Balwinder Singh Vs ITO (ITAT Amritsar)
Agricultural income & prior cash withdrawal explain demonetisation deposits; ITAT Amritsar deletes Section 69A & 115BBE
Amritsar allowed Assessee’s appeal & deleted addition of ₹26.73 lakh u/s 69A & consequential invocation of s.115BBE relating to cash deposits during demonetisation. Tribunal noted that Assessee is an agriculturist with substantial landholdings (own & leased), supported by Jamabandi, J-Forms, crop loan documents & hypothecation agreements, evidencing genuine agricultural operations. It was further found that ₹30 lakh cash withdrawal on 26-04-2016 from the crop loan account was available & remained partly unutilised, & agricultural income accrued till Nov-2016 was also available for redeposit. Revenue failed to bring any material to show utilisation of withdrawn cash elsewhere or to disprove agricultural activity. Taking a pragmatic & holistic view, Tribunal held that deposits stood satisfactorily explained from agricultural income & earlier withdrawals; hence, s.69A addition was unsustainable & s.115BBE could not be applied. Appeal was allowed
FULL TEXT OF THE ORDER OF ITAT AMRITSAR
This appeal is filed by the assessee against the order of the ld. CIT(A) NFAC, Delhi dated 30.10.2024 passed u/s 250 of the Income Tax Act, 1961 which has emanated from the order of the ITO, Ward-1, Moga passed u/s 144 of the Act, dated 06.12.2019.
