Dy. CIT Central Circle-2(3) vs. F A Construction
Case No: ITA Nos. 3895 to 3897/MUM/2025
Court: Income Tax Appellate Tribunal, Mumbai Bench
Date: 1/23/2026
Parties Involved
appellantDy. CIT Central Circle-2(3)
respondentF A Construction
Facts Summary
The assessee, F A Construction, is engaged in the business of building and construction. For the assessment year 2014-15, the assessee filed its original return of income declaring a total income of ₹12,87,87,830/-. The assessment was completed under section 143(3) of the Income-tax Act, 1961, wherein an addition of ₹15,46,80,865/- was made under the head 'Income from business or profession', resulting in the total income being assessed at ₹28,54,68,700/-. Subsequently, the Assessing Officer rec…
Decision in favour of
Partly Assessee / Partly Revenue
Legal Issues
- 1. Whether the Ld. CIT(A) has erred in deleting the addition of Rs. 35,87,16,800/- made under Section 69A of the Income-tax Act, 1961, without appreciating that the assessee failed to discharge the onus of establishing the actual utilization of the cash withdrawals for business purposes during the course of assessment proceedings.
- 2. Whether the Ld. CIT(A) has erred in deleting the addition solely on the basis that the withdrawals were from disclosed bank accounts, without independently verifying whether the cash was actually utilized for business expenditure or remained unexplained, which is a prerequisite under Section 69A of the Act.
2 more legal issues analysed in this judgement.
Precedents Relied Upon
6 precedents cited in this judgement.