Case Law Details
Sh. Dharampal Tyagi Vs ITO (ITAT Delhi)
In this case the assessee has filed copy of Remand Report on record. The assessee initially submitted reply before the A.O. explaining the source of bank deposits out of advance received from OBC Green Card, receipt from supply of sugar cane to mills, sale of milk, wheat, rice and potato.
However, at the appellate stage the assessee explained that out of total deposits of Rs.13,15,000/- deposited in cash in the bank account, an amount of Rs.12,15,000/- were deposited out of advance money received by assessee against an agreement to sell his agricultural land and remaining cash of Rs.65,000/- was deposited by assessee out of agricultural savings.
Copy of agreement with Shri Bal Kishan and affidavit of assessee were filed in support of the same. The A.O. verified these documents and noted that the claim of assessee is verifiable but assessee has changed his stand during the appellate proceedings. Further assessee did not produce these evidences before the A.O. at the assessment stage, therefore, A.O. pleaded that application for admission of additional evidence may be rejected.
These facts makes it very clear that whatever evidences were filed by assessee at the appellate stage are relevant and goes to the root of the matter and may explain the source of cash deposits in the bank account of assessee. The same requires consideration and examination at the level of Ld.CIT(A). Once the additional evidences have been examined by the A.O. at the appellate stage and A.O. says that the claim of assessee is verifiable would support the claim of assessee that these documents were essential for just decision in the matter.
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