SURJIT SINGH Vs. COMMISSIONER OF INCOME TAX, AMRITSAR

JUDGEMENT

(1.) The present appeal is directed against the judgment of the Income Tax Appellate Tribunal, Amritsar whereby, the appeal of the assessee was only partly allowed and the disallowance of Rs. 7,23,000/- was upheld in place of the addition made by the Assessing Officer of Rs. 9,02,215/-. The matter pertains to the assessment year 2004-05.

(2.) The question of law which arises for consideration is:-

(3.) The appellant-assessee filed his return of income on 07.05.2004 wherein, a sum of Rs. 40,670/- was declared as income apart from agricultural income to the tune of Rs. 7,00,000/-. The returned income was accepted on 13.02.2006. Subsequently, on account of the cash deposits of Rs. 7,23,000/- in the savings account of the assessee, the source of the said cash deposit was sought to be explained by the revenue. The explanation of the assessee was that he was owner of 20 acres and 7 kanals of agricultural land in his own name and out of which, there was an orchard of 8 acres, which was being cultivated. The sale proceeds of fruit of Rs. 9,02,215/- had been deposited and one M/s. Gurdaspurian Di Hatti Food, an Commission Agent of Batala had made the payments. The concerned assessing authority at Abohar accordingly wrote to his counter part at Batala regarding the payment made in cash by the said commission agent. The original receipts forwarded by the assessee were also sent to the said income tax officer at Batala for taking suitable action against the said commission agent. A report was also received that the said transactions were not recorded in the account books of the said commission agent.