ITO, NEW DELHI vs. SH. MOFIJUL RAHMAN SEKH, NEW DELHI

Revenue by : Sh. Rajesh Kumar, Sr. DR Assessee by: None Date of Hearing 21/02/2017 Date of pronouncement 10/04/2017 O R D E R PER PRASHANT MAHARISHI, A. M. 1. This appeal is preferred by the revenue against the order of the ld CIT(A) XXIII, New Delhi dated 18.11.2013 for the Assessment Year 2009-10. 2. The revenue has raised the following grounds of appeal:- “1. On the facts and on the circumstances of the case that Ld.CIT(A) has erred in holding that addition u/s 68 cannot be made on the basis of unexplained credit entries/deposits in assessee's bank account.

2. On the facts and in the circumstances of the case that Ld.CIT(A) has erred in accepting the assessee's plea that deposits in his bank account pertains to a third person namely Sh. Jahangir Khan, despite the fact that the assessee not only failed to produce Sh Jahangir Khan before the AO for examination but also failed to furnish any documents in support of his claim that deposits in his bank account pertains to third person namely Sh Jahangir Khan.

3. On the facts and circumstances of the case that Ld.CIT(A) has erred in deleting the addition of Rs.42,90,400/- on account of unexplained cash credits u/s 68 of the Income Tax Act, 1961.

4. The appellant craves leave to add, alter or amend any of the grounds of appeal before or during the course of hearing of the appeal.”

3. The assessee is an individual, who filed his return of income on 03.08.2009 showing income of Rs. 153204/-. Subsequently, according to AIR information it was found that the assessee has deposited and withdrawn from his bank account with ICICI Bank. It was stated by the assessee that the whole transaction is made o f Rs. 4290400/- by his friend Mr. Jahagir Khan. The ld Assessing Officer disbelieved this statement and made the addition of Rs. 4290400/- u/s 68 of the Act and passed assessment order