IMTIYAZ AHMAD KABIRI,KHANQAH MOULLA SRINAGAR V. INCOME TAX OFFICER WARD-3(1), SRINAGAR

ITA 670/ASR/2024

AI Insights

The case involves an appeal by Shri Imtiyaz Ahmad Kabiri against an order from the Commissioner of Income Tax (Appeals), which confirmed the addition of cash deposits as income from undisclosed sources. The deposits amounting to Rs.36,24,249 were found in two bank accounts and were initially added to the assessee's income by the AO under sections 144/147 of the Income Tax Act. The assessee contended that these deposits were sales proceeds from his son's garment business. The Tribunal found that the CIT(A) had incorrectly applied facts from a different assessment year (2011-12) instead of 2010-11, leading to the decision to set aside the CIT(A)'s order and remand the case for a fresh assessment.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 830802 (ITAT-AMRITSAR)
• Duration Of Justice: 1 year(s) 1 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-01-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: misc
• Appeal Filed On: 06-12-2024
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: CHARAN DASS LD.
• Assessee Lawyers: P.N. ARORA LD
• Keywords: Set aside; Income from undisclosed sources
• Section: 147; 144

Judgement Text

"1 IN THE INCOME TAX APPELLATE TRIBUNAL “DB” BENCH, AMRITSAR PHYSICAL HEARING BEFORE HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM AND SHRI UDAYAN DAS GUPTA, JM आयकर अपील सं. / ITA No.670/ASR/2024 (निर्धारण वर्ा / Assessment Year: 2010-11) Shri Imtiyaz Ahmad Kabiri C/o JK Sweets Khanqah Moulla J & K – 190002 बिधम/ Vs. ITO Near Govt. Silk Factory Srinagar - 190008 स्थायीलेखासं./जीआइआरसं./PAN/GIR No. AUIPK-5708-P (अपीलाथी/Appellant) : (प्रत्यथी / Respondent) अपीलाथीकीओरसे/ Appellant by : Shri P.N.Arora (Advocate) – Ld. AR प्रत्यथीकीओरसे/Respondent by : Sh. Charan Dass (Addl. CIT) – Ld. Sr. DR सुनवाईकीतारीख/Date of Hearing : 20-01-2026 घोषणाकीतारीख /Date of Pronouncement : 20-01-2026 आदेश / O R D E R 1. Aforesaid appeal by assessee for Assessment Year (AY) 2010-11 arises out of an order of learned Commissioner of Income Tax (Appeals), NFAC dated 08-11-2024 in the matter of an assessment framed by Ld. AO u/s 144 / 147 on 24-12-2017. Having heard rival submissions and upon perusal of case records, the appeal is disposed- off as under. 2. The case of the assessee was reopened to verify source of cash deposits of Rs.36,24,249/- in two bank accounts. The assessee Printed from counselvise.com 2 remained non-compliant and accordingly, Ld. AO added the deposits as income from undisclosed sources. During first appeal, it was, inter- alia contended that the deposits were used for the garment business as carried out by assessee’s son. The deposits were nothing but sales proceeds of the business. The Ld. CIT(A) erroneously noted the facts of the AY 2011-12 from para-5 onwards and confirmed the impugned addition which is the grievance of the assessee. 3. From the findings of Ld. CIT(A), it is clear that Ld. CIT(A) has erroneously gone by the facts of AY 2011-12 whereas the impugned assessment year is AY 2010-11. The Ld. AR has also stated that the assessee is in a position to substantiate the source of cash deposits. Considering the same, we set aside the impugned order and since the assessment has been framed on best judgment basis, we direct Ld. AO to frame de novo assessment with a direction to the assessee to plead and prove its case forthwith. 4. The appeal stands allowed for statistical purposes. Order pronounced on 20th January, 2026. Sd/- Sd/- (UDAYAN DAS GUPTA) (MANOJ KUMAR AGGARWAL) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 20-01-2026 आदेश की प्रनिनलनप अग्रेनर्ि /Copy of the Order forwarded to : 1. अपीलाथी/Appellant 2. प्रत्यथी/Respondent 3. आयकरआयुक्त/CIT 4. ववभागीयप्रवतवनवि/DR 5. गार्डफाईल/GF ASSISTANT REGISTRAR ITAT AMRITSAR Printed from counselvise.com "