LAWS(KAR)-2012-6-124

KEMPANNA CHETTY Vs. ASST COMMISSIONER

Decided On June 05, 2012
KEMPANNA CHETTY Appellant
V/S
ASST COMMISSIONER Respondents

JUDGEMENT

(1.) THE assessee's appeals against the order of the Tribunal insofar as it relates to confirmation of the addition of unexplained cash credit by the Assessing Officer and affirmed by the Commissioner of Income Tax [Appeals] only to the extent of Rs.4,10,000/-.

(2.) THE assessee is an individual and assessment year is 2004-05. In the course of finalization of assessment of the return filed by the assessee, the assessing officer found that the assessee had indicated he had obtained unsecured loan to an extent of Rs.40,80,000/- and had therefore directed the assessee to submit confirmation letters with full address and permanent account number of the creditors. The assessee not having dome before finalization of the assessment, all these amount was disallowed as cash credit and added to the income of the assessee under section 68 of the Income Tax Act, 1961 [for short 'the Act'].

(3.) WHILE revenue's appeal met with part success, insofar as the assessee's appeal relating to adding back of the cash credit amount attributable to persons whose permanent account numbers did not correlate came to be dismissed as the Tribunal found no occasion to vary the order, particularly, with the assessee having failed to convince the assessing authority or first appellate authority about the source of cash credit.