Unexplained Cash Deposit Addition u/s 69A: ITAT Restores Matter to File additional Evidence, Including Bank Statements [Read Order]
Observing that the assessee was unable to present bank statements before the lower authorities, the Tribunal decided to grant a final opportunity to furnish the necessary proof to substantiate the source of the cash deposit.
Unexplained Cash Deposit - ITAT - Bank Statements - taxscan
Unexplained Cash Deposit - ITAT - Bank Statements - taxscan
The Chennai Bench of the Income Tax Appellate Tribunal (ITAT) restored the issue of unexplained money addition made under Section 69A back to the file of the Assessing Officer (AO) to allow the assessee to provide evidence, including bank statements, that were previously unavailable.
Gani Lathifsahib Shakila Banu (assessee) for the Assessment Year (AY) 2017-18 the Assessing Officer had made an addition on account of unexplained money under Section 69A of the Income Tax Act, 1961, due to a lack of evidence presented by the assessee to explain the source of a cash deposit.
Aggrieved by the AO’s order, the assessee filed an appeal before the Commissioner of Income Tax (Appeals) [CIT(A)]. The CIT(A) confirmed the addition. Aggrieved by the CIT(A)'s order, the assessee filed an appeal before the ITAT. The Counsel for the assessee admitted that the addition was made due to a want of evidence.
The counsel prayed to remand the matter, stating that the assessee was now ready to place all necessary evidence, including the bank statement which was also referred to in the paper book filed before the Tribunal.
Read More: Assessment Framed Without Jurisdictional Notice u/s 143(2) Invalid: ITAT [Read Order]
The two-member bench comprising S.S. Viswanethra Ravi (Judicial Member) and Ratnesh Nandan Sahay (Accountant Member) noted that the AO had made the addition under Section 69A for want of evidence.
The Tribunal noted that the assessee failed to make any representation whatsoever before both the AO and the CIT(A).
Considering the new evidence (the bank statement) filed before the Tribunal which was not before the AO, the Bench deemed it proper to remand the entire matter to the file of the Assessing Officer for fresh consideration.
The Tribunal directed that the assessee be allowed the liberty to file all supporting evidence in support of her claim regarding the cash deposit. In the result, the appeal filed by the assessee was allowed for statistical purposes.
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