RAJBIR SINGH,PANIPAT vs. ITO, WARD-5, PANIPAT

I have heard the Learned Representative of both the parties and perused the material available on record.

Learned Counsel for the Assessee did not press Ground Nos.1 and 2 with regard to validity of the re-

Briefly the facts of the case of the case are that the case was reopened under section 147 of the Income Tax Act, 1961 on the reason that assessee had deposited cash amounting to Rs.10,64,000/- in his savings bank account during assessment year under appeal, for which source is not explained. The assessing officer noted that as per information available to the Department, the assessee has maintained his savings bank account with Union Bank of India Nimbri, during assessment year under appeal. The Bank account statement and other deposit details have been obtained from the Bank. On perusal of the same, it is noticed that assessee besides fixed deposits, has deposited cash amounting to Rs.11,14,000/- on different dates and withdrawn Rs.4 lacs in cash during assessment year under appeal, details of the same are noted in para-3 of the assessment order. The assessee was asked to explain the source of the cash deposited in the bank with the documentary evidences. The assessee explained that he is 3 ITA.No.7775/Del./2018 Shri Rajbir Singh, Panipat, Haryana. an agriculturist and his family has three brothers and living jointly with his father in the village. They have 5 acres of agricultural land which is being cultivated by all of them. It was further stated that apart from their own agricultural land, they also used to have agricultural land on lease. The assessee stated that during the assessment year under appeal his entire family earned agricultural income of Rs.5,10,000/- which was deposited in his account by his father as well as by his brothers. Besides this agricultural income he was having past cash savings of Rs.1,74,000/- which was also deposited by him in his bank account during the year under consideration and he also made withdrawals which were re-deposited by him during the year. In regard to deposit of agricultural income, the assessee filed affidavit of his father and his two brothers. The assessing officer noted that assessee has no agricultural land in his own name. The agricultural produces are mostly being sold in the specified vegetable/grain markets. Therefore, assessee was asked to furnish Form-J issued in this regard in support of the 4 ITA.No.7775/Del./2018 Shri Rajbir Singh, Panipat, Haryana. agricultural income of Rs.5,10,000/-. The assessee was also required to furnish copy of the bank account of his brothers. The assessee did not produce any Form-J or any related receipt from Aadhati. The assessee filed some receipts of sale of onion and other vegetables which were signed by various persons. The assessee was required to produce some of the persons to prove genuineness of the sale of agricultural produce to them, but, the assessee failed to produce any of them. The assessing officer in view of the above, estimated the agricultural income of assessee at Rs.2 lacs only as against the claim of Rs.5,10,000/-. The assessing officer further considered the issue of remaining cash deposit and noted that assessee could not produce any evidence with regard to further deposits. The assessing officer also found that assessee has fixed deposits. The assessee during the year under consideration has made three demand drafts. The relevant details have been received from the bank through email which have placed on record. On perusal of it, it was found that the assessee has made these drafts for making investment of Rs.6,52,000/-

The assessee challenge the addition before the Ld. CIT(A) and same submissions have been reiterated. The Ld. CIT(A) as regards the addition of Rs.5,34,000/- noted that assessee has not produced any documentary evidences

The assessee in the present appeal has challenged the addition of Rs.5,34,000/-. Learned Counsel for the Assessee reiterated the submissions made before the authorities below and submitted that agricultural land was in the name of father of the assessee and after his death the property belongs to assessee and his brothers. PB-3 is reply in which source of cash deposit have been explained by affidavit of father and brother of assessee. PB-13 to 71 are the receipts of sale of agricultural produce. He has, therefore, submitted that addition may be deleted.

On the other hand, Ld. D.R. relied upon the orders of the authorities below and submitted that agricultural land was not in the name of assessee and that all the receipts of sale of agricultural produce do not contain

I have considered the rival submissions and perused the material on record. The assessee claimed agricultural income out of doing cultivation in the land of his father. The assessee did not have any agricultural land in his ownership or possession. The assessee did not produce any evidence of taking any other agricultural land on lease. Even if the assessee succeeded agricultural land of his father after his death, he was only joint owner of agricultural land with his two brothers. The assessee, thus, would be having 1/3rd share only in the agricultural land. The assessee did not produce any J-Form which is always issued on sale of agricultural produce. The assessee merely filed Affidavit of his father and brothers which are self- serving only and would not support earning of agricultural income. The receipts of sale of agricultural produce are filed in the paper book which do not contain address of any of the purchasers. The assessing officer asked to produce some of these persons who have purchased agricultural

In the result appeal of Assessee dismissed.