R KAARTHIK KUMAAR,UDUMALPET vs. ITO, WARD -2(4), TIRUPUR

This appeal of the assessee is directed against the order of the Commissioner of Income Tax (Appeals)-3, Coimbatore, dated 16.11.2017 and pertains to assessment year 2013-14.

The only issue arises for consideration is addition made by the Assessing Officer under Section 68 of the Income-tax Act, 1961 (in short 'the Act') in respect of credit found in the bank account of the assessee.

Shri N. Vijay Kumar, the Ld. representative for the assessee, submitted that the assessee’s friend gave the money to the assessee since there was a family dispute in his family. Therefore, according to the Ld. representative, the assessee deposited the money received from his friend in the bank account. Subsequently, it was returned to the assessee’s friend. According to the Ld. representative, the assessee has filed necessary confirmation letter to show that what was deposited by the assessee in his bank account is the money belonging to his friend, hence, there cannot be any addition. This aspect was not considered by the Assessing Officer. Therefore, according to the Ld. representative, the matter may be remitted back to the file of the Assessing Officer.

We heard Shri B. Sagadevan, the Ld. Departmental Representative also. According to the Ld. D.R., since the assessee says that the money found in his bank account was received from his friend for temporary custody, the matter may be remitted back to the file of the Assessing Officer for reconsideration.

Having heard the Ld. representative for the assessee and the Ld. Departmental Representative, this Tribunal is of the considered opinion that the assessee now claims before this Tribunal that the money was received from his friend for temporary custody since there was a family disputed in the family of his friend.

In the result, the appeal filed by the assessee is allowed for statistical purposes.