DHARA RAKESH SHETH,AHMEDABAD vs. INCOME TAX OFFICER, WARD 7(1)(1), AHMEDABAD, AHMEDABAD
Income Tax Appellate Tribunal, “SMC” BENCH, AHMEDABAD
Before: DR. B.R.R. KUMAR, VICE-SHRI SIDDHARTHA NAUTIYALDhara Rakesh Sheth, 9, Ashwini Apartment, Tejendra Park, Naranpura, Ahmedabad-380013. [PAN : BGLPS5238 L]
PER DR. B.R.R. KUMAR, VICE-PRESIDENT:-
Delay Condoned
This appeal is filed by the Assessee against the appellate order dated 12.04.2024 passed by the Commissioner of Income Tax
(Appeals)/National Faceless Appeal Centre, Delhi, relating to the Assessment Year 2016-17. 2. For the sake of ready reference, the entire order of the Assessing
Officer is reproduced herewith: -
Asst. Year 2016-17
- 2–
“In this case the Return of income for A.Y.2016-17 was filed by the assessee on 05.08.2016, declaring total income at Rs. 2,10,000 /-.
The case has been Selected under Limited Scrutiny (Computer
Added Scrutiny Selection). Notice u/s.143(2) of the Act issued on 07/07/2017 and served upon the assessee by E-mail and speed post at the latest address available on record.
2 Thereafter to complete the assessment, notice u/s. 142(1) r.w.s
129 of the Act issued on 05/11/2018 on e-mail and was personally received by the assessee.
Notice u/s 143(2) of the Income tax Act, 1961 was issued to the assessee on 07/07/2017. The assessee has her source of income is Salary only.
The assessee has made a loss of Rs.10,14,575/- from trading of shares during F.Y.2010-11, in this regarding a show cause notice dtd. 10-12-2018 issued and served upon the assessee.
The show cause notice dated 10-12-2018 issued to the assessee is reproduced here as under.
On verification of your submission it is noticed that you have made loss of Rs. 10,14,575/- during F.Y.2010-11 from trading of shares. You must had to settle the account with the broker/Operator. You have not furnish any details of source of Rs.
10,14,575/- till date.
You are show caused why Rs. 10,14,575/- treated as your unexplained investment u/s.69 of the I.T. Act. 1961. You4 reply should be reach to this office on or before 13-12-2018. If you do not submit any reply/explanation by that time it will be assumed that you have nothing to say and the assessment order will be finalized without any further intimation.
In this regard, the assessee has not furnished required details or not sought for any adjournment till date. The assessee has not Dhara Rakesh Sheth Vs. ITO Asst. Year 2016-17 - 3– explained the source of Rs.10,14,575/- till date. However, assessee failed to furnish the required details of her unexplained investment of an amount of Rs. 10,14,575/-, Therefore an amount of Rs. 10,14,575/- has been added to the total income of the assessee. …..
Subject to the above discussion/remarks the total income of the assessee is computed as under:
Total Income as per return of income
Rs. 2,10,000/-
ADD: Unexplained investment as discussed in the order
Rs. 10,14,575/-
Total Income assessed
Rs. 12,24,575/-
Rs. 12,24,575/-
Assessed under section 144 r.w.s 147 of the Income-tax Act at Rs.
12,24,575/-.”
On going through the above order, we find no iota of reason to affirm the order of the Assessing Officer.
In the result, appeal of the assessee is allowed.
The order is pronounced in the open Court on 25.08.2025 (SIDDHARTHA NAUTIYAL)
VICE-PRESIDENT
Ahmedabad; Dated 25.08.2025
Asst. Year 2016-17
- 4–
आदेश की ितिलिप अ ेिषत/Copy of the Order forwarded to :
अपीलाथ / The Appellant 2. थ / The Respondent. 3. संबंिधतआयकरआयु / Concerned CIT 4. आयकरआयु(अपील) / The CIT(A)- 5. िवभागीयितिनिध, आयकरअपीलीयअिधकरण, अहमदाबाद/ DR, ITAT, Ahmedabad 6. गाड फाईल/ Guard file.
आदेशानुसार/ BY ORDER,सहायक पंजीकार (Dy./Asstt.