Jitendra Kumar Sharma vs. ITO

Parties Involved

Facts Summary

The case involves an appeal by the assessee, Jitendra Kumar Sharma, against the order passed by the Office of the Commissioner of Income Tax, Appeal Addl/JCIT(A), Mysore, dated 15.12.2025. The assessee had deposited cash amounting to Rs.16,68,290/- in his bank account and treated it as business income, returning profits on a presumptive basis under Section 44AD of the Income Tax Act, 1961. The Assessing Officer, however, treated the cash deposit as commission income and assessed the income accordingly. The assessee appealed against this order, contending that he was acting as an agent for collecting fees from students and transferring them to an E-mitra, thereby earning only commission income. The Tribunal examined the evidence and found the assessee's explanation to be incorrect.…

Legal Issues

• 1. Whether the cash deposited in the bank account of the assessee amounting to Rs.16,68,290/- should be treated as business income or commission income.

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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