Mayanna Jayaram Amithanjali Vs ITO (ITAT Bangalore)
Bangalore ITAT Remands Section 69A Addition; Directs Verification of Claim That Cash Deposits Belonged to Mother-in-Law’s Liquor Business
The Bangalore Bench of the Income Tax Appellate Tribunal considered the appeal of Mayanna Jayaram Amithanjali for Assessment Year 2020-21 against the order dated 15 October 2025 passed by the National Faceless Appeal Centre, which had upheld the assessment order dated 19 February 2025 passed under sections 147 read with 144 and 144B of the Income-tax Act, 1961. The appeal before the Tribunal was delayed by two days, which was condoned after the Tribunal found sufficient cause.
The reassessment proceedings originated from information received by the Income Tax Department regarding cash deposits of Rs. 81,19,700 in the assessee’s Axis Bank account. A notice under section 148A(b) was issued on 28 February 2024. As there was no response, notice under section 148 followed. The assessee subsequently filed a return on 25 March 2024 declaring income of Rs. 4,71,289 under section 44AD on gross business receipts of Rs. 36,25,300. Since the assessee did not respond to subsequent statutory notices and reminders, a show-cause notice under section 144 was issued on 9 December 2024. In response dated 28 January 2025, the assessee submitted financial records relating to her mother-in-law, Smt. M. H. Padmavathi, and her husband, Shri K. S. Raghu Kumar.
