Sree Sai Sameera Pharmacy vs. Income Tax Officer

Parties Involved

Facts Summary

The assessee, Sree Sai Sameera Pharmacy, is a partnership firm engaged in the business of purchasing and selling medicines. During the assessment proceedings for the Assessment Year 2018-19, the Assessing Officer observed that the assessee made cash deposits amounting to Rs. 2,19,07,080/- in Andhra Bank during the Financial Year 2017-18. Despite multiple notices and opportunities, the assessee failed to provide any supporting evidence or details regarding these deposits. Consequently, the Assessing Officer treated the deposits as unexplained cash credits under sections 69A and 115BBE of the Income Tax Act, 1961, and completed the assessment under section 144 of the Act. The assessee appealed against this order to the Commissioner of Income Tax (Appeals) at the National Faceless Appeal Centre, Delhi, which was dismissed. The assessee then appealed to the Income Tax Appellate Tribunal.…

Legal Issues

• 1. Whether the order passed under sections 147 and 144B of the Act is in direct contradiction to the facts of the case and provisions of law.
• 2. Whether the Commissioner of Income Tax (Appeals) erroneously relied on section 249(4) of the Act.
• 3. Whether the Commissioner of Income Tax (Appeals) failed to address the merits of the case.
• 4. Whether the Commissioner of Income Tax (Appeals) neglected to consider the discrepancy in the amount of deposits.
• 5. Whether the issuance of invalid notices by the assessing officer tain ts the subsequent proceedings.

Judgment Outcome

Decided in favour of Partly Assessee / Partly Revenue.

Precedents Relied Upon

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