Case Number: ITA 5897/DEL/2019
Appellant: Jitendra Kumar Yadav, Delhi
Respondent: ITO WARD – 35(4), New Delhi
Assessment Year: 2009-10
Order Type: Final Tribunal Order
Date of Order: 2023-10-06
Pronounced On: 2023-10-06
Case Filed On: 2019-07-08
This appeal, filed by the assessee, is directed against the order dated 27th May, 2019 of the CIT(A)-34, New Delhi, relating to the Assessment Year 2009-10. The appellant, Jitendra Kumar Yadav, is challenging the disallowance of agricultural income and a cash gift received from his father, which were added to his taxable income by the Assessing Officer (AO) under section 143(3) of the Income Tax Act, 1961.
The grounds of appeal raised by the assessee are as follows:
“1. That on the facts and circumstances of the case and the provision of the law, the Ld CIT (A) has failed to appreciate that the impugned order passed by the Ld AO under Section 143(3) of the Income Tax Act is illegal and bad in law.
2. That on the facts and circumstances of the case and the provisions of law, the Ld CIT (A) has erred in sustaining an addition of Rs. 15,00,000/- on account of agricultural income by treating the same as income from undisclosed sources.
3. That on the facts and circumstances of the case and the provisions of law, the Ld CIT (A) has erred in sustaining the addition of Rs. 22,00,000/- on account of Gift received in Cash from Father, Shri. Phool Chand Yadav.”
In the assessment year under consideration, the assessee had shown agricultural income of Rs. 15 lakhs. The AO asked for details to substantiate this income, and the assessee provided copies of Khasra, Khatoni, and receipts. However, the AO noted that the land was owned by the assessee’s father, Sh. Phool Chand Yadav, and not the assessee. Given the relatively small amounts of agricultural income shown in prior years (Rs. 52,000/- and Rs. 1,10,000/- for AYs 2007-08 and 2008-09 respectively), the AO found the current year’s agricultural income excessive and added it to the assessee’s taxable income.
Regarding the cash gift, the assessee claimed to have received Rs. 22 lakhs from his father. The AO found discrepancies in the cash withdrawals and gift details, leading to the addition of this amount to the taxable income.
Aggrieved by the AO’s decision, the assessee appealed to the CIT(A), who upheld the AO’s additions. The CIT(A) noted the lack of evidence of ownership of land and agricultural activity, as well as inconsistencies in the gift transactions.
The case was heard by the Delhi Bench of the Income Tax Appellate Tribunal (ITAT) on 3rd October 2023. The Tribunal consisted of Shri Shamim Yahya, Accountant Member, and Shri Yogesh Kumar US, Judicial Member. Despite multiple notices, no one appeared on behalf of the assessee, and the Revenue was represented by Ms. Deepti Chandola, Sr. DR.
Upon review, the Tribunal agreed with the CIT(A)’s findings. It was noted that the land belonged to the assessee’s father, and there was no substantial evidence of agricultural activity or expenses. The Tribunal upheld the CIT(A)’s decision to treat the Rs. 15 lakhs as income from other sources.
The Tribunal also examined the issue of the Rs. 22 lakhs cash gift. It was found that the gift details did not match the bank withdrawals, and there were suspicions about the genuineness of the transactions. The Tribunal upheld the CIT(A)’s decision to treat the gift as income from undisclosed sources.
In conclusion, the ITAT dismissed the appeal filed by Jitendra Kumar Yadav. The Tribunal upheld the additions made by the AO and sustained by the CIT(A) regarding the disallowance of agricultural income and the cash gift from the assessee’s father.
Order: The appeal is dismissed.
Pronounced on: 6th October, 2023
Accountant Member: Shamim Yahya
Judicial Member: Yogesh Kumar US
Copy forwarded to:
1. Assessee
2. Respondent
3. CIT
4. CIT(A)
5. DR
Asstt. Registrar, ITAT, New Delhi
Jitendra Kumar Yadav vs ITO WARD – 35(4), New Delhi – Disallowance of Agricultural Income and Gift
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