Shobha Tomar Vs DCIT (ITAT Jaipur)
Cash deposits from professional Income during Demonetization could not be considered as unexplained merely because it was deposited in form of SBNs
In the above mentioned case, the Hon’ble ITAT noted and held that cash balance and professional income offered was duly reflected in regular books of account of assessee, also cash which was recorded in cash book was not doubted by AO, furthermore, considering month wise receipt as compared to previous year, cash on hand regularly shown by assessee with that of cash receipt did not reflect sudden hike
Thus, once source from regular books was considered as explained and assessee had merely deposited that sourced income in SBNs, that income could not be considered as unexplained within provision of section 68 Furthermore, Since cash was already considered as professional income, same could not be a base while making addition of income that had already been offered and substantiated with evidence and reflected in returned income by assessee.
FULL TEXT OF THE ORDER OF ITAT JAIPUR
The present appeal is filed by assessee, because the assessee is aggrieved with the finding recorded in the order of the Commissioner of Income Tax (Appeals)-4, Jaipur dated 23/02/2024 [here in after (ld. CIT(A)]. The appeal relates to the assessment year 2017-18. The order of the ld. CIT(A) is passed because the assessee has preferred an appeal against the assessment order dated 31.12.2019 passed under section 143(3) of the Income Tax Act, by DCIT, Central Circle-01, Jaipur.
