Kunjlataben Rajeshbhai Patel, Kheda V. The ITO, Ward-4, Nadiad

ITA 1396/AHD/2019

AI Insights

The case involves Kunjlataben Rajeshbhai Patel, who appealed against the order of the CIT(Appeals)-2, Vadodara, which upheld an addition of Rs. 4,90,000 to her income as unexplained money for the assessment year 2011-12. The addition was initially made by the Assessing Officer based on cash deposits in the assessee's bank account, which were suspected to be unexplained. The tribunal examined the evidence provided by the assessee, including agricultural land details of the lenders, and found that the lower authorities had erred in their assessment. The tribunal's decision was based on the proper evaluation of the evidence presented, which demonstrated the creditworthiness of the lenders.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 300000 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 5 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-02-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 30-01-2023
• Assessment Year: 2011-2012
• Appeal Filed On: 02-09-2019
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Corroborative evidences
• Section: 147; 148; 143(3); 13

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL “SMC” BENCH, AHMEDABAD BEFORE MS. SUCHITRA KAMBLE, JUDICIAL MEMBER I. T .A . N o .1 39 6 / Ah d/2 0 1 9 ( A s se ss m e nt Y e a r : 20 11- 12 ) Ku nj la t ab e n R a j es h bh a i Pa te l Ku nj la t ab e n R a j es h bh a i Pa te l, 33, A v i na s h S oc ie t y, Me he md ab a d , Kh ed a - 3 8 7 13 0 V s . I T O War d - 4 , N a dia d [P AN N o.A U HP P 0 95 5A] (Appellant) .. (Respondent) Appellant by : None Respondent by: Shri Ramesh Kumar, JCIT D a t e of H ea r i ng 31.01.2023 D a t e of P r o no u n ce me nt 10.02.2023 O R D E R The appeal filed by the assessee is against the order passed by the Ld. CIT(Appeals)-2, Vadodara on 17.06.2019 for A.Y. 2011-12. 2. The grounds of appeal raised by the assessee are as under: “1. The learned CIT-(A)-2, Vadodara, has erred in law and on facts in not deleting the addition of Rs. 4,90,000/- added as unexplained money by the AO. 2. On the facts and in the circumstances of the case and in law the learned CIT(A) ought to have deleted the addition of Rs. 4,90,000/-. 3. It is therefore prayed that the addition of Rs.4,90,000/- upheld by the CIT(A)- 5, Ahmedabad, may be deleted. 4. Your appellant craves leave to add, amend, alter or withdraw any ground of appeal at the time of hearing.” 3. On the basis of AIR information and on verification of ITS details, the Assessing Officer observed that during the year under consideration the assessee deposited cash of Rs. 12,10,706/- in her Dena Bank of India Saving Bank Account. Subsequently, the case of the assessee was reopened under Section 147 by issuing notice under Section 148 of the Act on 27.03.2018. In response to the same the assessee filed return of income on 09.12.2018 ITA No. 1396/Ahd/2019 Kunjlataben Rajeshbhai Patel vs. ITO Asst.Year–2011-12 - 2 - declaring total income at Rs. 4,490/-. The Assessing Officer passed assessment order under Section 143(3) r.w.s. 147 of the Act after making addition of Rs. 4,90,000/- on account of unexplained money. 4. Being aggrieved by the assessment order the assessee filed appeal before the CIT(A). The CIT(A) dismiss the appeal of the assessee. 5. At the time of hearing none appeared on behalf of the assessee despite giving notice. In fact, the last notice issued by the Registry is received on behalf of Kunjlataben R. Patel by one Vaidehi Patel / Bhavna Patel and the acknowledgement is on record. Hence, we are taking of the appeal on the basis of the submissions made by the assessee before the Assessing Officer as well as before the CIT(A). 6. The Ld. D.R. relied upon the assessment order and the order of the CIT(A). 7. Heard Ld. D.R. and perused all the relevant material available on record. The assessee has given the details such as 7/12 extracts, confirmation letters, bills, identity card supporting the creditworthiness of giver that is the lenders. In Para 4 of the CIT Appeal’s order it is categorically mentioned that the parties who have given the cash to the assessee are having agricultural land with irrigation facilities and therefore, the produce on the said agricultural land in the sale of the said produce will proof the creditworthiness as per the submission of the assessee before the Assessing Officer as well as CIT(A). In fact, all the details were there before the Assessing Officer as well as CIT(A), but the CIT(A) as well as ITA No. 1396/Ahd/2019 Kunjlataben Rajeshbhai Patel vs. ITO Asst.Year–2011-12 - 3 - the Assessing Officer submitted that the assessee did not submit any supporting evidence as relates to the income for giving loan to the assessee that of the lenders / the parties who has given the cash to the assessee. But this finding appears to be not correct and therefore, the Assessing Officer was not right in making the addition and the addition does not sustain. 8. In result, the appeal of the assessee is allowed. This Order pronounced in Open Court on 10/02/2023 Sd/- (SUCHITRA KAMBLE) JUDICIAL MEMBER Ahmedabad; Dated 10/02/2023 TANMAY, Sr. PS TRUE COPY आदेश क त ल प अ े षत/Copy of the Order forwarded to : 1. अपीलाथ / The Appellant 2. यथ / The Respondent. 3. संबं धत आयकर आय ु त / Concerned CIT 4. आयकर आय ु त(अपील) / The CIT(A)- 5. वभागीय त न ध, आयकर अपील!य अ धकरण, अहमदाबाद / DR, ITAT, Ahmedabad 6. गाड' फाईल / Guard file. आदेशान ु सार/ BY ORDER, उप/सहायक पंजीकार (Dy./Asstt.Registrar) आयकर अपील य अ धकरण, अहमदाबाद / ITAT, Ahmedabad 1. Date of dictation 09.02.2023 2. Date on which the type draft is placed before the Dictating Member 09.02.2023 3. Other Member..................... 4. Date on which the approved draft comes to the Sr.P.S./P.S .02.2023 5. Date on which the fair order is placed before the Dictating Member for pronouncement .02.2023 6. Date on which the fair order comes back to the Sr.P.S./P.S 10.02.2023 7. Date on which the file goes to the Bench Clerk 10.02.2023 8. Date on which the file goes to the Head Clerk.......................................... 9. The date on which the file goes to the Assistant Registrar for signature on the order.......................... 10. Date of Despatch of the Order..........................................