CHEERAN JOSE SHUNSON,THRISSUR V. INCOME TAX OFFICER,WARD 1 & TPS, GURUVAYOOR

ITA 555/COCH/2025

AI Insights

The case involves Cheeran Jose Shunson, the proprietor of M/s Four Star Associates and a partner of M/s Nine Star Associates, who appealed against the order of the National Faceless Appeal Centre, Delhi, for the Assessment Year 2017-18. The primary contention was regarding the addition of Rs. 39,30,000 to capital, which was upheld by the CIT(A), while other additions related to unexplained cash deposits during the demonetisation period and disallowance of administrative expenditure were deleted. The Tribunal found that the CIT(A) had not adequately considered the appellant's submissions and thus remanded the case for a fresh evaluation.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 717321 (ITAT-COCHIN)
• Duration Of Justice: 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-08-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2017-2018
• Appeal Filed On: 31-07-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: LEENA LAL
• Assessee Lawyers: ASHIL M.A.
• Section: 143(3); 68

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH BEFORE SHRI INTURI RAMA RAO, AM ITA No. 555/Coch/2025 Assessment Year: 2017-18 Cheeran Jose Shunson .......... Appellant Cheeran House, Kottappadi S.O. Perakam, Thrissur 680505 [PAN: DPAPS4426C] vs. Income Tax Officer, WD-1 & TPS, Guruvayoor .......... Respondent Assessee by: Shri Ashil M.A., CA Revenue by: Smt. Leena Lal, Sr. D.R. Date of Hearing: 07.08.2025 Date of Pronouncement: 11.08.2025 O R D E R This appeal filed by the assessee is directed against the order of the National Faceless Appeal Centre, Delhi [CIT(A)] dated 29.10.2024 for Assessment Year (AY) 2017-18. 2. Brief facts of the case are that the appellant is proprietor of M/s Four Star Associates and a partner of M/s Nine Star Associates. The return of income for AY 2017-18 was filed on 15.12.2017 declaring total income of Rs. 16,06,850/-. Against the said return of income, the assessment was completed by the ITO, Ward 2(5), Thrissur (hereinafter called \"the AO\") vide order dated 24.12.2019 passed u/s. 143(3) of the Income Tax Act, 1961 (the Act) at a total Printed from counselvise.com 2 ITA No. 555/Coch/2025 Cheeran Jose Shunson income of Rs. 1,00,83,057/-. While doing so, the AO made addition on account of following: - i. Addition on account of unexplained cash deposit in specified bank notes during demonetisation period Rs. 41,28,962 ii. Addition u/s. 68 on account of addition to capital Rs. 39,30,000 iii. Disallowance of administrative expenditure at 20% Rs. 4,17,245 Total addition Rs. 84,76,207 3. Being aggrieved, an appeal was filed before the CIT(A), who vide the impugned order upheld the addition on account of addition to capital of Rs. 39,30,000/- while deleting the other additions. 4. Being aggrieved, the appellant is in appeal before this Tribunal in the present appeal. 5. The learned counsel for the assessee submits before me that the CIT(A), without properly appreciating the explanation offered in support of the source of addition made to the capital, simply confirmed the addition. The CIT(A), without taking into consideration the submissions filed by the appellant, merely confirmed the action of the AO, Therefore, the matter may be remanded to the file of the AO for which the learned Sr. DR had no serious objection. 6. I find merit in the submissions made by the appellant that the CIT(A) had passed the order without considering the submissions of Printed from counselvise.com 3 ITA No. 555/Coch/2025 Cheeran Jose Shunson the appellant in support of the source of addition made to the capital and without taking into account the submissions regarding other additions. I, therefore, remand the matter to the file of the learned CIT(A) for fresh adjudication in accordance with law after affording reasonable opportunity of hearing to the appellant. 7. In the result, the appeal filed by the assessee stands partly allowed for statistical purposes. Order pronounced in the open court on 11th August, 2025. Sd/- (INTURI RAMA RAO) ACCOUNTANT MEMBER Cochin, Dated: 11th August, 2025 n.p. Copy to: 1. The Appellant 2. The Respondent 3. The Pr. CIT concerned 4. The Sr. DR, ITAT, Cochin 5. Guard File By Order Assistant Registrar ITAT, Cochin Printed from counselvise.com "