Gurmeet Kaur Khurana Vs ITO (ITAT Chandigarh)
The relevant facts of the case are that the assessee had invested an amount of Rs.6 lacs for immovable property with M/s Bajwa Developers Ltd. The investment was made vide cash payments. The transaction was flagged. It was noticed that no tax return was filed by the assessee. Accordingly, notices etc. were issued to the assessee.
In response thereto, a return declaring income of Rs.6,15,659/- was filed by the assessee. The Assessing Officer in the order passed u/s 143(3)/147 held that the assessee failed to explain the same. Accordingly, addition of Rs.6 lacs was made.
On merits, it is seen that the deposit of Rs.6 lacs made by the assessee from the sources of funds stand fully addressed. Copies of the statement of the bank accounts of the assessee are at pages 1 & 2 from 01.04.2011 to 02.12.2011 of Account No.55080023582 in SBI; at page 3 copy of assessee’s husband’s Account No.10883085576, Branch Code : 628 is available from 01.04.2011 to 06.04.2011 and at page 4 copy of Account No.55062933389 of Shri Kanwaldeep Singh (son of the assessee ) evidencing withdrawals from State Bank of India account for the specific period i.e. 04.04.2011 to 06.04.2011 are seen. On a consideration thereof, I find no good reason let alone a reason why the explanation offered duly supported by facts should not have been accepted. Satisfied by the evidence on record of the First Appellate Authority also relied upon before the ITAT setting aside the order, the addition sustained is directed to be deleted.
FULL TEXT OF THE ORDER OF ITAT CHANDIGARH
The present appeal has been filed by the assessee wherein the correctness of the order dated 09.09.2021 of CIT(A) (NFAC i.e. National Faceless Appeal Centre) Delhi pertaining to 2012-13 assessment year is assailed on the following grounds :
1. On the facts and circumstances of the case the Ld. Commissioner of Income Tax (Appeals) has erred in upholding the assessment order not in violation of the principles of natural justice whereby no opportunity was provided to the assessee to present evidence and explanation during assessment proceedings due to service of the notices on wrong address. The Appellant prays that the order so passed be held as bad in law.
2. On the facts and in the circumstances of the case and in law, Ld. Commissioner of Income Tax Appeals erred in upholding the addition of Rs. 6.00.000.00 u/s 69A of the Income Tax Act. 1961 (the Act), when the assessee has provided evidence of the source of the payments. Appellant prays that the addition may be deleted and the tax levied be withdrawn.
3. The appellant craves leave to add, amend or delete any of the ground of appeal before the same in taken up for final disposal.
2. Both the parties were heard.
3. The relevant facts of the case are that the assessee had invested an amount of Rs.6 lacs for immovable property with M/s Bajwa Developers Ltd. The investment was made vide cash payments. The transaction was flagged. It was noticed that no tax return was filed by the assessee. Accordingly, notices etc. were issued to the assessee.
3.1 In response thereto, a return declaring income of Rs.6,15,659/- was filed by the assessee. The Assessing Officer in the order passed u/s 143(3)/147 held that the assessee failed to explain the same. Accordingly, addition of Rs.6 lacs was made. The table of Chart of payments extracted in the assessment order for the sake of completeness is reproduced hereunder:
3. As per the information received from the Deputy Director of Income Tax (Inv.), Mohali, the assessee has made following payments:
