ITO (INTERNATIONAL TAXATION)-1, HYDERABAD vs. RATAN KUMAR INGU, HYDERABAD
ITA No 573 of 2025 Ratan Kumar Ingu
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आयकर अपीलȣय अͬधकरण, हैदराबाद पीठ
IN THE INCOME TAX APPELLATE TRIBUNAL
Hyderabad ‘ DB-B ‘ Bench, Hyderabad
Before Shri Vijay Pal Rao, Vice-President
A N D
Shri Manjunatha, G. Accountant Member
आ.अपी.सं /ITA No.573/Hyd/2025
(िनधाŊरण वषŊ/Assessment Year: 2017-18)
Income Tax Officer
(International Taxation)-I
PAN:AAXPI4387F
(Appellant)
(Respondent)
िनधाŊįरती Ȫारा/Assessee by:
Shri H. Srinivasulu, Advocate
राज̾ व Ȫारा/Revenue by:
Dr. Narendra Kumar Naik, CIT(DR)
सुनवाई की तारीख/Date of hearing:
01/09/2025
घोषणा की तारीख/Pronouncement: 04/09/2025
आदेश/ORDER
Per Vijay Pal Rao, Vice President
This appeal by the Revenue is directed against the order dated 16/01/2025 of the learned CIT (A)-10, Hyderabad, for the A.Y.2017-18. 2. The Revenue has raised the following grounds of appeal:
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The respondent assessee has also filed a petition under Rule 27 of ITAT Rules, 1963 and raised the issue of validity of reopening of the assessment on the basis of the documents executed between the parties i.e. MOU dated 21/06/2016,
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agreements of sale cum GPA dated 21/03/2016 in respect of the land measuring 2 acres and 18 guntas in Survey No.303 as well as agreement of sale cum GPA dated 21/03/2016 in respect of land measuring 7 acres 22 guntas in Survey No.294 in the Revenue
State of Manchirevula
Village, because these transactions falls in the financial year 2015-16 relevant to the A.Y
2016-17 and not in the A.Y 2017-18 as reopened by the Assessing
Officer and assessed to tax as unexplained investment as well as the income by applying the provisions of section 50C of the I.T.
Act. The learned Counsel for the assessee has submitted that this issue of validity of the reopening of the assessment as well as consequential assessment order passed by the Assessing Officer was raised by the assessee before the learned CIT (A) in Ground
Nos.1 to 4 but the same was decided against the assessee. Thus, the learned Counsel for the assessee has submitted that if this issue of validity of reopening of the assessment as well as the impugned assessment order is decided in favour of the assessee, then the appeal of the Revenue is liable to be dismissed on this ground only. He has submitted that the Income Tax Officer
Manchirevula, Karimnagar District, issued notice u/s 148 of the Act on 30/03/2021 and thereafter, the assessment was completed by the Assessing Officer, NFAC on 29/03/2022
determining the total income of Rs.12,26,52,090/-. The said order was challenged by the assessee before the learned CIT (A) and also raised the grounds against the validity of the reopening of the assessment as well as the consequential assessment order passed
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by the Assessing Officer. The learned Counsel for the assessee has submitted that the assessee along with his father Sri Pochaiah
Patel Ingu, entered into an MOU on 21/03/2016 with Shri G.
Narasimha Chary and 11 other persons for clearing of pending litigation in respect of agricultural land admeasuring 122 acres and 18 guntas situated at Manchirevula Village, Rajendranagar
Mandal, Ranga Reddy District. Shri G. Narasimha Chary and others claimed as land owners being the Inamdar and occupant/possessor of the land by virtue of will dated
13/06/1950. However, the Revenue authorities did not give
Occupancy Rights Certificate (ORC) in favour of these persons and land is shown in the revenue record as Endowment land and these other persons are shown as encroachers of the land. These persons claiming themselves as owners of the land in question filed a Writ Petition against the order of the Revenue Authorities before the Hon'ble juri ictional High Court which is pending adjudication. Apart from the MOU dated 23/03/2016, the assessee and his father entered into 2 agreements of sale cum
GPA both dated 21/03/2016 that these persons in respect of 2
parcels of land measuring 2.18 acres in Survey No.303 and 7.24
acres in Survey No.294 against the consideration which were paid through banking channels as recorded in these agreements of sale cum GPOA both dated 21/03/2016. He has further submitted that all these documents were presented before the Jt.