JAGDISH PRASAD VIJAY,RANCHI vs. ITO WARD 1(4), RANCHI
Facts
The assessee, running a grocery shop, deposited ₹14.95 lacs in their bank account during the demonetization period. The assessee claimed this was from sale proceeds, debtors encashment, and earlier withdrawals. The Assessing Officer (AO) treated this deposit as unexplained income, while the CIT(A) granted a partial relief.
Held
The Tribunal observed that the deposit of ₹14.95 lacs was not related to SBN notes but were cash deposits from sale proceeds and collections from debtors. The assessee's cash-in-hand extract supported adequate funds for the deposit. The Tribunal found that the source of the deposit was explained.
Key Issues
Whether the cash deposit of ₹14.95 lacs made during the demonetization period is to be treated as unexplained income of the assessee.
Sections Cited
44AD
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “SMC” BENCH, RANCHI
IN THE INCOME TAX APPELLATE TRIBUNAL “SMC” BENCH, RANCHI (Virtual Hearing at Kolkata) BEFORE SHRI GEORGE MATHAN, JM AND SHRI RATNESH NANDAN SAHAY, AM ITA No. 62/RAN/2023 (Assessment Year: 2017-18)
JAGDISH PRASAD VIJAY 32/C, LOWER URDWAN CIT (A) COMPOUND, LALPUR, RANCHI RANCHI, JHARKHAND, Ranchi, Vs. 834001, JHARKHAND, Ranchi, Jharkhand, 834001 Jharkhand, 834001 (Appellant) (Respondent) PAN No. AAYPV0704C Assessee by : Shri Amresh Kumar Jain, AR Revenue by : Shri Khub Ch. Pandaya, Sr. DR Date of hearing: 28.04.2025 Date of pronouncement : 28.04.2025
O R D E R PER BENCH:
This appeal is filed by the assessee against the order of National Faceless Appeal Centre, Delhi [the learned CIT (A)] in DIN and order No. ITBA/NFAC/S/250/2022-23/1049067198(1) dated 24.01.2023 for A.Y. 2017-18.
Shri Amresh Kumar Jain, AR represented on behalf of the assessee and Shri Khub Ch. Pandaya, Sr. DR represented on behalf of the Revenue.
It was submitted by the ld. AR that the assessee is running a grocery shop and having a turnover of ₹20 lacs. It was submitted that the assessee had deposited ₹14.95 lacs in the bank account of the assessee during the demonetization period. It was submitted that this was out of the debtors encashment and withdrawals from the bank on earlier days.
In the result, the appeal of the assessee is allowed.
Order pronounced in the open court on 28.04.2025.
Sd/- Sd/- (RATNESH NANDAN SAHAY) (GEORGE MATHAN) (JUDICIAL MEMBER) (ACCOUNTANT MEMBER) Kolkata, Dated: 28.04.2025 Sudip Sarkar, Sr.PS Copy of the Order forwarded to : 1. The Appellant 2. The Respondent 3. CIT DR, ITAT, 4. 5. Guard file. BY ORDER, True Copy// Sr. Private Secretary/ Asst. Registrar Income Tax Appellate Tribunal, Ranchi
