This article examines the tribunal decision in ITA No.5085/Del/2019, where Ram Dhari Goyal from New Delhi contests the assessment procedures following unexplained cash deposits during the assessment year 2010-11.
Ram Dhari Goyal faced an assessment under Section 147 of the Income Tax Act after it was discovered he had deposited Rs. 30,33,663 in his savings account without filing a tax return for the year. The case highlights issues of non-compliance and procedural enforcement under tax laws.
During the assessment, Goyal failed to respond to multiple notices, leading to an assessment under Section 144. The subsequent appeal was dismissed by the CIT(A), which led Goyal to challenge the findings at the ITAT, focusing on both the procedural aspects and the substantive merit of the tax addition.
The tribunal upheld the assessment, noting the lack of compliance and the absence of substantiated evidence from Goyal regarding the source of the deposits. This decision underscores the critical nature of compliance in tax proceedings and the robust framework provided by Sections 147 and 144 for handling such cases.
This case serves as a significant reference point for understanding the implications of non-compliance and the judicial reliance on statutory provisions to resolve tax disputes related to unexplained income.
Challenging the Assessment of Unexplained Cash Deposits: Ram Dhari Goyal, AY 2010-11
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