Shri Pradipkumar Jethabhai Patel, Anand V. The Income Tax Officer, Ward-1, Anand

ITA 632/AHD/2014

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 8277 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 7 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-10-2017
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 17-07-2017
• Assessment Year: 2009-2010
• Appeal Filed On: 03-03-2014
• Result in Favour of: Revenue
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD C BENCH (BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER & SHRI MAHAVIR PRASAD, JUDICIAL MEMBER) ITA. NO: 632/AHD/2014 (ASSESSMENT YEAR: 2009-10) PRADIPKUMAR JETHABAHI PATEL BLOCK NO 1, GAYATRI SOCIETY, BEHIND GANESH DUGHDHALAYA, ANAND- 388001 V/S INCOME TAX OFFICER, WARD- 1, ANAND (APPELLANT) (RESPONDENT) PAN: ADRPP7534Q APPELLANT BY : MS. ARTI N. SHAH , AR RESPONDENT BY : SHRI PRASOON KABRA, SR. D.R. ( )/ ORDER DATE OF HEARING : 13 -10-201 7 DATE OF PRONOUNCEMENT : 17 -10-2017 PER N.K. BILLAIYA, ACCOUNTANT MEMBER 1. THIS APPEAL BY THE ASSESSEE IS PREFERRED AGAINST TH E ORDER OF THE LD. CIT(A)- IV, BARODA DATED 06.12.2013 PERTAINING TO A.Y. 2009 -10. ITA NO. 632/ AHD/2014 . A.Y. 2009-1 0 2 2. THE SOLE GRIEVANCE OF THE ASSESSEE IS THAT THE LD. CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS. 17.85 LACS MADE BY THE A.O. IN RESP ECT OF CASH DEPOSITED IN SAVINGS ACCOUNT. 3. ASSESSEE IS AN ADVOCATE BY PROFESSION WHO FILED HIS RETURN OF INCOME FOR THE YEAR ON 08.01.2010 DECLARING TOTAL INCOME AT RS. 1, 95,890/-. IN ADDITION TO THE INCOME FROM LEGAL FEES, THE ASSESSEE HAS ALSO SHOWN PROFIT ON SALE OF SHOP AND INCOME FROM OTHER SOURCES. 4. DURING THE COURSE OF THE SCRUTINY ASSESSMENT PROCEE DINGS, THE ASSESSEE WAS ASKED TO EXPLAIN THE SOURCE OF CASH DEPOSITS MADE I N HIS SAVINGS BANK ACCOUNT NO. 50000638144 WITH ALLAHABAD BANK IN WHICH THE AS SESSEE HAD DEPOSITED CASH AGGREGATING TO RS. 17.85 LACS. 5. IN ITS REPLY, THE ASSESSEE STATED THAT HE IS HAVING AGRICULTURAL INCOME AND IN SUPPORT OF IT, THE ASSESSEE PRODUCE SALES BILLS. ON PERUSAL OF THE CASH BOOK SUBMITTED BY THE ASSESSEE, THE A.O. NOTICED THAT TH E ASSESSEE WAS HAVING OPENING CASH BALANCE OF RS. 3,74,286/-. THE ASSESSE E WAS ASKED TO EXPLAIN WHY HE HAS NOT SHOWN AGRICULTURAL INCOME IN HIS RETURN OF INCOME AND WHY HE WAS KEEPING SUCH HUGE CASH IN HAND. 6. IN REPLY, THE ASSESSEE STATED THAT HE WAS UNDER A B ELIEF THAT THE AGRICULTURAL INCOME IS NOT TAXABLE. IN RESPECT OF THE CASH IN HA ND, THE ASSESSEE STATED THAT HE IS KEEPING THE BALANCE ONLY TO ROTATE THE FUND FOR SHOWING THE TRANSACTION IN SAVING ACCOUNT. IT WAS FURTHER EXPLAINED THAT THE C ASH IS WITHDRAWN FROM ONE BANK ACCOUNT AND AGAIN RE-DEPOSITED IN THE SAVINGS ACCOUNT TO ESTABLISH WITH THE VISA AUTHORITY THAT HE IS REGULARLY TRANSACTING IN HIS SAVING ACCOUNT. IT WAS ITA NO. 632/ AHD/2014 . A.Y. 2009-1 0 3 EXPLAINED THAT THIS WAS DONE TO GET THE VISA. THE A SSESSEE FURTHER STATED THAT HE IS SUFFERING FROM MEDICAL PROBLEMS AND JUST TO BUY PEACE HE IS OFFERING THE CASH DEPOSITED IN THE SAVINGS BANK ACCOUNT AS HIS INCOME FOR THE TAX PURPOSES. 7. AFTER CONSIDERING THE FACTS AND THE SUBMISSIONS AND THE OFFER MADE BY THE ASSESSEE, THE A.O. ADDED RS. 17.85 LACS TO THE ASSE SSEE. 8. ASSESSEE CARRIED THE MATTER BEFORE THE LD. CIT(A) BUT WITHOUT ANY SUCCESS. 9. BEFORE US, THE LD. COUNSEL FOR THE ASSESSEE STATED THAT THE ASSESSEE WAS WITHDRAWING CASH FROM HIS OVER DRAFT ACCOUNT AND DE POSITING THE SAME IN HIS SAVINGS BANK ACCOUNT. THE LD. COUNSEL FURTHER REITE RATED THAT THIS WAS DONE TO GET THE VISA. IN REBUTTAL, THE LD. D.R. STRONGLY SU PPORTED THE FINDINGS OF THE LOWER AUTHORITIES. 10. WE HAVE GIVEN A THOUGHTFUL CONSIDERATION TO THE ORD ERS OF THE AUTHORITIES BELOW. WE HAVE ALSO CAREFULLY CONSIDERED THE SUBMIS SIONS MADE BY THE ASSESSEE BEFORE THE LOWER AUTHORITIES. THERE IS NO DISPUTE T HAT THE ASSESSEE HAD DEPOSITED CASH IN HIS SAVINGS BANK ACCOUNT. THE CLA IM OF THE ASSESSEE THAT HE WAS HAVING AGRICULTURAL INCOME OF ABOUT RS. 5 LACS DOES NOT HOLD ANY WATER FOR THE SIMPLE REASON THAT NEITHER THE ASSESSEE HAD SHO WN THIS INCOME IN HIS RETURN OF INCOME NOR ANY AGRICULTURAL INCOME WAS DECLARED BY THE ASSESSEE IN THE PRECEDING ASSESSMENT YEARS AND IN THE SUCCEEDING AS SESSMENT YEARS. 11. AS MENTIONED ELSEWHERE, THE ASSESSEE IS AN ADVOCATE BY PROFESSION. THEREFORE IT CANNOT BE EXPECTED FROM HIM TO WITHDRAW CASH FROM O NE ACCOUNT AND DEPOSIT THE SAME IN ANOTHER ACCOUNT WHEN BOTH THE ACCOUNTS ARE IN THE SAME BRANCH OF ITA NO. 632/ AHD/2014 . A.Y. 2009-1 0 4 THE BANK. WE FIND THAT WHEN THE ASSESSEE WAS CONFRO NTED WITH THE CASH DEPOSIT DURING THE SCRUTINY ASSESSMENT HE TOOK SHELTER BEHI ND HIS ILLNESS AND OFFERED THE SAME FOR TAX PURPOSES. THIS CONDUCT OF THE ASSE SSEE ITSELF SHOWS THAT HE HAS NO PLAUSIBLE EXPLANATION REGARDING THE SOURCES OF T HE CASH FUND TO BE DEPOSITED IN HIS SAVINGS BANK ACCOUNT. ON CONSIDERATION OF TH E TOTALITY OF THE FACTS IN ISSUE BEFORE US, WE HAVE NO HESITATION TO UPHOLD T HE FINDINGS OF THE LD. CIT(A) AND DISMISS THIS APPEAL BY THE ASSESSEE. ORDER PRONOUNCED IN OPEN COURT ON 17- 10- 20 17 SD/- SD/- (MAHAVIR PRASAD) (N. K. BILLAIYA) JUDICIAL MEMBER TRUE COPY ACCOUNTANT MEMBER AHMEDABAD: DATED 17/10/2017 RAJESH COPY OF THE ORDER FORWARDED TO: - 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT (APPEALS) 4. THE CIT CONCERNED. 5. THE DR., ITAT, AHMEDABAD. 6. GUARD FILE. BY ORDER DEPUTY/ASSTT.REGISTRAR ITAT,AHME DABAD