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Facts
The assessee's appeal for AY 2012-13 was against an order involving proceedings under Section 144 of the Income Tax Act. The lower authorities had added cash deposits of Rs. 8.39 lakhs as unexplained.
Held
The Tribunal noted that the lower authorities did not give due weightage to the assessee's socio-economic status and past savings. A lumpsum addition of Rs. 1,39,000/- was deemed just and proper, with the condition that it should not be treated as a precedent.
Key Issues
Whether the entire cash deposits were rightly treated as unexplained without considering the assessee's socio-economic status and past savings.
Sections Cited
144
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCH: “SMC” NEW DELHI
Before: SHRI SATBEER SINGH GODARA
Date of hearing 21.08.2025 Date of pronouncement 21.08.2025 ORDER This assessee’s appeal for assessment year 2012-13, arises against the Commissioner of Income Tax (Appeals)/Addl/JCIT(A)- 10, Mumbai’s order dated 20.03.2025 having DIN and order no. ITBA/APL/S/250/2024-25/1074743295(1), involving proceedings under section 144 of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’). Heard both the parties. Case file perused.
It is next noticed with the able assistances coming from both the parties that both the learned lower authorities have added the assessee’s cash deposits of Rs.8.39 lakhs as unexplained in assessment order dated 27.11.2019 and upheld in the lower appellate discussion.
Faced with this situation, learned departmental representative could hardly dispute that both the lower authorities have nowhere given due weightage to the assessee’s socio-economic status and his family’s past savings while adding the entire impugned cash deposits as unexplained. It is thus deemed appropriate in totality of both these peculiar facts that a lumpsum addition of Rs.1,39,000/- only would be just and proper with a rider that the same shall not be treated as a precedent. The assessee gets relief of Rs.7 lakhs in other words. Necessary computation shall follow as per law.