Irfan Badsha Bagwan, Ichalkaranji V. Deputy Commissioner of Income-tax,

ITA 1136/PUN/2015

• Counselvise Citation: [2017] 126 COUNSELVISE.COM (IT) 7640 (ITAT-PUNE)
• Duration Of Justice: 2 year(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-08-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2011-2012
• Appeal Filed On: 10-08-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P S NAIK
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH B , PUNE , , BEFORE MS. SUSHMA CHOWLA, JM AND SHRI ANIL CHATURVEDI, AM 1 - 4 1133/PUN/2015 TO 1136/PUN/2015 SHRI IRFAN BADSHA BAGWAN, BAGWAN HOUSE NO.499, PARVATI SAH. SANSTHA, NEAR ONKARESHWAR TEMPLE, ICHALKARANJI. PAN: AILPB2310H THE DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE, KOLHAPUR. 2007 - 08 2008 - 09 2009 - 10 2011 - 12 5 - 8 1138/PUN/2015 TO 1141/PUN/2015 SHRI MOHSIN BADSHA BAGWAN, BAGWAN HOUSE, NO.499, PARVATI SAH, SANSTHA, NEAR ONKARESHWAR TEMPLE, ICHALKARANJI. PAN: AILPB2307C THE DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE, KOLHAPUR. 2007 - 08 2008 - 09 2009 - 10 2011 - 12 ASSESSEE BY : S MT. J.R. CHANDEKAR REVENUE BY : SHRI P.S. NAIK / ORDER PER SUSHMA CHOWLA, JM: THE PRESENT BUNCH OF APPEALS FILED BY CONNECTED ASSESSEE ARE AGAINST CONSOLIDATED ORDER OF THE CIT(A) - 1&2, KOLHAPUR, DATED 2 9 .0 5 .201 5 IN THE CASE OF EACH OF THE ASSESSEE RELATING TO ASSESSMENT YEARS 2007 - 08 TO 2009 - 10 AND 2011 - 12 AGAINST ORDERS PASSED UNDER SECTION 143(3) R.W.S. 147 / 143(3) OF THE INCOME TAX ACT, 1961 (IN SHORT THE ACT). 2. THE PRESENT BUNCH OF APPEALS RELATING TO CONNECTED ASSESSEE ON SIMILAR ISSUE S WERE HEARD SEPARATELY BUT ARE BEING DISPOSED OF BY THIS CONSOLIDATED ORDER FOR THE SAKE OF CONVENIENCE. BOTH THE ASSESSEE HAVE RAISED SIMILAR GROUNDS OF APPEAL IN RESPECTIVE YEARS. / DATE OF HEARING: 2 2.06.2017 / DATE OF PRONOUNCEMENT: 11 . 0 8 .2017 2 3 . THE ASSESSEE IN ITA NO.1 133 /PUN/201 5 HAS RAISED THE FOLLOWING GROUNDS OF APPEAL : - 1. ON THE FACTS AND CIRCUMSTANCES OF THE CASE THE LEARNED CIT(A) ERRED IN REJECTING THE GROUND OF THE APPELLANT THAT, SINCE THE APPELLANT HAVING NOT BEEN SUPPLIED THE REASONS FOR RE - OPENING THE ASSESSMENTS UNDER SECTION 147 OF INCOME TAX ACT, 1961, THE ORDER PASSED BY THE A.O. IS BAD IN LAW. THE APPELLANT SUBMITS THAT THE DIRECTION OF THE HONOURABLE SUPREME COURT IN THE CASE OF GKN DRIVE SHAFT HAVING NOT BEEN FOLLOWED THE ASSESSMENT PROCEEDINGS ARE BAD IN LAW. IT BE HELD ACCORDINGLY. 2. ON THE FACTS AND CI RCUMSTANCES OF THE CASE AND IN LAW THE LEARNED CIT(A) WAS NOT JUSTIFIED IN SUSTAINING PARTIAL ADDITION IN RESPECT OF AGRICULTURAL INCOME DECLARED BY APPELLANT BY TREATING 54% OF THE GROSS RECEIPTS AS EXPENSES FOR AGRICULTURE. THE APPELLANT SUBMITS THAT E XPENSES AS SHOWN BY HIM/HER WHILE ARRIVING AT THE NET AGRICULTURAL INCOME BEING ADEQUATE TO MEET THE COST OF AGRICULTURE, PARTIAL SUSTAINING OF THE ADDITION IS UNWARRANTED. THE APPELLANT PRAYS THAT THE A.O. BE DIRECTED TO DELETE THE ENTIRE ADDITION MADE IN THIS RESPECT. 4 . THE FIRST GROUND OF APPEAL IN ASSESSMENT YEAR 2007 - 08 IN THE CASE OF SHRI IRFAN BADSHA BAGWAN AND SHRI MOHSIN BADSHA BAGWAN IS AGAINST EXERCISE OF JURISDICTION UNDER SECTION 147 OF THE ACT IS NOT PRESSED AND HENCE, THE SAME IS DISMISSED AS NOT PRESSED. 5 . FURTHER, IN ASSESSMENT YEARS 2007 - 08 TO 2009 - 10 AND 2011 - 12, BOTH THE ASSESSEE HA VE ONLY RAISED THE ISSUE OF ESTIMATION OF AGRICULTURAL INCOME IN THE HANDS OF ASSESSEE, WHEREIN THE CIT(A) HAD TREATED 54% OF GROSS RECEIPTS AS E XPENSES FOR AGRICULTURE. 6 . THE LEARNED AUTHORIZED REPRESENTATIVE FOR THE ASSESSEE FAIRLY POINTED OUT THAT THE ISSUE RAISED IN THE SET OF APPEALS IS SQUARELY COVERED BY THE ISSUE AS IN THE CASE OF SHRI BADSHA BAGWAN. 7 . THE LEARNED DEPARTMENTAL REPRESENT ATIVE FOR THE REVENUE PLACED RELIANCE ON THE ORDERS OF AUTHORITIES BELOW. 3 8 . WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE RECORD. WE FIND THAT THE ISSUE OF ESTIMATION OF AGRICULTURAL INCOME IN THE HANDS OF ASSESSEE HAS BEEN DECIDED BY THE TRIBUNAL WITH LEAD ORDER IN THE CASE OF SHRI BADSHA ALLABAX BAGWAN IN ITA NO.1230/PUN/2012 AND CROSS APPEAL FILED BY THE REVENUE IN ITA NO.1312/PUN/2012 , RELATING TO ASSESSMENT YEAR 1999 - 2000 VIDE ORDER OF EVEN DATE, WHEREIN DIRECTIONS HAVE BEEN GIVEN VIS - - VIS ES TIMATION OF AGRICULTURAL INCOME IN THE RESPECTIVE HANDS IN RESPECTIVE YEARS. FOLLOWING THE SAME PARITY OF REASONING, WE DIRECT THE ASSESSING OFFICER TO APPLY OUR DIRECTIONS TO ESTIMATE THE AGRICULTURAL INCOME IN THE HANDS OF ASSESSEE IN ALL THE CAPTIONED APPEALS. 9. IN THE RESULT, ALL THE APPEALS OF ASSESSEE ARE ALLOWED AS INDICATED ABOVE. ORDER PRONOUNCED ON THIS 11 TH DAY OF AUGUST , 201 7 . SD/ - SD/ - (ANIL CHATURVEDI) (SUSHMA CHOWLA) / ACCOUNTANT MEMBER / JUDICIAL MEMBER / PUNE ; DATED : 11 TH AUGUST , 201 7 . G G C C V V S S R R / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT ; 2. / THE RESPONDENT; 3. ( ) / THE CIT (A) - 1&2 , KOLHAPUR ; 4. / THE CIT - I /II, KOLHAPUR / CIT (CENTRAL) , PUNE ; 5. , , / DR B , ITAT, PUNE; 6. / GUARD FILE. / BY ORDER , // TRUE COPY // / SR. PRIVATE SECRETARY , / ITAT, PUNE