Case Law Details
A. Manoharan Vs ITO (ITAT Bangalore)
ITAT observe that the AO has made the addition under Section 69 of the Act of Rs.12,75,802/- for want of proper explanation of cash deposited during demonetisation period. The assessee tried to justify the same by submitted that the assessee had withdrawn cash from his Corporation Bank and Indian Bank accounts in the two financial years, i.e. on 26.03.2013 Rs. 9,00,000/- and on 04.04.2013 Rs. 30,000/- from Corporation Bank and Rs.13,00,000/- and Rs.80,000/- from Bank of India on these dates. It was also observed that the details of income earned and return filed since AY 2011-12 were submitted as noted supra. During the course of assessment proceedings as well as during the first appellate proceedings the assessee did not file any cash flow statement or any statement of affairs for justifying the cash lying with him in the past years. Though he was not required to maintain books of accounts as per section 44AA(2) but can prepare statement of affairs for justifying his closing cash balance at the end of year. I found substance on submission of the ld. DR.
9.1. Looking to the age of the assessee and income earned by the assessee as shown above, I think it fit to restrict the addition to the extent of Rs.8,00,000/-. Ordered accordingly.
FULL TEXT OF THE ORDER OF ITAT BANGALORE
This is an appeal filed by the assessee against the order of the learned CIT(A), NFAC, Delhi dated 30.03.2021 for AY 2017-18.
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