NEERAJ SHARMA,GAUTAM BUDH NAGAR vs. ITO WARD-5(2)(3), NOIDA

This assessee’s appeal for assessment year 2012-13, arises against the Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre [in short, the “CIT(A)/NFAC”], Delhi’s DIN and order no. ITBA/NFAC/S/250/2024-25/1071364179(1), dated 19.12.2024 involving proceedings under section 143(3) r.w.s. 147 of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’). Heard both the parties. Case file persued.

It emerges during the course of hearing that the assessee is aggrieved against both the learned lower authorities’ action treating his cash deposits of Rs.30.85 lakhs as unexplained in assessment order dated 03.12.2019 and upheld in the lower appellate discussion.

Faced with this situation, learned counsel has invited the bench’s attention to the assessee’s detailed explanation all along that his father had given him cash gifts of Rs.27 lakhs as he had sold various immovable properties in the relevant previous year and the balance amount represents sales turnover in cloths trading business. Our attention is further invited to the assessee’s detailed paper-book running into 82 pages compiling all the relevant records. The Revenue has chosen to strongly support both the learned lower authorities’ respective findings making the impugned addition.

We have given our thoughtful consideration to the above vehement submissions reiterating the rival stands of both the parties. We find a part merit in the assessee’s case as not only he has proved himself as against the above trading activity in cloth retail business but also his farther appears to have executed