Sudha, Ghaziabad V. ITO, Ward-2(3), Ghaziabad

ITA 6239/DEL/2018

AI Insights

The case involves an appeal by Sudha against the order of the ld. CIT(A)-2, Noida, which upheld the addition of Rs. 54,61,000 as unexplained cash deposit in her bank account during the assessment year 2008-09. The Assessing Officer (AO) initially treated the entire amount as unexplained due to non-compliance during the assessment proceedings. The CIT(A) partially upheld the AO's decision after considering additional evidence and a remand report. The ITAT's decision partly allowed the appeal, reducing the unexplained amount by accepting certain explanations provided by Sudha regarding the source of the deposits.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 131859 (ITAT-DELHI)
• Duration Of Justice: 4 year(s) 7 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-05-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: G
• Next Hearing Date: 22-02-2023
• Assessment Year: 2008-2009
• Appeal Filed On: 27-09-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

THE INCOME TAX APPELLATE TRIBUNAL DELHIBENCH ‘G’, NEW DELHI Before Dr. B. R. R. Kumar, Accountant Member Sh. Yogesh Kumar US, Judicial Member ITA No. 6239/Del/2018 : Asstt. Year: 2008-09 Sudha, C/o. Pradeep & Co, Tax Advocates, 7, Navyug Market, Ghaziabad Vs. ITO, Ward-2(3), Ghaziabad (APPELLANT) (RESPONDENT) PAN No. GSVPS0774L Assessee by : Sh. Satyajeet Goel, Adv. Revenue by : Sh. Ram Dhan Meena, Sr. DR Date of Hearing: 23.02.2023 Date of Pronouncement: 23.05.2023 ORDER Per Dr. B. R. R. Kumar, Accountant Member: T he pr e se n t a p p e al ha s be e n f i le d b y the as se sse e aga i ns t the o r de r o f the l d C IT ( A ) -2 , N o id a da te d 2 4 .0 7 .2 0 18 . 2 . T he a sse sse e ha s r a ise d t he fo l lo w in g gr o un d s o f a ppe al : “(1) On the facts and circumstances of the case the order of Ld. CIT(A)is bad in both in the eyes of law and on facts. (2) That on facts and circumstances of the case the Ld. CIT(A) has erred in law in partially upholding the order of Ld. AO making an addition of Rs. 21,65,000/- by treating amount as unexplained cash deposit in the hands of the appellant. (3) That on the facts and circumstances of the case and in law the Ld. CIT(A) erred in sustaining the action of Ld. AO in making an addition of Rs. 16,75.000/- even when an evidence in form of an affidavit and registered sale agreement stating source of such amount was filled during the proceedings. (4) That on the facts and circumstances of the case and in law the Ld. CIT(A) erred in sustaining the action of Ld. AO in making an addition of Rs. 4,90,000/- without appreciating the submissions made by the appellant. ITA No. 6239/Del/2018 Sudha 2 (5) That on facts and circumstances of the case the Ld. CIT(A) has erred in law in partly upholding the order of Ld. AO in making an addition merely on presumptions than on factual grounds.” 3 . B r ie f fa ct s o f the ca se ar e t ha t as pe r t he AIR i nfo r ma t io n , the a sse sse e h ad de po s i te d cas h amo un t in g to R s. 5 4,6 1 ,0 0 0 / - in he r ba nk a c co u nt no . 7 2 0 1 1 0 1 1 0 0 0 1 5 6 9 mai n ta ine d w i t h B ank o f In d ia , D uh ai . In v ie w o f the no n- co mp l ia n ce d ur in g the asse ss me n t pr o c e e di n gs , t he AO co ns i de r e d t he e nt ire cas h de po si t o f R s .5 4 , 6 1 ,0 0 0 / - a s u ne x pl a ine d c as h cr e dit an d a dde d to t he to ta l i nco me o f the a sse s s e e . 4 . Ad d i tio na l e v ide n ce s w e r e fi le d by the as se sse e be fo r e the ld . C IT ( A) w ho f o r w ar de d t he s a me to the A sse s si ng O f f ice r fo r hi s r e p o r t an d th e r e ma nd r e po r t w as g ive n to t he asse sse e fo r fi l in g r e jo in de r . Af te r e x am i na t io n o f t he a dd i t io na l e v i de n ce s , r e ma nd r e po r t a nd the r e jo i nde r , the l d. C IT ( A ) co nfir me d the ad di t io n o f R s .2 1 ,6 5 ,0 0 0 /- . 5 . T he c as h de po s it s o f R s . 5 4 ,6 1 ,0 0 0 /- ha s be e n exp la i ne d as u nde r : • O n acco u nt o f s a l e pr o ce e ds o f la n d – R s .1 0 ,2 5 ,0 0 0 /- • O n a cco un t o f de po s i t fo r pur c has e o f pr o pe r t y by hu sb an d – R s.1 6 ,7 5 ,0 0 0 / - • T he ba la nce a mo un t o f R s .2 7 ,6 1 , 0 0 0 /- o ut o f pa st sav in gs , w i th dr a w a ls a nd agr ic u lt ur a l a ct i v i tie s. 6 . T he l d . C IT ( A) c o ns i de r e d a n a m o un t o f R s .3 2 ,9 6 ,0 0 0 / - a s e xp la i ne d o w i n g to the ca sh w it h dr aw al s o f the a sses se e fr o m the s ame b an k a cco u nt a nd co ns ide r e d a n a mo un t o f ITA No. 6239/Del/2018 Sudha 3 R s.2 1 ,6 5 ,0 0 0 /- as an e xp l ai ne d. T he l d . C IT (A ) ha s no t co n si de r e d the a f fi da v it f i le d by th e asse s se e w i th r e gar d to t he r e gi s te r e d s ale de e d o f an am o un t o f R s.1 6 ,7 5 ,0 0 0 / - w hi ch ne e d s to be a llo w e d o w i n g to t h e suf fi cie nc y o f t he e vi de n ce s . W i th r e g ar d to t he r e m a in i ng R s .4 ,0 0 ,0 0 0 / - , i t w as su b mi t te d th a t it i s o u t o f t he pas t sa v in gs an d agr i cu l tu r al i nco me . A ce r ta i n a mo un t o f pa s t sa v in gs ca nno t be d is co u n t e d. He n ce , i n the pe c u l iar f ac t s a nd cir c um st a nce s o f the i ns t an t c ase , a n amo un t o f R s .2 , 0 0 ,0 0 0 / - ca n be co nve n ie n t ly he ld to be t he pas t sa v in gs a nd fr o m t he agr i cu l tur a l o pe r a tio ns of the o f t he asse sse e . 7 . In t he r e su l t , the a ppe a l o f the as se sse e i s part ly a l lo w e d . O r de r Pr o no u nce d i n the O pe n C o ur t o n 2 3 /0 5 /2 0 2 3 . Sd / - Sd / - (Yogesh Kumar US) (Dr. B. R. R. Kumar) Judicial Member Accountant Member Dated: 23/05/2023 *Subodh Kumar, Sr. PS* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR