Mukesh Vs ITO (ITAT Delhi)
Summary: The Delhi Bench of the Income Tax Appellate Tribunal considered an appeal filed by the assessee against the order dated 07.02.2026 passed by the Commissioner of Income-tax (Appeals), ADDL/JCIT(A)-9, Mumbai/NFAC, arising from the assessment order dated 18.12.2019 passed under Section 143(3) read with Section 147 of the Income-tax Act, 1961 for AY 2012-13. The appeal before the Tribunal arose from the first appellate order passed under Section 250.
The dispute concerned a cash deposit of Rs. 23,00,000/- which had been added to the assessee’s income under Section 69A. According to the assessee’s case, the amount belonged to her husband, Shri Sukhpal Singh, and represented sale proceeds from popular trees and mangoes. The cash was received in April 2011 and the entire amount was deposited in the assessee’s bank account in one transaction on 09.04.2011, allegedly to secure the marriage of their daughter which took place in 2013.
The Tribunal observed that all relevant details had apparently not been duly placed before the authorities below and consequently had not been considered in their proper perspective. It further noted that, despite certain evidence having been furnished before the CIT(A), no remand report was called for and the addition was confirmed unilaterally.
Before the Tribunal, the assessee furnished the complete set of supporting documents, comprising an affidavit of Shri Sukhpal Singh admitting ownership of the money; revenue records including Khasra and Khatauni establishing ownership and possession of agricultural land; affidavits of the purchasers; geo-tagged location and evidence showing the existence of agricultural land and plantation; bank records and other supporting documents; and Dharam Kanta parchies/weighment slips filed as additional evidence showing the weight, rate, amount and receipt of sale consideration.
On examination of the evidence, the Tribunal found that the source of the Rs. 23,00,000/- cash deposited by the assessee’s husband in the assessee’s bank account on 09.04.2011 was justified. It accepted that the amount represented sale proceeds of standing popular trees and mangoes sold in March 2011. On that finding, the Tribunal deleted the entire addition made under Section 69A.
The appeal filed by the assessee was accordingly allowed.
FULL TEXT OF THE JUDGMENT/ORDER OF ITAT DELHI
The instant appeal filed by the assessee is directed against the order dated 07.02.2026 passed by the Ld. Commissioner of Income-tax (Appeals) ADDL/JCIT(A)-9, Mumbai, [hereinafter referred to as the Ld. CIT(A)/NFAC] under Section 250 of the Income Tax Act, 1961 arising out of the Assessment Order dated 18.12.2019 passed by the Assessment Unit, Income-tax Department (hereinafter referred to as ‘the ld. AO’) under Section 143(3)/147 of the Income Tax Act, 1961 (‘Act’ for short) for Assessment Year 2012-13.
2. The matter relates to cash deposit to the tune of Rs. 23,00,000/- which was added in the hands of the Assessee under Section 69A of the Act. In fact the said amount was deposited by the husband of the Assessee out the sale proceeds particularly the receipt out of sale of popular tress and mangoes in the bank account of the Assessee in order to secure the marriage of the daughter which took place in 2013 itself as the case of the assessee. The cash was received in the month of April 2011 and in one stroke on 09.04.2011 the entire was deposited in the bank account of the Assessee. It appears that all the details were not duly placed before the authorities below and therefore, the consideration of the same has not been done in its proper perspective. However, we also find on record that inspite of certain evidences being furnished before the Ld. CIT(A), no remand report was called for and unilaterally the addition was confirmed by the Ld. CIT(A) in the hands of the Assessee.
3. Before us the entire set of following documents were duly furnished:
“1. Affidavit of Shri Sukhpal Singh admitting ownership of the money.
2. Revenue records including Khasra and Khatauni establishing ownership and possession of agricultural land.
3. Affidavits of the purchasers.
4. Geo-tagged location and evidence showing existence of agricultural land and plantation.
5. Bank records and other supporting documents.
6. Dharam Kanta parchies/weighment slips (filed as additional evidence before this Hon’ble Tribunal) showing weight, rate, amount and receipt of sale consideration.”
4. Examination of the substantial evidences duly placed before us establish that the source of cash deposit made by the husband of the assessee amounting to Rs. 23,00,000/- in the bank account on 09.04.2011 is justified as the same is admittedly out of the sale proceeds of the standing popular trees and mangoes in the month of March, 2011 itself. The entire addition is thus, deleted.
5. In the result, Appeal filed by the Assessee is allowed.
Order pronounced in the open court on 19/08/2026.
