S. 69A — Where the assessee had made frequent cash withdrawals and deposits, he should not be denied the benefit of peak credit and it was only peak shortage which could be added as unexplained income under section 69A.

58 (2024) 167 taxmann.com 671(Indore Trib)

Kamal Chand Sisodiya vs. ITO

ITA No.: 206(Ind) of 2024

A.Y.: 2011-12

Dated: 11^th October, 2024

S. 69A — Where the assessee had made frequent cash withdrawals and deposits, he should not be denied the benefit of peak credit and it was only peak shortage which could be added as unexplained income under section 69A.

FACTS

The assessee was an individual aged about 75 years who had retired from Government service of 39 years as teacher. During financial year 2010–11, he had made cash deposits of ₹11.61 lakhs in the bank account, which were added to the income of the assessee as unexplained cash deposits by the AO, resorting to section 147.

CIT(A) fully sustained the said addition made by the AO.

Aggrieved, the assessee filed an appeal before ITAT.

HELD

The Tribunal observed that-

(a) the AO has made impugned addition by m