YASHWANT MADHUKAR DHAGEKAR, Pune V. Income Tax Officer, Ward-1(4), Jalgaon, Jalgaon

ITA 884/PUN/2022

AI Insights

The case involves Yashwant Madhukar Dhagekar, the appellant, who contested the additions made to his income by the AO under section 68 of the Income Tax Act, concerning unexplained cash deposits. The AO had issued notices under section 148, which the assessee claimed were not received due to being sent to an incorrect address. The CIT(A) upheld the AO's decision due to the absence of any response or evidence from the assessee. The Tribunal, upon reviewing the circumstances and the affidavit provided by the assessee, decided to remand the case back to the AO for a thorough examination, allowing the assessee to present his case afresh.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 132988 (ITAT-PUNE)
• Duration Of Justice: 2 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-02-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 13-02-2023
• Assessment Year: 2010-2011
• Appeal Filed On: 05-12-2022
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 68; 148

Judgement Text

आयकर अपीलीय अधिकरण “बी” न्यायपीठ पुणे में । IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, PUNE BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI S.S. VISWANETHRA RAVI, JUDICIAL MEMBER आयकर अपील सं. / ITA No.884/PUN/2022 धििाारण वर्ा / Assessment Year : 2010-11 Yashwant Madhukar Dhagekar, 204, Shree Om Apartment, Sathe Vasti, Dhanori Road, Behind Vijaya Bank, Lohgaon, Pune-411047 PAN : ABAPD6451F .......अपीलार्थी / Appellant बिाम / V/s. The Income Tax Officer, Ward – 1(4), Jalgaon ......प्रत्यर्थी / Respondent Assessee by : Shri Sharad Shah Revenue by : Shri M.G. Jasnani सुिवाई की तारीख / Date of Hearing : 14-02-2023 घोर्णा की तारीख / Date of Pronouncement : 17-02-2023 आदेश / ORDER PER S.S. VISWANETHRA RAVI, JM : This appeal by the assessee against the order dated 01-12-2022 passed by the National Faceless Appeal Centre (“NFAC”), Delhi for assessment year 2010-11. 2 ITA No.884/PUN/2022, A.Y. 2010-11 2. Ground No. 1 raised by the assessee challenging the action of CIT(A), NFAC, Delhi in dismissing the grounds ex-parte of the assessee. 3. We note that the AO completed assessment to his best judgment u/s. 144 r.w.s. 147 of the Act inter alia making addition on account of cash deposits u/s. 68 of the Act. On perusal of assessment order, we note that the AO issued notice u/s. 148 to the assessee to residential address and also on e-mail address. According to the AO, no return of income was filed in response to the said notice. It is evident from the assessment order vide para 9, there was no response from the assessee in giving explanation to the sources of cash deposits in saving bank account and in absence of such explanation, the AO added the said amount to the total income of the assessee u/s. 68 of the Act. Aggrieved by the said order, the assessee preferred an appeal before the CIT(A), NFAC, Delhi and challenged the jurisdiction of AO in assuming power u/s. 148 of the Act and the issue on merits. We note that the NFAC, Delhi issued notice to the assessee, but however, no representation was made on behalf of the assessee before the NFAC, Delhi except seeking adjournment on 27-01-2021. Having no option, NFAC, Delhi in the absence of any documentary evidence for explanation on behalf of the assessee confirmed the order of AO in making addition u/s. 68 of the Act. 4. The ld. AR, Shri Sharad Shah submits that the notices issued by the AO as well as by CIT(A) were sent to wrong address which were not at all received by the assessee, supporting the same, the ld. AR filed notarized 3 ITA No.884/PUN/2022, A.Y. 2010-11 affidavit dated 14-02-2023 deposed by the assessee. On perusal of the same, the assessee deposed in para 8 regarding the non-receipt of notices sent by both the authorities below. He submits that the assessee has a fair case to succeed in this appeal and the assessee is ready to produce all the relevant explanation before the authorities below. He prayed to remand the issue to the file of AO by affording one more opportunity to the assessee in prosecuting the subjected issue before the AO. 5. The ld. DR, Shri M.G. Jasnani supported the order of NFAC, Delhi and vehemently argued no such opportunity could be given to the assessee as the assessee failed to comply the notice before both the authorities below. 6. We have heard both the parties and perused the material available on record and considering the facts and circumstances of the case in the interest of justice taking into consideration the submissions of ld. AR that the assessee is ready to produce all the relevant explanation with regard to addition made by the AO u/s. 68 of the Act, we deem it proper to remand the matter to the file of AO for his fresh verification. The assessee is liberty to file evidences, if any, in support of its claim. Thus, the ground No. 1 raised by the assessee is allowed for statistical purpose. 7. In view of our decision in ground No. 1 in the aforementioned paragraphs in remanding the matter to the file of AO, the ground Nos. 2 to 4 raised by the assessee becomes academic, requires no adjudication. 4 ITA No.884/PUN/2022, A.Y. 2010-11 8. In the result, the appeal of assessee is allowed for statistical purpose. Order pronounced in the open court on 17 th February, 2023. Sd/- Sd/- (Inturi Rama Rao) (S.S. Viswanethra Ravi) ACCOUNTANT MEMBER JUDICIAL MEMBER पुणे / Pune; ददिांक / Dated : 17 th February, 2023. रधव आदेश की प्रधतधलधप अग्रेधर्त / Copy of the Order forwarded to : 1. अपीलार्थी / The Appellant. 2. प्रत्यर्थी / The Respondent. 3. The CIT(A) concerned. 4. The Pr. CIT concerned. 5. धवभागीय प्रधतधिधि, आयकर अपीलीय अधिकरण, “बी” बेंच, पुणे / DR, ITAT, “B” Bench, Pune. 6. गार्ा फ़ाइल / Guard File. //सत्याधपत प्रधत// True Copy// आदेशािुसार / BY ORDER, वररष्ठ धिजी सधचव / Sr. Private Secretary आयकर अपीलीय अधिकरण ,पुणे / ITAT, Pune