P.T.K. RAVICHANDRAN,DINDIGUL vs. ITO, NCW-7(3), CHENNAI

This appeal filed by the assessee is directed against the order dated 04.12.2024 passed by the ld. Commissioner of Income Tax (Appeals), National Faceless Appeal Centre [NFAC], Delhi for the assessment year 2017-18. 2. The ld. AR Shri T.N. Seetharaman, Advocate submits that the assessee is not interested in pursuing ground No. 4 and prayed to dismiss as not pressed. Accordingly, ground No. 4 is dismissed as not pressed.

Ground No. 1 raised by the assessee is general in nature and requires no adjudication.

Ground Nos. 2, 3, 5, 6 & 7 raised by the assessee in challenging the order of the ld. CIT(A) in confirming the addition made under section 69A of the Income Tax Act, 1961 [“Act” in short] in the facts and circumstances of the case.

We note that there is no representation before the Assessing officer and order under section 144 of the Act to the best judgement of the Assessing Officer passed on 15.10.2019 determining the income of the assessee at ₹.46,97,455/-. As not satisfied with the order of the Assessing Officer, the assessee preferred an appeal before the ld. CIT(A).

A contention was raised during the course of first appellate proceedings regarding opening cash balance as on 01.04.2016. But, however, no evidence filed in demonstrating the same. The ld. CIT(A) dealt the issue in para 5.5 of the impugned order. Having no evidence, the ld. CIT(A) confirmed the order of the Assessing Officer in making the addition under section 69A of the Act. Therefore, the assessee is in appeal before us in challenging the order of the ld. CIT(A).

The ld. AR Shri T.N. Seetharaman, Advocate submits that the assessee is ready to furnish every details before the Assessing Officer in support of the claim of having cash balance as on 01.04.2016. He prayed to remand the matter to the file of the Assessing Officer for fresh consideration. The assessee will appear before the Assessing Officer without fail for furnishing all the details involved in addition under section 69A of the Act.

The ld. DR Shri M.P. Guru Prasad, Addl. CIT objected the submissions of the assessee by contending that the Assessing Officer had given various opportunities to the assessee, but, however, the assessee has not utilized the same in prosecuting the same. He supported the order of the ld. CIT(A).

Having heard both the parties and on perusal of the record, we note that a contention was raised before the ld. CIT(A) that the assessee has cash balance as on 01.04.2016, but, the assessee has not submitted any evidence before the ld. CIT(A). Before us, the ld. AR undertakes that the assessee shall appear before the Assessing Officer and furnish all the details to substantiate his claim. Taking into consideration the facts and circumstances of the case and the issue involved therein, in the interest of justice, we deem it proper to remand the matter to the file of the 4 Assessing Officer subject to the condition of payment of ₹.20,000/- in favour of the State Legal Aid Authority, Hon’ble High Court of Madras within 30 days from the date of receipt of this order and the Assessing Officer shall satisfy the payment of cost and decide the issue afresh after considering the written submissions/documentary evidences as may be filed by the assessee to substantiate his claim. The assessee is also directed to appear before the Assessing Officer without fail with all required details in support of contention raised before the ld. CIT(A). Thus, the grounds raised by the assessee are allowed for statistical purposes.

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