Nirmal Singh Vs DCIT (ITAT Chandigarh)
The assessee appealed against the order of the Commissioner of Income Tax (Appeals), NFAC, relating to Assessment Year 2017-18. The assessment had been completed under Section 144, wherein the Assessing Officer added cash deposits of ₹10.02 lakh. The CIT(A) accepted the assessee’s submissions in part, granting relief of ₹3 lakh while sustaining an addition of ₹7.02 lakh. The assessee challenged the sustained addition and sought admission of additional evidence, stating that he is an agriculturist and can substantiate the remaining deposits. The Senior Departmental Representative opposed any interference with the CIT(A)’s order.
Considering the principles of natural justice and the additional evidence produced, the Tribunal accepted the assessee’s request. The matter was restored to the CIT(A) for de novo adjudication of the sustained addition of ₹7.02 lakh, with a direction that the assessee must promptly plead and prove his case. The appeal was allowed for statistical purposes. The order was pronounced on 27 November 2025.
FULL TEXT OF THE ORDER OF ITAT CHANDIGARH
1. Aforesaid appeal by assessee for Assessment Year (AY) 2017-18 arises out of an order of learned Commissioner of Income Tax (Appeals), NFAC [CIT(A)] dated 08-07-2025 in the matter of an assessment framed by Ld. Assessing Officer [AO] on best judgment basis u/s 144 of the Act on 24-11-2019. In the assessment order, Ld. AO made addition of cash deposit for Rs.10.02 Lacs. The Ld. CIT(A), considering assessee’s submissions, allowed partial relief of Rs.3 Lacs but sustained addition of Rs.7.02 Lacs. Aggrieved, the assessee is in further appeal before us. The Ld. AR seeks admission of additional evidences. It has been stated that the assessee is an agriculturist and would be in a position to substantiate the remaining deposits. The Sr. DR has opposed any interference in the impugned order.
