ABBAS FAKHRUDDIN,MUMBAI vs. INCOME TAX OFFICER 20(1)(1), MUMBAI
Income Tax Appellate Tribunal, MUMBAI BENCH “A”, MUMBAI
Before: SHRI NARENDER KUMAR CHOUDHRYSHRI JAGADISH
Per : Narender Kumar Choudhry, Judicial Member:
This appeal has been preferred by the Assessee against the order dated 03.10.2025, impugned herein, passed by National
Faceless Appeal Centre (NFAC), Delhi/Ld. Commissioner of Income Tax
(Appeals) [in short Ld. Commissioner] u/s 250 of the Income Tax Act,
1961, [in short ‘the Act’] for the A.Y. 2017-18. 2
ABBAS FAKHRUDDIN
In the instant case, as per the information to the effect “that the Assessee has not filed his return of income for the Assessment Year under consideration, however, has purchased an immovable property on 16.02.2017 for a consideration of Rs.36,00,000/-. Stamp duty value of the said property as per stamp duty valuation authority, has been determined according to the SRO at Rs.67,56,275/- and thus the provision of section 56(2)(vii)(b) of the Act, attracts in the case”, the case of the Assessee was reopened u/s 147 of the Act by issuing a notice u/s 148 of the Act.
Thereafter, the Assessing Officer issued further notice u/s 148(A)(b) of the Act and also passed an order u/s 148A(d) of the Act, and consequently issued a fresh notice u/s 148 of the Act, on dated 28.07.2022. However, the Assessee as per Assessment Year made no compliance. Therefore in the constrained circumstances, the Assessing Officer framed the assessment being a best judgment assessment by taking refuge of the provisions of section 144 of the Act, and ultimately made the addition of Rs.67,56,275/- being unexplained investment, in the aforesaid property u/s 69 of the Act.
The Assessee though being aggrieved challenged the said addition by filing First Appeal before the Ld. Commissioner, however the Ld. Commissioner ultimately affirmed the aforesaid addition by dismissing appeal of the Assessee, and thus the Assessee being aggrieved has preferred the instant appeal.
We have heard the parties and perused the relevant material on record. The Ld. Counsel for the Assessee demonstrated the 3 ABBAS FAKHRUDDIN following facts that the Assessee had booked a flat by paying the down payment of Rs.10,00,000/- on dated 20.07.2008, through banking cheque and therefore allotment of flat i.e. 1402 admeasuring approximately 39.95 Sq. Meters. Carpet area on the 14th floor, in the building known as Qamar Enclave, situated at Plot CS.No.639 of Mazgaon Division, 309 and 319, Ram Bhau Bhogle Marg, Mumbai – 400010, has been made as acknowledged vide allotment letter dated 20.07.2008. 6. In the allotment letter, the total consideration amount of such flat has been shown to the tune of Rs.36,00,000/-. Subsequently, the Assessee paid the remaining amount in installments, such as detailed below:- Sr. No. Date Amount Mode Remarks 1. 20 Jul 2008 10,00,000 Cheque Down payment on allotment 2. 4 Feb 2013 5,00,000 RTGS First installment 3. 30 Apr 2013 5,00,000 RTGS Second installment 4. 28 May 2013 5,00,000 RTGS Third installment 5. 21 Sep 2013 5,00,000 RTGS Fourth installment 6. 11 Jun 2014 5,00,000 Cheque Fifth and Final installment Total 36,00,000
Subsequently, on dated 16.02.2017 an agreement for sale was executed between the builder and the Assessee acknowledging the aforesaid amount of Rs.36,00,000/- and the property under consideration, and the same was registered in the Sub-