Shiv Shanekr Kachwal, BHILWARA V. ITO, BHILWARA

ITA 112/JODH/2010

• Counselvise Citation: 11223314 RSA 2010
• Duration Of Justice: 1 year(s) 8 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-11-2011
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Next Hearing Date: 29-11-2011
• Assessment Year: 2005-2006
• Appeal Filed On: 08-03-2010
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: G R KOKANI

Judgement Text

1 ITA 112-10 IN THE INCOME TAX APPELLATE TRIBUNAL JODHPUR BENCH SMC JODHPUR. ( BEFORE SHRI R.K. GUPTA, JUDICIAL MEMBER ) ITA NO. 112/JODH/2010 ASSTT. YEAR : 2005-06. SHRI SHIV SHANKER KACHWAL, VS. THE INCOME-TAX OF FICER, E-5, BHILWARA TEXTILE MARKET, WARD-3, PUR ROAD, BHILWARA. BHILWARA. (APPELLANT) (RESPONDENT) APPELLANT BY : NONE RESPONDENT BY : SHRI G.R. KOKANI ORDER DATED : 30.11.2011. THIS IS AN APPEAL BY ASSESSEE AGAINST THE ORDER OF LD. CIT (A) RELATING TO ASSESSMENT YEAR 2005-06. 2. NONE APPEARED ON BEHALF OF THE ASSESSEE. THE LD. D/R HAS PLACED RELIANCE ON THE ORDER OF LD. CIT (A). THE APPEAL IS BEING DISPOSED OFF AFTER CONSIDERING THE ORDERS OF THE ASSESSING OFFICER AND LD. CIT (A). 3. GROUND NOS. 1 & 2 ARE AGAINST MAKING THE DISALLO WANCE OF RS. 1,25,000/- BY COMPLETING THE ASSESSMENT UNDER SECTION 143(3). 4. THE ASSESSEE DERIVES INCOME FROM TRADING OF GREY AND FINISHED FABRIC. GP RATE HAS BEEN SHOWN BY ASSESSEE AT 10.52% AS AGAINST 8.77% D ECLARED IN EARLIER YEAR. THE ASSESSING OFFICER NOTED THAT THERE ARE CERTAIN DISC REPANCIES IN THE MAINTENANCE OF BOOKS OF ACCOUNT, THEREFORE, HE REJECTED THE BOOKS OF ACC OUNT. THE ASSESSING OFFICER ALSO OBSERVED THAT ASSESSEE HAS UNDER VALUED THE STOCK. THEREFORE, KEEPING IN VIEW CERTAIN 2 DISCREPANCIES, THE ASSESSING OFFICER MADE TRADING A DDITION OF RS. 1,25,000/-. THE LD. CIT (A) HAS ALSO CONFIRMED THE ACTION OF THE ASSESSING OFFICER. 5. AFTER CONSIDERING THE ORDERS OF THE ASSESSING OF FICER AND LD. CIT (A) AND GROUNDS OF THE ASSESSEE AS WELL AS SUBMISSIONS MADE BEFORE LD. CIT (A) WHICH ARE MENTIONED IN THE ORDER OF LD. CIT (A), I FIND THAT THERE ARE CER TAIN DISCREPANCIES BUT THERE WAS NO MAJOR DEFECT IN THE MAINTENANCE OF BOOKS OF ACCOUNT. GP R ATE SHOWN BY ASSESSEE IS MUCH HIGHER AS COMPARED TO EARLIER YEAR, THEREFORE, I FEEL THAT TRADING ADDITION MADE BY ASSESSING OFFICER AND LD. CIT (A) IS NOT JUSTIFIED. ACCORDIN GLY, THE SAME IS DELETED. 6. REMAINING GROUND IS AGAINST CONFIRMING THE TELEP HONE EXPENSES OF RS. 2,633/-. 7. THIS IS A MINOR DISALLOWANCE. THEREFORE, I FEEL NOT TO INTERFERE WITH THE ORDERS OF AUTHORITIES BELOW WHO HAS DISALLOWED THE EXPENSES B Y OBSERVING THAT PERSONAL ELEMENT OF EXPENSES CANNOT BE DENIED. ACCORDINGLY, I CONFIRM THE ADDITION. 8. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED IN PART. 9. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED IN PART. 10. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 30 .11.2011. SD/- ( R.K. GUPTA ) JUDICIAL MEMBER JODHPUR, COPY FORWARDED TO :- SHRI SHIV SHANKAR KACHWAL, BHILWARA. THE ITO WARD-3, BHILWARA. THE CIT (A) THE CIT THE D/R GUARD FILE (ITA NO. 112/JODH/2010) BY ORDER, AR ITAT JODHPUR. 3