INCOME TAX OFFICER, LUDHIANA V. SANJEEV MALHOTRA, LUDHIANA

ITA 411/CHANDI/2025

AI Insights

The case involves an appeal by the revenue against the order of the CIT(A), which directed a fresh assessment by the AO for the Assessment Year 2014-15. The AO had initially made an addition of Rs. 237.23 Lacs as unexplained money on a best judgment basis due to lack of effective defense from the assessee. The CIT(A) found merit in the assessee's submissions during the first appeal and exercised his remand power, leading to the revenue's appeal to the Tribunal. The Tribunal agreed with the CIT(A)'s decision to remand the case for a fresh assessment, dismissing the revenue's appeal.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 773812 (ITAT-CHANDIGARH)
• Duration Of Justice: 5 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-09-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2014-2015
• Appeal Filed On: 20-03-2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RANJIT KAUR LD.
• Section: 147

Judgement Text

"1 IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, CHANDIGARH Hybrid Hearing BEFORE HON’BLE SHRI RAJPAL YADAV, VICE PRESIDENT AND HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM आयकर अपील सं. / ITA No. 411/CHANDI/2025 (िनधाŊरण वषŊ / Assessment Year: 2014-15 ITO Room No 228 First Floor, Aaykar Bhawan, Rishi Nagar Ludhiana.141012 बनाम/ Vs. Sh. Sanjeev Malhotra 298-A Pannu Farm House, Pakhowal Road Backside Hotel Keys, Kiran Vihar Ludhiana 141012 ̾थायीलेखासं./जीआइआरसं./PAN/GIR No. ACHPM-4381-P (अपीलाथŎ/Appellant) : (ŮȑथŎ / Respondent) अपीलाथŎकीओरसे/ Appellant by : Dr Ranjit Kaur (Addl. CIT) – Ld. Sr. DR ŮȑथŎकीओरसे/Respondent by : None सुनवाईकीतारीख/Date of Hearing : 08-09-2025 घोषणाकीतारीख /Date of Pronouncement : 08-09-2025 आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by revenue for Assessment Year (AY) 2014-15 arises out of an order of learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 29-01-2025 in the matter of an assessment framed by Ld. Assessing Officer [AO] on best judgment basis u/s. 147 r.w.s. 144 of the Act on 27-03-2022. In the assessment order, Ld. AO made addition of unexplained money for Rs.237.23 Lacs for want of any effective Printed from counselvise.com 2 defense from the assessee. Considering this fact and in view of submissions made by the assessee during first appeal, Ld. CIT(A) exercised remand power in terms of proviso to Sec.251(1)(a) and directed Ld. AO to make fresh assessment. So aggrieved, the revenue is in further appeal before us. The Ld. Sr. DR has opposed remand back of the matter. 2. We are of the considered opinion that the assessment was framed on best judgment basis. Considering assessee’s submissions / evidences during first appeal which would have material bearing on the assessment of the assessee, Ld. AO was directed to make fresh assessment. In our considered opinion, on the facts of the case, the power of remand has validly been exercised by Ld. CIT(A) and we find no infirmity in the same. 3. The appeal stands dismissed. Order pronounced on 08th September, 2025. Sd/- Sd/- (RAJPAL YADAV) (MANOJ KUMAR AGGARWAL) VICE PRESIDENT ACCOUNTANT MEMBER Dated: 08-09-2025 आदेश की Ůितिलिप अŤेिषत /Copy of the Order forwarded to : 1. अपीलाथŎ/Appellant 2. ŮȑथŎ/Respondent 3. आयकरआयुƅ/CIT 4. िवभागीयŮितिनिध/DR 5. गाडŊफाईल/GF ASSISTANT REGISTRAR ITAT CHANDIGARH Printed from counselvise.com "