TaxTMI 
TaxTMI 
TaxTMI 
2025 (11) TMI 337
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....force in the reasons mentioned therein and are satisfied that the assessee had a reasonable and sufficient cause and was prevented from filing the instant appeal within statutory time limit. We, therefore, condone the delay and admit the appeal for adjudication. 2. The assessee is in appeal before the Tribunal raising the following grounds of appeal: "1. The Ld. CIT(Appeal)-22, Kolkata has erred in law and in facts in confirming the Assessment Order passed by the Ld. Assessing Officer assessing the Total Income at Rs. 1,00,28,740/- only as against declared Income of Rs. 20,28,740/- only. 2. On facts and circumstances of the case, Commissioner of Income Tax (Appeal)-22/Kolkata was wrong in holding that the amount of Rs. 80,00,000.00 (Eighty Lakhs) only is liable to be taxed U/s 56(2)(vii) of Income Tax Act 1961. without appreciating the exception enshrined in the above referred Section as "Gift from Relative". 3. On facts and circumstances of the case, Commissioner of Income Tax (Appeal)-22/Kolkata was wrong in in holding that the amount of Rs. 80,00,000.00 (Eighty Lakhs) only is liable to be taxed U/s 56(2) (vii) of Income Tax Act 1961. without appreci....
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....rder of the Ld. CIT(A) and requested that the same may be upheld. 7. We have considered the submissions made. The assessee had received the gift from his brother-in-law and any sum received from the relative is not assessable u/s 56 of the Act. The term "relative" is defined in section 56 of the Act, which is as under: "Income from other sources. 56. (1) Income of every kind which is not to be excluded from the total income under this Act shall be chargeable to income-tax under the head "Income from other sources", if it is not chargeable to income-tax under any of the heads specified in section 14, items A to E. (2) In particular, and without prejudice to the generality of the provisions of sub-section (1), the following incomes, shall be chargeable to income-tax under the head "Income from other sources", namely :- . . . (vii) where an individual or a Hindu undivided family receives, in any previous year, from any person or persons on or after the 1st day of October, 2009 but before the 1st day of April, 2017,- (a) any sum of money, without consideration, the aggregate value of which exceeds fifty thousand....
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....(20) of section 10; or (f) from any fund or foundation or university or other educational institution or hospital or other medical institution or any trust or institution referred to in clause (23C) of section 10; or (g) from any trust or institution registered under section 12AA or section 12AB; or (h) by way of transaction not regarded as transfer under clause (vicb) or clause (vid) or clause (vii) of section 47. Explanation.-For the purposes of this clause,- (a) "assessable" shall have the meaning assigned to it in the Explanation 2 to sub-section (2) of section 50C; (b) "fair market value" of a property, other than an immovable property, means the value determined in accordance with the method as may be prescribed; (c) "jewellery" shall have the meaning assigned to it in the Explanation to sub-clause (ii) of clause (14) of section 2; (d) "property" means the following capital asset of the assessee, namely:- (i) immovable property being land or building or both; (ii) shares and securities; (iii) jewellery; (iv) archaeological collections; (v) drawings; (v....
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.... to selling of HDFC Mutual Fund but the source of fund amounting to Rs. 55,00,000/- remains unexplained. Here it is pertinent to mention that to avoid tax liability, fulfillment of Section 56 is not enough, the recipient must also offer a satisfactory explanation about the nature and source of any sum credited in his account. In the above mentioned facts and circumstances, the claim of the appellant could not be established. Hence, the ground is dismissed." 9. It is observed that the Ld. AO questioned the validity of the gift deed made in USA without examining whether the source of the amount received from the relative was validly explained or not. The Ld. CIT(A) also decided the appeal by relying upon the fact that the gift deed was not made in India but in USA and the deed also does not bear the signature of the recipient. However, from perusal of SBI NRE bank statement it is seen that there are two entries of deposit on 14.12.2011 and 20.12.2011 of amount of Rs.23,41,630/- and Rs.55 Lakh, respectively. The transaction happened in 14.12.2011 due to selling of HDFC Mutual Fund but the source of fund amounted to Rs.55 Lakh remained unexplained. It is stated tha....
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.... submitted on 01/12/2022 (Annexure 2A) and 04/01/2023 (Annexure 28] in Remand proceeding namely:- i) Copy of Gift Deed ii) Evidence of Relatives iii) SBI Bank statement of Mr. Sajal Kundu iv) Passport of Mr. Deb Prasanna Choudhury v) Passport of Mr. Sajal Kundu The above referred documents were completely ignored and bypassed while passing the Remand Report inspite of being documented in Remand Report No. F.NO.DCIT(IT)1(1)/Kolkata/Appeal/2022-23/24 dated 10/01/2023 3. That an Amount of Rs. 50,00,000/- was transferred from his SBI savings account no 11107941129 to his ICICI Savings Bank account no.: 089501501366 through normal banking channels. That on 12/03/2012 an Fixed Deposit was prematurely closed amounting to Rs. 22,94,931 only and subsequently on the same date Vide RTGS по. SBIH12072341357 an amount of Rs. 50,00,055 only was debited his SBI savings Bank account no. 11107941129 [Annexure-3A] while crediting the ICICI savings Bank account no 089501501366 for Rs. 50,00,000 only [Annexure-38] being Inter Bank Transfer both accounts belonging to Appellant only. 4. The Gift Deed was made on....