Sh. Bishan Bansal, New Delhi V. DCIT, Faridabad

ITA 1187/DEL/2017

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 3760 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 11 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-02-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2007-2008
• Appeal Filed On: 01-03-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SANJAY GOEL
• Keywords: Income from undisclosed sources
• Section: 153A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH A, NEW DELHI BEFORE SH. AMIT SHUKLA, JUDICIAL MEMBER DR. B. R. R. KUMAR, ACCOUNTANT MEMBER ITA NO. 1187/DEL/2017 :ASSTT. YEAR : 200 7-08 BISHAN BANSAL, RRA TAXINDIA, D-28, SOUTH EXTENSION, PART-I, NEW DELHI-110049 VS DY. COMMISSIONER OF INCOME TAX CENTRAL CIRCLE-II FARIDABAD (APPELLANT (RESPONDENT) PAN NO. AEZPS1452H ASSESSEE BY : SH. SOMIL AGARWAL, ADV. REVENUE BY : SH. SANJAY GOEL, CIT DR DATE OF HEARING:18.02.2020 DATE OF PRONOUNCEMENT: 28.02.2020 ORDER PER DR. B. R. R. KUMAR, ACCOUNTANT MEMBER: THE PRESENT APPEAL HAS BEEN FILED BY THE ASSESSEE AGAINST THE ORDERS OF THE LD. CIT(A), KARNAL DATED 20.01.20 17. 2. FOLLOWING GROUNDS HAVE BEEN RAISED BY THE ASSESS EE: 1. THAT HAVING REGARD TO THE FACTS AND CIRCUMSTANC ES OF THE CASE, LD. CIT(A) HAS ERRED IN LAW AND ON FAC TS IN UPHOLDING THE ACTION OF THE LD. A.O. IN MAKING A N ADDITION OF RS. 1,90,000/- ON ACCOUNT OF CASH DEPOSITED IN THE BANK ACCOUNT BY TREATING AS ALLEGE D INCOME FROM UNDISCLOSED SOURCES AND THAT TOO IN THE PROCEEDINGS U/S 153A OF THE ACT IN THE ABSENCE OF A NY INCRIMINATING MATERIAL FOUND DURING THE COURSE OF SEARCH. 2. THAT IN ANY CASE AND IN ANY VIEW OF THE MATTER, ACTION OF LD. CIT(A) IN CONFIRMING THE ACTION OF LD . AO IN MAKING AN ADDITION OF RS. 1,90,000/- IS BAD IN L AW ITA NO. 1187/DEL/2017 BISHAN BANSAL 2 BAD IN LAW AND AGAINST THE FACTS AND CIRCUMSTANCES OF THE CASE. 3. THE FACTS RELEVANT FOR ADJUDICATION OF THE CASE ARE AS UNDER: ASSESSMENT YEAR INVOLVED: 2007-08 DATE OF FILING OF THE RETURN U/S 139(1): 22.10. 2007 RETURNED INCOME: RS.3,85,050 DUE DATE OF ISSUING OF NOTICE U/S 143(2): 30.09.20 08 DATE OF SEARCH: 09.05.2012 DATE OF FILING OF RETURN POST SEARCH: 09.05.2012 RETURNED INCOME: RS.3,85,050 WHETHER ANY ADDITION MADE BASED ON SEIZED MATERIAL: NO THE BASIS OF ADDITION MADE: DEPOSITS IN THE BANK AC COUNT FOR THE FY 2006-07. 4. THUS, FROM THE ABOVE IT CAN BE OBSERVED THAT NO PROCEEDINGS ARE PENDING AS ON THE DATE OF SEARCH. 5. KEEPING IN VIEW THE PROPOSITION LAID DOWN BY HON BLE DELHI HIGH COURT IN CASE OF CIT VS KABUL CHAWLA (2016) 38 0 ITR 573 (DELHI) THAT NO ADDITION TO BE MADE IN ASSESSMENT F RAMED U/S 153A OF THE ACT IN THE ABSENCE OF ANY INCRIMINATING MATERIAL, WHERE ASSESSMENTS WERE NOT ABATED. THE HONBLE HIGH COURT HELD THAT IN THE ABSENCE OF ANY INCRIMINATING MATER IAL FOUND DURING THE COURSE OF SEARCH ACTION, WHEN THERE WAS NO PENDING ASSESSMENT WHICH COULD BE SAID TO HAVE ABATED ON TH E DATE OF SEARCH, ANY ADDITION COULD NOT HAVE BEEN MADE. 6. HENCE, FOLLOWING THE ORDER OF THE HONBLE JURISD ICTIONAL HIGH COURT, WE HEREBY HOLD THAT THE ADDITION MADE B Y THE AO ITA NO. 1187/DEL/2017 BISHAN BANSAL 3 DOESNT STAND THE TEST OF LEGALITY AND THE SAME IS DIRECTED TO BE DELETED. 7. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED. ORDER PRONOUNCED IN THE OPEN COURT ON 28/02/2020. SD/- SD/- (AMIT SHUKLA) (DR. B. R. R. KUMAR) JUDICIAL MEMBER ACCOUNT ANT MEMBER DATED: 28/02/2020 *SUBODH* COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR