2026 (4) TMI 178

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....ication for condonation of delay and affidavit filed by the assessee. It is submitted that the delay is due to unfortunate demise of Sh. P. N. Agarwal, the counsel of the assessee. The assessee was not informed/ aware of the order of ld. CIT(Appeals) dated 23.10.2024. The assessee came to know while consulting with the new counsel upon came to know of the First Appellate Order. He proceeded to file the appeal immediately and delay in filing the appeal is not intentional. After considering the submissions of both the parties. I observe that there is sufficient cause for non filing of appeal in ITAT. After considering the peculiar facts in this case, I am of the view that the assessee was ill informed of the status of the appeals. There is re....

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....discussed elaborately at page 5 & 6 of the assessment order. Accordingly, he proceeded to make the addition of Rs. 39,62,881/- as unexplained cash credit u/s 68 of the Act with the observations that sales declared by the assessee are bogus in nature. 5. Aggrieved with the above order, the assessee preferred an appeal before ld. NFAC and filed a detailed submission. After considering the detailed submissions, the ld. CIT(Appeals) sustained the addition made the Assessing Officer. 6. Aggrieved, the assessee is in appeal before ITAT, raising following grounds: 1. That the Learned CIT(A) has erred in law and on facts in upholding the addition of Rs. 39,62,881/- made by the Assessing Officer u/s 68 of the Income Tax Act, 1961, by ....

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.... or findings of actual unaccounted income. 8. That the interest charged u/s 234A and 234B is consequential and liable to be deleted in view of the fact that the underlying addition itself is unwarranted and not legally sustainable. 9. That the appellant craves leave to add or alter the grounds of appeal. 7. At the time of hearing, ld. AR of the assessee submitted that the assessee is in the business of scrap trading, he has declared the sales in the financial statement relevant sales and also declared the income u/s 44AD of the Act and paid the relevant presumptive taxes. He submitted that the same sales are being questioned by the Assessing Officer rejecting the submissions of the assessee. In this regard, he brought t....

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....sh sales in order to bring his undisclosed income and relied on the finding of lower authorities. 9. Considered the rival submissions and the material placed on record. I observe that the assessee is in the business of scrap trading and in the year under consideration, the assessee has traded to the extent of Rs. 39,62,881/-, no doubt the assessee had traded only during month of October, 2016 and has not carried out any other business. Further, I observe that the assessee is regularly doing business of scrap sales and declared the income u/s 44AD of the Act. The assessee has brought to our notice last 3 years sales chart to submit that the assessee is regularly doing business and filing the return of income declaring income u/s 44AD of t....