Joginder Singh Ahluwalia, Panchkulla V. DCIT (International Taxation), Noida

ITA 7881/DEL/2018

AI Insights

The case involves an appeal by Joginder Singh Ahluwalia against the order of the CIT (A) which confirmed the addition of Rs. 7,35,000 to the assessee's income for the assessment year 2010-11. This amount was received by way of a demand draft and deposited in the bank account, which the assessing officer treated as unexplained receipt under Section 14 7 read with Section 144 of the Income Tax Act, 1961. The Tribunal noted that the assessee failed to appear despite multiple opportunities and did not provide any explanation regarding the nature of the transaction or the source of the demand draft during the appellate proceedings.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 121574 (ITAT-DELHI)
• Duration Of Justice: 4 year(s) 5 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-05-2023
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 24-04-2023
• Assessment Year: 2010-2011
• Appeal Filed On: 10-12-2018
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Section: 147; 144

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “C” DELHI BEFORE SHRI KUL BHARAT, JUDICIAL MEMBER & SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER I.T.A. No.7881/DEL/2018 Assessment Year 2010-11 Joginder Singh Ahluwalia House No.252 Sector-10 Panchkula Haryana. Vs. DCIT (International Taxation) Noida TAN/PAN: BMSPA7951H (Appellant) (Respondent) Appellant by: None Respondent by: Shri Anuj Garg, Sr.DR Date of hearing: 25 04 2023 Date of pronouncement: 23 05 2023 O R D E R PER PRADIP KUMAR KEDIA, A.M.: T he ca pti oned a ppeal has been file d at t he i ns tance o f the assessee aga ins t the or der of t he l d. Commiss i oner of Income Ta x (A ppea ls )-II, N oi da (‘C IT (A) ’ in s hor t) date d 27. 07. 2018 a ris i ng fro m the assess me nt order da ted 15. 12.2017 pas sed by the A ssessi ng O f fi ce r (A O ) unde r Sect ion 14 7 r. w. Section 144 o f the Income T ax A ct, 1961 (the Act ) conc er ning A Y 2010-11. 2. W hen the ma tter w as calle d for he a ri ng, none appeare d for the ass essee. I t is see n fro m t he appea l reco rds that s eve ral opportunit ies hav e been giv en to the assessee t o defe nd its case but w ithout any avai l. A cco rdi ngl y, w e are const raint to proc ee d ex-p arte in the abs ence of t he asse ssee. I.T.A. No.7881/Del/2018 2 3. A s per t he g rounds of ap peal, the assessee has cha l le nge d the addit ion of Rs . 7, 35, 00 0/- rece ive d b y the ass essee b y w a y of de ma nd dra ft and deposi ted i n the bank ac co unt as unexplai ne d recei pt. 4. O n pe rusa l of th e asses s ment order, i t is s een that the assessee has remai ned non compl ie d w ith and the asse ss me nt o rder w as fra me d ex-pa rte unde r Secti on 14 4 r. w. Section 14 7 of the A ct. 5. Befo re t he C IT(A ) als o, as per par agr ap h 4. 18 of t he fi rst appel late o rder, the ad dit ion to t he ext ent of Rs. 7. 35 lakh w ere confi rmed b y the CIT (A ) o n acc oun t of lack o f e xplanat i on tow ard s na t ure o f transac tion. The re leva nt pa ra graph of the o rder of t he C IT (A ) is reproduced hereunde r: 4 . 1 8 T h e A O i n h i s r e m a n d r e p o r t s h a d n o t m a d e a n y o b s e r v a t i o n i n r e g a r d t o t h e s o u r c e o f d e m a n d d r a f t o f R s . 7 , 3 5 , 0 00 / - . I t w a s s u b m i t t e d b y t h e a p p e l l a n t d u r i n g t h e h e a r i n g s a n d i n h i s s u b m i s s i o n t h a t D D o f R s . 7 , 3 5 , 0 0 0 / w a s m a d e f r o m t h e b a n k a c co u n t o f o n e M r A n i l C h a w l a . B a n k s t a t e m e n t o f S r i A n i l C h a w l a f o r t h e b a n k a c c o u n t N o . 0 0 4 6 0 1 0 0 0 9 1 1 , m a i n t a i n e d w i t h I C I C I B a n k , w a s fi l e d w h e r e i n i t i s f o u n d t h a t t h e a m o u n t o f R s . 7 , 3 5 , 0 0 0 / w a s d e b i te d f r o m t h i s a c c o u n t o n a c c o u n t o f " F R T O D D " . O n e n q u i r y , t h e co u n s e l o f t h e a p p e l l a n t s u b m i t t e d d u r i n g t h e h e a r i n g o n 1 3 . 0 7 . 2 0 18 t h a t S r i A n i l C h a w l a w a s n o t r e l a t e d t o t h e a p p e l l a n t . T h o u g h h e a g r e e d t o s u b m i t w i t h i n a w e e k a b o u t t h e n a t u r e o f t r a n s a c t i o n , h e di d n o t s u b m i t a n y f u r t h e r e x p l a n a t i o n i n r e g a r d t o s u c h a m o u n t g i v e n b y S r i A n i l C h a w l a . 4 . 1 9 A s p e r t h e p r o v i s i o n s o f s e c t i o n 5 6 ( 2 ) ( v i i ) of t h e A c t , w h e r e a n i n d i v i d u a l o r a H i n d u u n d i v i d e d f a m i l y r e c e i v e s , i n a n y p r e v i o u s y e a r , f r o m a n y p e r s o n o r p e r s o n s o n o r a f t e r t h e 1 st d a y o f O c t o b e r , 2 0 0 9 , a n y s u m o f m o n e y , w i t h o u t c o n s i d e r a t i o n , t h e a g g r e g a t e v a l u e o f w h i c h e x c e e d s f i f t y t h o u s a n d r u p e e s , t h e w h o l e of t h e a g g r e g a t e v a l u e o f s u c h s u m w i l l b e c o n s i d e r e d a s i n c o m e c h a rg e a b l e u n d e r t h e h e a d " I n c o m e f r o m o t h e r s o u r c e s " . 4 . 2 0 T h e a p p e l l a n t h a s n o t p r o v i d e d a n y e v i d e n c e o n r e c o r d t o p r o v e t h a t t h e a p p e l l a n t a n d S r i A n i l C h a w l a i s f a l l i n g un d e r t h e p r o v i s o o f t h e s e c t i o n w h e r e s u c h c l a u s e i s n o t a p p l i e d t o a n y s u m o f m o n e y r e c e i v e d f r o m a n y r e l a t i v e . I n v i e w o f t h e b a r e p r ov i s i o n s o f t h e f a c t , i t i s h e l d t h a t t h e s u m o f R s . 7 , 3 5 , 0 0 0 / i s t a x a b l e i n t h e h a n d o f t h e a p p e l l a n t u n d e r t h e h e a d " I n c o m e f r o m o t h e r s o u r c e s. I.T.A. No.7881/Del/2018 3 4 . 2 1 R e g a r d i n g t h e p u r c h a s e o f s t a m p d u t y o f R s . 4 ,2 5 , 0 0 0 / , t h e a p p e l l a n t h a s s u b m i t t e d t h a t a n a m o u n t o f R s . 9 , 0 0 ,0 0 0 / w a s w i t h d r a w n i n c a s h f r o m t h e b a n k a c c o u n t m a i n t a i n e d w i t h I C I C I B a n k ( A / c N o . 0 0 1 3 0 1 0 5 2 4 3 9 ) . O n p e r u s a l o f t h e b a n k s t at e m e n t i t i s f o u n d t h a t t h e a p p e l l a n t h a s w i t h d r a w n a n a m o u n t o f R s . 9 , 0 0 , 0 0 0 / v i d e c h e q u e N o . 5 5 3 9 2 7 o n 2 2 . 0 6 . 2 0 0 9 , i . a d a y b e f o re t h e p u r c h a s e o f t h e i m p u g n e d p r o p e r t y . T h e s o u r c e o f p u r c h a s e o f s ta m p d u t y i s , t h e r e f o r e , c o n s i d e r e d a s e x p l a i n e d . 4 . 2 2 I n v i e w o f t h e a b o v e d i s c u s s i o n , t h o u g h t h e s ou r c e o f t h e a m o u n t o f i n v e s t m e n t o f R s . 7 7 , 0 0 , 0 0 0 / i s c o n s i d e r e d a s e x pl a i n e d , a n a d d i t i o n o f a m o u n t o f R s . 7 , 3 5 , 0 0 0 / i s t o b e m a d e u nd e r t h e h e a d " I n c o m e f r o m o t h e r s o u r c e s " . H e n c e , G r o u n d o f A p p e al N o . 2 i s p a r t l y a l l o w e d . " 6. Befo re t he T ribunal a ls o, t he assess ee h as fa iled t o appea r des pi te mul tiple not ices is sue d to t he asses see for a ppear ance. N o evidence has been placed eit her on record to a ppreciate the pe rspect i ve o f the assesse e, if an y. 7. U nder t he ci rcums tances, i n t he abs ence of an y material to cont rove rt the obs erva ti on of t he Revenue A ut hor ities, w e are i n no pos i tion t o take dif fe re nt view. We t hus de cl ine t o interfere w ith t he o rde r of t he CIT (A ). 8. In the result, t he appeal of the as sessee is dismiss ed ex - par te. Order pronounced in the open Court on 23/05/2023 Sd/- Sd/- [KUL BHARAT] [PRADIP KUMAR KEDIA] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: /05/2023 prabhat