PERTHVI SINGH YADAV,NEW DELHI vs. ITO, WARD-31(5), NEW DELHI

This appeal filed by the assessee is directed against the exparte order dated 25.10.2018 of the CIT(A)-11, New Delhi relating to A. Y. 2010-11.

Although a number of grounds have been raised by the assessee these all relate to the order of the CIT(A) in confirming the addition of Rs.34,39,000/- made by the Assessing Officer in the order passed u/s 144/147 of the IT Act.

None appeared on behalf of the assesee. However, written synopsis was filed. Therefore, considering the fact that the assessee is a senior citizen of aged about 73 years and assessment order as well as appeal order were passed exparte this matter is being decided on the basis of material available on record and after hearing the Ld. DR.

Facts of the case, in brief, are that on the basis of information received through NMS that assessee has deposited cash of Rs.30,25,000/- in his Savings Bank account and had not filed return of income for the relevant assessment year, the case of the assessee was reopened u/s. 147 of the IT Act. The notice u/s. 148 was accordingly issued but there was no compliance to such notice. There was also no compliance to the statutory notices issued u/s. 142 (1). In absence of any reply from the side of the assessee to substantiate the source of cash deposits in the bank account and purchase of bank drafts in cash the Assessing Officer made addition of Rs.30,25,000/- being the amount of cash deposits in the savings bank account and addition of Rs.4,14,000/- being the purchase of bank drafts in cash. Thus the Assessing Officer determined the total income of the assessee at Rs.34,39,000/-. Since despite number of opportunities granted none appeared on behalf of the assesee, the Ld. CIT(A) in the exparte order passed by him sustained the addition made by the Assessing Officer by dismissing the appeal of the assessee.

Aggrieved with such order of the CIT(A), the assesse is in appeal before the Tribunal.

I have perused the material available on record and heard the Ld. DR. It is an admitted fact that despite issue of notice u/s. 148 as well as notices u/s. 142 (1), the assessee neither filed the return of income nor filed the requisite details before the Assessing Officer to substantiate the cash deposits made in the bank account and purchase of bank drafts/ pay orders in cash. Therefore, the Assessing Officer completed the assessment u/s. 144 of the IT Act by making addition of Rs.34,39,000/-. I find despite opportunities granted by the CIT(A) the assessee did not appear before the CIT(A) for which the Ld. CIT(A) also dismissed the appeal for non prosecution.

Considering the totality of the facts of the case and considering the fact that the assessee is a senior citizen of aged about 73 years old, I deem it proper to restore the issue to the file of the Assessing Officer with a direction to grant one final opportunity to the assessee to substantiate his case and decide the issue as per fact and law. The assessee is also hereby directed to appear before the Assessing Officer and explain the source of the cash deposits made in the savings bank account and the purchase of pay order / demand drafts/ failing which the Assessing Officer is at liberty to pass appropriate order as per law. I hold and direct accordingly. The grounds raised by the assessee are accordingly allowed for statistical purposes.

In the result, the appeal filed by the assessee is allowed for statistical purpose.