Yogendra Kumar Srivastava, J. - (1.) The present appeal has been filed under Section 260-A of the Income Tax Act, 1961 (in short 'the Act') against the order of the Income Tax Appellate Tribunal, Allahabad Bench, Allahabad (for short 'the I.T.A.T.') dated 30.10.2006, for the assessment year 1999-2000, whereby the Tribunal partly allowed the appeal filed by the Revenue.
(2.) The instant appeal was admitted on the questions of law, as mentioned in the memo of appeal, which are as follows:- "(i) Whether, on the facts and in the circumstances of the case, the Tribunal was legally justified in upholding the order of the assessing officer of making addition U/s 68 of the Income Tax Act at Rs.4,00,000/- in the hand of the firm? (ii) Whether, on the facts and in the circumstances of the case, the Tribunal was correct in holding that the assessee was not able to prove the source of income of partners who have made the deposit with the firm in their capital account therefore addition u/s 68 is justified?"
(3.) The records of the case before us indicate that the assessee has described itself as a partnership firm having sixteen partners engaged in the business of cold storage. For the assessment year 1999-2000, the assessee filed a return of income on 01.11.1999 declaring an income of Rs.36,92,056/-. The case was selected for scrutiny and notices under Section 143(2)/142(1) of the Act were issued. The assessment was thereafter made under Section 143(3) and in terms of an order dated 26.03.2002 the Assessing Officer noted the following credits in the names of the partners:- JUDGEMENT_27_LAWS(ALL)4_2020_1.html ;