ACIT, Patiala V. Sh. Gian Chand, Patiala

ITA 1059/CHANDI/2014

• Counselvise Citation: [2015] 121 COUNSELVISE.COM (IT) 1561 (ITAT-CHANDIGARH)
• Duration Of Justice: 8 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-08-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 27-07-2015
• Assessment Year: 2009-2010
• Appeal Filed On: 28-11-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR AMA RVEER SINGH
• Assessee Lawyers: B M MONGA
• Keywords: Assessment record

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, CHANDIGARH BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND SHRI T.R.SOOD, ACCOUNTANT MEMBER ITA NO. 1059/CHD/2014 ASSESSMENT YEAR: 2009-10 THE ACIT, VS SHRI GIAN CHAND, CIRCLE, PROP.M/S SONDHI RAM PATIALA. GIAN CHAND, BHUNERHERI ROAD, PATIALA. PAN: AALPC5551H (APPELLANT) (RESPONDENT) APPELLANT BY : DR. AMAR VEER SIN GH RESPONDENT BY : SHRI RAVI SHANKAR & SHRI B.M. MONGA DATE OF HEARING : 27.07.2015 DATE OF PRONOUNCEMENT : 03.08.2015 O R D E R PER BHAVNESH SAINI,JM THIS APPEAL BY REVENUE IS DIRECTED AGAINST THE ORDE R OF LD. CIT(APPEALS), PATIALA DATED 15.09.2014 FOR ASSE SSMENT YEAR 2009-10, CHALLENGING THE DELETION OF ADDITION OF RS. 15 LACS. 2. THE FACTS OF THE CASE ARE THAT ASSESSEE IS RUNNI NG A PETROL PUMP. THE ASSESSING OFFICER HAS MENTIONED I N THE ASSESSMENT ORDER THAT REQUISITE INFORMATION/DETAILS ARE CALLED FOR FROM TIME TO TIME WHICH ARE FURNISHED. THE BOOKS OF ACCOUNT HAVE BEEN EXAMINED. THE ASSESSING OFFIC ER NOTED THAT ASSESSEE WAS ASKED AS TO WHY DEPOSIT OF RS. 15 LACS IN 2 SBOP (STATE BANK OF PATIALA) WAZIRPUR, NEW DELHI MA Y NOT BE TREATED AS UNDISCLOSED INCOME. THE ASSESSEE SUB MITTED BEFORE ASSESSING OFFICER THAT HE IS SOLE PROPRIETOR OF THE CONCERN. SINCE HE REQUIRED CASH AT DELHI, THEREFOR E, RS. 15 LACS WERE TAKEN FROM PATIALA IN CASH TO DELHI. THE SALE BILL OF DIESEL WHICH WAS USED IN CAR NO. 0070 OWNED IN H UF CAPACITY FOR TRAVELING TO DELHI WAS FILED. IT WAS SUBMITTED THAT THE AMOUNT WAS DEPOSITED WITH M/S G.M. OVERSEA S, DELHI IN WHICH ASSESSEE IS A PARTNER. THE ASSESSIN G OFFICER DID NOT ACCEPT CONTENTION OF THE ASSESSEE BECAUSE P AYMENT OF DIESEL WAS NOT SUFFICIENT FOR PLYING OF THE SCOD A CAR TO DELHI AND BACK TO PATIALA. NO EXPENSES REGARDING T OLL TAX ETC. WERE SUBMITTED. FURTHER, ASSESSING OFFICER WA S OF THE VIEW THAT BECAUSE OF INTERNET BANKING ETC., THE CAR RYING OF CASH FROM PATIALA TO DELHI IS NOT CREDITABLE AND MA DE THE ADDITION OF RS. 15 LACS IN THE HANDS OF THE ASSESSE E. 3. THE ASSESSEE REITERATED THE SUBMISSIONS BEFORE L D. CIT(APPEALS) ON WHICH REMAND REPORT OF THE ASSESSIN G OFFICER WAS ALSO CALLED FOR. THE LD. CIT(APPEALS), CONSIDERING THE EXPLANATION OF THE ASSESSEE, DELETE D THE ADDITION. HIS FINDINGS IN PARA 4.3 AND 5 OF THE AP PELLATE ORDER ARE REPRODUCED AS UNDER : 4.3 I HAVE CONSIDERED THE SUBMISSIONS MADE AND PER USED THE ASSESSMENT RECORD IN PRESENCE OF A.O. THE SOURCE OF RS. 1 5 LAC HAS NOT BEEN DOUBTED BY THE A.O. THE A.O. MENTIONED THAT BOOKS OF ACCOUNTS HAVE BEEN EXAMINED AND ALL OTHER DETAILS A RE FILED DURING THE ASSESSMENT PROCEEDINGS. THIS AMOUNT WAS WITHDRAWN BY THE ASSESSEE ON 24.07.2008 IN PATIALA AND DEPOSITED IN HI S BANK ACCOUNT AT DELHI ON 25.07.2008. THE AMOUNT IS DULY R EFLECTED IN THE 3 BOOKS OF ACCOUNT. THE GROUNDS TAKEN BY THE A.O. FOR N OT BELIEVING THE APPELLANT'S CONTENTION IS THAT IN THE ERA OF INTE RNET BANKING MOVEMENT OF SO MUCH OF CASH CAN'T BE ACCEPTED. IN MY OPINION, THIS ARGUMENT OF THE A.O. CAN'T BE ACCEPTED AS IT IS UP T O THE APPELLANT AS TO BY WHICH MODE HE WANTS TO TRANSFER THE MONEY. SECONDLY, THE APPELLANT HAS ALSO SUBMITTED EVIDENCE IN SUPPORT OF MOVEMENT TO DELHI ON THAT DATE. THE APPELLANT HAS ALSO EXPLAIN ED DURING THE ASSESSMENT PROCEEDINGS ITSELF THAT NO TOLL TAX IS P AYABLE IN THE ROUTE TAKEN BY HIM. THESE FACTS HAVE NOT BEEN DISPUTED B Y THE A.O. IT IS NOT THE CASE OF THE A.O. THAT THE MONEY WAS NOT AVA ILABLE WITH THE APPELLANT. LOOKING INTO THE ENTRIES OF THE FACTS O F THE CASE, THEREFORE, I AM OF THE OPINION THAT THE ADDITION MADE BY THE A.O . CANNOT BE SUSTAINED. 5. IN THE RESULT, THE APPEAL IS ALLOWED. 4. WE HAVE HEARD LD. REPRESENTATIVES OF BOTH THE PA RTIES AND PERUSED THE MATERIAL AVAILABLE ON RECORD AND DO NOT FIND ANY ERROR IN THE ORDER OF THE LD. CIT(APPEALS) IN DELETING ADDITION MADE BY THE ASSESSING OFFICER. THE LD. CO UNSEL FOR THE ASSESSEE REFERRED TO CASH BOOK OF DATED 24.07.2 008 (PB-7) AND COPY OF THE BANK ACCOUNT WITH STATE BANK OF PATIALA, WAZIRPUR, NEW DELHI (PB-12) AND SUBMITTED THAT CASH OF RS. 15 LACS WAS WITHDRAWN FROM THE BOOKS OF ACCOUNT OF THE ASSESSEE AND WERE DEPOSITED ON THE N EXT DAY IN STATE BANK OF PATIALA, NEW DELHI I.E. 25.07.2008 . THUS, THE ASSESSEE IS ABLE TO PROVE THAT CASH WITHDRAWN F ROM THE BOOKS OF ACCOUNT WAS DEPOSITED NEXT DAY IN THE BANK ACCOUNT. IT WOULD NOT DISCLOSE THAT ASSESSEE HAS E ARNED ANY UNDISCLOSED INCOME. THE ASSESSING OFFICER HAS NOT DOUBTED THE WITHDRAWALS MADE BY ASSESSEE FROM THE BOOKS OF ACCOUNT. THEREFORE, THERE IS NO QUESTION OF CONSID ERING THE SAME AMOUNT DEPOSITED IN THE BANK ON THE NEXT DAY A S 4 UNEXPLAINED INCOME OF THE ASSESSEE. MAY BE, THE IN TERNET ETC. FACILITIES ARE AVAILABLE BUT IT WOULD NOT PROV E THE CASE OTHERWISE AGAINST THE ASSESSEE. PAYMENT OF TOLL TA X ETC. MAY NOT BE RELEVANT FOR THE PURPOSE OF DECIDING THE ISSUE WHETHER ASSESSEE EARNED UNEXPLAINED INCOME OR NOT. CONSIDERING THE TOTALITY OF THE FACTS AND CIRCUMSTA NCES AND EXPLANATION OF THE ASSESSEE AS SUPPORTED BY ENTRIES IN THE BOOKS OF ACCOUNT, WOULD SQUARELY SUPPORT FINDINGS O F LD. CIT(APPEALS) THAT AMOUNT IN QUESTION IS NOT UNEXPLA INED INCOME OF THE ASSESSEE. WE, THEREFORE, DO NOT FIND ANY ERROR IN THE ORDER OF LD. CIT(APPEALS) IN DELETING THE AD DITION. THE DEPARTMENTAL APPEAL FAILS AND IS DISMISSED. 5. IN THE RESULT, DEPARTMENTAL APPEAL IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 3 RD AUGUST,2015. SD/- SD/- (T.R.SOOD) (BHAVNESH SAINI) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 3 RD AUGUST,2015. POONAM COPY TO: THE APPELLANT, THE RESPONDENT, THE CIT(A), THE CIT, DR ASSISTANT REGISTRAR, ITAT CHANDIGARH