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Judgment
This assessee’s appeal for Assessment Year 2017-18, arises against the Addl./JCIT(A), Agra’s DIN & order No. ITBA/APL/ S/250/2025-26/1079942278(1) dated 25.08.2025 , in proceedings u/s 143(3) of the Income Tax Act, 1961 (in short “the Act”).
Heard both the p arties at length. Case file perused.
It emerges dur ing the course o f hearing that both the learned lower authorities have treated the assessee’s cash deposits dur ing d emone tization amounting to Rs.16,00,000/- as unexplained u/s 69A r.w.s. 115BBE of the Act; in assessment order dated 29.12.2019 as upheld in the lo wer appellate discussion.
That being the case, the Revenue could hardly dispute that the assessee’s business activity of r unning coaching centre(s) for the past many assessment years has not been rebutted. Faced with this situation, the trib unal is o f the considered view that although the assessee has failed to get it’s impugned cash deposits factually reconciled and verified vis-à-vis it’s turnover and cash withdrawals to the entire satisfaction of the learned lower authorities, the same could not be brushed aside in entirety. Be that as it may, it is thus deemed appropriate in the larger interest of justice that a lump sum addition of Rs.1,60,000/- only in the given facts would be just and proper with a rider that the same shall not be treated as a precedent.
So far as assessee’s assessment under Section 115BBE is concerned, I quote S.M.I.L.E Microfinance Limited Vs. The ACIT CC-1 in W .P.(MD) No.2078 of 2020 & W.M.P. (MD) No. 1742 of 2020 held that the said provision applied for transactions done on or after 01.04.2017 only. The assessee is accordingly directed to be assessed under normal provisions only.
This assessee’s appeal is partly allowed.