INDER SINGH,LUDHIANA vs. INCOME TAX OFFICER WARD-3(1), RISHI NAGAR LUDHIANA
आयकर अपीलीय अिधकरण,चǷीगढ़ Ɋायपीठ,चǷीगढ़
IN THE INCOME TAX APPELLATE TRIBUNAL
DIVISION BENCH,‘SMC’,CHANDIGARH
BEFORE SHRI SANJAY GARG, JUDICIAL MEMBER
आयकरअपीलसं./ITA No.65/CHD/2025
िनधाŊरणवषŊ / Assessment Year : 2017-18
Inder Singh s/o Bara Singh
VPO Partap Singh Wala,
Basant Nagar,
Hambran Road,
Ludhiana.141108. बनाम
The ITO,
Ward 3(1),
Rishi Nagar,
Ludhiana.
̾थायीलेखासं./PAN NO. DELPS1255F
अपीलाथŎ/Appellant
ŮȑथŎ/Respondent
( PHYSICAL HEARING )
िनधाŊįरतीकीओरसे/Assessee by : Sh. Parikshit Aggarwal,C.A.
राजˢकीओरसे/ Revenue by : Sh.Vivek Vardhan,Addl. CIT.Sr. Dr.
सुनवाईकीतारीख/Date of Hearing
:
27-05-2025
उदघोषणाकीतारीख/Date of Pronouncement
:
30-05-2025
आदेश/Order
The present appeal has been preferred by the assessee against the order dated 30-11-2024 passed by the Ld. Commissioner of Income
Tax,
National
Faceless
Appeal
Centre
(NFAC),
Delhi[hereinafter referred to as ‘CIT(A)’], for the Assessment Year
2017-18. 2. The Assessee in this appeal has agitated against the order of the Ld. CIT(A) in confirming the addition made by the Assessing
Officer (A.O.) of Rs. 21,00,000/- by treating the cash deposits made
65-Chd-2025
Inder Singh Ludhiana
2
by the Assessee in the bank account during the demonetization period as income of the Assessee from unexplained sources.
3. At the outset, the ld. Counsel for the Assessee has invited my attention to the Cash Flow Statement, copy of which has been placed at Page 15 of the Paper Book. Ld. counsel for the Assessee has submitted that the Assessee had sufficient cash in hand at the time of announcement of demonetization scheme. He has further explained that the Assessee was an agriculturist. As per ‘J’ Forms, the Assessee had sold his agricultural produce and received
Rs.3,14,500/- on 22.04.2016 and Rs. 3,02,600/- on 15.5.2016. He has further submitted that the Assessee was also having cash in hand. The Assessee had deposited Rs. 10,00,000/-in his bank account on 04.06.2016. The Assessee had withdrawn Rs. 23,00,000/
from his bank account on 15.06.2016, The Assessee had further received agricultural income as mentioned in ‘J’ Form of Rs.
6,09,519/- on 25.10.2016 and Rs. 4,48,176/- on 03.11.2016.The Assessee had deposited Rs.5,00,000/- in his bank account on 13.11.2016
and further
Rs.5,00,000/- on 15.11.2016
and Rs.1,00,000/- on 22.11.2016. The Ld. counsel has demonstrated from the Cash Flow Statement that the Assessee had sufficient cash in hand. Due to announcement of demonetization scheme, the 65-Chd-2025
Inder Singh Ludhiana
3
amount in specified bank notes was required to be deposited in the bank account.
4. Ld. D.R. could not rebut the above-said factual aspect of the case, I therefore, do not find any justification on the part of lower authorities in confirming the impugned addition, and the same is ordered to be deleted.
5. In the result, the appeal of the Assessee stands allowed.
Order pronounced on 30-05-2025. (SANJAY GARG)
Judicial Member
आदेशकीŮितिलिपअŤेिषत/ Copy of the order forwarded to :
1. अपीलाथŎ/ The Appellant
2. ŮȑथŎ/ The Respondent
3. आयकरआयुƅ/ CIT
4. िवभागीयŮितिनिध, आयकरअपीलीयआिधकरण, चǷीगढ़/ DR, ITAT,
CHANDIGARH
5. गाडŊफाईल/ Guard File
आदेशानुसार/ By order,
सहायकपंजीकार/