BHIKUBHAI PARSOTTAMBHAI PATEL,VALSAD V. INCOME TAX OFFICER, WARD-1, VALSAD, VALSAD

ITA 493/SRT/2025

AI Insights

The case involves Bhikubhai Parsottambhai Patel, the appellant, who contested an addition of Rs.10,48,000 to his income as unexplained cash deposits by the Income Tax Officer, Ward-1, Valsad. The appellant had declared a total income of Rs.30,130 along with agricultural income of Rs.8,65,740 for the Assessment Year 2011-12. The primary contention was the source of the cash deposits in his bank account, which the Assessing Officer deemed unexplained. The appellant provided detailed records of agricultural sales, including sale bills and a sales ledger, which were scrutinized by the CIT(A) and the Tribunal. The Tribunal, after examining the evidence, including the extent of land owned and the confirmations from buyers, concluded that the agricultural income was adequately substantiated, leading to the allowance of the appeal.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 831362 (ITAT-SURAT)
• Duration Of Justice: 8 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-01-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: misc
• Appeal Filed On: 26-04-2025
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ASHISH KUMAR
• Assessee Lawyers: BIREN SHAH

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL SURAT BENCH, SURAT BEFORE DR. B.R.R. KUMAR, VICE-PRESIDENT Ms SUCHITRA KAMBLE, JUDICIAL MEMBER ITA No.493/Srt/2025 (Assessment Year: 2011-12) Bhikubhai Parsottambhai Patel, AP Tigra, Valsad, Valsad-396001. [PAN : AQNPP9198 F] Vs. Income Tax Officer, Ward-1, Valsad. (Appellant) .. (Respondent) Appellant by : Shri Biren Shah, AR Respondent by: Shri Ashish Kumar, Sr. DR Date of Hearing 20.01.2026 Date of Pronouncement 22.01.2026 O R D E R PER DR. B.R.R. KUMAR, VICE-PRESIDENT:- The captioned appeal has been filed by the Assessee against the order dated 28.02.2025 passed by the Ld. Commissioner of Income-Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi (“the CIT(A) in short), under Section 250 of the Income-tax Act, 1961 (“the Act”), relating to the Assessment Year 2011-12. 2. The Assessing Officer made an addition of Rs.10,48,000/- as unexplained cash deposits in the bank account of the assessee. The assessee filed the return of income declaring total income of Rs.30,130/- along with agricultural income of Rs.8,65,740/-. It was submitted before the Ld. CIT(A) that the assessee had furnished details of sale of agricultural produce, which are as under: The appellant, Shri Bhikubhai P. Patel, furnished copies of sale bills and sales ledger in support of the agricultural income stated to have been earned during the financial year 2010-11. From the same, it appears that the assessee received the following amounts towards sale of agricultural produce from the parties mentioned below: Printed from counselvise.com ITA No. 493/Srt/2025 Asst. Year : 2011-12 - 2– S.No Name of Party Total amount received in FY 2010-11 1. Mangubhai & CO 1,22,910 2. Vinay brothers 10,60,404 3. Pahilaj Motumal Bulani 59,862 4. Narubhai Ibrahimbhai Shaikh 32,935 5. Ketiwadi Baazar Samiti, Chikhl 4,34,662/- 6. Laxmandas Bachomal 21,900 3. We have carefully gone through the confirmations filed by the parties who purchased the agricultural produce as well as the corresponding bank statements. We have also examined the extent of land owned by the assessee and find that the assessee owns approximately 8 acres of land with orchards. Considering the evidences relating to the sale of agricultural produce, confirmations filed by the purchaser parties, and the extent of land holding, it can reasonably be presumed that the assessee earned agricultural income of Rs.8,65,740/-. In view of the above facts and evidences on record, no addition is warranted on this account. 4. In the result, the appeal of the assessee is allowed. The order is pronounced in the open Court on 22 .01.2026. Sd/- Sd/- (SUCHITRA KAMBLE) (DR. B.R.R. KUMAR) JUDICIAL MEMBER VICE-PRESIDENT (True Copy) Surat; Dated 22.01.2026 **mv Printed from counselvise.com ITA No. 493/Srt/2025 Asst. Year : 2011-12 - 3– आदेश की Ůितिलिप अŤेिषत/Copy of the Order forwarded to : 1. अपीलाथŎ / The Appellant 2. ŮȑथŎ / The Respondent. 3. संबंिधत आयकर आयुƅ / Concerned CIT 4. आयकर आयुƅ ) अपील ( / The CIT(A)- 5. िवभागीय Ůितिनिध , आयकर अपीलीय अिधकरण , /DR,ITAT, Surat, 6. गाडŊ फाईल / Guard file. आदेशानुसार/ BY ORDER, TRUE COPY सहायक पंजीकार (Asstt. Registrar) आयकर अपीलीय अिधकरण ITAT, Surat 1. Date of dictation …words processed by Hon’ble VP on his PC on 17.10.2025……………. 2. Date on which the typed draft is placed before the Dictating Member …03.11.2025…………. 3. Other Member ……06.11.2025………. Printed from counselvise.com "