Section 68 of Income Tax Act, 1961— Unexplained cash credit—In the instant case, appeal by revenue and cross objection filed by assessee are directed against the order of CIT(A).

Held that—In the present case, the entire evidence has to be appreciated in a wholesome manner and even when there is a documentary evidence, the same can be overlooked if there are surrounding circumstances to show that the claim of the assessee is opposed to the normal course of human thinking and conduct or human probabilities. There is difficulty in rejecting the assessee’s plea as opposed to the normal course of human conduct.

In our opinion, transaction shall be accepted to be real as there is no evidence showing otherwise. Further, the surrounding circumstances apart from the direct evidence in the instant case did not contain anything which belied the claim of the assessee. In view of this we are of the opinion that the addition made by the Assessing Officer cannot be sustained. As such, the CIT(A) is justified in deleting such additions made u/s. 68 of the I.T. Act and confirm the order of the CIT(A).[THE ASST. COMMISSIONER OF INCOME-TAX, CENTRAL CIRCLE KOLLAM. VERSUS M/S. SABARI SWITCH GEAR (P) LIMITED AND (VICE-VERSA) , THE ASST. COMMISSIONER OF INCOME-TAX, CENTRAL CIRCLE KOLLAM. VERSUS M/S. SABARI MILLENNIUM IMPEX (P) LTD. AND (VICE-VERSA)][2019] 17 ITCD Online (26) [ITAT COCHIN]