VIKRAM SINGH,FARIDABAD vs. ITO WARD-2(5), FARIDABAD
Income Tax Appellate Tribunal, DELHI BENCH “SMC’’ : NEW DELHI
Before: SHRI MAHAVIR SINGH, HON’BLEAsstt. Year : 2012-13
This appeal has been filed by the Assessee against the order dated 08.04.2025
passed by the Addl/JCIT(A)-2, Mumbai for the assessment year 2012-13. 2. Brief facts of the case are that the assessee’s case was opened u/s. 148 on account of cash deposits made in his saving bank account amounting to Rs.
16,64,000/- during the FY 2011-12. The assessee filed its income tax return for the assessment year 2012-13 in response to notice u/s. 148 declaring income of Rs.177200/- as rental income and against which the Assessing Officer made an addition of Rs. 16,64,000/- on account of unexplained cash credits in the saving account. However, in appeal, Ld. First Appellate Authority dismissed the appeal of the assessee. Against the above, assessee appealed before the Tribunal.
2 | P a g e
None appeared on behalf of the assessee, despite issue of notice for hearing. Hence, I am proceeding the appeal exparte qua the assessee, after hearing the ld. DR and perusing the records. 4. Ld. DR relied upon the orders of the authorities below. 5. Upon hearing the Ld. DR and perusing the records, it is noted that the assessee made the submissions before the lower authorities that the assessee is a small agriculturist having land in Village Moradabad Faridabad in the name of his mother and having family’s main source of income being income from agriculture. It was the further contention that as per the bank account, the detail of cash deposit was as under:-
Date
Amount Deposited (In Rs.)
10.2011
2,50,000/-
10.2011
8,00,000/-
11.2011
6,00,000/-
02.2012
3,000/-
03.2012
11,000/-
5.1
However, the assessee made consistent following withdrawals from the bank account in the month of August and October for the purpose of using the same for agriculture purpose, which were again re-deposited in the month of October and November when the Kharif crop was ready and sold in the market.
Date
Amount Withdrawn (In Rs.)
08.2011
4,00,000/-
08.2011
10,00,000/-
08.2011
5,00,000/-
10.2011
7,50,000/-
5.2
In view of the aforesaid contentions, in my considered view the deposits made in the bank account should not be made the only criteria for making an addition of the whole cash deposited without considering the cash withdrawals which were made exactly in the earlier months of the same year, hence, the addition
3 | P a g e of Rs. 16,64,000/- made by the AO and sustained by the Ld. CIT(A) is not sustainable in the eyes of law and thus deserve to be deleted. I hold and direct accordingly.
6. In the result, the instant assesseee’s appeal is allowed.
Order pronounced in the Open Court on 04.08.2025. (MAHAVIR SINGH)
VICE PRESIDENT
Date: 04.08.2025
SRBhatnaggar