Appeal details
Counselvise Citation
[2024] 138 COUNSELVISE.COM (IT) 8498 (ITAT-MUMBAI)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
4 month(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
13-12-2024
Appeal Filed By
Assessee
Order Result
Allowed
Bench Allotted
H
Assessment Year
2007-2008
Appeal Filed On
13-08-2024
Judgement Text
" \n \nIN THE INCOME TAX APPELLATE TRIBUNAL “H (SMC)” BENCH, MUMBAI \n \nBEFORE MS. KAVITHA RAJAGOPAL, JM \nAND \nSHRI. OMKARESHWAR CHIDARA, AM \n \nITA No. 4044/Mum/2024 \n(Assessment Year: 2007-08) \n \nShri. Aijaz Abdul Sattar Malkani \n1303, Malkani Tower, Bandivali Hill \nRoad, Jogeshwari West, Mumbai – \n400102. \nVs. \nIncome Tax Officer, Ward 9(1)(2) \nAaykar Bhavan, Mumbai – 400021. \nPAN/GIR No. AFFPM4967G \n(Assessee) \n: \n(Respondent) \n \nAssessee by \n: \nShri. Prakash Jhunjhunwala \nRespondent by \n: \nShri. Pravin Salunkhe, Sr. DR \n \nDate of Hearing \n: \n12.12.2024 \nDate of Pronouncement \n: \n13.12.2024 \n \nO R D E R \n \nPer Kavitha Rajagopal, J M: \n \n \nThis appeal has been filed by the assessee, challenging the order of the learned \nCommissioner of Income Tax (Appeals) Delhi (‘ld. CIT(A)’ for short), National \nFaceless Appeal Centre (‘NFAC’ for short) passed u/s.250 of the Income Tax Act, 1961 \n(‘the Act'), pertaining to the Assessment Year (‘A.Y.’ for short) 2007-08. \n2. The assessee has challenged the addition of Rs. 11,34,000/- made u/s. 68 of the Act \ntowards cash deposited in the assessee’s bank account. \n3. Brief facts of the case are that the assessee is an individual and is a partner in the firm \nM/s. A. M. Enterprises which is engaged in the business of builders and developers and \nis also a director in M/s. Curio Finance and Investments Pvt. Ltd. The assessee had filed \nhis return of income dated 26.04.2008, declaring total income at Rs. Nil after claiming \n\n2 \nITA No. 4044/Mum/2024 (A.Y. 2007-08) \nShri. Aijaz Abdul Sattar Malkani \n \n \n \nprofit received from partnership firm as exempt amounting to Rs. 2,15,000/-. The \nassessee’s case was selected for scrutiny and assessment order dated 24.12.2009 was \npassed u/s. 143(3) of the Act, where the learned Assessing Officer (for short ‘ld. AO’) \nmade an addition of Rs. 12,54,000/- as undisclosed cash credit in the assessee’s SB \naccount maintained in Memon Co-operative Bank Ltd. Jogeshwari (West), Branch on \nthe ground that the assessee has failed to prove the identity, creditworthiness of the \nparties and genuineness of the transaction with supporting documentary evidence. \n4. The assessee was in appeal before the first appellate authority, who vide order dated \n02.02.2013 upheld the addition made by the ld. AO. \n5. The assessee was in appeal before the Tribunal which vide order dated 03.06.2016 in \nITA No. 4291/Mum/2013, remanded the issue to the file of the ld. AO for de novo \nassessment. The ld. AO then passed the assessment order u/s. 143(3) r.w.s. 250 of the \nAct and upheld the addition to the extent of Rs. 11,34,000/- towards the cash deposited \nin the assessee’s account and deleted the addition to the extent of Rs. 1,20,000/- which \nwas deposited out of withdrawals from the partnership firm. \n6. Aggrieved the assessee was in appeal before the ld. CIT(A), who vide an ex-parte order \ndated 13.06.2024 dismissed the appeal filed by the assessee on the ground that the \nassessee has failed to substantiate the source of the cash deposited in his account. \n7. The assessee is in appeal before us challenging the impugned order of the ld. CIT(A). \n8. The learned Authorised Representative (‘ld. AR’ for short) for the assessee stated that \nthe assessee has got a good case on merits and prayed that the assessee may be given \none last opportunity to present his case before the ld. CIT(A). \n\n3 \nITA No. 4044/Mum/2024 (A.Y. 2007-08) \nShri. Aijaz Abdul Sattar Malkani \n \n \n \n9. The learned Departmental Representative (‘ld. DR’ for short) for the revenue on the \nother hand vehemently opposed to remanding the issue back to the ld. CIT(A) for the \nreason that the assessee has been habitually non-compliant before the lower authorities. \n10. We have heard the rival submissions and perused the materials available on record. It \nis observed that this is the second round of proceedings, where the assessee has \npreferred this present appeal challenging the order of the ld. CIT(A). The only issue \nthat requires adjudication is to explain the source of the cash deposited in the assessee’s \nbank account to the tune of Rs. 11,34,000/- by supporting documentary evidence. In \norder to extend the assessee with one last opportunity, we deem it fit to remand this \nissue back to the file of the ld. CIT(A) for de novo adjudication by adhering to the \nprinciples of natural justice. \n11. We therefore direct the assessee to comply with the proceedings before the first \nappellate authority without any undue delay on his side and the ld. CIT(A) shall decide \nthe issue on the merits of the case based on the submissions of the assessee. \n12. In the result, the appeal filed by the assessee is allowed for statistical purposes. \nOrder pronounced in the open court on 13.12.2024 \n \n \n \nSd/- \nSd/- \n(OMKARESHWAR CHIDARA) \n(KAVITHA RAJAGOPAL) \nACCOUNTANT MEMBER \nJUDICIAL MEMBER \n \n \nMumbai; Dated: 13.12.2024 \nKarishma J. Pawar (Stenographer) \n \nCopy of the Order forwarded to : \n \n1. \nThe Appellant \n2. \nThe Respondent \n3. \nCIT- concerned \n\n4 \nITA No. 4044/Mum/2024 (A.Y. 2007-08) \nShri. Aijaz Abdul Sattar Malkani \n \n \n \n4. \nDR, ITAT, Mumbai \n5. \nGuard File \n BY ORDER, \n \n \n(Dy./Asstt.Registrar) \nITAT, Mumbai \n"
Mehul