Undisclosed Bank Account and Cash Deposits Lead to Income Assessment, Turnover Estimation and Penalty for Not Getting Accounts Audited.

The ITAT upheld the reopening of assessment u/s 147 as the assessee had not disclosed a savings bank account with cash deposits of Rs. 13,20,535, providing prima facie reason. 25% of the cash deposits were treated as the assessee's income in absence of evidence for source. The CIT(A)'s estimation of 8% profit on turnover was upheld as the assessee did not disclose all credit entries. Penalty u/s 271B for failure to get accounts audited was upheld as the assessee could not establish reasonable cause, having shown lower turnover to avoid audit. .....

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