ROJI PHILIP,WAYANAD vs. ITO, WARD-1, KALPETTA

This appeal filed by the assessee is directed against the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi, dated 24.12.2024, for the Assessment Year 2018–19.

Brief Fact of the case are that the assessee filed the return of income for the relevant assessment year, declaring total income as agricultural income of Rs. 45,65,060 by showing taxable income as Nil. The case of the assessee was selected for scrutiny and assessment was completed under Section 143(3) of the Income-tax Act, 1961 (“the Act”), by treating a sum of Rs. 99,91,105 as income from other sources, thereby making an addition to the returned income.

Aggrieved by the said assessment, the assessee preferred an appeal before the Ld. CIT(A). After considering the submissions and documents filed, the Ld. CIT(A) upheld the order of the Assessing Officer and dismissed the appeal.

We have heard the parties and carefully perused the materials available on record and from the records, it is evident that at the time of assessment, the assessee could not furnish sufficient supporting evidence to substantiate the claim of agricultural income and even at the appellate stage, the assessee failed to properly respond to the specific queries raised by the Ld. CIT(A) with regard to the genuineness and quantum of agricultural income. We therefore in the interest of justice, considered view that the matter needs re-examination by the Assessing Officer. The assessee shall be provided reasonable opportunity of being heard, and shall be directed to submit relevant supporting documents in order to substantiate its claim. Accordingly, instant the matter is restored to the file of the Assessing Officer for de novo adjudication, after providing sufficient opportunity to the assessee to substantiate the claim of agricultural income.

Thus, the appeal of the assessee is allowed for statistical purposes.