ABIDBHAI UMARBHAI QURESHI,BANASKANTHA V. THE INCOME TAX OFFICER, WARD-1 (PREVIUOSLY WARD-4), PALANPUR

ITA 1296/AHD/2024

AI Insights

The case involves Abidbhai Umarbhai Qureshi, a trader of live animals, who appealed against the order of the Commissioner of Income Tax (Appeals) at the National Faceless Appeal Centre, Delhi. The appeal was concerning the additions made by the AO for the Assessment Year 2012-13, which included disallowances of cash payments and transportation expenses. The Tribunal noted the assessee's failure to attend previous hearings and comply with notices, leading to an ex-parte order by the CIT(A). However, considering the assessee's circumstances and the nature of the business, the Tribunal decided to remand the case for a fresh assessment.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 472316 (ITAT-AHMEDABAD)
• Duration Of Justice: 4 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-11-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 18-11-2024
• Assessment Year: 2012-2013
• Appeal Filed On: 01-07-2024
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: C DHARANI NATH
• Assessee Lawyers: SAMIR VORA
• Section: 40A(3)

Judgement Text

" आयकर अपीलीय अिधकरण, अहमदा बा द \u0012ा यपीठ SMC, अहमदा बा द । IN THE INCOME TAX APPELLATE TRIBUNAL “SMC” BENCH, AHMEDABAD ] BEFORE DR. BRR KUMAR, VICE PRESIDENT MS. SUCHITRA KAMBLE, JUDICIAL MEMBER आयकर अपील सं /ITA No.1296/Ahd/2024 िनधा \u000fरण वष\u000f /Assessment Year : 2012-13 Abidbhai Umarbhai Qureshi At Basu PO: Vasu Near Adarsh Vidhyalay Ta. Vadgam, Dist.Banaskantha – 385 526 (Gujarat) बनाम/ v/s. The ITO Ward-1 (previously Ward-4) Palanpur – 385 001 \u0013थायी लेखा सं./PAN: AAJPQ 4002 F (अपीलाथ\u0017/ Appellant) (\u0018\u0019 यथ\u0017/ Respondent) Assessee by : Shri Samir Vora, AR Revenue by : Shri C Dharani Nath, Sr.DR सुनवाई की तारीख/Date of Hearing : 18/11/2024 घोषणा की तारीख /Date of Pronouncement: 22/11/2024 आदेश/O R D E R PER DR. BRR KUMAR, VICE PRESIDENT This is an appeal filed by the assessee against the order of the Ld.Commissioner of Income Tax (Appeals) [CITA] , National Faceless Appeal Centre, Delhi in proceeding u/s.250 of the Income Tax Act, 1961 vide order dated 16/05/2024 passed for the Assessment Year (AY) 2012-13. 2. The grounds of appeal taken by the assessee are as under:- [1] The Ld. CIT(A) was grievously erred in upholding the addition made by the Ld. A.O. of Rs. 31.65,100/- being cash payment disallowed u/s. 40A(3) of the IT Act, without looking to Rule 6DD which is illegal and bad in law. ITA No. 1296/Ahd/2024 Abidbhai Umarbhai Qureshi vs. ITO Asst. Year : 2012-13 2 [2] The Ld. CIT(A) was grievously erred in upholding the addition made by the Ld. A.O. of Rs. 11,25,000/- being Transportation expenses, as the Vehicle No. GJ 15 XX 832 has come in transport business on 24.01.2013 as it has been registered on 24.01.2013, which is illegal and bad in law. The appellant submits that the Ld. A.O. has taken from Investigation reply and the investigation period is between 2011-2014. But the Truck was recorded in the next year and on proportionate without verifying, the transport expenses were disallowed. [3] The appellant therefore requests your Honour to kindly delete the abovementioned additions of Rs. 31,65,100/- & Rs. 11,25,000/- made by the Ld. A.O. confirmed by the Ld. CIT(A), looking to the merits of the case. [4] The appellant craves the right to add, amend, alter or modify any of the grounds stated herein above either before or at the time of hearing. 3. Brief facts of the case are that the assessee is a trader of live animals and engaged in the business of purchase and sale of buffalos and cows. The assessee did not attend for the hearing on various dates towards the notices issued by the AO which led to passing of an order dated 14/11/2019 u/s.144 r.w.s.147 of the Act. The assessee has also failed to comply with the notices issued by the Ld.CIT(A), which led to passing of an ex-part order rejecting the appeal of the assessee. 4. We have heard both the parties and perused the material available on record. Before us, Ld.Counsel for the assessee submitted that given opportunity due compliance would be made before the AO, where the preliminary default has occurred. It was pleaded that the assessee is an illiterate person dealing with live stock of animals and, hence not well-versed with the Income Tax procedures. On going through the record, we find that no prejudice to be caused to the Revenue. Therefore, the matter is remanded ITA No. 1296/Ahd/2024 Abidbhai Umarbhai Qureshi vs. ITO Asst. Year : 2012-13 3 back to the file of the AO for De novo assessment, after making proper verification and adjudication of the issues as per the Income Tax Act. 5. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the Court on 22nd November, 2024 at Ahmedabad. Sd/- Sd/- (SUCHITRA KAMBLE) JUDICIALMEMBER ( DR. BRR KUMAR ) VICE PRESIDENT टी.सी.नायर, व.िन.स./T.C. NAIR, Sr. PS आदेश की \u001fितिलिप अ ेिषत/Copy of the Order forwarded to : 1. अपीलाथ! / The Appellant 2. \u001f\"थ! / The Respondent. 3. संबंिधत आयकर आयु$ / Concerned CIT 4. आयकर आयु$ ) अपील ( / The CIT(A)-(NFAC), Delhi 5. िवभागीय \u001fितिनिध अिधकरण अपीलीय आयकर /DR,ITAT, Ahmedabad, 6. गाड\u000f फाईल / Guard file. आदेशानुसार/ BY ORDER, स\"ािपत \u001fित //True Copy// सहायक पंजीकार (Asstt. Registrar) आयकर अपीलीय अिधकरण, ITAT, Ahmedabad "