Pinkal Sureshkumar Kothari,Ahmedabad vs The Ito, Ward-5(2)(1), Ahmedabad on 27 August, 2025
9. These facts were demonstrated to us from the documents on
record before the AO and the Ld. CIT(A) which included the copy
of bank statement of the assessee from where the entire
investment was shown to have been made by the assessee. The
Ld.DR was unable to controvert the said facts. The Ld. CIT(A),
I have noted, completely misunderstood the pleadings of the
assessee. He has noted that the balance amount of Rs.6.39 Lakhs
as from the cash withdrawals made on different occasions and
finding the AO to have already given a credit of Rs.11.50 Lakhs
for cash deposits out of cash withdrawals, he rejected the
assessee's explanation. The records before us demonstrate that
it was only investment to the tune of Rs.2.94 Lakhs on account
of stamp duty paid for acquiring property, which was made in
cash. Therefore, finding of the Ld.CIT(A) that investment to the
extent of Rs.6.39 Lakhs was made from cash withdrawals is
incorrect. Further, the cash paid for stamp duty purposes was the
only component funded from cash withdrawals. Cop y of cash
book furnished by the assessee to the authorities below reveals
that there was more than sufficient cash withdrawals made by the
assessee for the said purposes, which, the Ld. Counsel for the
assessee pointed out amounted in all to Rs.16.98 Lakhs, out of
which, even after giving credit of Rs.11.50 Lakhs for cash
deposited in bank, which credit was given b y the AO, there
ITA No.1303/Ahd/2025 [Pinkal
Sureshkumar Kothari vs. ITO] A.Y. 2017-18 -8-
remains sufficient amount available with the assessee for
investment in purchase of impugned property on account of stamp
duty paid thereon amounting to Rs.2.94 Lakhs. Therefore, I hold
that the source of investment in the propert y purchased by the
assessee during the impugned year to the tune of Rs.62.94 Lakhs
stands fully explained and the addition, therefore, confirmed by
the Ld. CIT(A) to the tune of Rs.6.39 Lakhs is not sustainable
and is directed to be deleted.