Naga Bhairaiah Anchunoori, Siddipet V. Income Tax Officer, Ward-1, Siddipet

ITA 08/Hyd/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 7456 (ITAT-HYDERABAD)
• Duration Of Justice: 1 year(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-01-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB-A
• Next Hearing Date: 15-10-2018
• Assessment Year: 2013-2014
• Appeal Filed On: 02-01-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: D J P ANAND
• Assessee Lawyers: T CHAITANYA KUMAR
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH A, HYDERABAD BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER ITA NO. 08/HYD/2018 ASSESSMENT YEAR: 2013-14 SHRI NAGA BAIRAIAH ANCHANURI, SIDDIPET PAN ATJPA5674J VS. THE INCOME TAX OFFICER WARD 1, HYDERABAD. (APPLICANT) (RESPONDENT) ASSESSEE BY : SHRI T. CHAITANYA KUMAR, AR REVENUE BY : SHRI D.J.P. ANAND (DR) DATE OF HEARING : 15-10-2018 DATE OF PRONOUNCEMENT : 11-01-2019 ORDER PER P. MADHAVI DEVI, J.M.: THIS IS ASSESSEES APPEAL FOR THE A.Y 2013-14 AGAINST THE ORDER OF THE CIT(A)-7, HYDERABAD DATED 03.10.2017, CONFIRMING THE ORDER OF THE A.O IN ESTIMATING THE INCOME OF ASSESSEE AT 5% ON LIQUOR SALES. 2. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE, AN INDIVIDUAL, IS A PROPRIETOR OF SHRI BALAJI WINES WHICH IS ENGAGED ON RETAIL BUSINESS OF LIQUOR. HE FILED ITS RETURN OF INCOME FOR THE A.Y 2013-14 ELECTRONICALLY ON 29.09.2013 2 ITA.NO. 08/HYD/2018 SHRI NAGA BHAIRAIAH ANCHUNURI, SIDDIPET. ADMITTING A TOTAL INCOME OF RS. 3,12,140/-. DURING THE ASSESSMENT PROCEEDINGS U/S 143(3) OF THE ACT, THE ASSESSEE WAS DIRECTED TO PRODUCE ITS BOOKS OF ACCOUNTS AND SALE VOUCHERS ETC. IN RESPONSE, THE ASSESSEE SUBMITTED ITS BOOKS OF ACCOUNT FOR VERIFICATION BUT COULD NOT PRODUCE SALE VOUCHERS AND SUBMITTED THAT IT IS NOT POSSIBLE TO MAINTAIN VOUCHERS IN ASSESSEES LINE OF BUSINESS. THE A.O, THEREFORE REJECTED THE ASSESSEES BOOKS OF ACCOUNT AND ESTIMATED THE INCOME AT 5% OF THE TOTAL SALES. AGGRIEVED, THE ASSESSEE FILED AN APPEAL BEFORE THE CIT(A), WHO CONFIRMED THE ORDER OF THE A.O AND THE ASSESSEE IS IN SECOND APPEAL BEFORE US. 3. THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT IN SIMILAR CASES THE COORDINATE BENCHES OF THIS TRIBUNAL, HAVE BEEN ESTIMATED THE INCOME AT 3% OF THE COST OF GOODS PUT TO SALE. HE PRAYED FOR SIMILAR DIRECTIONS IN THIS CASE ALSO. 4. THE LD. DR, HOWEVER, SUPPORTED THE ORDERS OF THE AUTHORITIES BELOW. 5. HAVING REGARD TO THE RIVAL CONTENTIONS AND THE MATERIAL AVAILABLE ON RECORD, WE FIND THAT THERE IS A DELAY OF ONE DAY IN FILING OF THIS APPEAL. BEING SATISFIED WITH THE 3 ITA.NO. 08/HYD/2018 SHRI NAGA BHAIRAIAH ANCHUNURI, SIDDIPET. REASON GIVEN FOR SUCH DELAY IN THE AFFIDAVIT FILED ALONG WITH DELAY CONDONATION PETITION, THE SAID DELAY IS CONDONED. 6. AS REGARDS MERITS OF THE CASE, WE FIND THAT IN SIMILAR CASES THIS TRIBUNAL, IN A NUMBER OF CASES (TO WHICH BOTH OF US ARE SIGNATORIES) HAS ESTIMATED THE INCOME AT 3% OF THE COST OF GOODS PUT TO SALE. THEREFORE, IN THIS CASE ALSO, WE DIRECT THE A.O TO ESTIMATE THE INCOME AT 3% OF THE COST OF GOODS PUT TO SALE. THE ASSESSEES APPEAL IS ACCORDINGLY ALLOWED. 7. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED. PRONOUNCED IN THE OPEN COURT ON 11 TH JANUARY, 2019. SD/- SD/- (S. RIFAUR RAHMAN) (P. MADHAVI DEVI) ACCOUNTANT MEMBER JUDICIAL MEMBER HYDERABAD, DATED: 11 TH JANUARY, 2019 KRK 1) SHRI T. CHAITANYA KUMAR, ADVOCATE, FLAT NO. 102, GOURI APARTMENT, URDU LANE, HIMAYATH NAGAR, HYDERABAD 2) ITO, WARD 1, SIDDIPET. 3) CIT(A)-7, HYDERABAD 4) PR.CIT-7, HYDERABAD. 5) THE DEPARTMENTAL REPRESENTATIVE, I.T.A.T., HYDERABAD. 6) GUARD FILE.