Annasaheb Ramesh Chhaganlal Ajmera Nagari Sahakari Patsanstha Ltd. Vs ACIT (ITAT Pune)
Income Tax Appellate Tribunal (ITAT) Pune has set aside the matter involving unexplained cash deposits of ₹1.04 crore by Annasaheb Ramesh Chhaganlal Ajmera Nagari Sahakari Patsanstha Ltd. for fresh adjudication by the Commissioner of Income Tax (Appeals) [CIT(A)]. The case pertains to Assessment Year (AY) 2012-13, where the Assessing Officer (AO) treated the deposits as unexplained income under Section 144 read with Section 147 of the Income Tax Act. The cooperative society argued that the deposits originated from loan recoveries and withdrawals recorded in its audited books. However, the CIT(A) rejected this claim, citing the absence of an audit report and tax return filings. The AO maintained that the identity, creditworthiness, and genuineness of transactions were not substantiated, leading to the addition of the amount as unexplained income.
During the ITAT proceedings, the assessee highlighted that for AYs 2013-14 and 2014-15, similar issues had been remanded to the CIT(A) for fresh adjudication. Additionally, for AY 2016-17, the AO had accepted the source of cash deposits under comparable circumstances. Given this background, ITAT Pune deemed it appropriate to remand the matter to the CIT(A) for a fresh review, allowing the assessee an opportunity to present the necessary documentary evidence. The tribunal emphasized that the CIT(A) must fairly assess the explanation and supporting records while adjudicating the case. The appeal was thus allowed for statistical purposes.
