KULAMANI BEHURIA,BHADRAK vs. ITO, WARD, BHADRAK, BHADRAK

1 ITA No.119/Ctc/2026 Assessment Year: 2016-17

IN THE INCOME TAX APPELLATE TRIBUNAL, CUTTACK BENCH, CUTTACK BEFORE S/SHRI GEORGE MATHAN, JUDICIAL MEMBER AND RAJESH KUMAR, ACCOUNTANT MEMBER ITA No.119/Ctc/2026 Assessment Year: 2016-17 Kulamani Behuria, S/O. Vs. ITO, Ward-1, Bhadrak Nruisinha Behuria, Vila Mituani, PO: Nearada Sub Div Bhadrak PAN/GIR No. BCOPB 4222 L (Appellant) .. ( Respondent) Assessee by : Shri J.M.Pattnaik, Adv Revenue by : Shri Vijaya Singh, Sr. DR Date of Hearing : 26/05/2026 Date of Pronouncement : 26/05/2026

O R D E R Per Bench

This is an appeal filed by the assessee against the order of the ld CIT(A), NFAC, Delhi dated 13.11.2025 in Appeal No. NFAC/2015-16/10345068 for the assessment year 2016-17. 2. Shri J.M.Pattnaik, ld AR appeared for the assessee and Shri Vijaya Singh, ld Sr. DR appeared for the revenue. 3. It was submitted by ld AR that the assessee is an individual, who is doing the business of plying of trucks. It was the submissions that the assessee had not filed his return of income under regular course. It was the submission that it was noticed that the total deposits in bank account was Rs.78,99,014/- and consequently, the

2 ITA No.119/Ctc/2026 Assessment Year: 2016-17 assessment in the case of the assessee was reopened. It was the submission that the Assessing Officer brought to tax the entire deposits in the bank account of the assessee as unexplained income of the assessee. It was the submission that the assessee’s nephew was suffering from blood cancer and the assessee had borrowed money. The turnover of the assessee as per the books of account was Rs.49,56,870/- . However, the assessee was not able to explain the source of the balance of the deposits in the bank account. It was the prayer that the income of the assessee may be estimated reasonably. It was the submission that income of the assessee is in the range of 4.86%. 4. In reply, ld Sr DR submitted that as the assessee has not filed his return of income, the income of the assessee is to be estimated as per the provisions of the Income tax act at 8% under section 44AD of the Act. It was the submission that the income of the assessee may be estimated at 8%. 5. We have considered the rival submissions. A perusal of the facts in the present case clearly shows that the assessee has not been able to explain all the deposits in his bank account. It is also noticed that the Assessing Officer also recognizes that the assessee’s nephew was suffering from blood cancer and there are some deposits in the bank in relation to the treatment expenditure of the said nephew. This being so and taking into consideration all the facts and considering the fact that the turnover of the assessee is only Rs.49,56,870/- and the net profit of the assessee is only 4.86%, the Assessing Officer directed to adopt the net profit of the assessee at 8% of Rs.78,99,014/-.

3 ITA No.119/Ctc/2026 Assessment Year: 2016-17 3. In the result, appeal of the assessee stands partly allowed. Order dictated and pronounced in the open court on 26/05/2026. Sd/- Sd/- (RAJESH KUMAR) (GEORGE MATHAN) ACCOUNTANT MEMBER JUDICIAL MEMBER Cuttack ; Dated 26/05/2026 RS Copy of the Order forwarded to : 1. The appellant: Kulamani Behuria, S/O. Nruisinha Behuria, Vila Mituani, PO: Nearada Sub Div Bhadrak