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Facts
The appeals relate to Assessment Year 2010-11. In the assessment order, the Assessing Officer (AO) made additions for cash deposits due to lack of satisfactory explanation. The CIT(A) granted partial relief.
Held
The Tribunal confirmed an addition of Rs.5 Lacs, while deleting the remaining addition, stating that the interest under sections 234A and 234B is consequential and mandatory.
Key Issues
Whether the additions made by the AO, partly confirmed by the CIT(A), are justified, considering the assessee's explanation regarding agricultural income and past savings?
Sections Cited
143(3), 147, 154, 234A, 234B
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Income Tax Appellate Tribunal, “SMC” BENCH, AGRA
Before: HON’BLE SHRI SATBEER SINGH GODARA, JM & HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM
O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeals by assessee for Assessment Year (AY) 2010-11 arises out of separate orders of first appellate authority. First, we take up which arises out of an order passed by learned Commissioner of Income Tax (Appeals), Gwalior [CIT(A)] on 05-07-2019 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s. 147 r.w.s. 143(3) of the Act on 30-11-2017. At the time of hearing, none appeared for assessee. The Ld. Sr. DR pleaded for dismissal of the appeals. In the assessment order, Ld. AO made addition of cash deposit for Rs.31.45 Lacs for want of any satisfactory explanation from the assessee. The Ld. CIT(A) allowed partial relief and confirmed addition for Rs.28.51 Lacs. The assessment order was subsequently rectified by Ld. AO u/s 154 on 02-08-2018 to levy correct interest u/s 234A and 234B.The Ld. CIT(A) confirmed the same which is subject matter of ITA No.323/Agr/2019.
Upon perusal of impugned order, it could be seen that Ld. CIT(A) has granted relief of Rs.2.93 Lacs for past savings and agricultural income. From assessee’s submissions, it would appear that the assessee has sold certain agricultural land along with other family members and deposited the proceeds thereof in the bank account. The assessee has furnished affidavits of as many as 10 family members also. The assessee has claimed that amount of Rs.5 Lacs was sourced from past savings and Rs.25 Lacs is stated to be sourced from accumulated agricultural income of family members. Considering all these facts and with a view to settle prolonged litigation, we confirm impugned addition to the extent of Rs.5 Lacs and delete the remaining addition. The interest u/s 234A and 234B is consequential and mandatory in nature. The same shall be re- computed accordingly.
Both the appeals stand partly allowed in terms of our above order. Order pronounced u/r 34(4) of Income Tax (Appellate Tribunal) Rules, 1963. (SATBEER SINGH GODARA) (MANOJ KUMAR AGGARWAL) "ाियक सद" /JUDICIAL MEMBER लेखा सद" /ACCOUNTANT MEMBER Dated: 23-04-2025 आदेश की "ितिलिप अ"ेिषत / Copy of the Order forwarded to : 1. अपीलाथ"/Appellant 2. ""थ"/Respondent 3. आयकरआयु"/CIT 4. िवभागीय"ितिनिध/DR 5. गाड"फाईल/GF