Case Law Details
Oinidri Chakraborty Vs ITO (ITAT Kolkata)
ITAT Kolkata held that addition towards unexplained cash credit u/s 69A of the Income Tax Act untenable as cash deposited during the demonetization period duly explained.
Facts- The assessee is a partner in a partnership firm, Champahati C.S. Shop, which holds a liquor license and is engaged in the business of trading in liquor. Case was selected for scrutiny through CASS for verification of cash deposited during the demonetization period followed by issuance of notice u/s. 143(2) & 142(1) of the Act.
According to the Assessing Officer, the cash deposits in these bank accounts did not form part of the books of accounts of the assessee and therefore required the assessee to explain the same. Post submission, AO held that the cash deposits of Rs.78,809/- appearing in SBI and cash deposits of Rs.66,93,728/- & Rs.3,51,84,160/- appearing in the two bank accounts held with Boral Union Cooperative Bank were found not recorded in the books of the assessee and therefore treated the aggregate sum of Rs.4,19,56,697/- as unexplained cash credit under Section 69A of the Act in the hands of the assessee.
CIT(A) dismissed the appeal. Being aggrieved, the present appeal is filed.
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