Income Tax Appellate Tribunal - Bangalore
Sri Gosbal Madhu Sudhana, Hosapete vs The Income Tax Officer, Ward - 1, ... on 5 November, 2019
IN THE INCOME TAX APPELLATE TRIBUNAL
SMC, "A'' BENCH : BANGALORE
BEFORE SHRI B.R BASKARAN, ACCOUNTANT MEMBER
ITA No.811/Bang/2019
Assessment year : 2016-17
Sri Gosbal Madhu Sudhana, Vs. The Income-tax Officer,
Madhu S Nilaya, 9th Ward, Ward-1,
Basaveshwara Bhavane, Hosapete.
Hosapete-583 201.
PAN - AII PG 5684 Q.
APPELLANT RESPONDENT
Appellant by : Shri B.S Balachandran, Advocate
Respondent by : Shri Ganesh R Ghale, Advocate Standing Counsel to Dept.
Date of hearing : 05.11.2019
Date of Pronouncement : 05.11.2019
ORDER
Per B.R Baskaran, Accountant Member
The appeal filed by the assessee is directed against the order dated 28/1/2019 passed by ld CIT(A), Gulbarga and it relates to the asst. year 2016-17.
2. The assessee is aggrieved by the decision of ld CIT(A) in confirming the addition relating to unexplained cash deposits made in the bank account of the assessee.
3. The ld counsel for the assessee submitted that the AO has made the addition of cash deposits made into various bank accounts viz., Canara Bank, Axis Bank, Sidharath Sahakari ITA No.811 /Bang/2019 Page 2 of 4 Sangha Niyamitha Co-operative Bank Ltd. ld AR submitted that the assessee is maintaining books of accounts and all these bank accounts have been duly disclosed in the books of account. Accordingly he submitted that the deposits have been made into these bank accounts out of the balances available in the books. He further submitted that the AO has accepted the books of account and did not reject the same. Under the circumstances the ld AR submitted that the AO was not justified in making this addition without considering the books of account of the assessee. He further submitted that the ld CIT(A) has also not appreciated these facts and accordingly he has confirmed the addition made by the AO.
4. On the contrary the ld DR submitted that the assessee has not explained the sources of deposits and hence the tax authorities have made the addition.
5. I have heard the rival contentions and perused the record. The balance sheet of the assessee is placed at page 70 of the paper book and a perusal of the same would show that bank accounts maintained with above said 4 banks are duly disclosed in the balance sheet, meaning thereby, all these banks accounts are available in the books of account. In that case the sources of deposits made into bank account shall be available in the books of account itself. It is the contentions of the assessee that AO has not rejected the books of account, in which case, the sources of deposits made into the bank accounts would stand explained by the entries made in the books of account. Accordingly I find merit in ITA No.811 /Bang/2019 Page 3 of 4 the contentions of the assessee. However, I am of the view that the books accounts of the assessee and the bank accounts accounted therein needs to be examined at the end of AO . Accordingly I restore this issue to the file of the AO with a direction to examine the books of accounts and after satisfying himself that deposits made into bank account are duly recorded the books of account, I direct the AO to delete impugned additions.
6. In the result, appeal filed by the assessee is treated as allowed for statistical purpose.
Order pronounced in the open court on 5th November, 2019.
Sd/-
(B.R Baskaran) Accountant Member Bangalore, Dated, the 5th November, 2019.
/Vms/ Copy to:
1. Appellant (s) / Cross Objector(s)
2. Respondent(s)
3. CIT
4. CIT(A)
5. DR, ITAT, Bangalore.
6. Guard file By order Asst. Registrar, ITAT, Bangalore ITA No.811 /Bang/2019 Page 4 of 4
1. Date of Dictation .............................................
2. Date on which the typed draft is placed before the dictating Member .........................
3. Date on which the approved draft comes to Sr.P.S ...................................
4. Date on which the fair order is placed before the dictating Member ....................
5. Date on which the fair order comes back to the Sr. P.S. .......................
6. Date of uploading the order on website...................................
7. If not uploaded, furnish the reason for doing so ................................
8. Date on which the file goes to the Bench Clerk .......................
Dictation note enclosed
9. Date on which order goes for Xerox & endorsement..........................................
10. Date on which the file goes to the Head Clerk .........................
11. The date on which the file goes to the Assistant Registrar for signature on the order .....................................
12. The date on which the file goes to dispatch section for dispatch of the Tribunal Order ...............................
13. Date of Despatch of Order.
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14. Dictation note enclosed ................................................