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Facts
The assessee's appeal and Revenue's cross objection for AY 2011-12 arose from the CIT(A)'s order restricting an addition made under Section 68. The addition related to unexplained cash credits, and a part of it also included opening cash which could not be added as it was not credited in the relevant previous year.
Held
The Tribunal held that the assessee's appeal should be partly allowed to the extent of the opening balance. The Revenue's cross objection was rejected because the tax effect was less than the prescribed limit, as per a CBDT circular.
Key Issues
Correctness of CIT(A)'s action restricting the addition made under Section 68 for unexplained cash credits and opening cash.
Sections Cited
68, 143(3)
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Income Tax Appellate Tribunal, “SMC” BENCH, AGRA
Before: SHRI SATBEER SINGH GODARA & SHRI MANOJ KUMAR AGGARWAL
(Assessment Year 2011-12) Yogesh Chand Gupta, Vs. Income Tax Officer, B-576, Kamla Nagar, Ward-4(4), Agra Agra �थायीलेखासं./जीआइआरसं./PAN/GIR No: AEKPG8444A Appellant .. Respondent C.O. No. 02/Agr/2023 (Assessment Year 2011-12) Income Tax Officer, Vs. Yogesh Chand Gupta Ward-4(4), B-576 Kamla Nagar Agra Agra �थायीलेखासं./जीआइआरसं./PAN/GIR No: AEKPG8444A Appellant .. Respondent Appellant by : Sh. Anurag Sinha, Adv. Respondent by : Sh. Shailender Shrivastava, Sr. DR Date of Hearing 12.02.2025 Date of Pronouncement 12.02.2025 O R D E R PER BENCH: The assessee’ s appeal i.e. /Agr/2016 and Revenue’s cross objection CO No. 02/Agr/2023 for A.Y. 2011-12, arise against the CIT(A)-2, Agra’s in case No. 53/CIT(A)-2/Agra/ITO-4(4)/Agra/2014-15 CO No. 2/Agr/2023 Yogesh Chand Gupta dated 29.01.2016, in proceedings 143(3) of the Income Tax Act,1961 [hereinafter referred to as ‘the Act’].
Heard both the parties at length. Case files perused.
It emerges during the course of hearing that the solitary issue between the parties herein is that of correctness of the learned CIT(A) action restricting the assessment findings making Section 68 unexplained cash credits addition of Rs.24,53,000/- to that amounting to Rs.7,51,400/-, in the lower appellate proceedings. We note that the same also includes opening cash as on 01.04.2010 to the tune of Rs.6,34,420/- which could not be added since not credited in the relevant previous year.
We thus grant relief to the assessee to the extent of foregoing opening balance to be followed by necessary computation. This assessee’s appeal i.e. is partly allowed in very terms.
So far as Revenue’s cross objection CO No. 2/Agr/2023 is concerned, the same involves tax effect is less than the minimum prescribed limit of Rs.60 lacs as per the CBDT’s Circular No. 9/2024 dated 17.09.2024 made applicable with retrospective effect. Rejected in very terms.
CO No. 2/Agr/2023 Yogesh Chand Gupta 6. The ssessee’s appeal Revenue’s cross objection CO No.2/Agr/2023 is dismissed in above terms. A copy of this common order be placed in the respective case files.
Order pronounced in the open court on 12.02.2025