LALITA NIRANJAN MAYADEO,MUMBAI vs. JURISDICTION WARD 16(2)(1), MUMBAI, MUMBAI

This appeal by the assessee is preferred against the order passed by NFAC, Delhi, [hereinafter ‘the ld. CIT(A)’] dated 10/07/2024 pertaining to AY 2012-13.

The sum and substance of the grievance of the assessee is that the ld. CIT(A) erred in confirming the addition of Rs.38,46,509/- made by the AO on account of investment with M/s. Kalpataru Enterprises. 3. Briefly stated the facts of the case are that the assessee filed her return of income on 24/09/2012 declaring total income at Rs.11,62,650/- . The return was processed u/s 143(1) of the Act. 3.1. On the basis of information received from ACIT – 34(2), Mumbai, the AO came to know that during the course of scrutiny assessment, in 2 the case of the husband of assessee, Dr. Niranjan Mayadeo for AY 2010- 11 and 2016-17, it was found that the assessee had paid certain payments on behalf of her husband to the builder M/s. Kalpataru Enterprises, for purchase of a flat in the name of Dr. Niranjan Mayadeo, in the project, Kalpataru Sparkle, Bandra East, Mumbai. In order to verify the details, the case was reopened u/s 147 of the Act by issuing notice u/s 148 of the Act. 3.2. Subsequently, in response to notice u/s.148 of the Act, the assessee e-filed its return of income on 10/05/2019, declaring a total income of Rs. 11,62,650/-. A copy of reasons for re-opening was given to the assessee on 06/06/2019. Thereafter, notice u/s.143(2) of the Act and Notice u/s.142(1) of the Act dated 05/11/2019 along with a detailed questionnaire, was issued and served on the assessee. However, the assessee did not reply to the said notice on compliance date but instead filed an adjournment letter dated 20/11/2019. Penalty Notice u/s.271(1)(b) r.w.s. 274 of the Act dated 04/12/2019 was issued and served on the assessee for non-compliance of statutory notice. Another opportunity was given vide notice u/s.142(1) of the Act dated 06/12/2019 to file the remaining details w.r.t. initial notice u/s.142(1) of the Act dated 05/11/2019. However, the assessee did not reply to the said notice on compliance date. Another Penalty Notice u/s.271(1)(b) r.w.s. 274 of the Act dated 12/12/2019 was issued and served on the assessee for non-compliance of statutory notice. Third Notice u/s.142(1) of the Act was issued to the assessee to submit the remaining details earlier notice u/s.142(1) of the Act dated 05/11/2019 and 06/12/2019. The assessee did not file any reply to this notice in the due-time. In view of the above, a show cause letter dated 18/12/2019 was issued to the assessee for completion of the assessment proceeding u/s 144 of the Act giving compliance dated as 21/12/2019. The assessee did not reply to the said notice until 21/12/2019 afternoon. On 21/12/2019, another notice u/s.142(1) was issued to the assessee to comply with the points of show cause notice before 23/12/2019. The assessed uploaded the response to the show cause notice on 21/12/2019, on receipt of reply to the show cause the response of the assessee was disabled for drafting the assessment order. On 23/12/2019, the A/R of the assessee appeared before the AO and requested to enable the response. The response was enabled and the assessee filed the final replies on 24/12/2019. 3.3. Following information was forwarded by the ACIT-34(2), Mumbai along with relevant financials and bank account details of Dr. Lalita Mayadeo for the A.Y.2012-13:- "During the course of scrutiny assessment for the A. Y.2016-17 in the case of Dr. Niranjan Mukund Mayadeo while explaining the source for the payment of Rs.5,10,31,641/- invested in Flat, purchased from Kalpataru Builders, filled the schedule of payment to the builder. Out of which the following is the schedule of payment to the builder. Out of which the following is the schedule of payment stated to be made by Dr. Lalita Mayadeo, wife of Niranjan Mayadeo: