Shri Keelara Channappa Sudharshan , Bangalore V. Income Tax Officer Ward-6(3)(3), Bangalore

ITA 1069/BANG/2018

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 4517 (ITAT-BANGALORE)
• Duration Of Justice: 1 year(s) 4 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-08-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2013-2014
• Appeal Filed On: 02-04-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR S PALANI KUMAR
• Assessee Lawyers: S V RAVISHANKAR
• Keywords: Set aside
• Section: 143(3); 250

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL BANGALORE BENCHES C BENCH: BANGALORE BEFORE SHRI A.K. GARODIA, ACCOUNTANT MEMBER AND SHRI PAVAN KUMAR GADALE, JUDICIAL MEMBER ITA. NO. 1069 /BANG/2018 (ASSESSMENT YEAR: 201 3 - 14 ) SHRI KEELARA CHANNAPPA SUDHARSHAN, NO.680, 15 TH CROSS, 4 TH BLOCK, HMT LAYOUT, VIDYARANYAPURA, BANGALORE - 560 097 PAN: BQIPS 4027C VS. INCOME TAX OFFICER , WARD 6(3)(3), BANGALORE. (APPELLANT) (RESPONDENT) ASSESSEE BY: SHRI S.V. RAVI SHANKAR, ADVOCATE. REVENUE BY: DR. S. PALANI KUMAR, ADDL. CIT (D.R) DATE OF HEARING : 23.07 .2019 DATE OF PRONOUNCEMENT : 26 .08 .2019 O R D E R PER SHRI PAVAN KUMAR GADALE, JM : THE ASSESSEE HAS FILED AN APPEAL AGAINST THE ORDER OF LEARNED COMMISSIONER OF INCOME TAX (APPEALS) - 3, BANGALORE PASSED UNDER SECTION 143(3) AND 250 OF THE INCOME TAX ACT, 1961. 2. THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL : 2 ITA NO. 1069/BANG/2018 3 ITA NO. 1069/BANG/2018 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE HAS FILED THE RETURN OF INCOME ON 13.10.2013 DISCLOSING TOTAL INCOME OF RS.19,28,210. SUBSEQUENTLY, THE CASE WAS SELECTED FOR SCRUTINY UNDER THE CASS AND NOTICE UNDER SECTION 143(2) & 14 2(1) OF THE ACT WERE ISSUED. IN COMPLIANCE , THE LEARNED AUTHORISED REPRESENTATIVE APPEARED FROM TIME TO TIME BEFORE THE ASSESSING OFFICER AND THE CASE WAS DISCUSSED. IN THE ASSESSMENT PROCEEDINGS ON PERUSAL OF THE FINANCIAL STATEMENT S , THE ASSESSING OFF ICER FOUND UNSECURED LOAN OF RS.6 LAKHS AND NO DOCUMENTARY EVIDENCES ARE PRODUCED TO SUPPORT THE LOAN AND THEREFORE THE ASSESSING OFFICER MADE ADDITION AND ASSESSED THE TOTAL INCOME OF RS.25,28,210 BY ORDER UNDER SECTION 143(3) OF THE ACT DT.17.3.2016. AGGRIEVED BY THE ORDER, THE ASSESSEE HAS FILED AN APPEAL WITH THE CIT(APPEALS). THE CIT(APPEALS) HAVING CONSIDERED THE GROUNDS, SUBMISSIONS AND FINDINGS OF THE ASSESSING OFFICER HAS OBSERVED THAT THE DECISION MADE BY THE ASSESSING OFFICER COULD NOT BE ALTERED AS NO EVIDENCE IS PRODUCED IN THE COURSE OF APPELLATE PROCEEDINGS ON THE UNSECURED LOAN OF RS.6 LAKHS AND DEALT ON THE DISPUTED ISSUE AT PARA 5.2 OF THE ORDER AND CONFIRMED THE ASSESSING OFFICERS ACTION AND DISMISSED THE ASSESSEE'S APPEAL. AGGRIEVED BY THE ORDER OF CIT(APPEALS), THE ASSESSEE FILED AN APPEAL WITH THE TRIBUNAL. 4. AT THE TIME OF HEARING, THE LEARNED AUTHORISED REPRESENTATIVE SUBMITTED THAT THE CIT(APPEALS) HAS ERRED IN NOT CONSIDERING T HE SUBMISSIONS ON THE UNSECURED LOAN , WHICH IS ACTUALLY AN INTER - BANK TRANSFER BETWEEN THE BANK ACCOUNTS AND WERE NOT READILY AVAILABLE WITH THE ASSESSEE IN THE ASSESSMENT PROCEEDINGS AND THE LD. AR 4 ITA NO. 1069/BANG/2018 FILED THE STATEMENT OF BANK ACCOUNTS REFLECTING THE TRA NSFER ENTRIES AND PRAYED FOR AN OPPORTUNITY TO SUBSTANTIATE THE CLAIM . CONTRA, THE LEARNED DEPARTMENTAL REPRESENTATIVE SUPPORTED THE ORDERS OF THE CIT(APPEALS) AND FURTHER SUBMITTED THAT THESE DOCUMENTS ARE FILED FIRST TIME BEFORE THE TRIBUNAL AND ASSESS ING OFFICER WAS DEPRIVED TO VERIFY THE GENUINENESS OF BANK TRANSACTIONS . 5. WE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIAL ON RECORD. PRIMA FACIE, THE ONLY DISPUTED ISSUE ENVISAGED BY THE LEARNED AUTHORISED REPRESENTATIVE BY THE LD. AR THA T THE TRANSFER OF RS.6 LAKHS INTO ASSESSEE'S ACCOUNT IS AN INTER - BANK TRANSACTION AND DEMONSTRATED WITH STATEMENT OF BANK ACCOUNT OF THE ASSESSEE WITH NIYAMIT HRA SAHAKAR BANK NIYAMITA BANGALORE - 1 WERE ON 23.6.2012, THE ASSESSEE HAS TRANSFERRED AN AMOUNT O F RS.6 LAKHS TO ASSESSEE'S OTHER BANK ACCOUNT WITH THE INDIAN OVERSEAS BANK, BANGALORE. THE LEARNED AUTHORISED REPRESENTATIVE POINTED OUT IN BOTH COPIES OF BANK STATEMENTS REFLECTING DEBIT AND C R E D IT ENTRIES OF THE SAME AMOUNT. WE FOUND STRENGTH IN THE SUBMISSIONS OF THE LEARNED AUTHORISED REPRESENTATIVE DULY SUPPORTED WITH THE BANK STATEMENT THAT THE CREDIT IN THE BOOKS OF ACCOUNT ARE OUT OF THE INTER - BANK TRANSFER WHICH CANNOT BE DISPUTED. BUT SINCE THE ASSESSEE HAS NOT SUBSTANTIATED THE EVIDENCE IN T HE ASSESSMENT PROCEEDINGS. ACCORDINGLY, TO MEET THE ENDS OF JUSTICE, WE RESTORE THE DISPUTED ISSUE TO THE FILE OF ASSESSING OFFICER FOR LIMITED PURPOSE TO VERIFY THE B ANK ACCOUNT STATEMENT S FILED IN THE COURSE OF HEARING AND EXAMINE THE GENUINENESS OF TRA NSACTION. ACCORDINGLY, THE ORDER OF CIT(APPEALS) IS SET ASIDE AND RESTORE THE 5 ITA NO. 1069/BANG/2018 ENTIRE DISPUTED ISSUE TO THE FILE OF ASSESSING OFFICER AND ALLOW THE GROUNDS OF APPEAL OF ASSESSEE FOR STATISTICAL PURPOSES. 6. IN THE RESULT, THE APPEAL OF ASSESSEE IS ALL OWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 2 T H AUG., 2019. S D / - S D / - (A.K. GARODIA) (PAVAN KUMAR GADALE) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 2 6 .08. 2019. *REDDY GP COPY TO 1. THE APPELLANT 2. THE RESPONDENT 3. CIT (A) 4. PR. CIT 5. DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR INCOME - TAX APPELLATE TRIBUNAL BANGALORE