ANAND KUMAR JAIN ,KOTA V. ITO WD-2(1), KOTA, KOTA

ITA 1378/JPR/2025

AI Insights

The case involves Anand Kumar Jain, the appellant, who challenged the order of the Learned CIT(A), NFAC, relating to the assessment year 2023-24. The primary contention was the dismissal of his appeal which confirmed the total income assessed by the Assessing Officer, including unexplained money and disallowance under section 24(b) of the Income Tax Act, 1961. The appellant's failure to respond to multiple notices during the appellate proceedings led to the dismissal of his appeal. However, considering the gravity of the issues and the lack of strong objection from the Learned DR, the Tribunal decided to restore the matter for a fresh hearing.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 784796 (ITAT-JAIPUR)
• Duration Of Justice: 1 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-11-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: B
• Assessment Year: 2023-2024
• Appeal Filed On: 03-10-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: GAURAV AWASTHI
• Assessee Lawyers: PAYAL JHORAR; WAY OF CASH; WAY OF CASH
• Keywords: Non compliance
• Section: 143(3); 142(1); 133(6)

Judgement Text

"vk;dj vihyh; vf/kdj.k] t;iqj U;k;ihB] t;iqj IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES,”B-Bench” JAIPUR Jh xxu xks;y] ys[kk lnL; ,oa Jh ujsUnz dqekj] U;kf;d lnL; ds le{k BEFORE: SHRIGAGAN GOYAL, AM& SHRI NARINDER KUMAR, JM vk;dj vihyla-@ITA No.1378/JPR/2025 fu/kZkj.k o\"kZ@AssessmentYear : 2023-24 Anand Kumar Jain 223, Veer Niwash, New Colony, Kota. cuke Vs. The ITO, Ward-2(1), Kota. LFkk;hys[kk la-@thvkbZvkjla-@PAN/GIR No.ABLPJ8230D vihykFkhZ@Appellant izR;FkhZ@Respondent fu/kZkfjrh dh vksjls@Assesseeby :Ms. Payal Jhorar, Adv. jktLo dh vksjls@Revenue by: Shri Gaurav Awasthi, JCIT lquokbZ dh rkjh[k@Date of Hearing :10/11/2025 mn?kks\"k.kk dh rkjh[k@Date of Pronouncement: 10/11/2025 vkns'k@ORDER PER: NARINDER KUMAR, JUDICIALMEMBER . By way of present appeal, assessee-appellant has challenged order dated 23.09.2025, passed by Learned CIT(A), NFAC, relating to the assessment year 2023-24. Vide impugned order, Learned CIT(A) has dismissed the appeal filed by the assessee, u/s 250 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”), and thereby confirmed the total income of the assessee as Printed from counselvise.com 2 ITA No. 1378/JPR/2025 Anand Kumar Jain, Kota. assessed by the Assessing Officer vide order dated 17.03.2025, making the following additions:- “Table of variations: In view of the above discussion, assessee’s income for the year under consideration is hereby assessed as under:- S. No. Description Amount (in Rs.) 1. Income as returned in ITR filed u/s 139(4) 4,74,820/- 2. Add: Unexplained money u/s 69A as discussed in para 4.1 above 2,49,89,296/- 3. Add: Disallowance u/s 24(b) of the IT Act as discussed in para 4.2 above 16,53,625/- Total income to be assessed 2,71,17,741/- Assessed u/s 143(3) of the Income Tax Act, 1961. Charge interest u/s 234A/B/C/D as applicable. Computation of income & demand notice u/s 156 of the Act are attached.” 2. Arguments heard. File perused. 3. As is available from the assessment order, dated 17.03.2025, case of the assessee was selected for scrutiny under CASS due to large cash payments made in credit card purchases. The Assessing Officer issued notices u/s 143(2), 142(1) and show cause notice thereby providing opportunities to the assessee to furnish statements of credit card/credit card bills and cash deposits during the year. Printed from counselvise.com 3 ITA No. 1378/JPR/2025 Anand Kumar Jain, Kota. The assessee responded on 13.11.2024. Notices were also issued to State Bank of India and ICICI Bank Limited calling information u/s 133(6) of the Act. Thereupon, the two banks submitted statements of the assessee for the period from 01.04.2022 to 31.03.2023. From the said statements, it transpired that total sum of Rs. 3,10,51,026/- was credited into the account of the assessee by way of cash and non cash deposits by means of any FD/RTGS/IMPS/UPI/INB and other prescribed modes, but the assessee failed to explain the nature and source of said cash and non cash deposits. 4. It also transpired, as observed in para 3.6 of the assessment order that during the financial year 2022-23, total amount of Rs. 1,00,08,244/- was received into the credit card account of the assessee by way of cash and non cash deposits, but the assessee failed to explain the same. It is also case of the department that as per information available, the assessee had reported and claimed deduction of Rs. 16,53,625/- u/s 24(b) of the Act i.e. interest payable on borrowed capital. The assessee was called upon to furnish certificate regarding interest, but, he failed to furnish the same or any explanation in this regard. Printed from counselvise.com 4 ITA No. 1378/JPR/2025 Anand Kumar Jain, Kota. That is how, said deduction of Rs. 16,53,625/- claimed u/s 24(b) of the Act was disallowed and taxed under the head” income from house property”. 5. When the appeal was filed challenging the assessment order, the office of Learned CIT(A), NFAC issued four notices dated 02.07.2025, 23.07.2025, 07.08.2025 and 12.09.2025 so as to provide opportunities to the assessee. However, the assessee-appellant failed to submit any response/submission during pendency of the appellate proceedings. That is how, Learned CIT(A), NFAC proceeded to dispose of the appeal. Vide impugned order, the additions were confirmed and the appeal was dismissed. The only Contention raised 6. The only submission put forth by Ld. AR for the appellant before us is that the matter may be remanded to Learned CIT(A), NFAC so as to provide another opportunity to the assessee-appellant of being heard, as the assessee could not participate in the appellate proceedings or produce the relevant material. Printed from counselvise.com 5 ITA No. 1378/JPR/2025 Anand Kumar Jain, Kota. 7. As noticed above, during appellate proceedings, four notices were issued u/s 250 of the Act, but the assessee-appellant failed to submit any response or submission. Ld. AR for the appellant admits this fact. Keeping in view the number of opportunities granted to the assessee, in the first instance, we were not inclined to restore the matter to Learned CIT(A), NFAC, but taking into consideration the nature of the issues involved, and that Learned DR leaves it to the discretion of court, and has no strong objection to the restoration of the matter to the file of Learned CIT(A), NFAC, in case this Bench finds that it would be in the interest of justice. Result 8. In the given situation, having regard to the gravity of the issues involved, and also that the assessee did not participate in the appellate proceedings despite notices, this appeal is disposed of, for statistical purpose and while setting aside the impugned order, passed by Learned CIT(A), NFAC the matter is restored to the files of Learned CIT(A), NFAC for decision afresh, after providing another opportunity to the appellant of being heard. Printed from counselvise.com 6 ITA No. 1378/JPR/2025 Anand Kumar Jain, Kota. As regards non compliance by the assessee with the four notices issued u/s 250 of the Act, the assessee-appellant is burdened with costs of Rs. 6,000/-. Costs to be deposited in “Prime Minister’s National Relief Fund” and receipt to be produced before Learned CIT(A) before the commencement of proceedings on restoration of the matter there. File be consigned to the record room after the needful is done by the office. Order pronounced in the open court on 10/11/2025. Sd/- Sd/- ¼xxu xks;y½ ¼ujsUnz dqekj½ (GAGAN GOYAL) (NARINDER KUMAR) ys[kk lnL; @Accountant Member U;kf;d lnL;@Judicial Member Tk;iqj@Jaipur fnukad@Dated:- 10/11/2025 *Santosh vkns'k dh izfrfyfivxzsf’kr@Copy of the order forwarded to: 1. The Appellant- Anand Kumar Jain, Kota. 2. izR;FkhZ@ The Respondent- ITO, Ward-2(1), Kota. 3. vk;djvk;qDr@ Theld CIT 4. vk;djvk;qDr@CIT(A) 5. foHkkxh; izfrfuf/k] vk;djvihyh; vf/kdj.k] t;iqj@DR, ITAT, Jaipur 6. xkMZQkbZy@ Guard File ITA No. 1378/JPR/2025) vkns'kkuqlkj@ By order, lgk;d iathdkj@Asstt. Registrar Printed from counselvise.com "