ANIL KUMAR,CHAPRA SARAN V. ASSESSMENT UNIT, CHHAPRA

ITA 643/PAT/2024

AI Insights

The case involves Anil Kumar, the appellant, who contested the additions made to his income by the Assessing Officer (AO) under sections 147/144 of the Income Tax Act, 1961. The AO had added a cash deposit of Rs. 1,66,68,996 and a commission income of Rs. 2,68,850 as undisclosed income for the Assessment Year 2018-19. The initial order was ex parte as the assessee did not present any facts before the AO. The assessee's appeal to the CIT(A) was unsuccessful as new evidence presented was not admitted due to non-compliance with Rule 46A of the Income Tax Rules, 1962. The ITAT found that the non-admission of new evidence was a significant oversight and remanded the case for a fresh examination of all documents to accurately assess the assessee's income.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 312800 (ITAT-PATNA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-04-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2018-2019
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Set aside

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL “PATNA BENCH”, PATNA (VIRTUAL HEARING AT KOLKATA) SHRI DUVVURU RL REDDY, VICE PRESIDENT SHRI SANJAY AWASTHI, ACCOUNTANT MEMBER I.T.A. No. 643/Pat/2024 (Assessment Year 2018-19) Anil Kumar, S/o Nageshwar Prasad Rai, At Shankar Dih, PO- Parsa, Chhapra, Saran (Bihar) - 841211 [PAN: AXQPK3427L] ..............…...…………….... Appellant vs. Assessment Unit, Chhapra (Bihar) - 841211 .................................. Respondent Appearances by: Assessee represented by : Sh. Nishant Maitin, CA Department represented by : Sh. Ashwani Kr. Singal, JCIT Date of concluding the hearing : 23.04.2025 Date of pronouncing the order : 29.04.2025 O R D E R PER SANJAY AWASTHI, ACCOUNTANT MEMBER 1. The present appeal arises from order u/s 250 of the Income Tax Act, 1961 (hereinafter “the Act”), passed by the Ld. Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [hereafter the Ld. CIT(A)”] vide order dated 14.10.2024 for AY 2018-19. 1.1 In this case, the Ld. AO passed an order u/s 147/144 of the Act by adding cash deposit of Rs. 1,66,68,996/- as undisclosed income, along with commission income of Rs. 2,68,850/-. Admittedly, this order was an exparte order since the assessee did not make any presentation of facts before the Ld. AO. 1.2 Aggrieved with the action of Ld. AO, the assessee approached the Ld. CIT(A), where also he could not succeed because some new evidence that 2 ITA No. 643/Pat/2024 Anil Kumar he filed at that stage were not admitted for adjudication since they were not filed under Rule 46A of the IT Rules, 1962. Since the Ld. CIT(A) did not consider the new evidence, he is seen to have confirmed the action of Ld. AO. 2. Thereafter, the assessee has approached the ITAT with as many as 8 grounds of appeal which effectively challenge the denial of opportunity and also to the effect that the documents filed at first appellate stage were not considered. Furthermore, the assessee has also challenged the additions on merit. 2.1 Before us, the Ld. AR vehemently argued that the Ld. CIT(A) should have admitted the new documents even when a proper application under Rule 46A of the Rules was not there. The Ld. AR prayed for admission of such new evidence before the Ld. CIT(A) and stated that the correct income assessee could be determined easily in case the new documents were verified by either Ld. AO or CIT(A). 2.2 The Ld. DR relied on the orders of authorities below. 3. We have heard the rival submissions and also gone through the documents before us. We find that the assessee has admittedly not followed the provision of Rule 46A of the I. T. Rules in filing fresh evidence before the Ld. CIT(A). Further, it is also felt that such documents are important and would enable the authorities below to assess the correct income of the assessee. Accordingly, set aside the impugned order and remand this matter to the file of Ld. CIT(A) for fresh adjudication. The assessee may submit any number of documents necessary for adjudication and thereafter the Ld. CIT(A) would call for a remand report from the Ld. AO. We direct accordingly, 4. In the result, appeal filed by the assessee is allowed for statistical purposes. 3 ITA No. 643/Pat/2024 Anil Kumar Order pronounced on 29.04.2025 Sd/- Sd/- (Duvvuru RL Reddy) (Sanjay Awasthi) Vice President Accountant Member Dated: 29.04.2025 AK, Sr. P.S. Copy of the order forwarded to: 1. Anil Kumar 2. Assessment Unit, Chhapra (Bihar) - 841211 3. CIT(A)- 4. CIT- 5. CIT(DR) //True copy// By order Assistant Registrar, Kolkata Benches "