ITO Vs Vineet Maini (ITAT Delhi)
“On-Money” Needs Evidence: ITAT Rejects ₹23.50 Lakh Addition Based on Builder’s Search Material
Revenue’s Appeal Fails on Tax Effect and Merits
The Delhi Bench of the Income Tax Appellate Tribunal, in ITO v. Vineet Maini, dismissed the Revenue’s appeal concerning an alleged on-money payment of ₹23.50 lakh for a property in an Omaxe group project.
The Tribunal noted that the tax effect of ₹18.33 lakh was below the ₹60 lakh monetary limit referred to in CBDT Circular No. 9/2024 dated 17 September 2024. It also examined the merits and found that the allegation rested on an inference drawn from material seized from the builder, without actual evidence showing that the assessee had paid or acknowledged the alleged amount. The ₹60 lakh ITAT threshold under Circular No. 9/2024 is also reflected in TaxGuru’s discussion of departmental appeals. [TaxGuru](https://taxguru.in/income-tax/appeal-income-tax-appellate-tribunal-itat.html?utm_source=chatgpt.com)
The decision concerned Assessment Year 2020-21, in ITA No. 6696/Del/2026. Pasted text
Builder’s Search Led to Allegation Against the Buyer
The dispute arose from reassessment proceedings under Section 147 of the Income-tax Act, 1961.
The Assessing Officer framed the assessment/reassessment on 7 March 2025, alleging that the assessee had made unexplained investments of ₹23.50 lakh. The amount was described as on-money paid to the Omaxe group in connection with its project, “The Lake Chandigarh”.
