Sasi Kiran Sunkara Vs DCIT (ITAT Hyderabad)
ITAT Hyderabad: Unexplained Fixed Deposits—Matter Remanded to Verify Parental Funding and Money Trail
The Hyderabad Bench of the ITAT set aside the NFAC/CIT(A) order sustaining an addition of ₹6.40 crore as unexplained investment under section 69 for AY 2022-23. The assessee had made substantial fixed deposits in Union Bank of India and claimed the source to be funds received from his parents—₹1 crore from his father and the balance from his mother, including amounts arising from sale of her properties. While the lower authorities rejected the explanation citing mismatch of dates and inadequate income disclosed by the parents, the Tribunal noted that the assessee produced bank statements evidencing transfers and additional documents, including sale deeds in the mother’s hands, explaining the source.
Since these materials were not examined by the Assessing Officer earlier, the Tribunal remanded the matter for fresh verification of the money trail, dates, and source in the parents’ hands. The AO was directed to delete the addition if the source is satisfactorily explained upon verification. The appeal was allowed for statistical purposes
FULL TEXT OF THE ORDER OF ITAT HYDERABAD
This appeal filed by the assessee is directed against the order of the learned Commissioner of Income Tax (Appeals), – Hyderabad – 11, dated 03.06.2025, pertaining to the assessment year 202223.
