YOGESHKUMAR RASIKLAL SONI,AHMEDABAD V. THE ITO, WARD-1(1)(3) (PREVIOUSLY WARD-5(2)(4), AHMEDABAD

ITA 843/AHD/2025

AI Insights

This case involves an appeal by Yogeshkumar Rasiklal Soni against an exparte appellate order passed by the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, related to the Assessment Year 2017-18. The appeal was initially delayed due to the assessee's unawareness of the appellate order, discovered only upon receiving a recovery letter. Despite the absence of representation for the assessee during the hearings, the Tribunal considered the documents and submissions provided, including a cashbook and audit report, which were presented for the first time at this level. The Tribunal found that the assessee had substantial cash on hand from business transactions and that all expenses claimed were vouched and supported by bills and vouchers.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 713213 (ITAT-AHMEDABAD)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-07-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2017-2018
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Bogus
• Section: 144

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD “D” BENCH Before: DR. BRR KUMAR, VICE PRESIDENT And Shri T.R. SENTHIL KUMAR, JUDICIAL MEMBER Yogeshkumar Rasiklal Soni 2 Sudharm Society, St.Xaviers High School, Navrangpura, Ahmedabad-380009 Gujarat PAN: ACTPS7615L (Appellant) Vs The ITO Ward-1(1)(3), Ahmedabad Previously ITO, Ward-5(2)(4), Ahmedabad (Respondent) Assessee Represented: None Revenue Represented: Shri Hargovind Singh, Sr.D.R. Date of hearing : 28-07-2025 Date of pronouncement : 30-07-2025 आदेश/ORDER PER : T.R. SENTHIL KUMAR, JUDICIAL MEMBER:- This appeal is filed by the Assessee as against the exparte appellate order dated 09.12.2024 passed by the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, (in short referred to as “CIT(A)”), arising out of the exparte assessment order passed under section 144 of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) relating to the Assessment Year 2017-18. ITA No: 843/Ahd/2025 Assessment Year: 2017-18 Printed from counselvise.com I.T.A No. 843/Ahd/2025 A.Y. 2017-18 Page No Yogeshkumar Rasiklal Soni Vs. ITO 2 2. The registry has noted that there is a delay of 53 days in filing the above appeal. The assessee explained that being a layman he was not aware about the appellate order passed on online. When he received the recovery letter, he came to know about the issuance of exparte order, thereafter he filed the appeal with a delay of 53 days. None appeared on behalf of the assessee in spite of notice served on the assessee, which was returned with postal acknowledgement “LEFT” However Letter of Authority in favour of Mr. Vipul B. Khandhar Chartered Accountant were duly filed but none appeared on behalf of the assessee. However a Paper Book with a written submission filed as follows: Sr. No. Particulars 1. The appellant has made sales in cash during the A.Y.2017-18 and thereby substantial cash on hand upto Nov-2016. The appellant is herewith enclosing the cashbook of A.Y.2017-18 from which it can be seen that the appellant is having cash on hand Rs.29147288 as on 31.10.2016 and Rs.34244708/- as on 08.11.2016. The said cash balance was out of the business transaction only. The appellant wants to draw attention towards the fact that the appellant has deposited cash of Rs. 3,48,05,600/- from his own earlier sales transaction & savings. 2. All the expenses disallowed are fully vouched. This is not the case that the bogus expenses have been claimed or the claim is without incurring the expenses. There is no basis for making ad hoc disallowance. The appellant is maintaining day to day books of accounts. The same are subject to tax audit. The sales and purchases of the appellant are duly supported by the bills and vouchers. 3. The books of accounts are duly audited under section 44AB and no adverse inference has been drawn by the auditor or during assessment proceedings to doubt the correctness of creditors' balances. The appellant can furnish confirmations from creditors and/or evidence of subsequent payment which clearly establish the genuineness of creditors, and thus no addition was warranted. 3. It is seen from the assessment order and appellate order, the assessee failed to appear and file any documents before the lower authorities. However, for the first time, filed Cash book, Bank statements and Audit report before this Tribunal. The assessee Printed from counselvise.com I.T.A No. 843/Ahd/2025 A.Y. 2017-18 Page No Yogeshkumar Rasiklal Soni Vs. ITO 3 could not make convincing explanation for non-appearance before the lower authorities. Thus taking overall circumstances of the case, we deem it fit to impose cost of Rs. 10,000/- payable by the assessee to the Income Tax Department within four weeks of receipt of copy of this order. Thus the delay of 53 days in filing the above appeal is hereby condoned. By producing appropriate challan for the payment of cost. The Jurisdictional Assessing Officer is directed to give one more opportunity of hearing to the assessee and pass fresh assessment order in accordance with the provisions of law. Needless to state the assessee should make use of this final opportunity and produce all required details before J.A.O. for passing order on merits. 4. In the result, the appeal filed by the Assessee is allowed for statistical purpose. Order pronounced in the open court on 30 -07-2025 Sd/- Sd/- (DR. BRR KUMAR) (T.R. SENTHIL KUMAR) VICE PRESIDENT JUDICIAL MEMBER Ahmedabad: Dated 30/07/2025 आदेश कȧ ĤǓतͧलͪप अĒेͪषत / Copy of Order Forwarded to:- 1. Assessee 2. Revenue 3. Concerned CIT 4. CIT (A) Printed from counselvise.com I.T.A No. 843/Ahd/2025 A.Y. 2017-18 Page No Yogeshkumar Rasiklal Soni Vs. ITO 4 5. DR, ITAT, Ahmedabad 6. Guard file. By order/आदेश से, उप/सहायक पंजीकार आयकर अपीलȣय अͬधकरण, अहमदाबाद Printed from counselvise.com "