MINGMA SHERPA,GANGTOK V. ITO, WARD 3(1), GANGTOK

ITA 1442/KOL/2025

AI Insights

Mingma Sherpa, the appellant, did not file a return of income for the assessment year 2017-18 but deposited a substantial amount of cash (₹10,15,14,300) in a bank account. The Income Tax Officer (ITO) initiated proceedings under Section 147 of the Income-tax Act, 1961, following which an addition of the deposited amount was made under Section 69A and taxed under Section 115BBE. The Commissioner of Income Tax (Appeals) upheld this decision, rejecting the appellant's claim for exemption under Section 10(26AAA) as a resident of Sikkim due to insufficient substantiation. The Tribunal, after hearing the arguments and reviewing the documents presented at the hearing, decided to remit the case back to the Assessing Officer for a thorough examination of the newly submitted documents.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 786052 (ITAT-KOLKATA)
• Duration Of Justice: 3 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-10-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: C
• Assessment Year: 2017-2018
• Appeal Filed On: 03-07-2025
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: PRAVEEN KISHORE
• Assessee Lawyers: APURBA SAHA
• Keywords: Competent authority
• Section: 147; 148; 142(1)

Judgement Text

" आयकर अपीलȣय अͬधकरण, कोलकाता पीठ, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH KOLKATA SHRI RAJESH KUMAR, ACCOUNTANT MEMBER & BEFORE SHRI SONJOY SARMA, JUDICIAL MEMBER ITA No.1442/KOL/2025 (Ǔनधा[रण वष[ / Assessment Year : 2017-2018) Mingma Sherpa Above Of IND Selep Tanki, East Sikkim, Gangtok-737101. Vs ITO, Ward-3(1), Gangtok PAN No. : DTUPS1375C (अपीलाथȸ /Appellant) .. (Ĥ×यथȸ / Respondent) Ǔनधा[ǐरती कȧ ओर से /Assessee by : Shri Apurba Saha, Advocate राजèव कȧ ओर से /Revenue by : Shri Praveen Kishore, CIT- DR सुनवाई कȧ तारȣख / Date of Hearing : 04/09/2025 घोषणा कȧ तारȣख/Date of Pronouncement : 28/10/2025 आदेश / O R D E R PER SONJOY SARMA, JM : This appeal by the assessee arises against the order dated 28.03.2024 of the NFAC, Delhi (hereinafter referred to as the ‘CIT(A)’) passed under section 250 of the Income-tax Act, 1961 (the ‘Act’). 2. In this case, the assessee did not file the return of income for the assessment year under consideration, i.e., A.Y. 2017–18. During the year under consideration, the assessee had deposited cash amounting to ₹10,15,14,300 in a bank account maintained with the State Bank of India, Gangtok Branch. Accordingly, proceedings under Section 147 of the Act were initiated by issuing notice under Section 148 of the Act after recording reasons and obtaining necessary approval from the competent authority. Subsequent notice under Section 142(1) of the Act was also issued. However, the assessee did not comply. Consequently, the Assessing Officer completed the assessment by making an Printed from counselvise.com ITA No.1442/KOL/2025 Mingma Sherpa 2 addition of ₹10,15,14,300 under Section 69A of the Act and taxed the same under Section 115BBE of the Act. 3. The CIT(A) upheld the action of the Assessing Officer and dismissed the appeal. During the appellate proceedings, the assessee contended that she was entitled to exemption under Section 10(26AAA) of the Act being a resident of Sikkim. However, the CIT(A) noted that the assessee could not properly substantiate the claim and therefore, rejected the contention made by assessee. Dissatisfied with the above order assessee is in appeal before this tribunal. 4. At the time of the hearing the Ld. AR submitted various document in order to substantiate the case of the assessee. However, Ld. DR stated that the documents were not produced before the Ld. AO at the time of the hearing of the case. Therefore, those documents need to be verified by the assessing officer. 5. We after hearing the rival submission of the parties and perusing the material available on record we find that the assessee has filed various documents in support of its claim, but these were not produced either before the Assessing Officer or before the CIT(A). In the interest of justice, we deem it appropriate to remit the matter back to the file of the Assessing Officer for fresh examination of the issue involved in the appeal. The assessee is directed to furnish all supporting documents and evidence to substantiate its claim. In case the assessee fails to comply with the notices issued by the Assessing Officer, the latter shall be at liberty to pass an appropriate order in accordance with law. Accordingly, the appeal of the assessee is allowed for statistical purposes. Printed from counselvise.com ITA No.1442/KOL/2025 Mingma Sherpa 3 6. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the open court on 28/10/2025. Sd/- (RAJESH KUMAR) Sd/- (SONJOY SARMA) ACCOUNTANT MEMBER JUDICIAL MEMBER Ǒदनांक Dated: 28/10/2025 RS आदेश कȧ ĤǓतͧलͪप अĒेͪषत/Copy of the Order forwarded to : आदेशानुसार/ BY ORDER, (Assistant Registrar) आयकर अपीलȣय अͬधकरण, कटक/ITAT, Kolkata 1. अपीलाथȸ / The Appellant- 2. Ĥ×यथȸ / The Respondent- 3. आयकर आयुƅ(अपील) / The CIT(A), 4. आयकर आयुÈत / CIT 5. िवभागीय Ůितिनिध, आयकर अपीलीय अिधकरण, कटक / DR, ITAT, Cuttack 6. गाड[ फाईल / Guard file. स×याͪपत ĤǓत //True Copy// Printed from counselvise.com "