ABHISHEK SHIVAJI GADE ,PUNE vs. ITO WD-10 (1) , , PUNE

आदेश / ORDER PER Dr. DIPAK P. RIPOTE, ACCOUNTANT MEMBER :

The captioned appeal at the instance of assesse pertaining to A.Y. 2023-24 is directed against the order framed by National Faceless Appeal Centre, Delhi / CIT(A) passed u/s 250 of the Income Tax Act 1961 dated 18.12.2025.

The assessee has raised the following grounds of appeal:

ITA No. 467/Pun/2026, Abhishek Shivaji Gade 3. The Ld. CIT(A) as well as the Ld. AO erred in confirming the addition of Rs.2,50,000/- on account of unexplained cash receipts u/s 69 of the Act without appreciating the following facts:

a. The appellant had categorically denied the cash payment as the entire amount was paid through banking channel.

b. The addition has been done solely on the basis of statement of third parties recorded and an excel sheet seized during the search action u/s 132 of the Act without bringing any independent or corroborative evidence on record and not giving an opportunity for the cross-examination.

c. No effort has been made by the AO to link the alleged entries directly with the appellant through tangible evidence.

d. The retraction letters have been filed by the parties on whose statement the reliance was placed for making the addition. The Ld. AO as well as the Ld. CIT(A) failed to examine the evidentiary value of such statements in light of the retractions and did not carry out any further investigation to substantiate the original statements

e. The appellant had filed declaration from City Corporation Limited where it has been categorically mentioned that no cash has been received from the appellant.

ITA No. 467/Pun/2026, Abhishek Shivaji Gade through cheque. Ld. AO alleged that assessee had made cash payment of Rs. 2,50,000/- based on the statement of Mr. Chetan recorded during the search in the case of City Group. Ld. AR submitted that Mr. Chetan has retracted his statement during the assessment proceedings in the case of City Corporation. Ld. AR submitted that this fact is recorded in the assessment order of the assessee also. Ld. AR invited our attention to page No. 167 to 168 which is a letter issued by City Corporation letter. Assessee explaining that no cash payments have been made by the assessee the said letters also refers to retraction of statement made during the search. Ld. AR requested for deleting the additions.

Submission of ld.Departmental Representative(ld.DR) : 3. The ld.DR for the Revenue relied on the order of Assessing Officer(AO) and ld.CIT(A)[NFAC]. Findings & Analysis : 4. We have heard both the parties and perused the records. In this case assessee is a salaried employee working with Government of India. During the year assessee has purchased a flat in Adreno Towers for a consideration of Rs. 71,51,120/-. Based on the search in the case of City Group ld. AO asked the assessee to explain the source of payment and asked assessee to explain whether any cash payment has been made. Assessee submitted source of payments. Assessee also denied any cash payment, however ld. AO based on the statement of Mr. Chetan which was recorded during the search in the case of City Group and based on the excel sheet concluded that assessee had paid cash of Rs. 2,50,000/- for purchase of flat. It is observed that the statement recoded during the search were retracted subsequently. This fact is mentioned by the ld. AO in the assessment order itself. It is also observed that the City Corporation Ltd had issued letter to all the buyers explaining the search and admitting

ITA No. 467/Pun/2026, Abhishek Shivaji Gade that no cash was received. One such letter is at page No. 167 to 168 of the paper book. The ld. AO has not brought on record any specific positive evidence to prove cash of Rs. 2,50,000/-. Ld. AO has relied on excel sheet however the source of the excel sheet is not clear whether the said excel sheet has been prepared by the builder or any one else. It is also noted that opportunity of cross examination asked by assessee was not provided.

5.1 On identical facts by the decision of Coordinate Bench of ITAT in the case of Amit Shantaram Bagade in ITA Nos. 832 & 6286/Mum/2026, who has purchased the flats from City Group has deleted the addition.

5.2 The ld. AO has failed to establish that assessee had made any cash payments. Accordingly, respectfully following the decision of Coordinate Bench of ITAT in the case of Amit Shantaram Bagade (supra), we direct the AO to delete the addition of Rs. 2,50,000/-

Order pronounced on this 30th day of April, 2026.

Sd/- Sd/- (MS. ASTHA CHANDRA) (DIPAK P. RIPOTE) JUDICIAL MEMBER ACCOUNTANT MEMBER

पुणे / Pune; िदनांक / Dated 30th April, 2026.

KRK, Sr. PS

ITA No. 467/Pun/2026, Abhishek Shivaji Gade

आदेश की �ितिलिप अ�ेिषत / Copy of the Order forwarded to : 1. अपीलाथ� / The Appellant. 2. ��थ� / The Respondent. 3. The Pr. CIT concerned. 4. िवभागीय �ितिनिध, आयकर अपीलीय अिधकरण, “SMC” ब�च, पुणे / DR, ITAT, “SMC” Bench, Pune. 5. गाड� फ़ाइल / Guard File. आदेशानुसार / BY ORDER,

// True Copy // Assistant Registrar, आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune.