ITO, Mandi V. Sh. Parkash Chand Anand, Mandi

ITA 1160/CHANDI/2012

• Counselvise Citation: 116021514 RSA 2012
• Duration Of Justice: 3 year(s) 1 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-12-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 17-12-2015
• Assessment Year: 2007-2008
• Appeal Filed On: 09-11-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Tax effect

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL CHANDIGARH BENCHES, CHANDIGARH BEFORE SHRI H.L.KARWA, HON'BLE VICE PRESIDENT & MS. ANNAPURNA MEHROTRA, ACCOUNTANT MEMBER ITA NO. 1160/CHD/2012 ASSESSMENT YEAR: 2007-08 THE ITO, VS. SH. PARKASH CHAND ANAND, MANDI WARD, CONTRACTOR, MANDI DISTT. MANDI PAN NO. ABZPA4897M (APPELLANT) (RESPONDENT) APPELLANT BY : SMT. RAJINDER KAUR RESPONDENT BY : NONE DATE OF HEARING : 17.12.2015 DATE OF PRONOUNCEMENT : 21.12.2015 . ORDER PER H.L.KARWA, VP THIS APPEAL FILED BY THE REVENUE IS DIRECTED AGAINS T THE ORDER OF CIT(A), SHIMLA DATED 16.08.2012 RELATING TO ASSESSMENT YEAR 2007-08 2. IN THIS APPEAL THE REVENUE HAS RAISED THE FOLLOW ING GROUNDS:- 1. ON THE FACTS AND IN THE CIRCUMSTANCES, THE LD. C IT(A) HAS ERRED IN DELETING THE NET PROFIT RATE APPLIED @ 8% ON THE GROUND THAT ASSESSMENT HAS BEEN MADE PURELY ON ASSUMPTIONS WITHOUT ANY BASIS. WHEREAS, DU,RING PROCEEDINGS A.O. HAD POINTED OUT CERTAIN DISCREPANC IES IN THE BOOKS OF ACCOUNT FOR WHICH ASSESSEE FAILED T O SUBSTANTIATE THE SAME. ALSO THE ASSESSEE FAILED TO PRODUCE RELEVANT BILLS/ VOUCHERS IN SUPPORT OF VEHI CLE 2 EXPENSES. ACCORDINGLY, AO HAD RIGHTLY WORKED OUT NE T PROFIT BY APPLYING NET PROFIT RATIO @ 8%. 2. IT IS PRAYED THAT THE ORDER OF THE LD CIT(A) BE SET- ASIDE. 3. WE HAVE HEARD SMT. RAJINDER KUAR, LD. DR. IT I S OBSERVED THAT IN THIS CASE THE TAX EFFECT DOES NOT EXCEED THE MONETARY LI MIT OF RS. 10 LAKHS. THUS, IN VIEW OF CIRCULAR NO. 21/2015 DATED 10.12.2015, F.NO . 279/MISC.142/2007- ITJ(PT), GOVERNMENT. OF INDIA, MINISTRY OF FINANCE, DEPARTMENT OF REVENUE, CENTRAL BOARD OF DIRECT TAXES, THE INSTANT APPEAL D ESERVES TO BE TREATED AS WITHDRAWN / NOT PRESSED. VIDE PARA 10 OF THE ABOVE INSTRUCTIONS, THE CBDT HAS CLARIFIED THAT THIS INSTRUCTION WILL APPLY RETROSPE CTIVELY TO PENDING APPEALS AND APPEALS TO BE FILED HENCEFORTH IN ITAT. THE CBDT H AS FURTHER CLARIFIED THAT THE PENDING APPEALS BEFORE THE TRIBUNAL BELOW THE SPECI FIED TAX LIMITS I.E. RS. 10 LAKHS MAY BE WITHDRAWN / NOT PRESSED BY THE REVENUE . IT IS ALSO OBSERVED THAT THE ISSUES INVOLVED IN THIS APPEAL ARE NOT COVERED BY PARA 8 OF THE ABOVE INSTRUCTIONS. ACCORDINGLY, THE APPEAL FILED BY THE REVENUE IS TREATED AS WITHDRAWN / NOT PRESSED. 4. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 21.12.2015 SD/- SD/- (ANNAPURNA MEHROTRA) (H.L.KARWA) ACCOUNTANT MEMBER VICE PRESIDENT DATED 21 ST DECEMBER, 2015 RKK COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT 4. THE CIT(A) 5. THE DR