ARUN KUMAR DAS,KOLKATA V. INCOME TAX OFFICER 7(2)/KOLKATA, KOLKATA

ITA 304/KOL/2025

AI Insights

The case involves Arun Kumar Das, who filed an appeal against the order of the Commissioner of Income Tax (Appeals), which had dismissed his appeal for the Assessment Year 2017-18. The primary issue arose from an abnormal increase in cash deposits during the demonetization period, which led to a scrutiny assessment. The AO issued notices under sections 143(2) and 142(1) of the Income Tax Act, but the assessee did not respond adequately, leading to an unfavorable assessment. The CIT(A) upheld the AO's decision, prompting the assessee to appeal to the Tribunal. The Tribunal, considering the circumstances and the lack of response from the assessee initially, decided to remit the case back to the AO for a fresh assessment, allowing the assessee another opportunity to present his case with the necessary documents.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 708479 (ITAT-KOLKATA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-07-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Assessment Year: 2017-2018
• Laws Referred To: Income Tax Act
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Section: 142(1)

Judgement Text

"आयकर अपीलȣय अͬधकरण, कोलकाता पीठ “ए’’, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH: KOLKATA Įी Ĥदȣप क ुमार चौबे, ÛयाǓयक सदèय एवं Įी संजय अवèथी, लेखा सटèय क े सम¢ [BeforeShri Pradip Kumar Choubey,Judicial Member&Shri Sanjay Awasthi, Accountant Member] I.T.A. No. 304/Kol/2025 Assessment Year: 2017-18 Arun Kumar Das (PAN: AGHPD 0465 B) Vs. ITO, Ward-7(2), Kolkata Appellant / ) अपीलाथȸ ( Respondent / Ĥ×यथȸ Date of Hearing / सुनवाई कȧ Ǔतͬथ 07.07.2025 Date of Pronouncement/ आदेश उɮघोषणा कȧ Ǔतͬथ 17.07.2025 For the assessee / Ǔनधा[ǐरती कȧ ओर से Shri Devesh Poddar, Advocate For the revenue / राजèव कȧ ओर से Shri Santanu Ghosh, Sr. D.R ORDER / आदेश Per Pradip Kumar Choubey, JM: This is the appeal preferred by the assessee against the order of Commissioner of Income Tax (Appeals), -NFAC, Delhi (hereinafter referred to as the Ld. CIT(A)] dated 22.01.2025 for AY 2017-18. 2 I.T.A. No. 304/Kol/2025 Assessment Year: 2017-18 Arum Kumar Das 2. Brief facts of the case of the assessee is that the assessee filed its return of income for AY 2017-18 declaring total income of Rs. 44,12,250/-. The case was selected for scrutiny and reason for selection as stated as there was abnormal increase during demonetization period as compared to average rate of cash deposit during demonetization period. The statutory notice u/s 143(2) of the Act was issued and in response to the notices final account TAR and copy of ITR were filed. Further requisition list including specified proforma of submission regarding cash deposit in Bank was sent to the assessee accompanied by a formal notice u/s 142(1) of the Act but there was no response. The Ld. A.O further considering the entire things as submitted by the assessee assessed the total income of the assessee as follows: 3. Aggrieved by the said order, the assessee preferred an appeal before the Ld. CIT(A) wherein the appeal of the assessee has been dismissed as the assessee has failed to substantiate the contention in the grounds of appeal during the appellate proceedings. Being aggrieved and dissatisfied the assessee preferred an appeal before us. 4. The Ld. A.R instead of arguing into the merit of the case has only prayed that the assessee has to give an opportunity to place documentary evidences as required by the AO by remitting the appeal of the assessee back to the file of AO. The Ld. A.R submits that the assessee failed to submit relevant documentary evidence before the AO and 3 I.T.A. No. 304/Kol/2025 Assessment Year: 2017-18 Arum Kumar Das assessment was done due to non-filing of documentary evidences. The Ld. A.R further submits that the Ld. CIT(A) has also dismissed the appeal of the assessee on the ground that the assessee failed to discharge his onus as he did not substantiate the contention in the grounds of appeal . 5. Contrary to that the Ld. D.R did not raise any objection in remitting the appeal of the assessee to the file of AO for fresh consideration. 6. We have gone through the order passed by the AO as well as Ld. CIT(A) and there is no denying to this fact that when a formal notice u/s 142(1) has been sent to the assessee there was no response to the said requisition. The d. CIT(A) has also dismissed the appeal of the assessee as the assessee has failed to substantiate the contention in the grounds of appeal. The prayer of the assessee is that for the interest of justice the assessee has to give an opportunity to place his case. 7. Going over the order passed by lower authorities and considering the submission made by the assessee and for the interest of justice, we are inclined to restore the appeal back to the file of AO to pass a afresh order after considering the documentary evidence being essential for the just conclusion of the case. The assessee is directed to cooperate in the proceedings and shall not take adjournment on frivolous ground. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order is pronounced in the open court on 17th July, 2025 Sd/- Sd/- (Sanjay Awasthi/संजय अवèथी) (Pradip Kumar Choubey /Ĥदȣप क ुमार चौबे) Accountant Member/लेखा सदèय Judicial Member/ÛयाǓयक सदèय Dated: 17th July, 2025 SM, Sr. PS 4 I.T.A. No. 304/Kol/2025 Assessment Year: 2017-18 Arum Kumar Das Copy of the order forwarded to: 1. Appellant- Arun Kumar Das, 85B, Lake Town, WB-700089 2. Respondent – ITO, Ward-7(2), Kolkata 3. Ld. CIT(A)-NFAC, Delhi 4. Ld. PCIT- , Kolkata 5. DR, Kolkata Benches, Kolkata (sent through e-mail) True Copy By Order Assistant Registrar ITAT, Kolkata Benches, Kolkata "