M/S. SWARNIM LEASING & HOLDINGS LTD.,DELHI V. ITO, WARD 22(4), DELHI

ITA 5528/DEL/2025

AI Insights

The case involves M/s Swarnim Leasing & Holdings Ltd., which appealed against the orders of the CIT(A)/NFAC, New Delhi, concerning the assessment year 2017-18. The primary issue was the use of two PANs by the assessee: 'AAACS1677C' for regular tax filings and 'AAPCS6200E' associated with a bank account used for cash deposits during the demonetization period. The AO issued notices for the PAN 'AAPCS6200E', which the assessee did not comply with, leading to an assessment under section 144 of the Act. The CIT(A) set aside the case to the AO for a fresh assessment, which the assessee contested, leading to this appeal.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 833577 (ITAT-DELHI)
• Duration Of Justice: 4 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-02-2026
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: F
• Assessment Year: 2017-2018
• Appeal Filed On: 08-09-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Set aside
• Section: 144

Judgement Text

"5528_DEL_2025_Swarnim Leasing and Holdings Ltd. Delhi 1 | P a g e IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘F’, NEW DELHI BEFORE SHRI SATBEER SINGH GODARA, HON’BLE JUDICIAL MEMBER & SHRI NAVEEN CHANDRA, HON’BLE ACCOUNTANT MEMBER ITA No. 5528/DEL/2025 ; Assessment Year: 2017-18 M/s Swarnim Leasing & Holdings Ltd. C/o R.C. Rai & Associates 203, Akashdeep building, 26A, Barakhamba Road New Delhi- 01 Vs ITO WARD 22(4) (APPELLANT) (RESPONDENT) PAN No. AAACS1677C Assessee Represented by : Shri R.C. Rai, CA Department Represented by : Ms. Harpreet Kaur Hansasra, Sr. DR Date of Hearing: 03.02.2026 Date of Pronouncement: 03.02.2026 ORDER PER NAVEEN CHANDRA [A. M]: The above captioned appeal is preferred by the assessee against the orders dated 14.07.2025, by Ld. CIT(A)/NFAC, New Delhi u/s 250 of the Income Tax Act, 1961 [hereinafter referred to as, “Act”] for A.Y. 2017-18. 2. At the outset, the Ld. Counsel of the assessee states that the assessment was completed u/s 144 of the Act. The Ld. Counsel of the Printed from counselvise.com 5528_DEL_2025_Swarnim Leasing and Holdings Ltd. Delhi 2 | P a g e assessee claimed that the assessee had two PANs: one “AAACS1677C” which is regularly used and has been used for filing ITR for A.Y. 2017-18. The other is PAN “AAPCS6200E” which has been used in the Bank account. In the said bank account, the assessee made cash deposits during the demonetization period in A.Y. 2017-18. Since the AO issued notices for PAN “AAPCS6200E”, the same remained to be complied. The AO framed the assessment in PAN “AAACS1677C” instead of PAN “AAACS1677C”. It was submitted that the Ld. CIT(A) has invoked the power u/s 251(1)(a) of the Act and set-aide the file to the AO for fresh assessment which is not justified. 3. Per contra, the Ld. DR has submitted that the assessee was using two PANs and therefore, the decision taken by Ld. CIT(A), setting aside the issue to the AO, was justified. 4. We have heard the rival submissions and perused the relevant materials on record. We are of the considered view that the assessee was maintaining two Permanent Account Numbers (PANs) which is prohibited in India under Section 139A(7) of the Income Tax Act, 1961, regardless of whether the second PAN was obtained by mistake. It is prohibited for any person, including individuals, firms, or companies, to possess, use, or obtain more than one PAN. We also find that the assessee has not initiated any action to cancel the other PAN. Printed from counselvise.com 5528_DEL_2025_Swarnim Leasing and Holdings Ltd. Delhi 3 | P a g e 5. In view of the fact that the assessee case has been set aside to the AO for fresh adjudication u/s 251(1)(a) of the Act, we therefore, find no reason to interfere with the decision of the Ld. CIT(A). Ground of appeal are dismissed. 6. In the result, the appeal of the assessee in ITA 5528/Del/25 is dismissed. Order pronounced in the Open Court on 03.02.2026. Sd/- Sd/- (SATBEER SINGH GODARA) (NAVEEN CHANDRA) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 5th FEBRUARY,2026 Pooja Mittal Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asstt. Registrar, ITAT, New Delhi Printed from counselvise.com "