MOHD WASEEM,KANPUR vs. NATIONAL FACELESS APPEAL CENTRE, DELHI

2018-19 against impugned appellate order dated 11/07/2025 (DIN & Order No.ITBA/NFAC/S/250/2025- 26/1078400489(1) of Commissioner of Income Tax (Appeals) [“CIT(A)” for short].

(B) In this case assessment order dated 23/03/2023 was passed u/s 147 read with section 144/144B of the I. T. Act whereby the assessee’s total income was determined at Rs.2,23,950/-. This addition was made on account of cash deposited by the assessee in bank. Vide impugned appellate order dated 11/07/2025, the assessee’s appeal was dismissed by the learned CIT(A). The present appeal has been filed by the assessee against the aforesaid impugned appellate order of learned CIT(A). the Assessing Officer as well as learned CIT(A) are in agreement that assessee’s total income is Rs.2,23,950/-, which is below the taxable limit for assessment year 2018-19. However, they have taken adverse view of the fact that the assessee did not file return of income and have therefore invoked the provisions of section 115BBE of the Act to bring the aforesaid amount of Rs.2,23,950/- for tax. When the assessee’s total income is below the taxable limit, there is no requirement on the part of the assessee, under law, to file return of income. When there is no requirement under law to file return of income, no adverse view can be taken against the assessee for not filing return of income. Therefore, the action of the Assessing Officer in invoking the provisions of section 115BBE of the Act, which was confirmed by the learned CIT(A) in the impugned appellate order, is unsustainable. Therefore, the assessment order is annulled and the impugned appellate order of learned CIT(A) is set aside.

(C) In the result, the appeal of the assessee stands allowed.

(Order pronounced in the open court on 31/10/2025)