DEPUTY COMMISSIONER OF INCOME TAX, DELHI vs. SULOCHANA MAHADEV BOBADE, PUNE
Income Tax Appellate Tribunal, DELHI BENCH “G” DELHI
Before: SHRI ANUBHAV SHARMA & SHRI KRINWANT SAHAYAsstt. Yr: 2016-17
PER: KRINWANT SAHAY, AM:
The appeal in this case has been filed by the Revenue against the order dated 28.01.2025 passed by the learned CIT(Appeals)-24, Delhi for A.Y.
2016-17. Grounds of appeal raised are as under:
“1. That the learned Commissioner of Income Tax (Appeals) [CIT(A)] has erred in law and on facts by deleting the addition of Rs. 1,02,00,000/- made by the Assessing Officer under 3 Section 69A of the Income Tax Act, 1961, without properly appreciating the facts and evidence on record and ignoring the fact that the assessee could not satisfactorily establish the unexplained expenditure incurred by the assessee.
That the CIT(A) failed to appreciate that the documents found during the course of search proceedings were crucial in establishing the existence of undisclosed income in the hands of the Assessee.
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3. That the CIT(A) erred in holding that the satisfaction note does not have any reference of the said search while the same clearly establishes a nexus between the seized material and the undisclosed income of the assessee for the current AY.
That the learned CIT(A) has erred in law and on facts by deleting the addition of Rs. 2,15,000- made by the AO under Section 69C, ignoring the fact that the assessee could not satisfactorily establish the unexplained expenditure incurred by the assessee.
That the appellant craves leave to add, alter, amend, or 5 withdraw any or all ground(s) of the appeal raised above at the time of hearing.”
During proceedings before us at the very outset the counsel of the assessee filed calculation of tax effect stating that the tax effect in the appeal filed by the Revenue is Rs. 36,04,420/-, therefore, the appeal should be dismissed as per the CBDT Circular09/2024 dated 17.09.2024. The calculation of tax effect submitted by the assessee’s counsel is reproduced as under: Particulars Amount (in Rs.) Total addition made by the AO 1,04,15,000 Tax on addition made @ 30% 31,24,500 Surcharge @ 12% 3,74,940 Education Cess @ 3% 1,04,980 Total Tax Effect 36,04,420
Per contra, Ld. CIT(DR) relied on the order of the Assessing Officer.
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4. We have considered the request of the learned counsel for the assessee and we find that since the total tax effect is below Rs. sixty lakhs in this case, therefore,
Revenue’s appeal is dismissed as per CBDT Circular 09/2024 dated 17.09.2024
enhancing the tax limit to Rs. sixty lakhs for filing departmental appeals before the ITAT. However, the Revenue will be at liberty to file M.A. in case the issue involved is covered under any exceptional clause within the period prescribed by law. We order accordingly.
Revenue’s appeal ITA No. 1761/Del/2025 is dismissed on account of low tax effect.
Order pronounced in open court on 29.09.2025. (ANUBHAV SHARMA)
ACCOUNTANT MEMBER
Dated: 29.09.2025. *MP*