Dr. Anbu Selvan Vs ITO (ITAT Chennai)
Income Tax Appellate Tribunal (ITAT) Chennai has remitted the case of Dr. Anbu Selvan against the Income Tax Officer (ITO) back to the Assessing Officer (AO) for fresh adjudication. The Tribunal’s decision centered on the AO’s failure to provide specific details regarding a disputed transaction of Rs. 50.5 lakh, which had been added to Dr. Selvan’s income as unexplained money.
The appeal, filed by Dr. Anbu Selvan, challenged an order dated February 13, 2024, passed by the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi, for the assessment year 2016-17. The appeal was admitted despite a delay of 279 days, with the Tribunal accepting the assessee’s explanation for the delay as bonafide.
The core of the dispute revolved around an addition of Rs. 50,50,000/- made to Dr. Selvan’s income. This amount was identified by the Department as a payment related to the purchase of property in Ambattur. Dr. Selvan, an individual, had filed his return of income on November 7, 2016, declaring a total income of Rs. 1,58,680/-. Following information available with the department, the AO initiated reassessment proceedings by issuing a notice under Section 148 of the Income Tax Act, 1961, on March 30, 2021. Subsequent notices under Sections 143(2) and 142(1) were also issued.
