The appellate court held that previous years' assessments must be considered in determining current appeals in tax matters.

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES: G : NEW DELHI BEFORE SHRI ANUBHAV SHARMA, JUDICIAL MEMBER AND SHRI MANISH AGARWAL, ACCOUNTANT MEMBER ITA No.289/Del/2022 Assessment Year: 2017-18 Strategic Credit Capital Pvt. Ltd., Vs ACIT, A-49, Engine House, Central Circle-25, Mathura Road, Delhi.

Mohan Cooperative Indus. Estate, Delhi – 110 055.

PAN: AAACK4532C ITA No.438/Del/2022 Assessment Year: 2017-18 ACIT, Vs. Strategic Credit Capital Pvt. Ltd., Central Circle-25, A-49, Engine House, Delhi Mathura Road, Mohan Cooperative Indus. Estate, Delhi – 110 055.

PAN: AAACK4532C (Assessees) (Respondents)

Assessee by : None Revenue by : Shri Mahesh Kumar, CIT-DR Date of Hearing : 02.07.2025 Date of Pronouncement : 30.07.2025

ORDER

PER ANUBHAV SHARMA, JM These are cross appeals filed by the assessee as well as the Revenue against the order dated 15.12.2021 of the Ld. Commissioner of Income-tax (Appeals)-31, New Delhi for AY 2017-18.

2. None appeared for the assessee at the time of hearing and it appears that the assessee has been repeatedly served and informed the date of hearing. Ld.

DR was heard. The grounds of appeal read as under:-

Grounds of appeal of the assessee “ 1 The Ld CIT(A) erred in facts and circumstances of the case and in law in not adjudicating additional ground about addition made on protective basis preceding addition made on substantive basis

2 The Ld CIT(A) erred in facts and circumstances of the case and in law in directing AO to take into account findings in the appellate order and considering these for earlier assessment years in light of provisions of section 150 of The Income Tax Act.

3 The Ld CIT(A) erred in facts and circumstances of the case and in law in directing AO to take into account the findings in the appellate order for considering amounts as unexplained investments for earlier assessment years overlooking that addition as unexplained investments under section

69 cannot be made of amount recorded in books of accounts

4. The Ld CIT(A) erred in facts and circumstances of the case and in law in directing AO to take into account the findings in the appellate order for considering amounts as unexplained liabilities for earlier assessment years overlooking that addition as unexplained liabilities under section 68 cannot be made of amount actually not received.

Grounds of appeal of the Revenue;

“i) Whether on the fads and circumstances of the case, the Ld.CIT(A) is legally justified in deleting the addition of Rs. 60,07,599/- made on account of unexplained liability without considering the fact emerged in the search proceeding and found in incriminating material.

ii) Whether on the facts and circumstances of the case, the Ld. CIT(A)is legally justified in deleting the addition of Rs. 123,48,53,648/-

made on account of unexplained investments without considering the fact emerged in the search proceeding and found in incriminating material.

iii) Whether on the facts and circumstances of the case, the Ld. CIT(A) is legally justified in deleting the addition of Rs. 92,78,45,000/- made on account of unexplained loans and advances without considering the fact emerged in the search proceeding and found in incriminating material.

iv) “The assessee craves leave to add, alter or amend any of the ground(s) of appeal before or during the course of hearing of the appeal.”

3. The assessee is a Non Banking Financial company carrying on business of acquiring distressed debts along with accompanying collateral securities and connected business activities. There was an action U/s 132 on 11.01.2017, at the residential premises of Mr Mohnish Mohan Mukkar who is claimed to be one of the experts the kind of business that the assessee has been carrying on and who