Case Law Details
Poonam Garg Vs ITO (ITAT Delhi)
ITAT Delhi held that addition towards payment of stamp duty in cash is not sustainable as source of income such as tuition income, interest income and rental income which is converting to in cash since 20 to 25 years and she is continuously filing her return of income with the department.
Facts- The present appeal has been preferred by the appellant contending that CIT(A) has erred in confirming Rs. 6,74,500 on account of cash deposited in bank as unexplained.
Further, appellant also contested that CIT(A) has erred in confirming Rs. 6 Lakhs on account of stamp duty paid on purchase of property treating it as unexplained source.
Conclusion- Held that the AO was not right in only considering the cash out of income leaving aside the amount of huge cash withdrawals from the state bank of India account of the assessee which is much higher than the amount of impugned cash deposit to UCO Bank account of the assessee. Therefore, ground No. 1 is allowed and the AO is directed to delete the addition.
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