ABHINAV SHARMA ,SHIMLA vs. INCOME TAX OFFICER, WARD SHIMLA , SHIMLA

आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2015-16 arises out of an order of learned Commissioner of Income Tax (Appeals), NFAC [CIT(A)] dated 17-07-2025 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s 147 r.w.s. 144B of the Act on 28-02-2023. The sole grievance of the assessee is confirmation of addition of cash deposits for Rs.11.70 Lacs. Having

heard rival submissions and upon perusal of case records, the appeal is disposed-off as under. 2. As per AIR information, the assessee had deposited cash of Rs.46.80 Lacs in UCO Bank, Durgapur Branch. However, the assessee did not file return of income. Accordingly, the case was reopened and the assessee was required to explain the sources of the same. The assessee furnished his bank account statement as well as bank statement of his father Shri Arun Parkash Sharma to substantiate the sources of cash deposits. The Income Tax Return as well as confirmation of the father was also furnished. It transpired that the assessee actually deposited cash of Rs.23.40 Lacs only which was stated to be source out of maturity of recurring / time deposits and cash withdrawals from other bank accounts. After perusal of cash deposits, Ld. AO accepted the sources except for following deposits: -

No. Amount Date of Deposit 1. Rs.1.20 Lacs 16-06-2014 2. Rs.7.50 Lacs 14-07-2014 3. Rs.3.00 Lacs 02-02-2015 Total Rs.11.70 Lacs

The assessee stated that the deposit of Rs.1.20 Lacs was sourced from withdrawal out of maturity proceeds of time deposits. The deposits of Rs.7.50 Lacs were stated to be sourced out of earlier withdrawal of Rs.12.00 Lacs from father’s account on 17-04-2014. Similarly, the deposit of Rs.3 Lacs was stated to be sourced out of earlier withdrawal from father’s bank account on 27-12-2014. The same stood rejected by

Ld. AO. The Ld. CIT(A) upheld the assessment against which the assessee is in further appeal before us. 3. It emerges that pursuant to reopening notice, the assessee has filed return of income at Rs.1.06 Lacs which is interest income. The primary source of deposits is stated to be out of withdrawals made from father’s bank account and maturity proceeds of recurring / time deposits. Out of total deposit of Rs.23.40 Lacs, Ld. AO doubted the sources of Rs.11.70 Lacs. The deposits of Rs.7.50 Lacs & Rs.3 Lacs as doubted by Ld. AO are stated to be out of earlier withdrawals from father’s bank account for which the assessee has furnished bank account statements and confirmation of the father. The confirmation from father has been placed on Page No.45 of the paper book wherein the father has confirmed advancing of money to the assessee. It has also been mentioned therein that the father is assessed to Income Tax. However, the quantum of income shown by the father is not on record. Further, no tangible rational appear for withdrawal from father’s bank account and depositing the same in assessee’s bank account. At the same time, Ld. AO has not brought on record any adverse evidence against the assessee. On these facts, the claim of the assessee is to be accepted partially. On the given facts and circumstances of the case, we confirm addition of Rs.2 Lacs in the hands of the assessee and delete the remaining addition. No other ground has been urged in the appeal. The Ld. AO is directed to re-compute the income of the assessee.

-Sd- -Sd- (LALIET KUMAR) (MANOJ KUMAR AGGARWAL) JUDICIAL MEMBER ACCOUNTANT MEMBER AS Dated: 11-05-2026 आदेश की �ितिलिप अ�ेिषत /Copy of the Order forwarded to : 1. अपीलाथ�/Appellant 2. ��थ�/Respondent 3. आयकरआयु�/CIT 4. िवभागीय�ितिनिध/DR 5. गाड�फाईल/GF

ASSISTANT REGISTRAR ITAT CHANDIGARH