G.P.M. JEWELLERS PRIVATE LIMTED,DELHI V. CIT (A), CENTRAL CIRCLE

ITA 5793/DEL/2025

AI Insights

The case involves G.P.M. Jewellers Pvt. Ltd., the appellant, contesting additions made by the Income Tax Department regarding an alleged loan repayment and associated commission for the assessment year 2019-20. The primary contention was the addition of Rs. 25 lakhs, which was identified as a loan repayment received from M/s. Sirsa Deposits and Advance Ltd., and an additional Rs. 75,000 as commission expenditure. The tribunal's decision focused on the appropriateness of these additions, ultimately siding with the appellant and removing the financial burdens imposed by the lower tax authorities.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 782727 (ITAT-DELHI)
• Duration Of Justice: 1 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-10-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2019-2020
• Appeal Filed On: 19-09-2025
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MANOJ KUMAR
• Assessee Lawyers: ANIL JAIN
• Section: 69

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI BENCH: “SMC” NEW DELHI BEFORE SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER ITA No.5793/Del/2025 Assessment Year: 2019-20 G.P.M. Jewellers Pvt. Ltd., 2nd Floor, Room No. 206, Diamond Plaza Building, Gurudwara Road, Karol Bagh S.O., Delhi Vs. ACIT, Central Circle-32, New Delhi PAN: BJCPS1420C (Appellant) (Respondent) ORDER This assessee’s appeal for assessment year 2019-20 arises against the Commissioner of Income Tax (Appeals)-30 [in short, the “CIT(A)”], New Delhi’s order dated 24.07.2025 passed in case no. CIT(A), Delhi-30/10665/2018-19, involving proceedings under section 147/143(3) of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’). Heard both the parties. Case file perused. 2. It emerges during the course of hearing that there is hardly much a need for the tribunal to delve with the relevant factual Assessee by Sh. Anil Jain, CA Sh. Santosh Kumar Gupta, CA Department by Sh. Manoj Kumar, Sr. DR Date of hearing 29.10.2025 Date of pronouncement 29.10.2025 Printed from counselvise.com ITA No.5793/Del/2025 2 | P a g e matrix at length so far as the sole substantive issue between the parties involving the addition amount of Rs.25 lakhs which represents repayment of loan is concerned. It is deemed appropriate to make it clear that both the learned lower authorities have further added an alleged 3% commission expenditure of Rs.75,000/- in the assessee’s hands as well. 3. That being the factual backdrop, this tribunal hereby notices from a perusal of the case records that the impugned sum of Rs.25 lakhs was received from M/s. Sirsa Deposits and Advance Ltd. on 30th January, 2018 which forms subject matter of the repayment herein in the succeeding assessment year 2019-20 which is nothing but the repayment of the amount already obtained only. It is reiterated that the impugned addition is not under section 69 wherein both the learned lower authorities had questioned the source of the loan amount itself. Faced with this situation, I find merit in the assessee’s vehement contentions challenging the impugned repayment addition of Rs. 25 lakhs as well as the alleged commission component thereupon. Both these impugned additions stand deleted therefore. 4. This assessee’s appeal is allowed. Printed from counselvise.com ITA No.5793/Del/2025 3 | P a g e Order pronounced in the open court on 29th October, 2025 Sd/- (SATBEER SINGH GODARA) JUDICIAL MEMBER Dated: 29th October, 2025. RK/- Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asst. Registrar, ITAT, New Delhi Printed from counselvise.com "