AKSHIT MADAN, DELHI V. INCOME TAX OFFICER, WARD 45(1), DELHI

ITA 117/DEL/2024

• Counselvise Citation: [2024] 100 COUNSELVISE.COM (IT) 0753 (ITAT-DELHI)
• Duration Of Justice: 6 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-07-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: H
• Next Hearing Date: 07-07-2024
• Assessment Year: 2017-2018
• Appeal Filed On: 12-01-2024
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 144; 69A; 20

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “H” DELHI BEFORE SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER AND SHRI SUDHIR PAREEK, JUDICIAL MEMBER ITA No.117/Del/2024 Assessment Year 2017-18 Akshit Madan GA-14, Shivaji Enclave Delhi Vs. ITO, Ward-45(1) Delhi TAN/PAN: BSSPM3488B (Appellant) (Respondent) Applicant by: Ms. Rano Jain, Advocate Ms. Shikha Rustagi, Advocate Respondent by: Shri Amit Katoch, Sr.DR Date of hearing: 08 07 2024 Date of pronouncement: 25 07 2024 O R D E R PER PRADIP KUMAR KEDIA - A.M.: Th e ca pti on ed a pp eal h as be en f ile d b y th e ass es se e ag ain st the o rd er of t he C o mmi ss io ner of In co me Ta x (A pp eal s)-Na ti on al Faceless Appeal Centre, Delhi (NFAC) [‘CIT(A)’ in short] dated 14. 11 .2 02 3 a ri sin g f ro m th e a ss es s ment or der d ate d 28 .1 2. 20 19 pas se d b y t he A ss ess in g Of f icer ( A O) un de r Se ct io n 144 of th e Inc o me Ta x Ac t, 19 61 (t he A ct) c on ce r nin g A. Y. 2 017-18. 2. As pe r se ve ral g ro un ds of a pp ea l, th e as se ss ee h as es se n tia ll y cha ll en ge d th e ad dit io n of Rs .4 ,3 1, 14, 00 0/- on acc ou nt of ca sh dep os its in t he ba n k u nd er S ec tio n 69 A of th e Ac t. 3. Bri ef l y sta te d, the ld. co un se l f or t he ass es se e su b mit te d th at the a ss es see i s an ind iv id ua l en gag ed in t he b us ine ss of tr ad in g of bal l bea ri ng . On th e b as is of i nf or mat ion g at her ed d ur in g t he phase ITA No.117/Del/2024 2 of onli ne ver if ic ati on u nd er ‘Op er ati o n Cl ea n Mo ne y’, t he I nco me Tax De pa rt men t f o un d th at a ss es see has de po sit ed su bs tan ti al c as h in ba nk ac co un t d u rin g de mo ne tiz at io n p er io d b ut ha s n ot f il ed t he ret ur n of i nc o me f o r A .Y . 2 01 7-18 in que st ion. Th e AO a cco rd in gl y iss ued n ot ice un de r Sec ti on 14 2( 1) of the Ac t a ski ng th e ass es se e t o f ile RO I a nd f or a sse ss in g the t ax ab l e i nc o me of the a s ses se e. Th e AO ev en tu al l y f o un d t ha t the a ss es se e has fai led t o pr ov e the n at ure and so ur ce of ag gr e gat e ca sh de po sit s and cre di t e ntr ie s a ppe ar in g in the ba nk ac co un t a ggr eg at in g t o Rs. 4, 31, 14 ,0 00 /- un de r Sec ti on 69A of th e Ac t. 4. Ag gri ev ed , the a ss ess ee p ref er re d a p pea l bef or e th e CI T( A). Ho we ver th e ef f ort of the a ss es se e di d no t yi el d a n y r e sul t b ef ore the CI T( A) . T he CI T( A) i n o rd er u nde r S ec ti on 25 0 of the Ac t ref us ed to in te rf er e w it h t he or de r of the A ss es si ng Of f icer an d sus ta ined t he ad di ti on s. 5. Fu rth er a gg rie ve d, th e as se ss ee pr ef err ed a ppe al b ef or e t he Tri bu na l. 6. Wh en th e mat te r w as cal le d f or h ear in g, th e l d. co un se l f or th e ass es se e su b mitt ed th at on e of th e pr i mar y g ri ev an c es of th e ass es se e i s t ha t wh ile ce rt ai n a dd i tio na l e vi de nc es wer e pla ce d bef or e th e CI T( A) f or p ro per a pp re ci at ion of case in p er sp ect iv e, t he CI T( A) h as nei th er acc ep te d th e a dd iti ona l e vi de nce no r r eje ct ed t he sa me. Th e ld . c o un sel ad ver te d t o par agr ap h 5 .1 0 of the f ir st app el la te or de r i n t his r eg ard a nd s ub mit te d th at no wh er e t he C IT( A) has re co rd ed re as on wh ic h ma y g i ve ris e to inf er en ce of no n ad mis si on of a dd iti on al ev id en ces. Th e CI T( A) ho we ver h as dis mi ss ed t he ap pe al of th e a ss es se e wit ho ut t aki ng c og niz an ce of the ad di ti ona l e vi d enc es. Hen ce, th e CI T( A) h as no t f ollo we d t he due pr oce ss of law wit h ref er en ce t o the a dd it io na l ev id enc es f il ed ITA No.117/Del/2024 3 b y t he as se ss ee. T he ld . co un se l th u s su b mitt ed t ha t a ppr op ri at e rel ief i s wa rr ant ed i n t hi s re gar d. 7. On inq ui r y, th e l d. S r. DR co ul d n ot p oi nt ou t th at the add it io na l e vi de nc e s w er e in dee d re jec ted b y t he C IT (A ) in ex pr es s ter ms . T he l d. Sr. DR o pi ne d t hat a nat ur al i nf er enc e woul d f oll ow tha t th e CIT (A ) ha s rej ec te d th e a dd it io nal e vi d enc es. He acc or di ng l y c on ten ded t ha t no int erf ere nc e wi th t he o r der of th e CI T( A) is c all ed f o r. 8. We h av e ca ref ul l y con si de re d th e ri va l su b mis si ons se ek i ng t o ass ai l the f ir st ap pe lla te or de r. 9. The po in t f or de te r mi nat io n, a t p re sen t, i s li mi te d an d n a rro w in i ts co mp as s an d is l i mite d t o a d mi ssi on of ad dit io na l evi de nc es. The CI T( A) i n pa ra gra ph 5.1 0 h as d is c uss ed the f ac tu m of f urnis hi ng cer ta in ev id en ce s as a dd iti on al e vid en ce. Ho we ver, t he f irs t app el la te o rd er i s obs cu re a nd n o nde sc ri pt a s to wh eth er t he add it io na l e vi de nc es de ser ve to b e ad mit te d o r ot herwi se. It i s exp ec te d i n la w t hat a n Ap pel la te Au thori t y w ou ld r eco rd t he rea so ns in ex pre ss ter ms f o r ad mi s si on of a dd it io nal e vid en ce s o r oth er wi se . I t i s a ls o i n t he in te res t of f air pla y a nd n at u ral ju st ic e. The o rd er of th e CI T( A) ap par en tl y l a cks a n y re as on s f or ad mi ss io n or n on ad mi ss io n of the a dd it io na l e vid en ces. T he du e pro ce ss of law i s t hu s n ot ad h ere d i n t he in st an t cas e. Su ch or de r o f the Fi rst Ap pel la te Au th or it y i n q ue st io n c an n ot be co un te na nce d in la w an d thu s de se rv es to b e set a si de. 10. We t hu s c on si der it exp ed ie nt t o r es tor e th e matt er ba ck t o th e f ile of t he CI T( A) f or f re sh ad ju di cat io n of t he ap pea l i n a cco rd an ce wit h l aw . T he CI T( A) sha ll pa ss a s pe aki ng or de r g iv in g its re as on f or ad mi ss io n of add it io na l e vi de nc e or o the rw is e a n d t her eaf t er ITA No.117/Del/2024 4 pas s a s pea ki ng o r der d et er mi ni ng t h e iss ue af r es h in acc or da nce wit h l aw af ter gi vi ng p ro pe r o pp ort un it y to the as se ss ee. The ap pea l is th us s et as id e an d re sto re d to th e f il e of th e CI T( A) f or adj ud ic at io n of ap p eal af re sh i n acc or d anc e wi th la w. 11. In t he re su lt , th e app eal of the a sse ss ee i s al lo we d f or sta ti st ica l pu rp os es . Order pronounced in the open Court on 25 th July, 2024. Sd/- Sd/- [SUDHIR PAREEK] [PRADIP KUMAR KEDIA] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 25 th July, 2024 Prabhat Copy forwarded to: 1. Appellant 2. Respondent 3. CIT(A) 4. CIT 5. DR Assistant Registrar