Krintesh Rameshbhai Vs DCIT (ITAT Ahmedabad)
ITAT Ahmedabad imposed cost of Rs. 5,000 for non-compliance before CIT(A) and held that the assessee can’t simply escape by placing the blame on the Tax Consultant. Thus, matter restored back to the file of AO.
Facts- The return of the assessee was selected for scrutiny under CASS. In the course of assessment, the assessee had made compliance only once vide letter dated 07.09.2018 and thereafter no compliance was made by the assessee. The AO had found that the assessee had made total cash deposit of Rs.54,94,100/- in his bank accounts. In the absence of any explanation the entire cash deposit of Rs.54,94,100/- was treated as unexplained by the AO and added to income u/s 69A of the Act.
First Appellate Authority dismissed the appeal. Being aggrieved, the present appeal is filed.
Conclusion- Since, the matter was not examined on merits, as the assessee didn’t make proper compliance in the assessment and no compliance at all in the appellate proceeding, we deem it proper to set aside the matter to the file of the AO with a direction to allow another opportunity to the assessee to furnish the required documents & to explain the cash deposits in the bank account and thereafter to decide the matter on merits.
