C. Aravind Babu, Hyderabad V. DCIT, Hyderabad

ITA 111/HYD/2011

• Counselvise Citation: [2011] 140 COUNSELVISE.COM (IT) 53675 (ITAT-HYDERABAD)
• Duration Of Justice: 9 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-10-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 16-06-2011
• Assessment Year: 2008-2009
• Appeal Filed On: 21-01-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: K MYTHILI RANI
• Assessee Lawyers: S RAMA RAO

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH B', HYDERABAD BEFORE SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER AND SMT. ASHA VIJAYARAGHAVAN, JUDICIAL MEMBER I .T.A. NO. 111/HYD/2011 ASSESSMENT YEAR : 2008-09 SHRI C. ARAVIND BABU HYDERABAD PAN: ABVPC7573J VS. DY. COMMISSIONER OF I.T. CENTRAL CIRCLE-6, HYDERABAD APPELLANT RESPONDENT I .T.A. NO. 1607/HYD/2010 - ASSESSMENT YEAR : 2002-03 I .T.A. NO. 1608/HYD/2010 - ASSESSMENT YEAR : 2003-04 I .T.A. NO. 1609/HYD/2010 - ASSESSMENT YEAR : 2004-05 ASST. COMMISSIONER OF I.T. CENTRAL CIRCLE-6, HYDERABAD VS. SHRI C. ARAVIND BABU HYDERABAD PAN: ABVPC7573J APPELLANT RESPONDENT ASSESSEE BY: SHRI S. RAMA RAO REVENUE BY: MS. K. MYTHILI RANI DATE OF HEARING: 05.10.2011 DATE OF PRONOUNCEMENT: 21.10.2011 O R D E R PER CHANDRA POOJARI, AM: ITA NO. 111/HYD/2011 BY THE ASSESSEE AND ITA NOS. 1 607 TO 1609/HYD/2010 BY THE REVENUE ARE DIRECTED AGAINST T HE DIFFERENT ORDERS OF THE CIT(A)-I, FOR THE ASSESSMENT YEARS 2008-09, 200 2-03, 2003-04 AND 2004- 05, RESPECTIVELY. SINCE THE ISSUES INVOLVED IN THE SE APPEALS ARE COMMON AND BELONG TO ONE ASSESSEE, ALL THESE APPEALS ARE HEARD TOGETHER AND ARE BEING DISPOSED OF BY THIS COMMON ORDER, FOR THE SAKE OF C ONVENIENCE. 2. THE ASSESSEE IN ITS APPEAL RAISED A GROUND THAT THE CIT(A) ERRED IN NOT CONSIDERING THE ADDITIONAL GROUND SUBMITTED BEFORE HIM. THE CIT(A) OUGHT TO HAVE OBSERVED THAT THE AGRICULTURAL LAND SOLD IS WITHIN THE JURISDICTION OF RAJENDRANAGAR MANDAL WHICH IS N OT NOTIFIED BY THE CENTRAL GOVERNMENT. ITA NOS. 111/H/11 & 1607-1609/H/10 SHRI C. ARAVIND BABU ============================= 2 3. WE HAVE HEARD BOTH THE PARTIES ON THIS ISSUE. W E FIND NEITHER OF THE PARTIES HAS BROUGHT ON RECORD THE ADDITIONAL GR OUND RAISED BY THE ASSESSEE BEFORE THE CIT(A). AS SUCH WE CANNOT EXPR ESS ANY OPINION ON THIS ISSUE. HOWEVER, IN THE INTEREST OF JUSTICE , WE DIRECT THE CIT(A) TO CONSIDER THE ADDITIONAL GROUND IF IT IS ALREADY BROUGHT ON HIS RECORD DULY AND DECIDE THE ISSUE ACCORDINGLY. THE APPEAL OF THE ASSESSEE IS PARTLY ALLOWED FOR STATISTICAL PURPOSE. 4. THE REVENUE IN ITS APPEALS RAISED THE COMMON GRO UND THAT THE CIT(A) ERRED IN DIRECTING THE INCOME FROM DAIRY BUS INESS AT 10% OF THE RECEIPTS, WITHOUT ANY BASIS FOR SUCH ESTIMATION. 5. THE LEARNED DR SUBMITTED THAT THE ASSESSEE HAS N OT PRODUCED ANY BILLS/VOUCHERS FOR THE EXPENDITURE CLAIMED BY H IM BEFORE THE LOWER AUTHORITIES. AS SUCH THE ASSESSING OFFICER'S ORDER SHOULD BE CONFIRMED. ACCORDING TO THE DR, 80% OF THE EXPENSES SHOULD BE DISALLOWED INSTEAD OF ESTIMATING THE INCOME AT 10% OF THE RECE IPTS. 6. THE LEARNED COUNSEL FOR THE ASSESSEE RELIED ON T HE ORDER OF THE CIT(A). 7. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE M ATERIAL ON RECORD. ADMITTEDLY IN THIS CASE EXPENSES WERE NOT SUPPORTED BY PROPER VOUCHERS AND REASONABLE ESTIMATION HAS TO BE MADE. IN OUR OPINION, ESTIMATION OF INCOME AT 10% OF THE GROSS RECEIPTS I S VERY REASONABLE AND WE DO NOT FIND ANY INFIRMITY IN THE ORDER OF TH E CIT(A). ACCORDINGLY, WE CONFIRM THE ORDER OF THE CIT(A) ON THIS ISSUE. ALL THE THREE APPEALS OF THE REVENUE ARE DISMISSED. 8. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES AND APPEALS OF THE REVENUE ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 21 ST OCTOBER, 2011. SD/ - (ASHA VIJAYARAGHAVAN) JUDICIAL MEMBER SD/ - (CHANDRA POOJARI) ACCOUNTANT MEMBER HYDERABAD, DATED 21 ST OCTOBER, 2011 TPRAO ITA NOS. 111/H/11 & 1607-1609/H/10 SHRI C. ARAVIND BABU ============================= 3 COPY FORWARDED TO: 1. SHRI C. ARAVIND BABU, C/O. SHRI S. RAMA RAO, ADV OCATE, 3-6-643, SHRIYA'S ELEGANCE, FLAT NO. 102, ST. NO. 9 , HIMAYATHNAGAR, HYDERABAD-29. 2. THE DY. COMMISSIONER OF INCOME-TAX, CENTRAL CIRC LE, HYDERABAD. 3. THE CIT(A)-I, HYDERABAD. 4. THE CIT (CENTRAL), HYDERABAD. 5. THE DR B BENCH, ITAT, HYDERABAD