SANJAY KUMAR,SARITA VIHAR V. ACIT CIRCLE 68(1), CIVIC CENTRE, MINTO ROAD

ITA 3259/DEL/2024

AI Insights

The case involves an appeal by Sanjay Kumar against the orders of the AO and CIT(A) concerning the assessment year 2017-18. The AO had made an addition of Rs. 52,87,207 to the assessee's income under Section 144 of the Income-Tax Act, 1961, due to non-response to notices regarding unexplained cash withdrawals. The CIT(A) upheld this addition. The Tribunal found that the CIT(A) did not consider the documentary evidence submitted by the assessee during the appellate proceedings, which pertained to the withdrawals in question. Consequently, the Tribunal set aside the orders of the AO and CIT(A) and remanded the matter back to the AO for a fresh assessment.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 126406 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-04-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Assessment Year: 2017-2018
• Laws Referred To: Income-Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SAHIL KUMAR BANSAL
• Assessee Lawyers: MALAV GOSWAMI
• Keywords: Set aside; Dismissed; National Faceless Appeal; Commissioner; Statistical purposes; Restored; Department; Section 143(2)
• Section: 144; 142(1); 143(2)

Judgement Text

" INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “G”: NEW DELHI BEFORE SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER AND SHRI VIMAL KUMAR, JUDICIAL MEMBER ITA No. 3259/DEL/2024 Assessment Year: 2017-18 Sanjay Kumar, L-412, Sarita Vihar, Delhi PIN 1100 76 PAN No. ALRPK8883H Vs. ACIT, Circle-68(1), Delhi (Appellant) (Respondent) O R D E R PER VIMAL KUMAR, JUDICIAL MEMBER: The appeal by the appellant/assessee against order dated 13.05.2024 of the Learned Commissioner of Income-Tax (Appeals)/National Faceless Appeal Centre (NFAC), (hereafter referred to as “Ld. CIT(A)”) arising out of assessment order dated 16.12.2019 of the ACIT, Circle-68, Delhi (hereinafter referred to as “the AO”) under Section 144 of the Income-Tax Act,1961 (hereinafter referred to as “the Act”) for the assessment year 2017-18. 2. Brief facts of the case are that the appellant/assessee filed return of income on 03.08.2017 declaring a total income of Rs.19,04.410/-. Subsequently, case was selected for limited scrutiny under CASS to examine “high value cash Assessee by: Shri Malav Goswami, Adv. Department by: Shri Sahil Kumar Bansal, Sr. DR Date of Hearing: 24.04.2025 Date of pronouncement: 24.04.2025 ITA No.3259/Del/2024 2 withdrawal during the year reported in SFT-003/004”. Notice under Section 143(2) of the Act dated 16.-8.2018 was issued. Notices under Section 142(1) of the Act were issued on 26.06.2019 and 25.09.2019. Assessee was asked to explain the source of Rs.32,87,207/-. Show cause notice dated 29.11.2019 was issued. Assessee failed to respond the notices. As per section 144 of the Act, Ld. AO vide order dated 16.12.2019 made the addition of Rs.52,87,207/-. 3. Against order dated 16.12.2019, appellant/assessee preferred appeal before the Ld.CIT(A) which was dismissed vide order dated 13.05.2024. 4. Being aggrieved, appellant/assessee preferred appeal. 5. Learned Authorized Representative for the appellant/assessee submitted that Ld.CIT(A) erred in upholding addition made by the Ld. AO despite filing of documents and submissions in respect of withdrawal from the Bank during the appellate proceedings. 6. Learned Authorized Representative for the Revenue submitted that assessee failed to respond to various notices. 7. From examination of record in the light of aforesaid rival submissions, it is crystal clear that Ld.CIT(A) vide order dated 13.05.2024 upheld the assessment order dated 16.12.2019 under Section 144 of the Act by the Ld. AO. Appellant/assessee had filed documentary evidences in respect of withdrawals ITA No.3259/Del/2024 3 from the bank during appellate proceedings which were not considered by the Ld.CIT(A). 8. In view of above material facts, in the interest of substantial justice, it is considered expedient to set aside the order dated 16.12.2019 of Ld. AO and order dated 13.05.2024 of Ld.CIT(A). The matter is restored to the file of the Ld. AO for fresh decision in accordance with law. The appellant/assessee shall be at liberty to submit documentary evidences and submissions before the Ld. AO. 9. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the open court on 24/04/2025. Sd/- Sd/- (PRADIP KUMAR KEDIA) (VIMAL KUMAR) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 29/04/2025 Mohan Lal Copy forwarded to - 1. Applicant 2. Respondent 3. CIT 4. CIT (A) 5. DR:ITAT ASSISTANT REGISTRAR ITAT, New Delhi "