Case Number: ITA 1016/DEL/2021
Appellant: Anuj Bansal, New Delhi
Respondent: ACIT, CC-14, New Delhi
Assessment Year: 2017-18
Result: 2017-18
Case Filed on: 2021-08-26
Order Type: Final Tribunal Order
Date of Order: 2022-04-29
Pronounced on: 2022-04-29
This case involves an appeal filed by Anuj Bansal against the order dated 16.08.2021, passed by the Commissioner of Income Tax (Appeals)-27, New Delhi, concerning the assessment year 2017-18. The dispute pertains to the addition made under Section 68 of the Income Tax Act, 1961, regarding unexplained cash deposits and procedural issues related to approvals under Section 153D.
The pertinent facts relevant to the adjudication of the case are as follows:
The core issue to be adjudicated was the validity of the additions made under Section 68 and the procedural correctness of the approval given under Section 153D.
The assessee argued that the cash deposits were part of regular business transactions, with money received in advance through banking channels before the delivery of gold. The assessee contended that all mandatory documents were obtained, and there was no control over the online bank transactions of the entities involved.
The Revenue, represented by the Senior Departmental Representative (Sr. DR), relied on the orders of the AO and CIT(A), arguing that the approval under Section 153D was valid and the additions were justified.
The Tribunal examined the facts of the case and noted several inconsistencies and procedural lapses in the approval process under Section 153D. The Tribunal observed that:
The Tribunal cited several judicial precedents to support its findings and held that the approval given under Section 153D was invalid due to non-application of mind. Consequently, the assessment order was vitiated.
The Tribunal held that the CIT(A) erred in sustaining the addition made by the AO under Section 68. The appeal of the assessee was allowed, and the AO was directed to delete the addition.
Order: In the result, the appeal of the assessee is allowed.
Order Pronounced in the Open Court on 29/04/2022.
-Sd/- (N. K. Choudhry, Judicial Member)
-Sd/- (R. K. Panda, Accountant Member)
Date: 29/04/2022
Copy forwarded to:
Assistant Registrar
ITAT, New Delhi
Anuj Bansal vs. ACIT: Addition of Income Scrutiny for AY 2017-18
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