Sumati Dayal v. CIT

214 ITR 801Supreme Court of India1995#12 most cited

What is Sumati Dayal v. CIT authority for?

The Revenue is entitled to look behind the apparent form of a transaction to discover its true nature, applying the test of human probabilities and surrounding circumstances. If transactions defy logic or are unnatural, they can be treated as bogus, even if supported by some documentation, especially in cases of cash credits or unexplained investments.

1,967

judgments rely on this decision, according to BharatTax’s citation analysis of 367,181 Indian tax judgments — from 2010 to 2026.

Also referred to as

Sumati Dayal v CIT · Section 68 · human probabilities · genuineness of transaction · true nature of transaction · accommodation entry · bogus capital gains · penny stock · look behind apparent form · preponderance of probability · colourable device · unexplained loans

Also reported as

80 Taxmann 89125 CTR 124

Sections most often in play

Section 68Section 143(3)Section 147Section 148Section 142(1)Section 115BBESection 69CSection 69A
Read the full judgment

Issues it is cited on

price riggingcolourable devicepreponderance of probabilitybogus ltcgpenny stocksection 10(38)entry operatoraddition under section 68addition u/s 68genuineness of the transactionaccommodation entryshare application money

Judgments citing Sumati Dayal v. CIT

Jaibhagwan Banarasidas Jindal, Jalna vs. The Income Tax Officer, Ward-1, Jalna

In the result, the appeal filed by the assessee is allowed

ITA 2016/PUN/2024[2016-17]Status: DisposedITAT Pune27 Feb 2025AY 2016-17

Bench: Shri R. K. Panda & Ms. Astha Chandraassessment Year : 2016-17

For Appellant: Shri Jaiprakash BairagraFor Respondent: Shri Ramnath P Murkunde
Section 10(38)Section 142(1)Section 143(1)Section 143(2)Section 143(3)Section 147Section 148Section 151

…oposition of law that the income tax liability is ascertained on the basis of materials available on record, the surrounding circumstances, the relevant human conduct and the overall balance of probability. Reliance is placed on. a. Sumati Dayal Vs CIT (1995) 80 Taxmann 89 (SC) "It is no doubt true that in all cases in which a receipt is sought to be taxed as income, the burden lies upon the Department to prove that it is within the taxing provision and if a receipt is in the nature of income, the burden of proving that it is not taxable because it falls within an exemption provided by the act lies upon the asses…

Income Tax Officer, Ward-9(1), Kolkata vs. Aakash Saree Trading Private Limited, Kolkata

In the result, the appeal filed by the Revenue is allowed for statistical purposes

ITA 1291/KOL/2023[2012-13]Status: DisposedITAT Kolkata27 Feb 2025AY 2012-13

Bench: Shri Duvvuru Rl Reddy(Kz) & Shri Rakesh Mishra

Section 143(3)Section 250Section 68

…returned unserved by the Postal Department and the Director failed to appear before the Ld. AO for personal deposition on the given date and time. The Ld. AO relied upon the judicial pronouncements by Hon’ble Supreme Court in the case of Sumati Dayal vs. CIT (214 ITR 801) (SC), CIT vs. Durga Prasad More 82 ITR 540 (SC) and also several other judicial pronouncements and held that it was a case where the assessee had introduced its own undisclosed fund in the garb of subscription by shareholders and as the creditworthiness of the shareholders could not be satisfactorily established by the Directors of the assessee…

Bao Value Fund, Mumbai vs. ACIT, International Tax, Circle-1(2)(1), Mumbai

The appeal of the assessee is allowed

ITA 947/MUM/2024[2018-19]Status: DisposedITAT Mumbai27 Feb 2025AY 2018-19

Bench: Shri Amit Shukla, Jm & Ms Padmavathy S, Am

For Appellant: Shri Vijay Mehta a/w TarangFor Respondent: Shri Krishna Kumar, Sr. DR
Section 10(38)Section 132Section 144CSection 147Section 68

…ich the assessee has transacted is tainted scrip and hence the addition has been correctly made by the AO. The DRP in this regard relied on the decision of the Hon'ble Superme Court in the case of CIT Vs. Durga Prasad More (82 ITR 540) & Sumati Dayal Vs. CIT (214 ITR 801). The assessee is in appeal before the Tribunal against the final order of assessment passed by the AO pursuant to the directions of the DRP. 3. The ld. AR submitted that the assessee is incorporated in Mauritius and licensed by financial service commission of Mauritius. The ld. AR submitted that the assessee holds a tax residency certificate an…

ACIT-Central Circle -2(1), Nagpur vs. Shri Nandkumar Khattumal Harchandani, Nagpur

In the result, appeal of the Revenue stands dismissed

ITA 411/NAG/2019[2015-16]Status: DisposedITAT Nagpur25 Feb 2025AY 2015-16

Bench: Shri V. Durga Rao & Shri K.M. Roy, Accountant, Member

For Appellant: Shri Manoj G. MoryaniFor Respondent: Shri Sandipkumar Salunke
Section 10(38)Section 68

…On the facts and circumstances of the case & in law, the Ld. CIT(A) failed to appreciate that the true nature of transaction have to be ascertained in the light of surrounding circumstances as held by Hon‟ble Supreme Court in the case of SumatiDayal Vs. CIT (214 ITR 801). 3 Shri Nandkumar Khatumal Harchandani ITA no.410/Nag./2019 A.Y. 2014–15 xiii) On the facts and circumstances of the case & in law, the Ld. CIT(A) failed to appreciate that the transaction through banking channel is not always genuine as held by Hon‟ble Supreme Court in P. Mohan Kala & Others (291 ITR 278) xiv) On the facts and circumstances o…

ACIT-Central Circle -2(1), Nagpur vs. Shri Nandkumar Khattumal Harchandani, Nagpur

ITA 410/NAG/2019[2014-15]Status: DisposedITAT Nagpur25 Feb 2025AY 2014-15

Bench: Shri V. Durga Rao & Shri K.M. Roy, Accountant, Member

For Appellant: Shri Manoj G. MoryaniFor Respondent: Shri Sandipkumar Salunke
Section 10(38)Section 68

…On the facts and circumstances of the case & in law, the Ld. CIT(A) failed to appreciate that the true nature of transaction have to be ascertained in the light of surrounding circumstances as held by Hon'ble Supreme Court in the case of Sumati Dayal Vs. CIT (214 ITR 801). xiii) On the facts and circumstances of the case & in law, the Ld. CIT(A) failed to appreciate that the transaction through banking channel is not always genuine as held by Hon'ble Supreme Court in P. Mohan Kala & Others (291 ITR 278) xiv) On the facts and circumstances of the case & in law, the Ld. CIT(A) failed to appreciate that the transact…

Vijeta Trading Pvt. Ltd., Mumbai vs. CIT(A), NFAC, Delhi

In the result, the appeal filed by the assessee is dismissed

ITA 206/MUM/2024[2013-14]Status: DisposedITAT Mumbai25 Feb 2025AY 2013-14

Bench: Shri Sandeep Gosain & Shri Prabhash Shankarvs. Cit, (Appeals), Vijeta Trading Pvt. Ltd. Nfac, Office No.64,3Rd Floor Poddar Chambers, 23 Parsi Bazar Street, Fort Mumbai – 4000001. Pan/Gir No. Aabcv1137H (Applicant) (Respondent)

Section 143Section 143(3)Section 250Section 254Section 55A

…IN THE INCOME TAX APPELLATE TRIBUNAL “F” BENCH MUMBAI BEFORE SHRI SANDEEP GOSAIN, JUDICIAL MEMBER & SHRI PRABHASH SHANKAR, ACCOUNTANT MEMBER Vs. CIT, (Appeals), Vijeta Trading Pvt. Ltd. NFAC, Office No.64,3rd Floor Poddar Chambers, 23 Parsi Bazar Street, Fort Mumbai – 4000001. PAN/GIR No. AABCV1137H (Applicant) (Respondent) Assessee by None Revenue by Ms. Nidhi Agarwal, Sr. DR सुनवाई क" तारीख/Date of Hearing 13.01.2025 घोषणा क" तारीख/Date of Pronouncement 26.01.2025 आदेश / ORDER PER SANDEEP GOSAIN, JM: The present appeal has been filed by the assessee challenging the impugned order dated 20.12.2023, passed u/s…

Dy.Commissioner of Income Tax, Central Circle-1, Aurangabad, Aurangbad vs. Shri Pankaj Ratilal Mugdiya, Aurangabad

In the result, the appeal filed by the Revenue is dismissed

ITA 958/PUN/2024[2021-22]Status: DisposedITAT Pune24 Feb 2025AY 2021-22

Bench: Shri R. K. Panda & Ms. Astha Chandraassessment Year : 2021-22

For Appellant: Shri Jaiprakash BairagraFor Respondent: Shri Arvind Desai, Addl CIT DR
Section 115BSection 131Section 132ASection 143(2)Section 153ASection 69A

…hout any necessity and in such a situation, it is beyond human probability that any prudent person would take risk of carrying huge cash and / or assets in the form of gold. Reliance is placed on the decision of the Supreme Court in Sumati Dayal v. CIT (1995) 214 ITR 801 (SC) wherein it is held that - "This, in our opinion, is a superficial approach to the problem. The matter has to be considered in the light of human probabilities," Similarly the observation of the Supreme Court in the same decision that if it is alleged that these tickets were obtained through fraudulent means, it is upon the alleger to prove t…

Pasupuleti Venkateshwara Rao Pasupleti Balakrishna, Hyderabad vs. ITO-Ward-12(3), Hyderabad

In the result, appeal of the assessee is allowed

ITA 1282/HYD/2024[2017-2018]Status: DisposedITAT Hyderabad24 Feb 2025AY 2017-2018

Bench: Shri Vijay Pal Rao & Shri G. Manjunatha

For Appellant: Shri K. Chandrasekhar Reddy AdvocateFor Respondent: Shri Ashutosh Pradhan, Sr. AR
Section 143(2)Section 143(3)Section 69A

…e of making the impugned addition in the hands of the assessee u/sec.69A of the Act as unexplained cash credit by relying on the decisions of Hon'ble Supreme Court in the case of CIT vs. Durga Prasad More [1971] 82 ITR 540 (SC) and Sumati Dayal vs. CIT [1995] 214 ITR 801 (SC). 8. During the course of hearing, Learned Counsel for the Assessee submitted that the impugned addition of Rs.16 lakhs made by the Assessing Officer is not in accordance with law and even the learned CIT(A) did not properly appreciated the facts of the case that the assessee had in fact deposited a sum of Rs.3,39,000/- only during the demone…

P.Shanmugasundaram (HUF), Erode vs. DCIT Central Circle 3(I/C), Coimbatore

In the result, the appeal stands partly allowed for statistical purposes

ITA 1997/CHNY/2024[2012-13]Status: DisposedITAT Chennai24 Feb 2025AY 2012-13

Bench: Hon’Ble Shri Manoj Kumar Aggarwal, Am & Hon’Ble Shri Manu Kumar Giri, Jm 1.आयकरअपील सं. / Ita No.1995/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri Shanmugasundaram Umashankar Dcit बनाम/ 531, Easwaran Koil Street, Central Circle-3(I/C) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aafpu-0364-C (अपीलाथ"/Appellant) : (" थ" / Respondent) & 2.आयकरअपील सं. / Ita No.1996/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri Shanmugasundaram Karthikeyan Dcit बनाम/ 531, Easwaran Koil Street, Central Circle-3(I/C) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aeepk-4137-L (अपीलाथ"/Appellant) : (" थ" / Respondent) & 3.आयकरअपील सं. / Ita No.1997/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri P. Shanmugasundaram (Huf) Dcit बनाम/ 531, Easwaran Koil Street, Central Circle-3(I/C) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aachp-1597-H (अपीलाथ"/Appellant) : (" थ" / Respondent) अपीलाथ" कीओरसे/ Appellant By : Ms. T.V. Muthu Abirami (Advocate)- Ld.Ar " थ"कीओरसे/Respondent By : Shri R. Clement Ramesh Kumar (Cit)-Ld. Dr सुनवाई की तारीख/Date Of Hearing : 03-12-2024 घोषणा की तारीख /Date Of Pronouncement : 24-02-2025

For Appellant: Ms. T.V. Muthu Abirami (Advocate)- Ld.ARFor Respondent: Shri R. Clement Ramesh Kumar (CIT)-Ld. DR
Section 143(3)Section 234B

…आयकर अपीलीय अिधकरण ‘सी’ "ायपीठ चे"ई म"। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH, CHENNAI माननीय +ी मनोज कुमार अ/वाल ,लेखा सद3 एवं माननीय +ी मनु कुमार िग7र, "ाियक सद3 के सम8। BEFORE HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM AND HON’BLE SHRI MANU KUMAR GIRI, JM 1.आयकरअपील सं. / ITA No.1995/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri Shanmugasundaram Umashankar DCIT बनाम/ 531, Easwaran Koil Street, Central Circle-3(i/c) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./PAN/GIR No. AAFPU-0364-C (अपीलाथ"/Appellant) : (" थ" / Respondent) & 2.आयकरअपील सं. / ITA No.1996/Chny/2024 (िनधा9रणवष9 / Assessme…

Shanmugasundaram Karthikeyan, Erode vs. DCIT Central Circle - 3(I/C), Coimbatore

In the result, the appeal stands partly allowed for statistical purposes

ITA 1996/CHNY/2024[2012-13]Status: DisposedITAT Chennai24 Feb 2025AY 2012-13

Bench: Hon’Ble Shri Manoj Kumar Aggarwal, Am & Hon’Ble Shri Manu Kumar Giri, Jm 1.आयकरअपील सं. / Ita No.1995/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri Shanmugasundaram Umashankar Dcit बनाम/ 531, Easwaran Koil Street, Central Circle-3(I/C) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aafpu-0364-C (अपीलाथ"/Appellant) : (" थ" / Respondent) & 2.आयकरअपील सं. / Ita No.1996/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri Shanmugasundaram Karthikeyan Dcit बनाम/ 531, Easwaran Koil Street, Central Circle-3(I/C) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aeepk-4137-L (अपीलाथ"/Appellant) : (" थ" / Respondent) & 3.आयकरअपील सं. / Ita No.1997/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri P. Shanmugasundaram (Huf) Dcit बनाम/ 531, Easwaran Koil Street, Central Circle-3(I/C) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aachp-1597-H (अपीलाथ"/Appellant) : (" थ" / Respondent) अपीलाथ" कीओरसे/ Appellant By : Ms. T.V. Muthu Abirami (Advocate)- Ld.Ar " थ"कीओरसे/Respondent By : Shri R. Clement Ramesh Kumar (Cit)-Ld. Dr सुनवाई की तारीख/Date Of Hearing : 03-12-2024 घोषणा की तारीख /Date Of Pronouncement : 24-02-2025

For Appellant: Ms. T.V. Muthu Abirami (Advocate)- Ld.ARFor Respondent: Shri R. Clement Ramesh Kumar (CIT)-Ld. DR
Section 143(3)Section 234B

…आयकर अपीलीय अिधकरण ‘सी’ "ायपीठ चे"ई म"। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH, CHENNAI माननीय +ी मनोज कुमार अ/वाल ,लेखा सद3 एवं माननीय +ी मनु कुमार िग7र, "ाियक सद3 के सम8। BEFORE HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM AND HON’BLE SHRI MANU KUMAR GIRI, JM 1.आयकरअपील सं. / ITA No.1995/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri Shanmugasundaram Umashankar DCIT बनाम/ 531, Easwaran Koil Street, Central Circle-3(i/c) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./PAN/GIR No. AAFPU-0364-C (अपीलाथ"/Appellant) : (" थ" / Respondent) & 2.आयकरअपील सं. / ITA No.1996/Chny/2024 (िनधा9रणवष9 / Assessme…

Shanmugasundaram Umashankar, Erode vs. DCIT Central Circle 3(I/C), Coimbatore

In the result, the appeal stands partly allowed for statistical purposes

ITA 1995/CHNY/2024[2012-13]Status: DisposedITAT Chennai24 Feb 2025AY 2012-13

Bench: Hon’Ble Shri Manoj Kumar Aggarwal, Am & Hon’Ble Shri Manu Kumar Giri, Jm 1.आयकरअपील सं. / Ita No.1995/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri Shanmugasundaram Umashankar Dcit बनाम/ 531, Easwaran Koil Street, Central Circle-3(I/C) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aafpu-0364-C (अपीलाथ"/Appellant) : (" थ" / Respondent) & 2.आयकरअपील सं. / Ita No.1996/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri Shanmugasundaram Karthikeyan Dcit बनाम/ 531, Easwaran Koil Street, Central Circle-3(I/C) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aeepk-4137-L (अपीलाथ"/Appellant) : (" थ" / Respondent) & 3.आयकरअपील सं. / Ita No.1997/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri P. Shanmugasundaram (Huf) Dcit बनाम/ 531, Easwaran Koil Street, Central Circle-3(I/C) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aachp-1597-H (अपीलाथ"/Appellant) : (" थ" / Respondent) अपीलाथ" कीओरसे/ Appellant By : Ms. T.V. Muthu Abirami (Advocate)- Ld.Ar " थ"कीओरसे/Respondent By : Shri R. Clement Ramesh Kumar (Cit)-Ld. Dr सुनवाई की तारीख/Date Of Hearing : 03-12-2024 घोषणा की तारीख /Date Of Pronouncement : 24-02-2025

For Appellant: Ms. T.V. Muthu Abirami (Advocate)- Ld.ARFor Respondent: Shri R. Clement Ramesh Kumar (CIT)-Ld. DR
Section 143(3)Section 234B

…आयकर अपीलीय अिधकरण ‘सी’ "ायपीठ चे"ई म"। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH, CHENNAI माननीय +ी मनोज कुमार अ/वाल ,लेखा सद3 एवं माननीय +ी मनु कुमार िग7र, "ाियक सद3 के सम8। BEFORE HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM AND HON’BLE SHRI MANU KUMAR GIRI, JM 1.आयकरअपील सं. / ITA No.1995/Chny/2024 (िनधा9रणवष9 / Assessment Year: 2012-13) Shri Shanmugasundaram Umashankar DCIT बनाम/ 531, Easwaran Koil Street, Central Circle-3(i/c) Vs. Erode-638 001. Coimbatore. "थायीलेखासं./जीआइआरसं./PAN/GIR No. AAFPU-0364-C (अपीलाथ"/Appellant) : (" थ" / Respondent) & 2.आयकरअपील सं. / ITA No.1996/Chny/2024 (िनधा9रणवष9 / Assessme…

Senniappan Karuppana Gounder, Namakkal vs. ITO Ward 2, Thiruchengodu

In the result, appeal filed by the assessee is allowed for statistical purpose

ITA 1464/CHNY/2024[2017-18]Status: DisposedITAT Chennai24 Feb 2025AY 2017-18

Bench: Hon’Ble Shri Manoj Kumar Aggarwal & Hon’Ble Shri Manu Kumar Giriआयकरअपील सं./ Ita No.1464/Chny/2024 (िनधा"रणवष" / Assessment Year: 2017-2018) Senniappan Karuppana Vs. The Income Tax Officer, Gounder, Ward 2, No.22, Pallipalayam Village, Tiruchengode. Kandipudur, Thiruchengodu Taluk, Namakkal Dist 638 006. [Pan: Amypk 7871R] (अपीलाथ"/Appellant) (""यथ"/Respondent) अपीलाथ" क" ओर से/ Appellant By : Shri. Raghav Rejeev Menon, Advocate ""यथ" क" ओर से /Respondent By : Shri. R. Bhoopathi, Addl. Cit. सुनवाई क" तार"ख/Date Of Hearing : 03.02.2025 घोषणा क" तार"ख /Date Of Pronouncement : 24.02.2025 आदेश / O R D E R Per Manu Kumar Giri ()

For Appellant: Shri. Raghav Rejeev Menon, AdvocateFor Respondent: Shri. R. Bhoopathi, Addl. CIT
Section 143(3)Section 69A

…impression that it was used for day to day expenses. 4.3 Nobody can prove the appellant's intentions other than himself but this is a clear instance where the decisions in the cases of CIT v. Durga Prasad More (1971) 82 ITR 540 and Sumati Dayal v. CIT (1995) 214 ITR 801 can be applied where the Supreme Court has laid down Human Probability test as one of the important test in order to check genuineness of the transactions entered into the books of account of the assesses. The Apex court stated that, taxing authorities are not required to put on blinkers while looking at the documents produced before them. Assess…

Sri. D. K Shivakumar, Bangalore vs. The Deputy Commissioner of Income Tax, Central Circle-1(4), Bengaluru

ITA 1064/BANG/2024[2018-19]Status: DisposedITAT Bangalore21 Feb 2025AY 2018-19

Bench: Shri Laxmi Prasad Sahu & Shri Soundarajan Kassessment Year : 2018-19

For Appellant: S/ShriFor Respondent: Shri.Y. V. Raviraj, Sr. Standing Counsel
Section 132(4)Section 143(2)Section 250Section 292CSection 69ASection 69B

…IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH : BANGALORE BEFORE SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER AND SHRI SOUNDARAJAN K, JUDICIAL MEMBER Assessment Year : 2018-19 Shri. D. K. Shivakumar, Vs. DCIT, No.252, “Kenkkeri” 18th Cross, Circle – 1(4), Upper Palace Orchards, Bangalore. Sadashivanagar, Bangalore – 560 080. PAN : AKKPS 1306 F APPELLANT RESPONDENT Assessee by : S/Shri. Chandrasekhar and Narendra Sharma, Advocates Revenue by : Shri.Y. V. Raviraj, Sr. Standing Counsel. Date of hearing : 10.01.2025 Date of Pronouncement : 21.02.2025 O R D E R Per Laxmi Prasad Sahu, Accountant Member This is an appeal…

Three Seasons Ware Housing, Kakinada vs. Income Tax Officer, Ward-1, Kakinada

In the result, appeal of the assessee is allowed

ITA 286/VIZ/2023[2018-19]Status: DisposedITAT Visakhapatnam20 Feb 2025AY 2018-19

Bench: Shrik Narasimha Chary, Hon’Ble & Shri S Balakrishnan, Hon’Bleआयकर अपीलसं./ I.T.A.286/Viz/2023 (निर्धारण वर्ा/ Assessment Year: 2018-19) Three Seasons Ware Housing, Vs. Income Tax Officer, Kakinada. Ward-1, Pan: Aajft4738R Kakinada. (अपीलधर्थी/ Appellant) (प्रत्यर्थी/ Respondent) अपीलधर्थीकीओरसे/ Assessee By : Sri Gvn Hari, Ar प्रत्यधर्थीकीओरसे/ Revenue By : Dr. Satyasai Rath, Cit-Dr

For Appellant: Sri GVN Hari, ARFor Respondent: Dr. Satyasai Rath, CIT-DR
Section 133(6)Section 142(1)Section 143(2)Section 143(3)Section 68

…unexplained cash credit. 6. Per contra, the Learned Departmental Representative (“Ld. DR”) heavily relied on the orders of the Ld. Revenue Authorities. The Ld. DR relied on the judgment of the Hon’ble Supreme Court in the case of Sumati Dayal vs. CIT [1995] 214 ITR 801 (SC) and pleaded that since the three ingredients necessary for establishing the genuinity of the transactions was not proved by the assessee, the addition made U/s. 68 of the Act by the Ld. AO be upheld. 7. We have heard both the sides and perused the material available on record as well as the orders of the Ld. Revenue Authorities. Since the a…

DCIT 19(1), Mumbai vs. Pavan Kumar B Chandan, Mumbai

In the result, the appeal of the Revenue is dismissed

ITA 2592/MUM/2023[2015-16]Status: DisposedITAT Mumbai18 Feb 2025AY 2015-16

Bench: Shri Narender Kumar Choudhry & Shri Prabhash Shankar

For Appellant: Shri Devendra Jain,ARFor Respondent: Shri Mahesh Pamnani (Sr.DR)
Section 143(3)Section 68Section 69

…in the buyers' bank accounts cannot be attributed to the assessees. No fault can be found with the above finding recorded by the Tribunal. 15. Reliance placed by the counsel for the Revenue on the decision of the apex court in the case of Sumati Dayal [1995] 214 ITR 801 is wholly misplaced. In that case, the assessee therein had claimed income from horse races and the finding of fact recorded was that the assessee therein had not participated in races, but purchased winning tickets after the race with the unaccounted money. In the present case, the documentary evidence clearly shows that the transactions were at…

Radha Gupta, Kala Mahal, Agra vs. Income Tax Officer-2(1)(3), Agra

Appeal are dismissed

ITA 102/AGR/2024[2017-18]Status: DisposedITAT Agra17 Feb 2025AY 2017-18

Bench: : Shri Satbeer Singh Godara & Shri Manoj Kumar Aggarwalassessment Year: 2017-18

Section 143(3)Section 234ASection 69A

…IN THE INCOME TAX APPELLATE TRIBUNAL, AGRA BENCH, AGRA BEFORE : SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER AND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER Assessment Year: 2017-18 Radha Gupta, 29/285B, Katra Vs. Income-tax Officer Hazi Hasan, Kala Mahal, Agra. Ward 2(1)(3), Agra. PAN : ABVPG6150B (Appellant) (Respondent) Assessee by Sh. Anurag Sinha, Advocate Department by Sh. Shailendra Shrivastava, Sr. DR Date of hearing 17.02.2025 Date of pronouncement 17.02.2025 ORDER Per Satbeer Singh Godara, Judicial Member: This assessee’s appeal for assessment year 2017-18, arises against the Commissioner of Income…

Deputy Commissioner of Income Tax Central Circle-1(3), Nagpur vs. M/S. Fuelco Coal India Ltd., Nagpur

Appeal of the Revenue is dismissed

ITA 90/NAG/2022[2014-15]Status: DisposedITAT Nagpur14 Feb 2025AY 2014-15

Bench: Shri V. Durgarao & Shrik.M. Roy, Accountant, Member

For Appellant: Shri Kishore P. DewaniFor Respondent: Shri Sandipkumar Salunke
Section 143(2)Section 143(3)Section 36(1)(iii)Section 40Section 40aSection 68

…creditworthiness of the investor M/s Saphire Marketing Pvt Ltd is not established. 4. The AO has relied on various judicial decisions, more prominent being decision of H'ble Supreme Court in the case of CIT vs P. Mohanakala [2007] [6 SCC 2] and Sumati Dayal [214 ITR 801] and held that facts and circumstances of the impugned case are similar to those covered by the above mentioned judicial decisions. The AO has invoked the proviso to section 68 of the Act and held that creditworthiness of the investor M/s Saphire Marketing Pvt Ltd and genuineness of the transaction are not established. 4.1.2 I have carefully peru…

Shri Ashok Kumar, Firozabad vs. ITO, Ward 2(2)(1), Firozabad

Appeal is partly allowed

ITA 103/AGR/2023[2014-15]Status: DisposedITAT Agra13 Feb 2025AY 2014-15

Bench: : Shri Satbeer Singh Godara & Shri Manoj Kumar Aggarwalassessment Year: 2014-15

Section 147

…his bounden duty to explain the genuineness thereof which he has failed even to prove the source of the transactions. His stand by some concocted story(ies) could hardly be accepted on the test of human probabilities in light of Sumati Dayal v/s CIT (1995) 214 ITR 801(SC) as he has not been able to explain the foregoing plea of partnership firm. The fact however remains that possibility of some accumulated past 2 | P a g e savings of his family members could also not be ruled out keeping in mind the assessee’s socio-economic status. We, therefore, deem it appropriate to grant a lump sum relief of Rs.10,00,000…

Pr. Commissioner Oflncome Tax Delhi - 5 vs. Mrs. Rowena Sharma

ITA/1220/2018HC Delhi11 Feb 2025

Bench: HON'BLE MR. JUSTICE HARISH VAIDYANATHAN SHANKAR,HON'BLE MR. JUSTICE YASHWANT VARMA

Section 68Section 69Section 69ASection 80

…assessee's own undisclosed income. xxxx xxxx xxxx 12. On the issue of unexplained credit entries/share capital, we have examined the following judgments: 12.1. In Sumati Dayal v. CIT [Sumati Dayal v. CIT, 1995 Supp (2) SCC 453 : (1995) 214 ITR 801] this Court held that: (SCC p. 456, para 4) ―4. … if the explanation offered by the assessee about the nature and source thereof is, in the opinion of the assessing officer, not satisfactory, there is prima facie evidence against the assessee viz. the receipt of money, and if he fails to rebut the same, the said evidence being unrebutted c…

Deputy Commissioner of Income Tax, Kolkata vs. Dollar Holding Pvt. Ltd., Kolkata

In the result, both the appeals of the Revenue are dismissed

ITA 1729/KOL/2024[2017-18]Status: DisposedITAT Kolkata11 Feb 2025AY 2017-18

Bench: Shri Rajesh Kumar, Am & Shri Pradip Kumar Choubey, Jm

For Appellant: Shri A.K. Tulsyan, ARFor Respondent: Shri Abhijit Kundu, DR
Section 14ASection 68Section 69C

…eferred appeal before the Appellate Tribunal, the Tribunal confirmed the findings recorded by the Appellate Authority. The Tribunal referred to the decision of CIT v. Durga Prasad More [1971] 82 ITR 540 (SC) and also in Sumati Dayal v. CIT [1995] 80 Taxman 89/214 ITR 801 (SC), to further record on the basis of the facts that the assessee had furnished the details such as copy of ledger account, bank statements, income tax returns, balance sheet etc. It was also recorded that notice under section 133(6) of the Act was issued to the said parties which were duly responded by them. The identity of the parties could n…