SATISHCHANDRA MURARILAL GUPTA,MUMBAI V. INCOME TAX OFFICER WARD-1, PALGHAR

ITA 1144/MUM/2025

AI Insights

Mr. Satishchandra Muralilal Gupta, engaged in the business of money transfer and mobile recharge, filed an appeal against the order of the Ld. Addl./Joint Commissioner of Income Tax (Appeals), which affirmed the addition of Rs.8,94,000 to his income for the Assessment Year 2017-18. This addition was initially made by the Assessing Officer due to cash deposits during the demonetization period, which were scrutinized under 'CASS'. The Assessee's appeal was dismissed by the Ld. Addl./Joint Commissioner, leading to the current appeal. The tribunal found that the previous order was passed ex-parte without adequate consideration of the Assessee's submissions, prompting the remand of the case for a fresh decision.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 398087 (ITAT-MUMBAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2017-2018
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: LETTER FILE DT...
• Assessee Lawyers: HIMANSHU GANDHI; LD

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH “SMC”, MUMBAI BEFORE SHRI NARENDER KUMAR CHOUDHRY, JUDICIAL MEMBER ITA No.1144/M/2025 Assessment Year: 2017-18 Mr. Satishchandra Muralilal Gupta, C/o CA Himanshu Gandhi, 16th Floor, D Wing, Trade World Building, Kamala Mills Compound, Lower Parel, Mumbai 400 013 PAN: AXNPG6495M Vs. Income Tax Officer, Ward-1 Income Tax Department, BIDCO Road, Palghar, Mumbai Maharashtra- 401 404 (Appellant) (Respondent) Present for: Assessee by : Shri Himanshu Gandhi, Ld. A.R. Revenue by : Letter File dt.02.06.2025 Date of Hearing : 02.06.2025 Date of Pronouncement : 02.06.2025 O R D E R Per : Narender Kumar Choudhry, Judicial Member: This appeal has been preferred by the Assessee against the order dated 31.12.2024, impugned herein, passed by the Ld. Addl./Joint Commissioner of Income Tax (Appeals) (in short “Ld. Addl./Joint Commissioner”) under section 250 of the Income Tax Act, 1961 (in short ‘the Act’) for the A.Y. 2017-18. ITA No.1144/M/2025 Mr. Satishchandra Muralilal Gupta 2 2. In this case, the Assessee being an individual engaged in the business of Money transfer and Mobile recharge through his proprietary concern M/s Shree Sadguru Mobile Shop {Mobile sales & service and recharge}, has declaring total income of Rs.3,25,070/- by filing return of income on dated 28-03-2018, which was selected for scrutiny under “CASS” with the reason “Cash deposit during the year”. 3. The Assessing Officer (AO) vide assessment order dated 30- 12-2019, ultimately made the addition of Rs.8,94,000/- on account of cash deposited during the demonetization period. 4. The Assessee, being aggrieved, challenged the said addition before the Ld. Addl./Joint Commissioner, who vide impugned order affirmed the said addition, by dismissing appeal of the Assessee. Therefore, the Assessee, being aggrieved, is in appeal before this Court. 5. Heard the parties and perused the material available on record. The Ld. D.R. relied on the orders passed by the authorities below. Whereas the Assessee has sought for quashing of the impugned order. Admittedly the impugned order is an ex-parte and the ld. Addl./Joint Commissioner in the absence of relevant reply and documents, which the Assessee failed to file , precluded from deciding the issue in its rights perspective and proper manner and therefore for just and proper decision of the case and for the ends of substantial justice, this Court is inclined to remand the instant case to the file of the Ld. Commissioner for decision afresh on merits, subject to deposit of Rs.2,100/- in the PM care fund, within 15 days from today, suffice to say by affording reasonable opportunity to the Assessee to substantiate its claim before the Ld. Commissioner. ITA No.1144/M/2025 Mr. Satishchandra Muralilal Gupta 3 6. The Assessee is also directed to cooperate with the appellate proceedings and to file the relevant submissions/documents, which would be essentially required by the Ld. Commissioner for proper adjudication of the case. It is clarified that in case of further default the Assessee shall not be entitled for any leniency. Thus, the case is remanded the file of Ld. Commissioner, accordingly. 7. In the result, the appeal filed by the Assessee stands allowed for statistical purposes. Order pronounced in the open court on 02.06.2025. Sd/- (NARENDER KUMAR CHOUDHRY) 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. "