JAYA HARESH LALWANI ,MUMBAI vs. ITO WARD 3(5), KALYAN
Income Tax Appellate Tribunal, MUMBAI BENCH “F” MUMBAI
Before: SHRI OM PRAKASH KANT () & SHRI RAJ KUMAR CHAUHAN () Assessment Year: 2017-18
PER OM PRAKASH KANT, AM
This appeal by the assessee is directed against order dated
06.06.2025 passed by the Ld. Commissioner of Income-tax
(Appeals) – National Faceless Appeal Centre, Delhi [in short ‘the Ld.
CIT(A)’] for assessment year 2017-18, raising following grounds:
1. The learned CIT (Appeals) National Faceless Appeal Centre has erred in treating deposit made in the bank account during the demonetization period to the tune of Rs. 15,00,000/- as unexplained money u/s 69A when infact the deposit was made from the demonetizatio
2. Briefly stated, t individual, claimed building material
Enterprises.” For the of income on 24.03.2
return was selected
Income-tax Act, 196
with.
2.1 During the cou
Officer noticed credit bank account maint deposits of ₹15,00,0
(from 09.11.2016 to submitted that she from Wadhwa Buildc period prior to demo withdrawn the said material could not u so withdrawn was pa
Rs.15,00,000/-was r
2.2 The Assessing O grounds that (i) there
ITA withdrawals from the bank acco on period.
the facts of the case are that th to be engaged in the busines under the proprietorship e year under consideration, she
2018 declaring total income of ₹
for scrutiny and statutory no 61 (“the Act”) were duly issued urse of assessment proceedings ts aggregating to ₹53,87,500/- in tained with Axis bank, which 000/- made during the demon o 30.11.2016). In explanation had received certain amounts con LLP towards supply of build onetization period. It was sub amounts in cash. As part o ultimately be supplied; and ther artly re-deposited and part pay returned to Wadhwa Buildcon L
Officer rejected the explanation e was an unexplained and subs
Jaya Haresh Lalwani
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A No. 4899/MUM/2025
ount before he assessee, an ss of supplying concern
“Jaya filed her return
3,30,370/-. The tices under the d and complied s, the Assessing n the assessee’s h included cash etisation period n, the assessee through RTGS ding material in mitted she had of the building refore, the cash yment of around
LLP.
n mainly on the stantial time gap between the withdraw cash deposits (Nove substantiate the exi apart from declaring
Assessing Officer a ₹15,00,000/- and t
₹38,87,500/- appear additions.
3. On further appe for the credit entry against cash deposit
4. Aggrieved, the a of raising grounds as 5. Before us, the L
Book containing page
Bank for the relevan assessee.
5.1 Before us, the l
Book containing pag statements. The ass deposits made durin from earlier cash w
Wadhwa Buildcon LL
ITA wals (May to August 2016) and ember 2016), and (ii) the ass istence or conduct of any bu presumptive income under sec accordingly treated the cas the remaining credit entries ring in bank account as unexpla eal, though the Ld. CIT(A) delet of Rs.38,87,500/-, he sustain of Rs.15,00,000/-.
assessee file appeal before the T s reproduced above.
Ld. counsel for the assessee ha es 1 to 54 including the bank st nt period, in which cash was d learned counsel for the assesse ges 1 to 54, including the rele essee reiterated her contention ng the demonetisation window withdrawals made out of RTGS
LP. It was again submitted that Jaya Haresh Lalwani
3
A No. 4899/MUM/2025
the subsequent sessee failed to usiness activity, ction 44AD. The sh deposits of aggregating to ained and made ted the addition ed the addition
Tribunal by way as filed a Paper tatement of Axis deposited by the ee filed a Paper vant Axis Bank n that the cash w were sourced
S receipts from t since a part of the supply order c withdrawn in cash
Rs.15,00,000/- was relevant chart suppl from whom money w reproduced by the As assessment order.
narration of the cr reproduced as under Date
Amount
Received
Rem
23/05/2016
400000
Rec
Buil
28/06/2016
500000
Rec
Date
Amount (INR)
Tran
Typ
05/07/2016
450000
Rec
11/07/2016
280000
Rec
20/07/2016
690000
Rec
10/08/2016
250000
Rec
-
-
-
02/11/2016
340000
Rec
11/11/2016
500000
Cas
15/11/2016
500000
Cas
22/11/2016
500000
Cas
13/02/2017
100000
Rec
Pati
20/02/2017
95000
Rec
Pati
04/03/2017
500000
Park
/Wa
ITA could not be fulfilled, the a h were re-deposited and the s returned to Wadhwa Build lied by the assessee with state was received and money was ret ssessing Officer in paragraph 4 o
For ready reference, said ta redit and debit entry into ba
:
marks
Date of Transfer
Amount
Transfer ceived from Wadhwa ldcon LLp( Rec.WBLLP)
24/05/2016
399000
c.WBLLP
30/06/2016
499000
nsaction pe/Description
Date
Amount (INR) c. WBLLP
05/07/2016
500000
c. WBLLP
11/07/2016
280000
c. WBLLP
21/07/2016
690000
c. WBLLP
10/08/2016
100000
11/08/2016
150000
c. WBLLP
-
- sh
12/11/2016
500000
sh
13/11/2016
339445
sh
23/11/2016
935000
ceived from Yuvraj il
14/02/2017
200000
ceived from Yuvraj il
20/02/2017
95000
king A/c /For adhwa
04/03/2017
500000
Jaya Haresh Lalwani
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A No. 4899/MUM/2025
amounts earlier ereafter around dcon LLP. The ement of parties turned has been of the impugned able containing ank account is Remarks
Tr. to Wadhwa Builcon LLp
Cash withdrawl
Transaction Type/Description
Cash withdrawal
Cash withdrawal
Cash withdrawal
Cash withdrawal
Cash withdrawal
-
Tr. to Wadhwa Builcon LLP
Tr. to Wadhwa Builcon LLP
Tr. to Wadhwa Builcon LLP
Wadhwa Buildcon LLP
Wadhwa Buildcon LLP
Wadhwa Buildcon LLP
2 Before us, the a of current account available on Paper Bo 6. We have carefu material placed on r with the bank entri before the Assessing receipts were from W show that such cred Rewari (Haryana), Ja and Sector-14 (Guru example, before the amount of Rs.4,00,0 on 23.05.2016, but i have been received th before the Assessing received Rs.5,00,000 whereas as per the RTGS hub and exa amount of Rs.4,50,00 from Wadhwa Build said amount has bee Karnataka. Similarly Officer amount of R ITA assessee has also filed detail of maintained with the Axis B ook page 36 to 39. ully examined the bank state record. On comparison of the a ies, we find material inconsist g Officer the assessee asserted Wadhwa Buildcon LLP, the ba dits originated from different loc aipur (Rajasthan), Chicmangalo ugram), or from unidentified R Assessing Officer, the assesse 00/- was received from Wadhv n the bank statement said amo hrough RTGS from Rewari, Har Officer amount, the assessee c 0/- on 28.06.2016 from Wadhw bank statement said amount i act source is not mentioned. 00/- has been shown before the con LLP whereas as per the b en shown to have received from y, in the information provided t Rs.2,80,000/- shown to have Jaya Haresh Lalwani 5 A No. 4899/MUM/2025 bank statement Bank, which is ements and the assessee’s claim tencies. Though that the RTGS ank statements cations such as ore (Karnataka), RTGS hubs. For ee claimed that va Buildcon LLP ount is shown to ryana. Similarly, claimed to have wa Buildcon LLP, is received from On 05.07.2016 e AO as received bank statement chicmangalore, to the Assessing e received from Wadhwa Buildcon statement, said sum Gurugram, Haryan Rs.2,50,000/- has Buildcon LLP in the bank statement, said from Jaipur, Rajast certificate to reconcile 6.1 Similarly, while subsequently transfe statements only ref recipient of such tra confirmation from W evidence of having re nor any evidence of c 6.2 The assessee h regarding the parties to whom sum were withdrawals upon re balance, prima facie than a business documentation. In th the cash deposits du from earlier withdraw ITA
LLP on 11.07.2016, whereas has been shown to be received na.
Further, on 10.08.2016
been shown to have receive statement filed before the AO d sum has been shown to hav than. The assessee did not f e or identify the true remitter.
the assessee claimed that cas erred back to Wadhwa Buildcon flect transfer entries without ansfers. The assessee has not Wadhwa Buildcon LLP, nor an eceived an order for supply of bu cancellation of such order.
has not filed any certificate s from whom the sum was recei transferred. The pattern of i eceipt of RTGS credits, after re resembles cheque-discounting transaction supported b he absence of primary evidence uring the demonetisation perio wals remains unverified.
Jaya Haresh Lalwani
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A No. 4899/MUM/2025
s in the bank from sector 14,
6
amount of from Wadhwa whereas in the ve been received file any bank h deposits were n LLP, the bank identifying the t produced any ny documentary uilding material, from the bank ived and parties immediate cash etaining a small g activity, rather by commercial e, the claim that od were sourced
3 In these circum assessee cannot as asserted, namely, th Buildcon LLP and th deposits are first esta 6.4 Having regard interest of justice, we of ld CIT(A) and rema Officer for de-novo v file all relevant evid Buildcon LLP, docum supply, and authent concerned bank. The such inquiries as m hearing shall be affor to rebut any adverse 6.5 The grounds of for statistical purpose 7. In the result, statistical purposes. Order pronoun (RAJ KUMAR C ITA mstances, the legal authoritie sist her case unless the fou he actual business transaction he nexus between earlier withdr ablished through credible eviden to the factual deficiencies an e consider it appropriate to set and the matter back to the file o verification. The assessee shall dence, including confirmations mentary proof of orders placed, r ticated bank-statement clarifica e Assessing Officer shall also be may be necessary. Adequate rded to the assessee, including material proposed to be used ag appeal of the assessee are acco es. the appeal of the assessee nced in the open Court on 15 CHAUHAN) (OM PRAK Jaya Haresh Lalwani 7 A No. 4899/MUM/2025 es cited by the undational facts n with Wadhwa rawals and later nce. d in the larger aside the order of the Assessing be at liberty to s from Wadhwa reasons for non- ations from the e free to conduct opportunity of the opportunity gainst her. ordingly allowed is allowed for /12/2025. d/- KASH KANT)
JUDICIAL M
Mumbai;
Dated: 15/12/2025
Rahul Sharma, Sr. P.S.
Copy of the Order forward
1. The Appellant
2. The Respondent.
3. CIT
4. DR, ITAT, Mumbai
5. Guard file.
////
ITA
MEMBER
ACCOUNTA ded to :
BY ORDER
(Assistant Re
ITAT, Mu
Jaya Haresh Lalwani
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A No. 4899/MUM/2025
ANT MEMBER
R, gistrar) umbai