VICKY PARSRAM LAKHWANI,PUNE V. CIT(A), PUNE

ITA 595/PUN/2025

AI Insights

The case involves appeals by the assessee, Vicky Parsram Lakhwani, against the orders passed by the Commissioner of Income Tax (Appeals), Pune, for the assessment years 2012-13 and 2017-18. The primary issues in the appeals were additions made by the Assessing Officer under sections 69A and 69C of the Income Tax Act, 1961, concerning unexplained cash deposits and credit card payments. The assessee argued that the additions were erroneous as they were based on the assumption of unexplained income from petrol and diesel deliveries, which were actually legitimate business transactions. The Tribunal noted the absence of the assessee's effective participation in the earlier proceedings and decided to remit the matter back to the JAO for a fresh assessment.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 312516 (ITAT-PUNE)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-04-2025
• 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: AKHILESH SRIVASTAVA
• Assessee Lawyers: UMESH MALI
• Keywords: Reasonable cause
• Section: 144; 69C

Judgement Text

"आयकर अपीलीय अधिकरण \"एस एम सी\" न्यायपीठ पुणे में । IN THE INCOME TAX APPELLATE TRIBUNAL \"SMC\" BENCH, PUNE BEFORE Dr. MANISH BORAD, ACCOUNTANT MEMBER AND MS. ASTHA CHANDRA, JUDICIAL MEMBER आयकर अपील सं. / ITA No.595&596/PUN/2025 धििाारण वषा / Assessment Year: 2017-2018 & A.Y. 2012-2013 Vicky Parsram Lakhwani PWD 26/10,Opposite Natasha Nursing Home, Pimpri, Pune-411018 Maharashtra PAN-ADPPL1320E Vs Commissioner of Income Tax (Appeals), Pune Appellant Respondent Assessee by : Shri Umesh Mali & Shri Ishan Tilokchandani Revenue by : Shri Akhilesh Srivastava, Additional CIT Date of hearing : 22.04.2025 Date of pronouncement : 28.04.2025 आदेश/ORDER PER DR. MANISH BORAD, ACCOUNTANT MEMBER : These appeals at the instance of assessee are directed against the order passed by CIT(A)NFAC, Delhi u/s 250 of the Income-tax Act, 1961 dated 28.10.2024 and 25.10.2024. 2.(a) Assessee has raised following grounds of appeal for the A.Y. 2017-18:- 1) Ground No. 1 On the facts and circumstances of the case and in Law, the Ld. Assessing officer erred in making addition of Rs. 18,03,303/-on account of payment made through credit card by invoking provisions of section 69C of Income Tax Act 1961. 2 ITA No.595&596/PUN/2025 2.1) Appellant was working at petrol pump. During the year he was delivering petrol, Diesel on the basis of commission. he taking this petrol from Om Ram Fuel Centre, he has made payment at petrol pump through his credit card. 2) GROUND No. 2 On the facts and circumstances of the case and in Law, the Ld. Assessing officer erred in making addition of Rs. 3,13,984/-by considering the margin @ 0.05 on Rs. 6,27,96,857/- being turnover of share trading. He failed to consider that actual there is loss in this share trading 2.1) During the year under consideration appellant has made transactions at national stock exchange of Rs. 6,27,96,857/-Actually there is loss from these transactions but learned AO has considered profit margin @ 0.5% on these transactions. 3) GROUND No. 3- The appellant craves leave to add/amend or alter any of the above grounds of Appeal. 2.(b) Assessee has raised following grounds of appeal for the A.Y. 2012-13:- 1) GROUND No. 1 On the facts and circumstances of the case and in Law, the Ld. Assessing officer erred in making addition of Rs. 11,47,000/-on account of cash deposit in bank by invoking provisions of section 69A of Income Tax Act 1961. 1.1) Appellant was working at petrol pump. During the year he was delivering petrol, Diesel on the basis of commission. he taking this petrol from Om Sai Ram Fuel Centre, he has deposited this cash which was generated from delivery of petrol and diesel. 1.2) Noteworthy fact is there is immediate payment to petrol pump as soon as there is cash deposit in bank. This fact makes it clear that cash has been deposited out of proceeds generated from diesel and petrol only. 2) GROUND No. 2 On the facts and circumstances of the case and in Law, the Ld. Assessing officer erred in making addition of Rs. 9,21,286/-on account of payment made through credit card by invoking provisions of section 69C of Income Tax Act 1961. 2.1) Appellant was working at petrol pump. During the year he was delivering petrol, Diesel on the basis of commission. he taking this petrol from ram fuel Centre. he has made payment at petrol pump through his credit card. 3) GROUND No.3 The appellant craves leave to add/amend or alter any of the above grounds of Appeal. 3. At the outset Ld. counsel for the assessee stated that since there was no effective pleading before both the lower authorities the matter may be restored to the file of Ld. Jurisdictional Assessing Officer (JAO). Ld. DR did not oppose. 3 ITA No.595&596/PUN/2025 4. We have heard rival contentions and perused the record placed before us. The assessee is an individual and Assessment order for A.Y. 2012-13 and A.Y. 2017-18 were framed as best judgement assessment u/s 144 of the Act as the assessee failed to comply to any other notice of hearing. Though the assessee filed the appeal for both the impugned orders but failed to appear on the given date of hearing resulting in dismissing of appeals . Considering the prayer of assessee and no objection being raised by Ld. DR, we remit back the issues on merits to the file of Ld. JAO for De-novo Adjudication to be carried out after providing reasonable opportunity to the assessee. Assessee is directed to remain vigilant and not to take unnecessary adjournment unless otherwise for reasonable cause. Effective grounds of appeal raised by the assessee in both the appeals are allowed for statistical purposes. 5. In the result, both the appeals of the assessee are allowed for statistical purposes. Order pronounced on this 28th day of April, 2025. Sd/- Sd/- (ASTHA CHANDRA) (MANISH BORAD) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे/ Pune; दििांक / Dated: 28th April, 2025. Neeta आिेश की प्रधिधलधप अग्रेधषि / Copy of the Order forwarded to: 1. अपीलार्थी / The Appellant. 2. प्रत्यर्थी / The Respondent. 3. The Pr. CIT concerned. 4 ITA No.595&596/PUN/2025 4. धवभागीय प्रधिधिधि, आयकर अपीलीय अधिकरण, \"SMC\" बेंच, पुणे / DR, ITAT, \"SMC\" Bench, Pune. 5. गार्ा फाइल / Guard File. आिेशािुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अधिकरण, पुणे / ITAT, Pune. "