810100009988 140000.00 217000.00 20/08/2010 BOI 980810100009988 25000.00 242000.00 25/08/2010 BOI 980810100009988 23000.00 219000.00 01/09/2010 BOI 980810100009988 5000.00 224000.00 01/09/2010 BOI 980810100009988 15000.00 239000.00 23/09/2010 BOI 980810100009988 32000.00 207000.00 13/10/2010 BOI 980810100009988 32000.00 177000.00 18/10/2010 BOI 980810100009988 32000.00 147000.00 19/10/2010 BOI 980810100009988 35000.00 182000.00 21/10/2010 BOI 980810100009988 5000.00 187000.00 26/10/2010 BOI 980810100009988 200000.00 387000.00 29/10/2010 BOI 980810100009988 20000.00 367000.00 02/11/2010 BOI 98081010000998 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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