LATE VIPIN KUMAR BALIYAN LEGAL HEIR SMT. BABITA BALIYAN (WIFE),MUZAFFARNAGAR vs. INCOME TAX OFFICER, WARD-3(2)(4),, MUZAFFARNAGAR
Income Tax Appellate Tribunal, DELHI BENCH ‘SMC’, NEW DELHI
Before: Sh. Satbeer Singh Godara
This assessee’s appeal for Assessment Year 2017-18, arises against the CIT(A)/NFAC, Delhi’s DIN & order No.
ITBA/NFAC/S/250/2023-24/1058258771 (1) dated 28.11.2023, in proceedings u/s 144 of the Income Tax Act, 1961 (in short
“the Act”).
Heard both the parties at length. Case file perused.
It emerges during the course of hearing that the sole substantive issue which arises for the tribunal’s adjudication is that of correctness of the learned lower authorities’ action adding the assessee’s cash deposits of Rs.12,92,000/- u/s 69A r.w.s. 115BBE of the Act. Late Vipin Kumar Baliyan
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4. Both the learned representative reiterates their respective stand during the course of hearing. A perusal of the instant case file reveals that the learned Assessing Officer had himself assessed the assessee @ 8% of the remaining cash deposits of Rs.84,26,676/- and excluded the addition amount herein
Rs.12,92,000/- as it was credited in the bank account during demonetization. Faced with this situation, the only inference which arises herein that once the learned Assessing Officer had already assessed the assessee @ 8%, the impugned bank deposits also represent the regular business income only which deserve to be assessed at the same rate. I order accordingly and learned Assessing Officer is hereby directed to assess the impugned cash deposits of Rs.12,92,000/- in very terms.
So far as the assessee’s assessment u/s 115BBE is concerned, hon’ble Madras high court in SMILE Microfinance Ltd. Vs. ACIT, W.P. (MD) No. 2078 of 2020 & 1742 of 2020 dated 19.11.2024 (Mad.) has already settled the issue against the department that the law applies to the transaction on or after 01.04.2017 only. Necessary computation shall follow as per law. Late Vipin Kumar Baliyan
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6. This assessee’s appeal is partly allowed in above terms.
Order Pronounced in the Open Court on 07/01/2025. (Satbeer Singh Godara)
Judicial Member
Dated: 07/01/2025
*Subodh Kumar, Sr. PS*