9911796707
TMI Blog2024 (11) TMI 820X X X X Extracts X X X X X X X X Extracts X X X X ..... ase has held that enhance rate prescribed under section 115BBE is not applicable for AY 2017-18, reference is made in case of Samir Shantilal Mehta [ 2023 (5) TMI 1279 - ITAT SURAT] Arjunsinh Harisinh Thakor [ 2023 (6) TMI 770 - ITAT SURAT] and in Jitendra Nemichand Gupta [ 2023 (6) TMI 1338 - ITAT SURAT] and Punjab Retail Pvt. Ltd [ 2021 (11) TMI 405 - ITAT INDORE] and Sandesh Kumar Jain [ 2022 (11) TMI 126 - ITAT JABALPUR] In the result, ground of the appeal is partly allowed. - Shri Pawan Singh, Judicial Member For the Assessee : Shri Sapnesh R Sheth, CA For the Revenue : Shri Mukesh Jain, Sr-DR ORDER UNDER SECTION 254(1) OF INCOME TAX ACT PER PAWAN SINGH, JUDICIAL MEMBER: 1. This appeal by assessee is directed against the order of National Faceless Appeal Centre, Delhi [for short to as NFAC/Ld. CIT(A) ] dated 24.01.2024 for assessment year 2017-18, which in turn arises out of assessment order passed by the Assessing Officer under section 143(3) of the Income Tax Act, 1961 (hereinafter referred to as the Act ) dated 04.12.2019. The assessee has raised the following grounds of appeal:- 1. On the facts and circumstances of the case as well as law on the subject, the learned CIT( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rnish source of opening cash balance, which assessee failed to furnish. The Assessing Officer after recording his finding in para-6.4 in assessment order held that assessee claimed cash-in-hand of Rs. 25,31,314/- as on 31.10.2016. The demonetization period started from 08.11.2016. On 11.11.2016, the assessee deposited only Rs. 25,000/- in Corporation Bank, Rs. 3,000/- on 12.11.2016 and Rs. 99,000/- on 15.11.2016. The pattern of cash deposits continued in similar way and assessee deposited cash in different bank accounts. In absence of satisfactory source of such cash deposit, Assessing Officer made addition under section 68 of the Act of Rs. 27,17,000/- and taxed the same under section 115BBE of the Act, in assessment order passed on 04.12.2019. 3. Aggrieved by the additions made in the assessment order and taxing such additions at the enhanced rate under section 115BBE, the assessee filed appeal before Ld. CIT(A). Before Ld. CIT(A), assessee filed written submission and submission of assessee is recorded in para-3 of the order of Ld. CIT(A). The assessee in his submission, submitted that after claiming deduction under 80C amounting to Rs. 1,50,000/- and 80TTA amounting to Rs. 6,77 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee received his agricultural income of Rs. 27,73,724/- and after excluding agricultural expenses of Rs. 11,09,490/-, the net agricultural income comes to Rs. 16,64,234/-, the assessee furnished extract of Form-7/12 and Form-8A and agriculture bills to substantiate his agricultural income. In addition to, the assessee also availed agricultural loan from Bank of Baroda and Dena Bank. The assessee also stated that in assessment years 2015-16, he has disclosed agricultural income of Rs. 6,57,409/- and in assessment year 2016-17 of Rs. 2,87,660/-. So far as cash balance available in hand, the assessee stated that in ITR Form-4 for assessment years 2013-14 and 2012-13, assessee has shown cash-in-hand Rs. 8,25,082/- and Rs. 9,66,166/- respectively. Thus, cash deposit during demonetization period was fully justified. On taxing the addition under section 115BBE @ 60%, assessee stated that such provisions are applicable only prospectively and not for AY 2017-18. 4. The Ld. CIT(A) after considering the submission of assessee noted that assessee filed return of income for assessment year 2017-18 on 15.03.2018 declaring income of Rs. 1,55,290/-. During demonetization, the assessee deposited ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The Ld. AR of assessee submits that delay is not deliberate and is not a long delay and in interest of justice, the delay may be condoned. On merit, Ld. AR for the assessee submits that assessee is an individual and engaged agriculture activities and is also partner in a partnership firm. The assessee is having huge agricultural land about 50 hectors. The assessee has received share from partnership firm of Rs. 3,04,842 and net agricultural income of Rs. 16,64,274/-. In the return of income for assessment years 2012- 13 and 2013-14, assessee has shown substantial cash-in-hand. Such cash-in-hand was not shown in ITR for assessment years 2014-15 to 2016-17 as ITR was filed in Form-3, which does not require reporting of cash-in-hand. Merely not reported such cash-in-hand, does not mean that the assessee was not having cash-in-hand. The assessee furnished complete details of exempt income earned from agricultural income to Assessing Officer vide his reply dated 16.11.2019. The Assessing Office has not rejected such details and simply held that assessee has not furnished required details. The assessee while filed his submission dated 07.11.2019 also explained the fact that assessee is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submits that the bench may take a view in accordance with law. On merit, the ld Sr DR for the revenue supported the order of lower authorities. The assessee failed to bring any third-party evidence to substantiate cash available in hand at the time of closing of last financial year or at the time of cash deposit during demonetisation. The cash book furnished by assessee is nothing but a self-serving document. The Assessing Office as well as Ld. CIT(A) in their respective finding has categorically discarded the entries made therein. 7. I have considered the submissions of both the parties and have gone through the orders of lower authorities carefully. Firstly, I will consider the plea of condonation of delay in filing appeal. The ld AR of the assessee argued before me that physical copy of impugned order was not received through post and no e-mail was received regarding passing the impugned order. The assessee has not checked ITBA portal on regular basis. Thus, assessee was unaware about passing the impugned order by Ld. CIT(A). The assessee came to know about the order passed by Ld. CIT(A) when assessee s consultant checked the ITBA portal and found the status of assessee s appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X
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