JAVED AKBAR SAYYAD,PUNE V. ITO, WARD 14(5), PUNE, PUNE

ITA 758/PUN/2025

AI Insights

The case involves Javed Akbar Sayyad, who appealed against the order of the CIT(A)/NFAC, which confirmed the Assessing Officer's addition of Rs.46,01,759 as undisclosed income, treating agricultural income receipts as bogus. The assessee argued that the CIT(A)'s decision was unjustified and requested a remand for a fresh hearing, citing issues with notice receipt during the COVID-19 pandemic. The Revenue supported the CIT(A)'s decision, emphasizing the assessee's absence at hearings. The Tribunal, considering the circumstances, set aside the CIT(A)'s order and remanded the case for a fresh assessment.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 397961 (ITAT-PUNE)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2017-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: INDIRA ADAKIL
• Assessee Lawyers: PRAMOD S. SHINGTE
• Keywords: Income from undisclosed sources; Bogus

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “SMC”, PUNE BEFORE SHRI MANISH BORAD, ACCOUNTANT MEMBER AND SHRI VINAY BHAMORE, JUDICIAL MEMBER आयकर अपील सं. / ITA No.758/PUN/2025 िनधाᭅरण वषᭅ / Assessment Year : 2017-18 Javed Akbar Sayyad, Flat No.09, Silver Nest, Yadgar City, Market Yard, Pune- 413102. PAN : AUCPS0699B Vs. ITO, Ward-14(5), Pune. Appellant Respondent आदेश / ORDER PER VINAY BHAMORE, JM: This appeal filed by the assessee is directed against the order dated 30.01.2024 passed by Ld. CIT(A)/NFAC for the assessment year 2017-18. 2. There is delay in filing of the present appeal. We are satisfied with the reasons mentioned in the affidavit for condonation that the applicant was prevented by sufficient cause for not filing the appeal Assessee by : Shri Pramod S. Shingte Revenue by : Mrs. Indira Adakil Date of hearing : 08.05.2025 Date of pronouncement : 03.06.2025 ITA No.758/PUN/2025 2 within the prescribed time limit. Ld. DR has not raised any objection to condone the delay, therefore we condone the delay and proceed to adjudicate the appeal. 3. Facts of the case, in brief, are that the assessee is an individual and filed his Return of Income on 06-02-2018 declaring total income of Rs.2,19,830/- and agricultural income of Rs.24,66,711/-. The case was selected for limited scrutiny under CASS. During the course of scrutiny proceedings, appellant has submitted the required information along with his explanation with all documentary evidences to justify agricultural income, however the Assessing Officer by pointing out certain defects in the bills issued by fruits vendors. Thereby treated entire gross receipts on account of agricultural income as bogus and accordingly made an addition of Rs.46,01,759/- The Assessing Officer completed the assessment determining the taxable income at Rs.48,21,590/- as against the income returned by the assessee at Rs.2,19,830/-. The above assessed income includes gross receipts of Rs.46,01,759/- claimed by the assessee as agricultural sale proceeds treated as income from undisclosed sources. ITA No.758/PUN/2025 3 4. Since the assessee remained absent, Ld. CIT(A)/NFAC dismissed the appeal filed by the assessee for want of prosecution. It is this order against which the assessee is in appeal before this Tribunal. 5. Ld. AR appearing from the side of the assessee submitted before us that the order passed by Ld. CIT(A)/NFAC is unjustified. Ld. AR further submitted before us that Ld. CIT(A)/NFAC passed an ex-parte order wherein he has confirmed the action of the Assessing Officer treating entire gross receipts on account of agricultural income as bogus and accordingly confirmed the addition of Rs.46,01,759/- without considering the fact that the agricultural income was only Rs.24,66,711/-. It was submitted by Ld. AR that out of six notices, four were issued during Covid-19 period and only two effective notices were issued by LD. CIT(A)/NFAC which could not be seen by the assessee since he is not regularly checking his email, accordingly it was requested by Ld. AR that the ex-parte order passed by Ld. CIT(A)/NFAC may kindly be set-aside and the matter be remanded back to the file of ITA No.758/PUN/2025 4 Ld. CIT(A)/NFAC to decide the appeal again after providing opportunity of hearing to the assessee. 6. Ld. DR appearing from the side of the Revenue submitted before us that despite due service of notices of hearing the assessee remained absent before Ld. CIT(A)/NFAC. Accordingly, Ld. DR requested before the Bench to confirm the order passed by Ld. CIT(A)/NFAC. 7. We have heard Ld. Counsels from both the sides and perused the material available on record. In this regard, we find that the first appeal order was passed ex-parte since the assessee remained absent before Ld. CIT(A)/NFAC. Considering the totality of the facts of the case and in the interest of justice and without going into merits of the case, we deem it appropriate to set-aside the order passed by Ld CIT(A)/NFAC and remand the matter back to him with a direction to decide the appeal afresh on merits of the case as per fact and law after providing reasonable opportunity of hearing to the assessee. The assessee is also hereby directed to respond to the notices issued by Ld. CIT(A)/NFAC in this regard and produce documents/evidences in support of grounds of appeal without taking ITA No.758/PUN/2025 5 any adjournment under any pretext, otherwise Ld. CIT(A)/NFAC shall be at liberty to pass appropriate order as per law. Thus, the grounds of appeal raised by the assessee are partly allowed. 8. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced on this 03rd day of June, 2025. Sd/- Sd/- (MANISH BORAD) (VINAY BHAMORE) ACCOUNTANT MEMBER JUDICIAL MEMBER पुणे / Pune; ᳰदनांक / Dated : 03rd June, 2025. Sujeet आदेश कᳱ ᮧितिलिप अᮕेिषत / Copy of the Order forwarded to : 1. अपीलाथᱮ / The Appellant. 2. ᮧ᭜यथᱮ / The Respondent. 3. The Pr. CIT concerned. 4. िवभागीय ᮧितिनिध, आयकर अपीलीय अिधकरण, “SMC” बᱶच, पुणे / DR, ITAT, “SMC” Bench, Pune. 5. गाडᭅ फ़ाइल / Guard File. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune. "