2025 (9) TMI 11

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....No. 2432/ Chny / 2024 2011-12 P.Venkatesh No.5, Street No.6, Kumaresapuram, Tiruchengode Taluk, Namakkal, Tamil Nadu-637211 [PAN: ADJPV1236F] DIN & Order No.ITBA / NFAC / S / 250 / 2023-24 / 1061509089(1) dated 26.02.2024 The Income Tax Officer, Ward-1, Tiruchengode 2 ITA No. 2433/ Chny / 2024 2012-13 DIN & Order No.ITBA / NFAC / S / 250 / 2023-24 / 1061102135(1) dated 26.02.2024 2.0 We have noted that both the appeals of the assessee are on identical issue of addition made by the Ld.AO on account of unexplained deposits in the bank account of the assessee. The Ld. First Appellate Authority confirmed the order of the Ld.AO. Consequently both the appeals are taken together. For the purposes of this adjudication, we....

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....o reassess the income. The assessee's response during the assessment proceeding was lukewarm and noting the same and in the absence of satisfactory explanations to the Ld.AO's show cause notices, an addition of Rs. 2,60,78,732/- was made in the hands of the assessee. The Ld. First Appellate Authority also sustained the addition on account of non-appearance of the assessee during appellate proceedings. 5.0 We have heard rival submission in the light of material available on records. The Ld. Counsel for the assessee has contested the assessment order on legal grounds on the premise of reasons not been provided to him by the Ld.AO before making the addition. It has been argued that the order thus becomes bad in law. The Ld. DR informed that....

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....few other documents concerning partners and promotors etc, which remained uncomplied. 6.1 The action of the Ld. AO in treating the entire deposits into banks of Rs. 2,60,78,732/- as unexplained in the light of the facts, that the assessee had stated its engagement in the business of real estate, becomes questionable. The Ld. AO has brought no evidence on record to cast any shadow of doubt on the business activity reportedly undertaken by the assessee. Thus, there cannot be any doubt to say that the source of deposits do not have any linkages with the business of real estate undertaken by the assessee. In the light of the same assuming a reasonable profit rate having been earned by the assessee from the business of real estate deserves to....