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Income Tax Appellate Tribunal, DELHI BENCH “F” NEW DELHI
Before: SHRI AMIT SHUKLA & SHRI PRASHANT MAHARISHI
PER AMIT SHUKLA, J.M.: The aforesaid appeal has been filed by the assessee against the impugned order dated 25.02.2014, passed by Ld. Commissioner of Income Tax (Appeals), Meerut for the quantum of assessment passed u/s.143(3) for the Assessment Year 2009-10. In the grounds of appeal, the assessee has challenged various additions made by the Assessing Officer on account of cash deposits and other unexplained deposits made in various bank accounts of the assessee aggregating to Rs.2,73,00,000/-.
The facts in brief are that assessee’s case was selected for scrutiny under CASS on the ground that the assessee has made deposits in cash in his saving bank account. The Assessing Officer noted that on many occasions there has been non-compliance by the assessee which has been noted by him in the impugned assessment order. Though, he admitted that certain part replies and details have been filed. However, he was not satisfied with the explanation and documents filed by the assessee and held that all the cash deposited in various bank accounts are unexplained and have to be added u/s.68 of the Act.
Before the ld. CIT(A), assessee had filed detailed written submission and various evidences which were forwarded to the Assessing Officer for getting AO’s remand report and AO was also directed to conduct necessary inquiries. However, the remand report submitted by the AO has not been discussed in the impugned appellate order. In response to the remand report, the assessee has filed its detailed rebuttal and rejoinder which has been dealt and incorporated in the impugned order. However, the ld. CIT(A) has confirmed the action of the Assessing Officer holding that assessee has not been able to discharge the onus u/s.68 of the Act.
After hearing both the parties and on perusal of the relevant finding given in the impugned orders as well as material referred to before us, at the time of hearing, it is seen that learned Assessing Officer has made addition on account of entire cash deposits in various bank accounts. The details of which are as under: - (i) cash deposits in bank account out
of advance of purchase of land by Shri Vineet Khurana: Rs.40,00,000/-
(ii) addition representing unexplained cash deposits in saving bank account with ICICI bank: Rs.54,40,000/-
(iii) addition representing unexplained cash deposits in saving bank account with PNB: Rs.18,35,000/-
Before us, the learned counsel for the assessee submitted that assessee had filed plethora of evidences in support of the explanation given for each and every deposit which has neither been properly considered nor has been taken into consideration by the authorities below. He drew our attention to various evidences against various deposits. The same for the sake of ready reference along with reference of the evidences placed in the paper book are reproduced hereunder: - Issue Involved Amount Evidences (Rs.) (pages of Paper Book) Addition representing cash 40,00,000 i) Copy of following receipts deposits in bank account out of - Rs. 15,00,000/- dated 5.11.2008 (162) advance for purchase of land by - Rs. 10,00,000/- dated 8.11.2008 (163) Shri Vineet Khurana - Rs. 5,00,000/- dated 16.11.2008 (164) - Rs. 5,00,000/- dated 25.1.2009 (165) AO: Pages 5-6 Para 5 of the - Rs. 5,00,000 dated 31.01.2009 (166) order of assessment ii) Copy of affidavit by Sh. Vineet Khurana (167-168 and 169-170)
Remand report dated iii) Copy of statement recorded on 15.3.2013 22.3.2013: pages 27-28 of Vineet Khurana during remand proceedings iv) Details of cash received against property Paper Book (56) v) Copy of purchase deed dated 26.7.2007 Remand report dated (115-132) 5.8.2013: pages 35-36 of SANDEEP SURI (SOURCE OF VINEET Paper Book KHURANA) CIT(A): Pages 7-9 para 3.1.3 of order i) Copy of acknowledgment of return of income for Assessment year 2005-06 (pages 154) ii) Copy of acknowledgment of return of income for Assessment year 2004-05 (pages 155) iii) Copy of acknowledgment of return of income for Assessment year 2003-04 (pages 156) iv) Copy of PAN No. ABTPS427DR (page 157) v) Copy of death certificate (page 158) vi) Copy of Ikrarnama from Sandeep Suri (page 159- 160) vii) Copy of confirmation from Sanjeev Suri (pages 161)
Replies during the course of assessment proceedings - Reply dated 7.12.2011 (16) - Reply dated 23.12.2011 (18) - Reply (21-22) Replies during the course of appellate proceedings - Submission (23) - Additional submission (25) - Rejoinder submission (41-43) 54.40.000 RAJ RANI DEWAN i) Copy of reply filed by Raj Rani Dewan before Assessing Officer (page 89) Addition representing unexplained cash ii) Copy of gift deed of Rs. 30,00,000/- (page 90) deposits in saving bank account with iii) Copy of PAN No. ACUPR7183D (page 91) ICICI Bank 18.35.000 iv) Copy of computation of net worth of Smt. Raj Rani Dewan (page 92) Addition representing unexplained cash v) Copy of Passport of Raj Rani Dewan (page deposits in saving bank account with 93) Punjab National Bank vi) Copy of PAN No. ACUPR7183 D (page 94) vii) Copy of affidavit by the following AO: Page 7 Para 7 and Para 9 of the persons order of assessment - Bhopal Singh (page 95) Shivpal (page 96) Remand report dated 22.3.2013: page 31 of Paper viii) Copy of Ikrarnama with Raj Rani Dewan Book (pages 99-101) ix) Copy of statement recorded of Smt. Raj Rani Dewan during remand- proceedings in the case of appellant (page 102-104) x) Copy of Voter ID Card (page 105) Remand report dated 5.8.2013: pages 37-39 of Paper 29.7.2013 Copy of statement recorded of book Akbar Ali dated 29.07.2013 during remand proceedings in the case of Puneet Dewan HUF (pages 106-109) CIT(A): Pages 16-19 of order Copy of Khatoni alongwith Khasra (pages 110-114) Copy of sale deed dated 26.7.2007 (pages 115-132)
RITU DEWAN Copy of gift deed of Rs. 30,00,000/- (page 133) Copy of reply filed by Ritu Dewan before Assessing Officer (page 134) Copy of gift deed of Rs. 50,00,000/- (page 135) Copy of passport of Ritu Dewan (page 136) Copy of PAN No. AFPPD7008F (page 137) Copy of Ikrarnama with Ritu Dewan (pages 138-140) vii) Copy of affidavit by the following persons Ummed Ali (page 141) Shaifal Ali (page 142) Gul Bahar (page 143-144) viii)Copy of Ikrarnama with Ritu Dewan (pages 145-147) ix)Copy of affidavit by the following persons Somveer (page 148) Bhup Singh (page 149) Omveer (page 150) x) Copy of statement recorded of Ritu Dewan 13.03.2013 during remand proceedings in the case of Puneet Dewan HUF (pages 151-153) Replies during the course of assessment proceedings. -Reply dated 23.12.2011 (19) Reply (22) vii) Replies during the course of appellate proceedings Additional submission (25) Rejoinder submission (46-48 Addition representing 88,70,755 Copy of bank statement (pages 53-55) unexplained deposits in saving Copy of confirmation of Rs. 20,00,000/- bank account with ICICI Bank from Puneet Dewan (page 58) Ltd. Copy of bank statement (page 60) Copy of statement recorded of Puneet Addition representing Dewan Karta of M/s Puneet Dwan HUF unexplained deposits in saving (pages 62-63) bank account with Punjab 18,00,000 National Bank Copy of PAN No of Puneet Dewan AAMPD0385R (page 64) AO: Pages 7-8 Paras 10-11 of the Copy of ledger account of appellant in the order of assessment books of Shanker Steels (page 65) v) Copy of PAN No. of Shanker Steels Remand report dated AAQFS9202G (page 66) 22.3.2013: page 32 of Paper vi) Copy of bank statement of Shanker Book Steels (page 67) CIT(A): Page 19-22 of order vii) Copy of bank statement of Puneet Dewan HUF (page 68-73) viii) Copy of affidavit of Sh. Puneet Dewan (pages 74-77)
M/s Gunu Enterprises i) Copy of letter from Assessing Officer (page 174) ii) Copy of reply filed by Gunu Enterprises (page 175) iii) Copy of bank statement (pages 176- 178) iv) Copy of PAN No. AFNPD0701M of Mitali Narayan Dev (page 179)
Replies during the course of assessment proceedings - Reply (22) - Replies during the course of appellate proceedings - Rejoinder submission (48-49)
5.1 Thus, he submitted that all these evidences have been brushed aside without any cogent reason. In fact, heavy reliance placed on the submission of Shri Vineet Khurana recorded on 15.08.2013 has itself been overlooked while sustaining the addition. Similar statement of Shri Puneet Diwan and others has also not been adverted to in the order of the ld. CIT(A). Thus, the matter should be remanded back to the file of the Assessing Officer to give proper finding on each and every evidence and also to consider the explanation and the statement given during the course of the assessment and appellate proceedings.
On the other hand, learned Department Representative strongly relied upon the order of the Assessing Officer and ld. CIT(A) and submitted that categorical finding has been given in the impugned order that the assessee has not discharged its onus and therefore, order of CIT(A) should be affirmed.
From the perusal of the various evidences filed by the assessee before the authorities below, it is seen that none of these evidences have been properly dealt with or has been rebutted either in the remand report by the Assessing Officer or by the ld. CIT(A). All these evidences goes to the very root of the explanation tendered by the assessee which have not been rebutted or adverted, therefore, we are of the opinion that the entire issue should be remanded back to the file of the Assessing Officer who shall consider all these evidences and explanation of the assessee and decide the issue a fresh and in accordance with law after giving due and effective opportunity to the assessee to substantiate its case. Accordingly, the grounds raised by the assessee are treated as allowed for statistical purposes.
In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the open Court on 29th October, 2018.