DHARVINDER SINGH,VILLAGE DURALI V. COMMISSIONER OF APPEALS, DELHI

ITA 1187/CHANDI/2024

AI Insights

The case revolves around an appeal by Shri Dharvinder Singh against the order of the Commissioner of Income Tax (Appeals) which confirmed the addition of Rs.1,19,92,350 to his income. The addition was based on the assessee's failure to file a return for the assessment year 2018-19 and subsequent information that he had purchased immovable property worth Rs.1,13,13,500. The AO issued a notice under section 148 of the Income Tax Act, seeking explanation about the sources of the deposit. The assessee explained that the property was purchased from the proceeds of land sold by his father. However, the AO did not verify the bank statements and other documents provided, leading to the addition. The Tribunal, after reviewing the documents and arguments, concluded that the AO had not properly verified the details and thus allowed the appeal, deleting the addition to the assessee's income.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 772914 (ITAT-CHANDIGARH)
• Duration Of Justice: 9 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-09-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2018-2019
• Appeal Filed On: 05-12-2024
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIVEK VARDHAN
• Assessee Lawyers: VICKY KAPOOR
• Section: 148

Judgement Text

"आयकर अपीलȣय अͬधकरण,चÖडीगढ़ Ûयायपीठ, चÖडीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, ‘A’ CHANDIGARH BEFORE SHRI RAJPAL YADAV, VICE PRESIDENT AND SHRI KRINWANT SAHAY, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No. 1187/CHD/2024 Ǔनधा[रण वष[ / Assessment Year: 2018-19 Shri Dharvinder Singh, Manuli, SAS Nagar, Mohali. Vs The CIT(A), Delhi, ITO, Ward-1, Yamuna Nagar. ˕ायी लेखा सं./PAN NO: DPTPS6091J अपीलाथȸ/Appellant Ĥ×यथȸ/Respondent Assessee by : Shri Vicky Kapoor,CA Revenue by : Shri Vivek Vardhan, Addl. CIT Sr.DR Date of Hearing : 07.08.2025 Date of Pronouncement : 24.09.2025 PHYSICAL HEARING O R D E R PER RAJ PAL YADAV, VP The assessee is in appeal before the Tribunal against the order of ld. Commissioner of Income Tax (Appeals) [in short ‘the CIT (A)’] dated 23.09.2024 passed for assessment year 2018-19. 2. The appeal is time barred by 56 days. However, on due consideration of the explanation filed by the assesse, we condone the delay and proceed to decide the appeal on merit. Printed from counselvise.com ITA No.1187/CHD/2024 A.Y.2018-19 2 3. The solitary grievance of the assessee is that ld. CIT(A) has erred in confirming the addition of Rs.1,19,92,350/- to the total income of the assessee. 4. The brief facts of the case are that assessee has not filed his return of income for A.Y. 2018-19. An information came on the Insight Portal that assessee has purchased immovable property for a sum of Rs.1,13,13,500/-. The AO issued notice u/s 148 of the Income Tax Act and sought the explanation of the assessee regarding sources of the deposit. The assessee contended that his father had sold multiple lands for a consideration of Rs.5,03,85,521/-, out of which assessee had purchased a land of Rs.1,13,13,500/- on 08.02.2018. The assessee has disclosed a joint Bank Account number of his father alongwith him. All these facts have been reproduced by the AO on page No. 4 to 6 of the impugned assessment order. However, all of a sudden, the AO has observed that assessee failed to categorically provide bank statement wherein sale consideration of land has been deposited. The assessee has submitted the copy of the Sale Deed as well as of the Bank Account, but ld. AO did not deem it necessary to verify and he made the addition. Printed from counselvise.com ITA No.1187/CHD/2024 A.Y.2018-19 3 5. Appeal to the ld. CIT (A) did not bring any relief to the assessee. 6. With the assistance of ld. Representative, we have gone through the record carefully. We find that assessee has uploaded the complete details exhibiting the sale proceeds received by his father for sale of land which was deposited in the bank account No.03790700000817. This Account is a joint account of the assessee alongwith his father. These details have been filed by the assessee by way of an Annexure also. He has filed copies of all these Sale Deeds vide which land was sold as well as land was purchased. The copies of the Sale Deeds alongwith their vernacular translation in English has been placed on the record. We are of the view that ld. AO failed to verify the details in right perspective and unnecessarily made the addition. Accordingly, we allow the appeal of the assessee and delete the additions made to his income. 7. In the result, appeal of the assessee is allowed. Order pronounced on 24th September,2025. Sd/- Sd/- (KRINWANT SAHAY) (RAJPAL YADAV) ACCOUNTANT MEMBER VICE PRESIDENT “Poonam” Printed from counselvise.com ITA No.1187/CHD/2024 A.Y.2018-19 4 आदेश कȧ ĤǓतͧलͪप अĒेͪषत/ Copy of the order forwarded to : 1. अपीलाथȸ/ The Appellant 2. Ĥ×यथȸ/ The Respondent 3. आयकर आयुÈत/ CIT 4. ͪवभागीय ĤǓतǓनͬध, आयकर अपीलȣय आͬधकरण, चÖडीगढ़/ DR, ITAT, CHANDIGARH 5. गाड[ फाईल/ Guard File सहायक पंजीकार/ Assistant Registrar Printed from counselvise.com "