Darshnaben Pinkalkumar Patel Vs ITO (ITAT Ahmedabad)
ITAT Ahmedabad Restores Cash Deposit Addition to AO – Joint a/c with Agriculturist Father Considered
The case arose from information received that Assessee had deposited Rs. 10 lakhs in her savings bank a/c though no return was filed for the year. AO initiated reassessment u/s 147 & in absence of compliance, completed assessment ex parte u/s 144, treating entire deposits as unexplained income u/s 69. On appeal, CIT(A) upheld addition noting that Assessee had failed to produce documentary evidence to support her claim that deposits were out of father’s agricultural income. It was observed that neither during assessment nor appellate stage were credible proofs furnished, hence addition was confirmed.
Before Tribunal, Assessee contended through written submissions that the bank a/ct was a joint a/c with her father, a farmer, who was effectively operating the a/c . It was argued that deposits were made from father’s agricultural income & past savings. In support, documents such as landholding records, agricultural produce sale details, bank statement showing deposits & withdrawals, & affidavit of father affirming that deposits were made by him from agricultural sources were filed. It was emphasized that ex parte orders ignored these aspects & entire credit was wrongly taxed in her hands.
