SHRI PRAMOD SAHU, RAMGARH V. ITO WARD-2(4), RAMGARH

ITA 105/RAN/2018

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 0627 (ITAT-RANCHI)
• Duration Of Justice: 7 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-11-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2009-2010
• Appeal Filed On: 18-04-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A K MOHANTY
• Assessee Lawyers: DINESH CHANDRA AGARWAL

Judgement Text

P A G E 1 | 4 IN THE INCOME TAX APPELLATE TRIBUNAL, RANCHI SMC BENCH, RANCHI BEFORE SHRI N.S SAINI, ACCOUNTANT MEMBER ITA NO. 105 / RAN /201 8 ASSESSMENT YEAR : 2009 - 2010 PRAMOD SAHU, VILLAGE KUSYARA, BALKUDRA, PS: BASAL, RAMGARH VS. ITO, WARD 2(4), MAIN ROAD, RAMGARH. PAN/GIR NO. (APPELLANT ) .. ( RESPONDENT ) ASSESSEE BY : SHRI DINESH CHANDRA AGARWAL , ADV REVENUE BY : SHRI A.K.MOHANTY, JCIT DATE OF HEARING : 29 / 11 / 2018 DATE OF PRONOUNCEMENT : 30 / 11 / 2018 O R D E R THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF THE CIT(A), HAZARIBAG , D ATED 13.2.2018 FOR THE ASSESSMENT YEAR 2009 - 2010. 2. THE SOLE ISSUE INVOLVED IN THIS APPEAL IS THAT THE CIT(A) WAS NOT WAS NOT JUSTIFIED IN CONFIRMING THE ADDITION OF RS.7,48,250/ - ON ACCOUNT OF SALE PROCEEDS FOUND OUTSIDE THE BOOKS OF ACCOUNT OF THE ASSESSE. 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSING OFFICER OBSERVED THAT THE ASSESSE HAS DECLARED GROSS RECEIPTS FROM SUB - ITA NO.105/RAN/2018 ASSESSMENT YEAR : 2009 - 2010 P A G E 2 | 4 CONTRACT OF RS.1,61,32,785/ - RECEIVED FROM M/S. GUPTA & CO., DEVELOPERS PRIVATE LIMITED ON WHICH NET PROFIT OF RS.5,08,620/ - IS DECLARED WHICH COMES TO 3.15%. ON PERUSAL OF DETAILS IN 26AS AVAILABLE ON RECORD, IT IS FOUND THAT BESIDES ABOVE RECEIPTS, THE ASSESSE HAS ALSO RECEIVED TWO PAYMENTS AGAINST EXECUTION OF CONTRACT WORKS OF RS.3,68,215/ - AND RS.3,80,035/ - TOTALLING RS.7,48,250/ - FROM M/S. JINDAL STEEL & POWER LTD.,, WHICH IS NOT REFLECTED IN THE PROFIT AND LOSS ACCO UNT FOR THE YEAR UNDER CONSIDERATION. THE ASSESSE HAS NOT PRODUCED BOOKS OF ACCOUNT AND THE ASSESSE HAS CONCEALED THE PARTICULARS OF PAYMENT FOR RS.7,48,250/ - . THEREFORE, HE ADDED THE SAME TO THE INCOME OF THE ASSESSE. 4. ON APPEAL, THE CIT(A) CONFIRMED THE ACTION OF THE ASSESSING OFFICER. 5. BEFORE ME, THE SUBMISSION OF LD AUTHORISED REPRESENTATIVE OF THE ASSESSE IS THAT BY MISTAKE THE AMOUNT WAS OMITTED TO BE SHOWN IN THE RETURN OF INCOME. HE SUBMITTED THAT ON THE GROSS RECEIPT OF RS.1,61,32,785/ - , THE ASSESSING OFFICER HAS ESTIMATED INCOME AT 8% AND, THEREFORE, ON THE RECEIPT OF RS.7,48,250/ - , THE INCOME SHOULD BE ESTIMATED AT 8%. ITA NO.105/RAN/2018 ASSESSMENT YEAR : 2009 - 2010 P A G E 3 | 4 6. LD DEPARTMENTAL REPRESENTATIVE COULD NOT CONTROVERT THE SUBMISSION OF LD AUTHORISED REPRESENTATIVE OF THE ASSESSE. 7. IN THE ABOVE FACTS OF THE CASE, I AM OF THE CONSIDERED VIEW THAT THE UNDISCLOSED RECEIPT OF RS.7,48,250/ - BY THE ASSESSE IN THE RETURN IS THE RECEIPT FROM CONTRACT OF THE COMPANY IS NOT IN DISPUTE. AS THE OTHER CONTRACT RECEIPT OF RS.1,61,32,785/ - HAS BEEN TAXED BY ESTIMATING THE INCOME AT 8% BY THE ASSESSING OFFICER, THERE IS NO JUSTIFICATION FOR TAXING THE ENTIRE RECEIPT OF RS.7,48,250/ - AS INCOME OF THE ASSESSE. THEREFORE, I SET ASIDE THE ORDERS OF LOWER AUTHORITIES AND DIRECT THE ASSESSING OFFICER TO CO MPUTE THE INCOME BY APPLYING 8% ON THE RECEIPT OF RS.7,48,250/ - AND COMPUTE THE INCOME ACCORDINGLY AND ALLOW THE GROUND OF APPEAL OF THE ASSESSE. 8 . IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED ORDER PRONOUNCED ON 30 / 11 /2018. SD/ - ( N.S SAINI) A CCOUNTANT MEMBER RANCHI ; DATED 30 / 11 /2018 B.K.PARIDA, SPS ITA NO.105/RAN/2018 ASSESSMENT YEAR : 2009 - 2010 P A G E 4 | 4 COPY OF THE ORDER FORWARDED TO : BY ORDER SR. PVT. SECRETARY, ITAT, RANCHI ON TOUR 1. THE APPELLANT : PRAMOD SAHU, VILLAGE KUSYARA, BALKUDRA, PS: BASAL, RAMGARH 2. THE RESPONDENT. ITO, WARD 2(4), MAIN ROAD, RAMGARH. 3. THE CIT(A) - HAZARIBAG 4. PR.CIT - HAZARIBAG 5. DR, ITAT, RANCHI 6. GUARD FILE. //TRUE COPY//