Allowing the appeal the Court held that partners have shown the agricultural income in their personal returns of the past years which had been accepted by the department as such . The partners are all identifiable and separately assessed to tax . The source of investment having been explained , in the event the Assessing Officer was not satisfied the addition could have been considered in the hands of the partners and not in the hands of the firm . Decision in CIT v. Kapur Brothers (1979) 118 ITR 741 (All) (HC) distinguished . ( ITA No. 17 of 2007 dt . 24 -2-2020) (AY. 1999-2000)
Keharwani Sheetalaya Sahsaon v. CIT ( 2020) 116 taxmann.com 382 / 274 Taxman 25/191 DTR 339 / 315 CTR 815 ( All) (HC)
S. 68 : Cash credits – Firm -Partner- Capital brought in by partner – Agricultural income -Addition cannot be made in the assessment of the firm . [ S.2(31) (iv) ]