Shri Kamal Kishore Kotwani, Bhopal V. THE ACIT 1(2), Bhopal

ITA 1019/IND/2016

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 6421 (ITAT-INDORE)
• Duration Of Justice: 1 year(s) 9 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-07-2018
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB
• Next Hearing Date: 03-07-2018
• Assessment Year: 2006-2007
• Appeal Filed On: 28-09-2016
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: LALCHAND
• Keywords: Reasonable cause; Condonation of delay
• Section: 142(1); 153A; 144; 139

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL, INDORE BENCH, INDORE , , BEFORE SHRI KUL BHARAT, JUDICIAL MEMBER AND SHRI MANISH BORAD, ACCOUNTANT MEMBER . . /. I.T. (SS) A. NO S . 186 TO 190 /IND/2016 & I.T.A.NO 1019/IND/2016 [[ / ASSESSMENT YEAR S : 2000 - 01 TO 2004 - 05 AND A.Y. 2006 - 07 SHRI KAMAL KISHORE KOTWANI, PROP.M/S. K.K.ENTERPRISES, 192, PRABHU NAGAR, IDGAH HILLS, BHOPAL VS. ACIT . 1(2), BHOPAL / APPELLANT / RESPONDENT . . ./ PAN: ABJPK1966H / APPELLANT BY : SHRI GAGAN TIWARI, ADV. / RESPONDENT BY : SHRI LALCHAND, CIT DR / DATE OF HEARING : 03.07 .2018. / DATE OF PRONOUNCEMENT : 04 .0 7 .2018 SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 2 : - / O R D E R PER KUL BHARAT , J.M. : THIS BUNCH OF SIX APPEALS BY THE ASSESSEE IN RESPECT OF DIFFERENT ASSESSMENT YEARS ARE DIRECTED AGAINST THE COMMON ORDER OF LD. CIT(A) - 2, BHOPAL DATED 30.06.2016. SINCE COMMON GROUNDS ARE RAISED, ALL THE APPEALS WERE TAKEN UP TOGETHER AND ARE BEING DISPOSED OF BY THIS CONSOLIDATED ORDER. 2 . THESE APPEALS ARE BARRED BY TIME . IT IS NOTICED THAT THERE IS A DELAY OF TWO DAYS IN FILING THE APPEALS. THE ASSESSEE HAS FILED AN APPLICATION SEEKING CONDONATION OF DELAY ALONGWITH AFFIDAVIT. 3 . AT THE TIME OF HEARING, THE LD. COUNSEL FOR THE ASSESSEE REITERATED THE SUBMISSIONS AS MADE IN THE APPLICATION SEEKING CONDONATION OF DELAY ON THE REASONS STATED IN THE APPLICATION. WE FIND THAT THE ASSESSEE HAD SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 3 : - REASONABLE CAUSE. THE DELAY OF TWO DAYS IS C ONDONED. APPPEALS ARE TAKEN UP FOR HEARING. 4 . FIRST, WE TAKE UP I.T.(SS)A.NO. 186/IND/2016 PERTAINING TO THE ASSESSMENT YEAR 2000 - 01 5 . THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL : - 1 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A ) WAS NOT JUSTIFIED IN HOLDING THAT THE ASSESSMENT MADE U/S 153A/144 WAS VALID, WHICH WAS MADE PURSUANT TO THE NOTICE U/S 143(2) SERVED AFTER PRESCRIBED TIME LIMIT. THE ASSESSMENT ORDER BE KINDLY QUASHED. 2 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE , THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ASSESSMENT ORDER, WHICH WAS PASSED BY THE AO WITHOUT PROVIDING ADEQUATE OPPORTUNITY TO THE APPELLANT. THE SAME BE KINDLY CANCELLED. SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 4 : - 3 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN CHARGING RS. 60,000/ - FROM THE FIVE CONCERNS OF THE SAME NAME AND IN CONFIRMING THE ADDITION OF RS. 60,000/ - TOWARDS THE SAME. 6 . BRIEFLY STATED , FACTS ARE THAT A SEARCH & SURVEY OPERATION U/S 132K WAS CARRIED OUT IN THE MADHUR GROUP OF C ASES AND WARRANT OF AUTHORIZATION U/S 132(1) OF THE INCOME - TAX ACT, 1961, (HEREINAFTER REFERRED TO AS THE ACT) WAS EXECUTED IN THE CASE OF THE ASSESSEE ON 21.12.2005. SUBSEQUENTLY, A NOTICE U/S 153A WAS ISSUED , IN RESPONSE THERETO, THE RETURN WAS FILED D ECLARING INCOME OF RS. 1,58,000/ - . IT IS OB SERVED BY THE AO THAT NOTICE U/S 143(2) AND 142(1) OF THE ACT WERE ISSUED ON 31.08.2007, TO BE REPLIED BEFORE 17.09 .2007 , IN RESPONSE THERETO, NO ONE ATTENDED. ANOTHER NOTICE WAS ISSUED ON 29.11.2007. THE NOTICE WAS NOT REPLIED. IN THESE CIRCUMSTANCES, THE AO SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 5 : - PROCEEDED TO MAKE ASSESSMENT U/S 153A READ WITH SECTION 144 OF THE ACT. THE AO OBSERVED THAT CONSEQUENT TO SEARCH O PERATION SHRI MOHAN LAL KOTWANI, THE HEAD OF MADHUR GROUP. IN THE STATEMENT RECORDED U/S 132(4) OF THE ACT, ON 22.12.2005, ADMITTEDLY, UNDISCLOSED INCOME OF THE GROUP IN THE CASE OF THE ASSESSEE AT RS. 5,00,000/ - WAS ADMITTED ON ACCOUNT OF PROFIT EARNED FR OM THE COURIER BUSINESS AND NOT REFLECTED IN THE BOOKS OF ACCOUNT. THE AO MADE ADDITION OF RS. 1 LAKH ON ACCOUNT OF UNSECURED LOAN AND INCOME FROM C A RGO BUSINESS AT RS. 60,000/ - . 7 . APROPOS GROUND NOS. 1 TO 3, THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT T HE LD. CIT(A) WAS NOT JUSTIFIED IN CONFIRMING THE ADDITION OF RS. 60,000/ - . HE SUBMITTED THAT THE ADDITION IS NOT BASED UPON ANY INCRIMINATING MATERIAL. 8 . THE LD. DEPARTMENTAL REPRESENTATIVE SUPPORTED THE ORDERS OF THE LOWER AUTHORITIES AND PLACED A LETTER DATED 26.06. 18, WHEREIN IT HAS BEEN CATEGORICALLY STATED THAT THE SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 6 : - ADDITION IS NOT BASED ON ANY INCRIMINATING MATERIAL OR STATEMENT. 9 . WE HAVE CONSIDERED THE FACTS, RIVAL SUBMISSIONS AND PERUSED THE MATERIAL AVAILABLE ON RECORD. THE REVENUE HAS ADMITTED IN LETTER DATED 26.06.2018 THAT THE IMPUGNED ADDITION OF RS. 60,000/ - IS NOT BASED UPON ANY INCRIMINATING MATERIAL. WE DERIVE SUPPORT FROM THE JUDGEMENT OF HON'BLE DELHI HIGH COURT IN THE CASE OF CIT VS. KABUL CHAWLA, (2016) 380 ITR 573 (DEL), IN WHICH THE HO N'BLE COURT HELD AS UNDER : - S INCE NO INCRIMINATING MATERIAL WAS UNEARTHED DURING THE SEARCH, NO ADDITIONS COULD HAVE BEEN MADE TO THE INCOME ALREADY ASSESSED. IN VIEW OF THESE FACTS, RESPECTFULLY FOLLOWING THE JUDGMENT OF THE HON'BLE DELHI HIGH IN THE CASE OF CIT VS. KABUL CHAWLA, (SUPRA) , WE DELETE THE ADDITION OF RS. 60,000/ - AND ALLOW GROUND NOS. 1 TO 3. SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 7 : - 10 . IN THE RESULT, THE APPEAL OF THE ASSESSEE FOR THE ASSESSMENT YEAR 2000 - 01 IS ALLOWED. I.T.(SS)A.NO. 187/IND/2016 A.Y. 2001 - 02 : 11 . THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL : - 1 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN HOLDING THAT THE ASSESSMENT MADE U/S 153A/144 WAS VALID, WHICH WAS MADE PURSUANT TO THE NOTICE U/S 143(2) SERVED AFTER PRESCRIBED TIME LIMIT. THE ASSESSMENT ORDER BE KIN DLY QUASHED. 2 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ASSESSMENT ORDER, WHICH WAS PASSED BY THE AO WITHOUT PROVIDING ADEQUATE OPPORTUNITY TO THE APPELLANT. THE SAME BE KINDLY CANCELLED. SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 8 : - 3 . ON TH E FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN CHARGING RS. 1,92,000/ - FROM SIXTEEN CONCERNS OF THE SAME NAME AND IN CONFIRMING THE ADDITION OF RS. 1,92,000/ - TOWARDS THE SAME. 4 . ON THE FACTS AND IN THE CIRCUMSTANCES OF TH E CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ADDITION OF RS. 1,65,000/ - TOWARDS THE FRESH SECURITY DEPOSITS FROM THE CONCERNS OF THE SAME NAME, WHICH WERE APPEARING IN THE FINAL ACCOUNTS FILED WITH THE RETURN U/S 139(1) AND IN CO NFIRMING THE A DDITION OF RS. 1,65,000/ - TOWARDS THE SAME. 5 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ACTION OF THE AO OF EXAMINING THE CREDIT OF RS. 1,65,000/ - IN THE FINAL ACCOUNTS FILED WITH THE RETURN U/S 1 39 IN THE PROCEEDINGS U/S 153A. SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 9 : - 12 . FACTS ARE IDENTICAL IN THIS APPEAL AS IN I.T.(SS)A.NO. 186/IND/2016 FOR ASSESSMENT YEAR 2000 - 01. THE LD. DEPARTMENTAL REPRESENTATIVE VIDE HIS LETTER DATED 26.06.2018 HAS CATEGORICALLY MENTIONED THAT THE ADDITIONS ARE NOT BASED ON ANY INCRIMINATING MATERIAL. 13 . FOLLOWING THE SAME REASONING AS IN PARA 9 ABOVE, WE DELETE THE ADDITIONS AND ALLOW GROUNDS NO. 1 TO 5. 14 . IN THE RESULT, THE APPEAL OF THE ASSESSEE FOR THE ASSESSMENT YEA R 200 1 - 02 IS ALLOWED. I.T.(SS)A.NO. 188/IND/2016 A.Y. 2002 - 03: 15 . THE ASSESSEE RAISED THE FOLLOWING GROUNDS OF APPEAL : - 1 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN HOLDING THAT THE ASSESSMENT MADE U/S 153A/144 WAS VALID, WHICH WAS MADE PURSUANT TO THE NOTICE U/S 143(2) SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 10 : - SERVED AFTER PRESCRIBED TIME LIMIT. THE ASSESSMENT ORDER BE KIN DLY QUASHED. 2 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ASSESSMENT ORDER, WHICH WAS PASSED BY THE AO WITHOUT PROVIDING ADEQUATE OPPORTUNITY TO THE APPELLANT. THE SAME BE KINDLY CANCELLED. 3 . ON TH E FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN CHARGING RS. 2,16,000/ - FROM EIGHTEEN CONCERNS OF THE SAME NAME AND IN CONFIRMING THE ADDITION OF RS. 2,16,000/ - TOWARDS THE SAME. 4 . ON THE FACTS AND IN THE CIRCUMSTANCES OF T HE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ADDITION OF RS. 30,000/ - TOWARDS THE FRESH SECURITY DEPOSITS FROM THE CONCERNS OF THE SAME NAME, WHICH WERE APPEARING IN THE FINAL ACCOUNTS SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 11 : - FILED WITH THE RETURN U/S 139(1) AND IN CONFIRMING THE AD DITION OF RS. 30,000/ - TOWARDS THE SAME. 5 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ACTION OF THE AO OF EXAMINING THE CREDIT OF RS. 30,000/ - IN THE FINAL ACCOUNTS FILED WITH THE RETURN U/S 139 IN THE PROCEEDINGS U/S 153A. 6 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THAT THE UNSECURED LOAN OF RS. 1,05,000/ - IN THE NAMES OF NEERA KOTWANI AT RS. 55,000/ - AND AMIT TIWARI AT RS. 50,000/ - APPEARING IN THE ACCOUNT BOOKS WAS UNEXPLAINABLE AND IN CONFIRMING THE ADDITION TOWARDS THE SAME AT RS. 1,05,000/ - U/S 69 OF THE INCOME - TAX ACT, 1961. 16 . FACTS ARE IDENTICAL IN THIS APPEAL AS IN I.T.(SS)A.NO. 186/IND/2016 FOR ASSESSMENT YEAR 2000 - 01. THE LD. SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 12 : - DEPARTMENTAL REPRESENTATIVE VIDE HIS LETTER DATED 26.06.2018 HAS CATEGORICALLY MENTIONED THAT THE ADDITIONS ARE NOT BASED UPON ANY INCRIMINATING MATERIAL. 17 . FOLLOWING THE SAME REASONING AS IN PARA 9 ABOVE, WE DELETE THE ADDITIONS AND ALLOW GROUNDS NO. 1 TO 6 . 18 . IN THE RESULT, THE APPEAL OF THE ASSESSEE FOR THE ASSESSMENT YEAR 200 2 - 03 IS ALLOWED. I.T.(SS)A.NO. 1 89 /IND/2016 A.2003 - 04: 19 . THE ASSESSEE HAS RAISED FOLLOWING GROUNDS OF APPEAL : - 1 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN HOLDING THAT THE ASSESSMENT MADE U/S 153A/144 WAS VALID, WHICH WAS MADE PURSUANT TO THE NOTICE U/S 143(2) SERVED AFTER PRESCRIBED TIME LIMIT. THE ASSESSMENT ORDER BE KIN DLY QUASHED. 2 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 13 : - ASSESSMENT ORDER, WHICH WAS PASSED BY THE AO WITHOUT PROVIDING ADEQUATE OPPORTUNITY TO THE APPELLANT. THE SAME BE KINDLY CANCELLED. 3 . ON TH E FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN CHARGING RS. 2,64,000/ - FROM SIXTEEN CONCERNS OF THE SAME NAME AND IN CONFIRMING THE ADDITION OF RS. 2,64,000/ - TOWARDS THE SAME. 4 . ON THE FACTS AND IN THE CIRCUMSTANCES OF TH E CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ADDITION OF RS. 50,000/ - TOWARDS THE FRESH SECURITY DEPOSITS FROM THE CONCERNS OF THE SAME NAME, WHICH WERE APPEARING IN THE FINAL ACCOUNTS FILED WITH THE RETURN U/S 139(1) AND IN CONFIRMING THE ADD ITION OF RS. 50,000/ - TOWARDS THE SAME. 5 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 14 : - ACTION OF THE AO OF EXAMINING THE CREDIT OF RS. 50,000/ - IN THE FINAL ACCOUNTS FILED WITH THE RETURN U/S 139 IN THE PROCEEDINGS U/S 153A. 20 . FACTS ARE IDENTICAL IN THIS APPEAL AS IN I.T.(SS)A.NO. 186/IND/2016 FOR ASSESSMENT YEAR 2000 - 01. THE LD. DEPARTMENTAL REPRESENTATIVE VIDE HIS LETTER DATED 26.06.2018 HAS CATEGORICALLY MENTIONED THAT THE ADDITIONS ARE NOT BASED ON ANY INCRIMINATING MATERIAL. 21 . FOLLOWING THE SAME REASONING AS IN PARA 9 ABOVE, WE DELETE THE ADDITIONS AND ALLOW GROUNDS NO. 1 TO 5. 22 . IN THE RESULT, THE APPEAL OF THE ASSESSEE FOR THE ASSESSMENT YEA R 2003 - 04 IS ALLOWED. I.T.(SS)A.NO. 190/IND/2016 A.Y. 2004 - 05 : 23 . THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL : - SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 15 : - 1 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN HOLDING THAT THE ASSESSMENT MADE U/S 153A/144 WAS VALID, WHICH WAS MADE PURSUANT TO THE NOTICE U/S 143(2) SERVED AFTER PRESCRIBED TIME LIMIT. THE ASSESSMENT ORDER BE KIN DLY QUASHED. 2 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ASSESSMENT ORDER, WHICH WAS PASSED BY THE AO WITHOUT PROVIDING ADEQUATE OPPORTUNITY TO THE APPELLANT. THE SAME BE KINDLY CANCELLED. 3 . ON TH E FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN CHARGING RS. 3,12,000/ - FROM TWENTY SIX CONCERNS OF THE SAME NAME AND IN CONFIRMING THE ADDITION OF RS. 3,12,000/ - TOWARDS THE SAME. SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 16 : - 4 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ADDITION OF RS. 60,000 / - TOWARDS THE FRESH SECURITY DEPOSITS FROM THE CONCERNS OF THE SAME NAME, WHICH WERE APPEARING IN THE FINAL ACCOUNTS FILED WITH THE RETURN U/S 139(1) AND IN CONFIRMING THE ADDITION OF RS. 60,000/ - TOWARDS THE SAME. 5 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ACTION OF THE AO OF EXAMINING THE CREDIT OF RS. 60,000/ - IN THE FINAL ACCOUNTS FILED WITH THE RETURN U/S 139 IN THE PROCEEDINGS U/S 153A. 6 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, T HE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THAT THE UNSECURED LOAN OF RS. 90,000/ - IN THE NAMES OF DEEPA KOTWANI AT RS. 40,000/ - AND SADHUMAL LAXMANDAS AT RS. 50,000/ - APPEARING IN THE SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 17 : - ACCOUNT BOOKS WAS UNEXPLAINABLE AND IN CONFIRMING THE ADDITION TOWARD S THE SAME AT RS. 90,000/ - U/S 69 OF THE INCOME - TAX ACT, 1961. 24 . FACTS ARE IDENTICAL IN THIS APPEAL AS IN I.T.(SS)A.NO. 186/IND/2016 FOR ASSESSMENT YEAR 2000 - 01. THE LD. DEPARTMENTAL REPRESENTATIVE VIDE HIS LETTER DATED 26.06.2018 HAS CATEGORICALLY MENTION ED THAT THE ADDITIONS ARE NOT BASED UPON ANY INCRIMINATING MATERIAL. 25 . FOLLOWING THE SAME REASONING AS IN PARA 9 ABOVE, WE DELETE THE ADDITIONS AND ALLOW GROUNDS NO. 1 TO 6. 26 . IN THE RESULT, THE APPEAL OF THE ASSESSEE FOR THE ASSESSMENT YEAR 200 4 - 05 IS ALLOWE D. I.T.A.NO. 1019/IND/2016 A.Y. 2006 - 07 : 27 . THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL : - 1 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 18 : - ORDER U/S 144 PASSED BY THE AO, WHICH WAS ILLEGAL, INVALID AND UNTENABLE IN LAW. THE ASSESSMENT ORDER BE KINDLY QUASHED. 2 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THE ASSESSMENT ORDER, WHICH WAS PASSE D BY THE AO WITHOUT PROVIDING ADEQUATE OPPORTUNITY TO THE APPELLANT. THE SAME BE KINDLY CANCELLED. 3 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN CHARGING RS. 3,12,000/ - FROM TWENTY SIX CONCERNS OF THE SAME NAME A ND IN CONFIRMING THE ADDITION OF RS. 3,12,000/ - TOWARDS THE SAME. 4 . NO GROUND TAKEN. 5 . ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN UPHOLDING THAT THE RECEIPT OF RS. 5,00,000/ - FROM M/S. ARAMAX COURIER SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 19 : - APPEARING IN THE ACCOUNT BOOKS WAS UNEXPLAINABLE AND IN CONFIRMING THE ADDITION OF RS. 5,00,000/ - TOWARDS THE SAME. 28 . APROPOS GROUND NOS. 1 TO 3, F ACTS ARE IDENTICAL IN THIS APPEAL AS IN I.T.(SS)A.NO. 186/IND/2016 FOR ASSESSMENT YEAR 2000 - 01. THE LD. DEPARTMENTAL R EPRESENTATIVE VIDE HIS LETTER DATED 26.06.2018 HAS CATEGORICALLY MENTIONED THAT THE ADDITIONS ARE NOT BASED UPON ANY INCRIMINATING MATERIAL. 29 . FOLLOWING THE SAME REASONING AS IN PARA 9 ABOVE, WE DELETE THE ADDITIONS AND ALLOW GROUNDS NO. 1 TO 3 . 30 . THE ASSESS EE HAS NOT TAKEN GROUND NO. 4. 31 . GROUND NO. 5 RELATES TO THE UPHOLDING THE RECEIPT OF RS. 5,00,000/ - BY THE LD. CIT(A) FROM M/S. ARAMAX COURIER APPEARING IN THE ACCOUNT BOOKS WAS UNEXPLAINABLE . SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 20 : - 32 . THE LD. DEPARTMENTAL REPRESENTATIVE VIDE HIS LETTER DATED 26.06.2018 HAS MENTIONED THAT THE ADDITION WAS MADE AS NO BOOKS OF ACCOUNT RELATED TO ARAMAX WERE FOUND DURING THE COURSE OF SEARCH. SHRI MOHANLAL KOTWANI IN THE STATEMENT RECORDED U/S 132(4) OF THE ACT, ON 22.12.2005 ADMITTED RS. 5,00,000/ - UNDISC LOSED INCOME IN THE CASE OF SHRI KAMAL KISHORE KOTWANI . SINCE THE SAME WAS NOT OFFERED TO TAX IN RETURN OF INCOME FILED, THEREFORE, ADDITION OF RS. 5,00,000/ - WAS MADE ON ACCOUNT OF UNEXPLAINED INCOME FROM M/S. ARAMAX COURIER. 33 . THE LD. COUNSEL FOR THE ASSES SEE COULD NOT POINT OUT WHETHER THE CROSS EXAMINATION WAS SOUGHT. 34 . SINCE THE ADDITION IS BASED UPON INCRIMINATING MATERIAL DISCOVERED DURING THE COURSE OF SEARCH. THE ADDITION OF RS. 5 LAKHS IS SUSTAINED. 35 . IN THE RESULT, THE APPEAL OF THE ASSESSEE FOR THE A SSESSMENT YEAR 2006 - 07 IS PARTLY ALLOWED. SHRI KAMAL KISHORE KOTWANI, BHOPAL - : 21 : - 36 . CONSEQUENTLY, THE APPEALS FILED BY THE ASSESSEE IN I.T.(SS)A.NOS. 186 TO 190/IND/2016 FOR ASSESSMENT YEARS 2000 - 01 TO 20004 - 05 ARE ALLOWED AND I.T.A.NO. 1019/IND/2016 FOR ASSESSMENT YEAR 2006 - 07 IS PARTLY ALLOWED. THE ORDER PRONOUNCED IN THE OPEN COURT ON 0 4 . 0 7 .2018 . S D / - ( ) S D / - ( ) (MANISH BORAD) (KUL BHARAT ) ACCOUNTANT MEMBER JUDICIAL MEMBER INDORE; DATED : 0 4 /0 7 /2018 CPU * / SPS COPY TO: ASSESSEE/AO/PR. CIT/ CIT (A)/ITAT (DR)/GUARD FILE. BY ORDER PRIVATE SECRETARY/DDO, INDORE