RASMI AGARWAL,NARNAUL V. ITO WARD - 2, NARNAUL

ITA 1897/DEL/2024

AI Insights

The case revolves around an appeal by Rasmi Agarwal against the order of the Commissioner of Income Tax (Appeals), which confirmed an addition of Rs.10,02,000 to her income for the assessment year 2017-18. This addition was based on alleged unexplained cash deposits in her bank account during the demonetization period. The assessee argued that these deposits were from earlier withdrawals, supported by bank statements. The Assessing Officer had rejected this explanation, leading to the appeal. The Tribunal found the assessee's explanation plausible and accepted it, thus allowing the appeal.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 298841 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-04-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2017-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SANJAY KUMAR
• Assessee Lawyers: S SANJIV JAIN; ARPIT GOEL
• Keywords: Set aside

Judgement Text

"आयकर अपीलीय अिधकरण िदʟी पीठ “एस एम सी”, िदʟी ŵी िवकास अव̾थी, Ɋाियक सद˟ IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “SMC”, DELHI BEFORE SHRI VIKAS AWASTHY, JUDICIAL MEMBER आअसं.1897/िदʟी/2024 (िन.व. 2017-18) ITA No.1897/DEL/2024 (A.Y.2017-18) Rasmi Agarwal, w/o Shri Vishal Aggarwal, Mohalla-Kharkhari, CIA Road, Narnarul, District Mahendergarh, Haryana 123001 PAN: AJKPA-7952-N ...... अपीलाथᱮ/Appellant बनाम Vs. Commissioner of Income Tax (Appeals) Income Tax Department National Faceless Appeal Centre, Delhi ..... ᮧितवादी/Respondent अपीलाथŎ Ȫारा/ Appellant by : S/Shri Sanjiv Jain, & Arpit Goel Chartered Accountants ŮितवादीȪारा/Respondent by : Shri Sanjay Kumar, Sr. DR सुनवाई कᳱ ितिथ/ Date of hearing : 14/01/2025 घोषणा कᳱ ितिथ/ Date of pronouncement : : 09/04/2025 आदेश/ORDER PER VIKAS AWASTHY, JM: This appeal by the assessee is directed against the order of Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi (hereinafter referred to as 'the CIT(A)') dated 27.02.2024, for assessment year 2017-18. 2. Shri Sanjiv Jain appearing on behalf of the assessee submits that the assessee in appeal has assailed the addition of Rs.10,02,000/- confirmed by the CIT(A) on account of alleged unexplained cash deposits in her saving bank account during 2 ITA No.1897/Del/2024 (AY 2017-18) demonetization period. The ld. AR of the assessee submits that the assessee had explained before the Assessing Officer (AO) that the cash deposits are from earlier withdrawals by the assessee from her bank. The assessee had withdrawn Rs.9,00,000/- on 14.09.2016 and Rs.2,50,000/- on 30.08.2016. Subsequently, Rs.10,00,000/- were deposited on 13.12.2016, thus, the cash deposits were from earlier withdrawals. The assessee had furnished bank statement in support of her submission. The source of cash deposits explained by the assessee was arbitrarily rejected by the AO. The assessee carried the issue in appeal before the CIT(A). The CIT(A) without considering the submissions of the assessee, dismissed appeal of the assessee. 3. Shri Sanjay Kumar representing the department vehemently defended the impugned order and prayed for upholding the same and dismissing appeal of the assessee. 4. Both sides heard. The solitary issue in appeal is against the addition of Rs.10,02,000/- confirmed by the CIT(A), on account of deposits in bank of the assessee during the period of demonetization. The assessee has explained that the cash deposits were from earlier withdrawals from the bank. The assessee has explained that out of total deposits of Rs.10,02,000/- is Rs.9,00,000/- are from the amount withdrawn from the bank on 14.09.2016 and 1,02,000/- was out of withdrawals of Rs.2,50,000/- made on 30.08.2016. The assessee in order to substantiate her contentions furnished copy of Canara Bank saving bank account statement. A perusal of the same shows that the assessee had withdrawaan Rs.2,50,000/- on 30.08.2016 and on 14.09.2016 a sum of Rs.9,00,000/- was withdrawn. On 13.12.2016 the assessee has deposited Rs.10,00,000/- and 3 ITA No.1897/Del/2024 (AY 2017-18) Rs.2,000/-. The source of cash deposits has been explained by the assessee, the explanation furnished by the assessee is plausible, hence accepted. 5. In the result, impugned order is set aside and appeal of the assessee is allowed. Order pronounced in the open court on Wednesday the 09th day April, 2025. Sd/- Sd/- (VIKAS AWASTHY) ᭠याियक सद᭭य/JUDICIAL MEMBER िदʟी/Delhi, ᳰदनांक/Dated 09.04.2025 NV/- ᮧितिलिप अᮕेिषतCopy of the Order forwarded to : 1. अपीलाथᱮ/The Appellant , 2. ᮧितवादी/ The Respondent. 3. The PCIT/CIT(A) 4. िवभागीय ᮧितिनिध, आय.अपी.अिध., िदʟी /DR, ITAT, िदʟी 5. गाडᭅ फाइल/Guard file. BY ORDER, //True Copy// (Dy./Asstt. Registrar) ITAT, DELHI "