RUPAL VISHAL BHARTWALA,SURAT vs. ITO, WARD 7, VAPI

The assessee has raised the following grounds of appeal:

On facts and circumstances of case as well as law on subject learned CIT(A) erred in upholding order of AO in assessing total income at Rs. 7,20,15,460/-.

That on facts and circumstances of case as well as law on subject the learned CIT(A) erred in confirming the action of Assessing Officer of making addition u/s 69A of Rs. 3,06,00,000/- being cash deposit during demonetization.

That on facts and circumstances of case as well as law on subject the learned CIT(A) erred in confirming the action of Assessing Officer of making addition u/s 69A of Rs. 4,14,15,464/- being cash deposits other credits in bank accounts.

That on facts and circumstances of case as well as law on subject the learned CIT(A) erred in confirming the action of Assessing Officer in invoking S.115BBE Act.

On facts and circumstances of case as well law on subject ld. AO erred in initiating and well concluding the assessment in gross violation of various provision of Act.

It is therefore prayed that assessment order be annulled or addition be deleted.

Appellant craves leaves to add, alter or delete any ground(s) either before or in the course of hearing of appeal.

The details filed by the assessee before Revenue Authorities is as under: 1. During the year under consideration, I was engaged in travel business with the name and style as M/s. Yogi Holidays as being the sole proprietor. It is also to be noted here that during the year under consideration, I had entered into an agreement with Thai Travel Deals, Thailand (Prop Mr. Rishi Budhadev) as being a strategic sales and marketing support agreement with the said travel agency w.e.f. 25.04.2016. I am attaching herewith copy of Agreement between M/s. Thai Travel Deals and M/s. Yogi Holidays for your goodself reference and verification purpose.

The director of Thai Travel Deals being Mr. Rishi Budhadev Thakkar acted as my principal supporter in carrying and growing my business. 1 only acted as an agent on behalf of him. It is also to be noted here that all my bank transactions were also carried out by Mr. Rishi. He used to have my signed cheque book and he carried out my business transactions through the said cheques.

As per discussion and agreement with M/s. Thai Travel Deals, during the year under consideration and during the demonetization period, the bookings of Thai Travel Deals and the cash received from the said bookings were deposited in my business accounts against the tour planned for the travelers and clients of M/s. Thai Travel Deals. All the

From the said receipts, the proprietor of M/s. Thai Travel Deals - Mr. Rishi Budhadev returned the said amount to M/s. R.K. Builders, Mumbai. As the said receipts were not related to my business and the same were mere deposits made into my bank account, I therefore, on the said instructions, had issued cheques and returned all the amounts received from the travellers of M/s. Thai Travel Deals to M/s. R.K. Builders, Mumbai as directed by my principal supporter.

It is also to be noted here that I had made online reply on the Income Tax portal regarding the cash deposits during the demonetisation period in various bank accounts stating the same fact of deposit being related to Thai Travel Deals bookings. All the documents related to the sald bookings are with Thal Travel Deals only. Copy of Online Response to Cash Transactions 2016 is attached herewith for your goodself reference and verification purpose.

During the course of Assessment Proceedings, all the notices were issued on my old address and hence, I was not able to comply with the notices and also provide the Learned AO with complete explanation regarding the same. It is also to be noted here that, the Learned AO had passed the Assessment Order in the month of October only. However, the due date of completion of Assessment Proceedings was 31.12.2019. Hence, the Learned AO had 2 months' time to collect more information or detail.

However, the Learned AO had passed the Assessment Order without providing reasonable opportunity of being heard. I am also attaching herewith copy of Assessment Order stating my old address as "41/3, Shreeji Niwas, Opp. Surya Co. Op. Soc. Chharwada Road, Vapi 396191, Gujarat." However, my new address is "C-1003, Pramukh Hills, Chharwada Road, Vapi- 396191."

It is also to be noted here that the Learned AO had made an addition of all the cash and credit entries found in my bank accounts without considering the facts and nature of such deposits.

On going through the details, the Ld. CIT(A) held as under: “During the appeal proceedings, the appellant stated that the cash deposits were made by Mr. Rishi Budhadev, proprietor of Thai Travel Deals, Thailand, with whom she has entered into agreement and that all the money were transferred to the accounts of M/s R. K. Builders, Mr. Rishi Budhadev and his entities.

Before us, the Ld. A.R. argued that the amount does not belong to the assessee and the Ld. A.R. supported the argument of the A.O. and the Ld. CIT(A).

We have gone through the record before us. It is a clear case that that the assessee is unable to prove the sources of the cash deposited in his own bank account. The deposits have been clearly made by the assessee in his own bank account. Hence, we decline to interfere in the order of the Ld. CIT(A).