RAMESH KUMAR,PAONTA SAHIB V. INCOME TAX OFFICER, NAHAN

CO 8/CHANDI/2025

AI Insights

The case involves an appeal by the revenue against the order of the Commissioner of Income Tax (Appeals), which had allowed the assessee's appeal and deleted certain additions made by the Assessing Officer. The additions pertained to alleged unreported income and unexplained cash deposits. The CIT(A) found that the income was exempt as it was part of the assessee's retirement benefits, and the cash deposits were actually transfers from the assessee's bank account, not new cash deposits. The Tribunal agreed with the CIT(A)'s findings, noting that the revenue did not contest the factual findings but only objected to the procedure followed in admitting additional evidence.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 792036 (ITAT-CHANDIGARH)
• Duration Of Justice: 8 month(s) 10 day(s)
• Appeal Type: Cross Objection
• Pronouncement Date: 09-12-2025
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2022-2023
• Appeal Filed On: 29-03-2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: VIRENDER BHATIA LD
• Assessee Lawyers: RANJIT KAUR LD.
• Keywords: Additional evidence; Earning of tax free income
• Section: 144

Judgement Text

"1 IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, CHANDIGARH PHYSICAL HEARING BEFORE HON’BLE SHRI LALIET KUMAR, JM AND HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM 1. आयकर अपील सं./ ITA No.1232/CHANDI/2024] (िनधाŊरण वषŊ / Assessment Year: 2022-23) ITO Near Delhi Gate, Opp. Gurudwara Nahan, Distt Sirmour (HP)-173025 बनाम/ Vs. Shri Ramesh Kumar 228/5, NAV Vihar, Paonta Sahib, Distt. Sirmour (HP)- 173025 ̾थायीलेखासं./जीआइआरसं./PAN/GIR No. AOEPK-2330-K (अपीलाथŎ/Appellant) : (ŮȑथŎ / Respondent) & 2. C.O. No. 08/CHANDI/2025 [in ITA No.1232/CHANDI/2024] (िनधाŊरण वषŊ / Assessment Year: 2022-23) Shri Ramesh Kumar 228/5, NAV Vihar, Paonta Sahib, Distt. Sirmour (HP)- 173025 बनाम/ Vs. ITO Near Delhi Gate, Opp. Gurudwara Nahan, Distt Sirmour (HP)-173025 ̾थायीलेखासं./जीआइआरसं./PAN/GIR No. AOEPK-2330-K (अपीलाथŎ/Appellant) : (ŮȑथŎ / Respondent) Revenue by : Sh. Virender Bhatia (CA) – Ld. AR Assessee by : Dr. Ranjit Kaur (Addl. CIT) – Ld. Sr. DR सुनवाईकीतारीख/Date of Hearing : 09-12-2025 घोषणाकीतारीख /Date of Pronouncement : 09-12-2025 Printed from counselvise.com 2 आदेश / O R D E R Per Bench 1. Aforesaid appeal by revenue for Assessment Year (AY) 2022-23 arises out of an order of learned Commissioner of Income Tax (Appeals), NFAC [CIT(A)] dated 28-10-2024 in the matter of an assessment framed by Ld. Assessing Officer [AO] on best judgment basis u/s 144 r.w.s. 144B of the Act on 11-03-2023. The grounds of appeal read as under: - 1. The Ld. CIT(A) has erred in facts and law on allowing the benefits of additional evidence submitted by the assessee during the appellate proceeding without providing opportunity to the A.O. to offer his comments as per Rule-46A of the Income Tax Rules, 1962. 2. The CIT(A) has erred in facts and circumstances of the case on allowing appeal of the assessee and deleted additions of Rs. 39,40,000/- & Rs. 39,00,000/- ignoring the facts that the assessee did not submit any information in spite of issuing various statutory notices. 3. It is prayed that the order of the Ld. CIT(A) be revoked and that of the Assessing Officer may be restored. The assessee has filed cross-objection supporting the impugned order. Having heard rival submissions, the appeal and cross-objection is disposed-off as under. 2. It could be seen that the assessment was framed on best judgment basis for want of any representation from the assessee wherein Ld. AO made addition of Rs.39.40 Lacs being exempt income as claimed by the assessee. The Ld. AO made another addition of Rs.39 Lacs being certain cash deposited by the assessee. Printed from counselvise.com 3 3. During appellate proceedings, the assessee furnished additional evidences on the basis of which Ld. CIT(A) has rendered factual findings in the impugned order. It was observed that the assessee retired as Govt. servant from Himachal Pradesh Government. The assessee received amount of Rs.61,61,222/- as retirement emoluments which include provident fund on retirement, commuted pension, leave encashment and gratuity. The same was claimed exempt as per rules and therefore, the addition of Rs.39.40 Lacs was deleted. The claim was also supported by assessee’s SBI bank account statement. On the issue of cash deposit of Rs. 39 lacks in the Post Office, it was observed that this amount was received through banking channels only from assessee’s SBI Account and there was no cash deposit. Therefore, this addition was also deleted. Aggrieved, the revenue is in further appeal before us. The factual findings as rendered by Ld. CIT(A) remain uncontroverted before us. The only plea of revenue is that the additional evidences were not examined by Ld. AO. 4. Considering the fact that the factual findings as rendered by Ld. CIT(A) remain uncontroverted before us, we see no fruitful reason to accept the plea of revenue. There should be an end to litigation. Unless the factual findings of Ld. CIT(A) are shown to be perverse or incorrect, in any manner, there is no reason for us to interfere in the same. The Ld. CIT(A) act as an adjudicator as well as an investigator. Therefore, we confirm the findings of Ld. CIT(A). The revenue’s Printed from counselvise.com 4 appeal stand dismissed. The assessee’s cross-objection merely supports the impugned order and the same has been rendered infructuous. 5. The revenue’s appeal stands dismissed. The assessees’ cross- objection stand dismissed as infructuous. Order pronounced on 09th December, 2025. -Sd- -Sd- (LALIET KUMAR) (MANOJ KUMAR AGGARWAL) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 09-12-2025 आदेश की Ůितिलिप अŤेिषत /Copy of the Order forwarded to : 1. अपीलाथŎ/Appellant 2. ŮȑथŎ/Respondent 3. आयकरआयुƅ/CIT 4. िवभागीयŮितिनिध/DR 5. गाडŊफाईल/GF ASSISTANT REGISTRAR ITAT CHANDIGARH Printed from counselvise.com "