HARESH RAJU DASWANI ,MUMBAI vs. ITO WARD 17(3)(1), MUMBAI

Briefly, the facts of the case are that the assessment in this case was completed u/s. 147 read with section 144B of the Income Tax Act, 1961 (‘the Act’), vide order dated 27.04.2023, wherein the Assessing Officer has brought to tax a sum of Rs. 19,91,910/- as unexplained investment u/s. 69 read with section115BBE of the Act,on account of gift received from the

During the course of hearing, the ld. AR submitted that regarding gift of Rs. 19,91,910/- received by the assessee from his father-in-law, the assessee has filed the necessary submissions/documentation before the Assessing Officer on 27.04.2023 though belatedly. However, well before the filing of the submissions, the Assessing Officer has passed the assessment order and as a result, the submissions so filed by the assessee could not be considered by the Assessing Officer. Further, the assessee has brought the said submissions to the notice of the ld. CIT(A).However, he has also failed to appreciate the same and has summarily dismissed the appeal of the assessee. It was accordingly submitted that the matter may be remitted to the file of the Assessing Officer to take into consideration the submissions so filed by the assessee in support of the gift received from his father-in-law.

The learned DR has been heard, who has not raised any specific objection, where the matter is set aside to the file of the Assessing Officer.

Regarding ground no. 2, wherein the addition of Rs. 26,79,967/- has been made as unexplained investment u/s. 69 of the Act, it was submitted that the addition was made on a presumptive basis holding that no evidence has been furnished by the assessee as to the year in which the said payment was made. Therefore, in absence of documentary evidence,

The learned DR has been heard who has submitted that this matter also needs necessary verification by the Assessing Officer.

After hearing both the parties and considering the material available on record, we find that admittedly, the assessee has filed the submissions including the necessary documentation in support of gift received from his father-in-law. However, the said submissions were filed belatedly on 27.04.2023 after the prescribed period and on the same date, the assessment order was passed on 27.04/2023 without taking into consideration the submissions so filed. Further, the assessee has explained that the payment of Rs. 26,79,967/- has been made in the subsequent financial year, however, necessary bank statements and the explanation could not be submitted during the course of assessment proceedings resulting in addition u/s 69 of the Act. In light of the same, as requested by the ld AR and which has not been seriously objected to by the ld DR, it would be appropriate that the matter is set aside to the file of the Assessing Officer for necessary verification. We accordingly, set aside the matter to the file of the Assessing Officer to take into consideration the submissions so filed and decide the matter a fresh in accordance with the law after providing reasonable opportunity to the assessee. The assessee

In the result, the appeal filed by the assessee is allowed for statistical purposes.