A B WINE STORES,KOLKATA V. ACIT, CIRCLE 40, , KOLKATA

ITA 897/KOL/2025

AI Insights

The case involves A B Wine Stores, a liquor dealer, who appealed against the order of the Addl/JCIT(A), Kochi, which treated a deposit of Rs.5,98,216 made in demonetized currency as unexplained income for the assessment year 2017-2018. The assessee argued that the deposit was from legitimate sales, supported by sales figures and cash deposits recorded in the cash book. The revenue supported the original assessment. The Tribunal reviewed the bank account, sales, and cash deposits, concluding that the assessee had sufficient funds from sales to justify the deposit, leading to the deletion of the addition made by the Assessing Officer and confirmed by the CIT(A).

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 714454 (ITAT-KOLKATA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-08-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2017-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SOMNATH DAS BISWAS
• Assessee Lawyers: S.K. TULSIAN

Judgement Text

" आयकर अपीलीय अधिकरण, “एस.एम.सी” न्यायपीठ, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “SMC” BENCH KOLKATA श्री जाजज माथन, न्याययक सदस्य क े समक्ष । BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER आयकर अपील सं/ITA No.897/KOL/2025 (नििाारण वर्ा / Assessment Year : 2017-2018) A B Wine Stores, 8/7A, M.G.Road, Kolkata-700009 Vs ACIT, Circle-40, Kolkata PAN No. : AAJFA 6312 L (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) नििााररती की ओर से /Assessee by : Shri S.K.Tulsian, Advocate & Ms. Mita Rizabi, CA राजस्व की ओर से /Revenue by : Shri Somnath Das Biswas, Sr. DR सुनवाई की तारीख / Date of Hearing : 07/08/2025 घोषणा की तारीख/Date of Pronouncement : 07/08/2025 आदेश / O R D E R This is an appeal filed by the assessee against the order passed by the ld. Addl/JCIT(A), Kochi, dated 20.03.2025 for the assessment year 2017-2018. 2. Shri S.K.Tulsian & Ms. Mita Rizabi, ld. ARs appeared on behalf of the assessee and Shri Somnath Das Biswas, ld. Sr. DR appeared on behalf of the revenue. 3. It was the submission of the ld.AR that the assessee is a dealer of liquor. It was the submission that the assessee has deposited Rs.5,98,216/- in the form of demonetized currency on 13.12.2019 in United Bank of India. It was the submission that the said money was out of the sales of the assessee. It was the submission that the Assessing Officer held that there were no sufficient funds available in the cash book of the assessee and had treated the said amount of Rs.5,98,216/- as unexplained income of the assessee. It was the submission that the cash book of the assessee and Printed from counselvise.com ITA No.897KOL/2025 2 the cash deposit slips clearly shows that for the assessment year 2017- 2018 in November, 2016 the assessee had sales of Rs.65,02,484/- and the cash deposited was Rs.35,61,900/-. This is evident from the break up of the cash book as has been produced at page 11 of the paper book which reads as follows :- 4. It was the submission that the assessee had sales during the relevant period and its deposits are out of the sales, hence, no addition would call for. Printed from counselvise.com ITA No.897KOL/2025 3 5. In reply, ld. Sr. DR vehemently supported the orders of the ld. Assessing Officer and ld. CIT(A). 6. I have considered the rival submissions. A perusal of the bank account of the assessee, sales and cash deposits as has been reflected in page 11 of the paper book clearly shows that the assessee had adequate funds for making the said deposit in the bank account. As the assessee has made deposit out of its sales and its cash book, therefore, no addition is called for. This being so, the addition as made by the Assessing Officer and confirmed by the ld.CIT(A) stands deleted. 7. In the result, appeal of the assessee is allowed. Order dictated and pronounced in the open court on 07/08/2025. Sd/- (जाजज माथन) (GEORGE MATHAN) न्यानयक सदस्य / JUDICIAL MEMBER कोलकाता Kolkata; ददनाांक Dated 07/08/2025 Prakash Kumar Mishra, Sr.P.S. आदेश की प्रनतललपप अग्रेपर्त/Copy of the Order forwarded to : आदेशािुसार/ BY ORDER, (Assistant Registrar) Income Tax Appellate Tribunal, Kolkata 1. अपीलाथी / The Appellant- 2. प्रत्यथी / The Respondent- 3. आयकर आयुक्त(अपील) / The CIT(A), 4. आयकर आयुक्त / CIT 5. विभागीय प्रविविवि, आयकर अपीलीय अविकरण, कोलकाता / DR, ITAT, Kolkata 6. गार्ज फाईल / Guard file. सत्यापपत प्रयत //True Copy// Printed from counselvise.com "