Shri. K. S Dushyanth (HUF), Bangalore V. Income Tax Department, Ward-4(3)(1), Bangalore

ITA 304/BANG/2023

AI Insights

The case involves K.S. Dushyanth (HUF), who appealed against the order of the CIT(Appeals), National Faceless Appeal Centre, Delhi, which confirmed the addition of Rs.11,99,000 to the assessee's income for the assessment year 2017-18. This addition was made by the AO under section 69A of the Income Tax Act, citing unexplained cash deposits in the assessee's bank account during the demonetisation period. The CIT(Appeals) dismissed the appeal due to non-response from the assessee to multiple notices. The Tribunal, considering the circumstances and the request for a hearing, decided to remit the matter back to the AO for a fresh assessment after providing a fair opportunity to the assessee.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 125252 (ITAT-BANGALORE)
• Duration Of Justice: 1 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-05-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: C
• Next Hearing Date: 23-05-2023
• Assessment Year: 2017-2018
• Appeal Filed On: 12-04-2023
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 69A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH : BANGALORE BEFORE SHRI MAHAVIR SINGH, VICE PRESIDENT AND SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER ITA No.304/Bang/2023 Assessment year : 2017-18 K.S. Dushyanth (HUF), E-1-15-2, Arekere Gate, Bannerghatta Road, Syndicate Bank Colony, Bangalore – 560 076. PAN: AAKHK 9625H Vs. The Income Tax Officer, Ward 4(3)(1), Bangalore. APPELLANT RESPONDENT Appellant by : Smt. Jinitha Chatterjee, Advocate Respondent by : Shri Ganesh R. Ghale, Standing Counsel. Date of hearing : 24.05.2023 Date of Pronouncement : 24.05.2023 O R D E R Per Chandra Poojari, Accountant Member This appeal by the assessee is directed against the order of CIT(Appeals), National Faceless Appeal Centre, Delhi [NFAC] dated 28.02.203 for the assessment year 2017-18. 2. The assessee has raised grounds with regard to sustaining the addition of Rs.11,99,000 made by the AO u/s. 69A of the Act. 3. The facts of the case are that the AO made an addition u/s. 69A of Rs.11,99,000 on the reason that the assessee has deposited the said amount in cash to its bank account in Bank of Baroda during the ITA No.304/Bang/2023 Page 2 of 3 demonetisation period and the assessee has not furnished the source of such deposits. 4. On appeal, the CIT(Appeals) gave opportunity of hearings to the assessee as follows :- S.No. Date of Notice sent Compliance Date Remarks 1. 14.3.2020 19.03.2020 No response from the appellant. 2. 07.01.2021 19.01.2021 No response from the appellant. 3. 25.11.2021 17.12.2021 No response from the appellant. 4. 24.08.2022 08.09.2022 No response from the appellant. 5. 09.02.2023 17.02.2023 No response from the appellant. 5. There was no response from the assessee. The CIT(Appeals) having no option, confirmed the order of the AO and dismissed the appeal of the assessee. Against this, the assessee is in appeal before us. 6. Before us, the ld. Counsel for assessee pleaded an opportunity of hearing to present the assessee’s case so as to explain the source of such deposits. In the interest of justice, acceding to the request of the ld. Counsel for the assessee, we remit the entire issue in dispute to the AO for fresh consideration and to decide the same after giving opportunity of being heard to the assessee. 7. In the result, the appeal of the assessee is partly allowed. Pronounced in the open court on this 24 th day of May, 2023. Sd/- Sd/- ( MAHAVIR SINGH ) ( CHANDRA POOJARI ) VICE PRESIDENT ACCOUNTANT MEMBER Bangalore, Dated, the 24 th May, 2023. /Desai S Murthy / ITA No.304/Bang/2023 Page 3 of 3 Copy to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR, ITAT, Bangalore. By order Assistant Registrar ITAT, Bangalore.