SHIV SHAKTI ENTERPRISES,NANGAL, ROPAR vs. INCOME TAX OFFICER, WARD-1, NANGAL, NANGAL

Facts

The assessee appealed an order confirming an addition of Rs. 179.72 Lacs for cash deposits made during demonetization. The Assessing Officer made the addition due to a lack of reply from the assessee regarding the source of funds.

Held

The Tribunal noted that the assessee had furnished various documents to the lower authorities. It was observed that the CIT(A) failed to consider these documents. Therefore, the Tribunal set aside the orders of the lower authorities and restored the matter to the AO for a de novo assessment.

Key Issues

Whether the CIT(A) erred in confirming the addition of cash deposits without considering the documents submitted by the assessee, and whether a de novo assessment is warranted.