ITO, WD-2(1), SILIGURI, Darjeeling V. M/s O.S. A. S. Developers Pvt. Ltd., Siliguri

ITA 1037/KOL/2015

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 6118 (ITAT-KOLKATA)
• Duration Of Justice: 2 year(s) 11 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-07-2018
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2012-2013
• Appeal Filed On: 24-07-2015
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Unexplained cash credit
• Section: 131; 68

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH A KOLKATA BEFORE SHRI P.M.JAGTAP, ACCOUNTANT MEMBER AND SHRI S.S.VISWANETHRA RAVI, JUDICIAL MEMBER ITA NO.1037/KOL/2015 ASSESSMENT YEAR:2012-13 INCOME TAX OFFICER, WARD-2(1), AAYAKAR BHAWANA, B WING, PARIBAHAN NAGAR, MATIGARA, SILIGURI, DIST. DARJEELING-734010 / V/S . M/S O.S.A.S. DEVELOPERS PVT. LTD., SHIDHI VINAYAK COMPLEX (GR FL) ISKAN MANDIR ROAD, SILIGURI- 734001 [ PAN NO.AABCO 6224 E ] /APPELLANT .. /RESPONDENT /BY APPELLANT SHRI SALLONG YADEN, ADDL. CIT-DR /BY RESPONDENT SHRI SUBASH AGARWAL, ADVOCATE /DATE OF HEARING 10-05-2018 /DATE OF PRONOUNCEMENT 06-07-2018 /O R D E R PER S.S.VISWANETHRA RAVI, JUDICIAL MEMBER:- THIS APPEAL BY THE REVENUE AGAINST THE ORDER DATED 27.05.2015 PASSED BY THE COMMISSIONER OF INCOME TAX (APPEALS)-SILIGURI FOR A SSESSMENT YEAR 2012-13. 2. AFTER HEARING BOTH THE PARTIES WE FIND THAT ASSE SSING OFFICER DETERMINED THE TOTAL INCOME OF THE ASSESSEE AT 2,00,00,000/- AS AGAINST NIL INCOME. THE ASSESSING OFFICER TREATED A SUM OF 2,00,00,000/- SAID TO HAVE BEEN FOUND CREDITED IN T HE BOOKS OF ASSESSEE AS UNEXPLAINED CREDIT U/S 68 OF THE INC OME TAX ACT, 1961 IN SHORT THE ACT. IT IS ALSO NOTED THAT AO ISSUED NOTICE U/S. 1 33(6) OF THE ACT TO THREE ENTITIES I.E., DEWDROPS MERCANTILE (P) LTD, PRAGYA COMMODITIES (P) LTD AND SAMRAT FINVESTORS (P) LTD. TO VERIFY SHARE APPLICATION MONEY AND SHARE PR EMIUM THEREOF. IT IS NOTED THAT ITA NO.1037/KOL/2015 A.Y 2012-13 ITO WD-2(1), SLG. VS. M/S O.S.A.S. DEVELOPE RS PVT. LTD. P AGE 2 DETAILS SUCH AS PAN, ACKNOWLEDGEMENT OF IT RETURNS, RELEVANT PORTION OF BANK STATEMENT, COPY OF AUDITED ACCOUNTS REGARDING THE S AID THREE ENTITIES WERE FILED BEFORE AO DURING THE COURSE OF ASSESSMENT PROCEEDINGS AND ON EXAMINATION OF SUCH DETAILS THE AO ASKED THE ASSESSEE TO PRODUCE DIRECTORS OF T HE SAID COMPANIES FOR EXPLAINING ACCOUNT STATEMENTS AND THEIR CREDITWORTHINESS. THE AO ADDED SAID SUM IN THE HANDS OF ASSESSEE FOR NON PRODUCTION OF DIRECTORS OF INVESTI NG COMPANIES AND BY DOUBTING THE CREDITWORTHINESS. THE CONTENTION OF THE LD. AR IS T HAT THE AO DID NOT PROVIDE SUFFICIENT TIME TO PRODUCE THE DIRECTORS OF INVESTI NG COMPANIES AND REFERRED TO NOTE SHEET OF AO PLACED AT PAGE 6&7 OF PAPER BOOK AND SU BMITTED THAT THE AO RECORDED THE STATEMENT OF DIRECTOR OF THE ASSESSEE ON 17-03-2015 AND ISSUED NOTICE U/SEC 131 OF THE ACT ON 19-03-2015. THE AR OF THE ASSESSEE SOUGHT AD JOURNMENT ON 26-03-2015 BY STATING THAT THE DIRECTOR OF THE ASSESSEE I.E. SRI SUNIL KUMAR LOHIA WAS UNWELL AND REFERRED TO PAGE NO-7 OF PAPER BOOK AND ARGUED THAT THE AO WITHOUT CONSIDERING SAME AND BASING ON THE INSPECTORS REPORT PASSED ASSESSM ENT ORDER ON 30-03-2015 AND THERE WAS NO OPPORTUNITY FOR THE ASSESSEE IN THE ASSESSME NT PROCEEDINGS AND PRAYED TO REMAND THE MATTER TO THE FILE OF AO FOR HIS FRESH C ONSIDERATION. THE LD DR DID NOT CONTROVERT THE SAME. ON PERUSAL OF THE RECORD WE FI ND FORCE IN THE ARGUMENTS OF THE LD AR AND IN THE INTEREST OF JUSTICE, WE DEEM IT PROPE R TO REMAND THE MATTER TO THE FILE OF AO FOR HIS FRESH CONSIDERATION AND THE ASSESSEE IS LIBERTY TO FILE EVIDENCES, IF ANY, BEFORE THE AO. THEREFORE, ORDER OF CIT(A) IS SET AS IDE. GROUNDS RAISED BY THE REVENUE ARE ALLOWED FOR STATISTICAL PURPOSES. 3. IN THE RESULT, REVENUES APPEAL IS ALLOWED FOR STAT ISTICAL PURPOSE. ORDER PRONOUNCED IN OPEN COURT ON /07/2018 SD/- SD/- ( !) (#$ !) (P.M.JAGTAP) (S.S.VISWANETHRA RAVI) ACCOUNTANT MEMBER JUDICIAL MEMBER *DKP-SR.PS % - 06/07/2018 / KOLKATA ITA NO.1037/KOL/2015 A.Y 2012-13 ITO WD-2(1), SLG. VS. M/S O.S.A.S. DEVELOPE RS PVT. LTD. P AGE 3 / COPY OF ORDER FORWARDED TO:- 1. /APPELLANT-ITO,WARD-2(1),AAYAKARBHAWAN,BWINGPARIBA HANNAGAR,MATIGARA, SILIGURI, DIST. DARJEELING-73401 0 2. /RESPONDENT-M/S OSAS DEVELOPERS PVT. LD., SHIDHI VIN AYAK COMPLEX (GR.FL) ISKAN MANDIR ROAD, SILIGURI-7340 01 3. ( + / CONCERNED CIT 4. + - / CIT (A) 5. , $$( , ( / DR, ITAT, KOLKATA 6. 0 / GUARD FILE. BY ORDE R/ , /TRUE COPY/ SR. PRIVATE SECRETARY, HEAD OF OFFICE/DDO (,