RAJESH UTTAMCHAND WADHWANI,BENGALURU V. ACTI/DCIT, CENTRAL CIRCLE 5(1), MUMBAI, MUMBAI

ITA 646/MUM/2025

AI Insights

The case involves multiple appeals by M/s. Rajesh Uttamchand Wadhwani against the orders of the Commissioner of Income Tax (Appeals) for the assessment years 2013-14 to 2018-19. The primary issues in these appeals were additions made by the Assessing Officer under sections 69 and 143(3) of the Income Tax Act, 1961, concerning unexplained investments and short-term capital gains. The Commissioner had dismissed the appeals due to non-prosecution by the Assessee. The Tribunal found that the Commissioner had not properly adjudicated the issues and remanded the case for a fresh decision, imposing a condition of a Rs.5,000 deposit to ensure compliance.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 33716 (ITAT-MUMBAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-03-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Assessment Year: 2013-2014
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SANYOGITA NAGPAL; LD.
• Assessee Lawyers: HIMESH DIMBLE
• Keywords: Set aside; Opportunity of being heard; Unexplained investment
• Section: 143(3); 250; 69; 20

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH “D”, MUMBAI BEFORE SHRI BR BASKARAN, ACCOUNTANT MEMBER AND SHRI NARENDER KUMAR CHOUDHRY, JUDICIAL MEMBER ITA No.646/M/2025 Assessment Year: 2013-14 & ITA No.647/M/2025 Assessment Year: 2014-15 & ITA No.648/M/2025 Assessment Year: 2015-16 & ITA No.649/M/2025 Assessment Year: 2016-17 & ITA No.650/M/2025 Assessment Year: 2017-18 & ITA No.651/M/2025 Assessment Year: 2018-19 M/s. Rajesh Uttamchand Wadhwani 3/2A 1st Floor Basappa Road, Shanti Nagar Opp Aam Aadmi Clinic, Bengaluru-560027. PAN: AAEPW7106P Vs. ACIT/DCIT Central Circle 5(1), Room No. 1928, 19th Floor, Air India Building, Nariman Point, Mumbai-400021. (Appellant) (Respondent) Present for: Assessee by : Shri. Himesh Dimble Revenue by : Smt. Sanyogita Nagpal, Ld. D.R. Date of Hearing : 20 . 03 .2025 Date of Pronouncement : 27 . 03 .2025 ITA No.646-651/MUM/2025 M/s. Rajesh Uttamchand Wadhwani 2 O R D E R Per : Narender Kumar Choudhry, Judicial Member: These appeals have been preferred by the Assessee against the order even dated 27.12.2024, impugned herein, passed by the Ld. Commissioner of Income Tax (Appeals) (in short Ld. Commissioner) u/s 250 of the Income Tax Act, 1961 (in short ‘the Act’) for the A.Y. 2013-14, 2014-15, 2015-16, 2016-17, 2017-18, & 2018-19. 2. All these appeals under consideration are based on the identical facts and having involved identical issues and therefore for the sake of brevity the same were heard together and are being disposed of by this composite order by taking into consideration the facts and circumstances and issues involved in ITA No.646/M/2025 as a lead case and result of the same would be mutatis mutandis applicable to all the appeals under consideration. 3. In this case, vide order dated 29.02.2016 u/s 143(3) the Assessing Officer (AO) has made the following additions: Rs. 1,16,95,500/-: on account of Unexplained investments u/s 69 of the Act; Rs. 82,37,000/-: on account of short term capital gain 4. The Assessee, being aggrieved, challenged the said additions before the Ld. Commissioner, however, of no avail as the Ld. Commissioner affirmed the aforesaid additions by dismissing the appeals of the Assessee for non prosecution. 5. We observe from the impugned order that though the Ld. Commissioner has afforded various opportunities by issuing notices to the Assessee, however, the Assessee has made no compliance ITA No.646-651/MUM/2025 M/s. Rajesh Uttamchand Wadhwani 3 and therefore in the constrained circumstances the Ld. Commissioner decided the appeal of the Assessee on the basis of material available on record as the conduct of the Assessee was negligent and therefore the Assessee does not deserve any leniency. However, considering peculiar facts and circumstances in totality as the issues involved in the instant case remained to be adjudicated in its right perspective and proper manner by the Ld. Commissioner, therefore for just and proper decision of the case and substantial justice and considering the conduct of the Assessee, we are inclined to set aside the impugned order and consequently remanding the case to the file of the Ld. Commissioner for decision afresh, however, subject to deposit of Rs.5,000/- in the Revenue Department under “other heads” within 15 days of the receipt of this order. Suffice to say the Ld. Commissioner shall afford reasonable opportunity of being heard to the Assessee. 6. We clarify that in case of further default the Assessee shall not be entitled for any leniency. Thus, the case is remanded to the file of the Ld. Commissioner in the above terms accordingly and the appeal of the Assessee stands allowed for statistical purposes. 7. As the remaining appeals ITA No.647/M/2025, ITA No.648/M/2025, ITA No.649/M/2025, ITA No.650/M/2025 & ITA No.651/M/2025 are based on the same facts and circumstances and having involved the same issues as observed above, hence the same are allowed for statistical purposes in the same terms and conditions as observed above i.e. subject to cost of Rs.5,000/- in each case. ITA No.646-651/MUM/2025 M/s. Rajesh Uttamchand Wadhwani 4 9. In the result, all the appeals under consideration are allowed for statistical purposes. Order pronounced in the open court on 27.03.2025. Sd/- Sd/- (BR BASKARAN) (NARENDER KUMAR CHOUDHRY) ACCOUNTANT MEMBER JUDICIAL MEMBER * Kishore, Sr. P.S. Copy to: The Appellant The Respondent The CIT, Concerned, Mumbai The DR Concerned Bench //True Copy// By Order Dy/Asstt. Registrar, ITAT, Mumbai. "