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TMI Blog2025 (2) TMI 446X X X X Extracts X X X X X X X X Extracts X X X X ..... t year 2013-14 which is very old and litigation must come to an end, therefore, considering we are of the considered opinion that the estimation of income @ 10% of the total turnover of Rs. 2,23,77,000/- as mentioned by the Assessing Officer in the assessment order will meet the ends of justice.
Since the assessee has filed a copy of the interest certificate from the bank showing the repayment of principal amount of Rs. 72,643/- and interest amount of Rs. 3,59,357/- totaling to Rs. 4,32,000/- for the period between 01.04.2012 to 31.03.2013 which was also filed before the CIT(A), we direct the AO to allow the consequential deduction as per the provisions of section 80-C of the Act and interest on self occupied house property. Appeal filed by the assessee is partly allowed. X X X X Extracts X X X X X X X X Extracts X X X X ..... e has furnished the certificate for the period from 01.04.2014 to 31.03.2015 which is not for the relevant period of assessment in question i.e. relevant to assessment year 2015-16. Further, the certificate does not contain the details of property for which the loan is granted. In absence of all these details, the claim of assessee u/s 80C of the Act of Rs. 1,50,000/- being interest paid for self occupied property was disallowed by the Assessing Officer. 5. The Assessing Officer further noted from the bank statement of Saraswat Co-operative Bank Ltd., Kharadi Branch, Pune that the assessee has made cash deposit of Rs. 113,23,000/- during the relevant assessment year. He therefore, asked the assessee to produce proof and source of cash deposits made in the said account. The assessee in response to such notice submitted vide letter dated 11.12.2015 that cash deposited into the bank account is against the payments received towards booking amount and installment, advances received from selling of plots from various customers mainly from rural areas. In order to substantiate his claim of cash deposits in the bank account, the assessee did not furnish cash book along with receipt books ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Although VC notice was issued the assessee being non-conversant with procedure could not communicate with the notice and hence VC remained unattended. The order passed without giving proper opportunity to the assessee of being heard deserves to be cancelled and just and proper relief be granted to the assessee. 2) The Commissioner of Income Tax Appeals erred in passing an order of dismissing the appeal when the detailed submission was made for legal Ground of Appeal and Appeal was adjudicated without considering the submission on the legal Ground of Appeal. Just and proper relief be granted to the assessee. 3) The learned assessing officer erred in exercising jurisdiction u/s 144 of the Income Tax Act when the required submissions were made during the course of assessment proceedings before completing the assessment and the assessment was completed on 23/03/2016 without appreciating the submissions made and hence the assessment so completed u/s 144 be cancelled and just and proper relief be granted to the assessee. 4) Without prejudice to the above legal Grounds of Appeal deduction of Rs. 150000/- on account of interest paid on bank loan for self occupied residential house pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he assessment u/s 144 of the Act without rejecting the books of account. He submitted that since the entire cash deposited in the bank account is out of sale proceeds either by way of advance or on account of sale, the Assessing Officer was not justified in making the addition as unexplained cash. So far as the sundry creditors are concerned, he submitted the copies of agreements from whom the land was purchased along with the amount payable were given to the Assessing Officer. The agreements contain the full details of the creditors. The Assessing Officer could have verified the same by using the powers vested with him. He accordingly submitted that the addition on account of sundry creditors is not warranted. 11. So far as the various other additions made by the Assessing Officer are concerned, he submitted that the same are exorbitantly high considering the nature of business of the assessee. 12. So far as the denial of deduction u/s 80-C of the Act on account of interest on housing loan is concerned, the Ld. Counsel for the assessee drew the attention of the Bench to the certificate issued by the bank on 02.11.2017 which was submitted before the Ld. CIT(A) / NFAC but which ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e present appeal is assessment year 2013-14. The assessee has filed various details before the Assessing Officer though not according to his satisfaction. In our opinion and considering the nature of business carried on by the assessee and the turnover disclosed which is mainly received in cash and since it is also not the case of the Assessing Officer that total deposits in the bank account both cash and through cheques / DD etc. far exceeds the turnover disclosed by the assessee, the addition of the entire cash deposited in the bank account appears to be on the higher side. So also, the disallowance of sundry creditors especially when the assessee has given Ledger copy of various parties from whom land was purchased. At the same time, by not furnishing the full details as per the satisfaction of the Assessing Officer, the claim of the assessee that no addition is called for cannot be accepted. Since the assessee in the instant case is engaged in plotting business and full details were not given before the Assessing Officer in the manner in which it should have been given as per the direction of the Assessing Officer and since the assessment year involved is assessment year 2013-1 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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