Income-tax Officer, V. Shri Sahebrao Nimba Pawar, Nashik

ITA 1191/PUN/2016

• Counselvise Citation: [2018] 118 COUNSELVISE.COM (IT) 6802 (ITAT-PUNE)
• Duration Of Justice: 2 year(s) 6 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-12-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 05-12-2018
• Assessment Year: 2008-2009
• Appeal Filed On: 01-06-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ASEEM SHARMA
• Assessee Lawyers: S N DOSHI
• Keywords: Reassessment proceedings
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, PUNE . , , , BEFORE SHRI D. KARUNAKARA RAO, AM AND SHRI VIKAS AWASTHY, JM . / ITA NO . 1191 /P U N/201 6 / ASSESSMENT YEAR : 2008 - 09 INCOME TAX OFFICER, WARD 2(2), NASHIK ....... / APPELLANT / V/S. SHRI SAHEBRAO NIMBA PAWAR, AT+POST BHAUR, TAL. - DEOLA, NASHIK - 423102 PAN : APIPP9306H / RESPONDENT ASSESSEE BY : S HRI S.N. DOSHI & SHRI PRATIK SANDBHOR REVENUE BY : SHRI ASEEM SHARMA / DATE OF HEARING : 05 - 12 - 2018 / DATE OF PRONOUNCEMENT : 20 - 12 - 201 8 / ORDER PER VIKAS AWASTHY, JM : TH IS APPEAL BY THE REVENUE IS DIRECTED AGAINST THE ORDER OF COMMI SSIONER OF INCOME TAX (APPEALS) - 2, NASHIK DATED 09 - 03 - 2016 FOR THE ASSESSMENT YEAR 20 08 - 09. THE REVENUE IN APPEAL HAS ASSAILED THE ORDER OF 2 ITA NO . 1191/PUN/2016, A.Y. 2008 - 09 FIRST APPELLATE AUTHORITY BY RAISING SOLITARY ISSUE OF DELETING ADDITION OF RS.60,30,000/ - DEPOS ITED IN THE BANK ACCOUNT OF ASSESSEE. 2. SHRI ASEEM SHARMA REPRESENTING THE DEPARTMENT SUBMITTED THAT THE REASSESSMENT PROCEEDINGS WERE INITIATED AGAINST THE ASSESSEE ON ACCOUNT OF HUGE CASH CREDITS IN THE SAVING BANK ACC OUNT OF THE ASSESSEE MAINTAINED WITH NASHIK DISTRICT GIRNA CO - OP. BANK, KALWAN. THE LD. DR SUBMITTED THAT A PERUSAL OF ASSESSMENT ORDER PASSED U/S. 143(3) R.W.S. 147 OF THE ACT DATED 20 - 02 - 2015 WOULD SHOW THAT DURING THE PERIOD RELEVANT TO THE ASSESSMENT YEAR UNDER APPEAL VARIOUS PERSONS (15 NUMBERS) HAD MADE CASH DEPOSITS OF RS.4,00,000/ - EACH IN THE SAVING BANK ACCOUNT OF THE ASSESSEE AGGREGATING TO RS.60,00,000/ - . THE ASSESSING OFFICER SUMMONED THESE PERSONS AND RECORDED THEIR STATEMENTS . IN THEIR STA TEMENT THEY ADMITTED DEPOSITING OF CASH IN THE ACCOUNT OF ASSESSEE WITH NASHIK DISTRICT GIRNA CO - OP. BANK, KALWAN. ALL OF THEM REITERATED THE SAME REASONS I.E. THE ASSESS EE HAD ASKED THEM TO DEPOSIT CASH IN HIS ACCOUNT. THE LD. DR FURTHER SUBMITTED THAT THE CREDITWORTHINESS OF THE AFORESAID PERSONS AND THE REASONS FOR CASH DEPOSITS WERE NOT SUBSTANTIATED. THE ASSESSING OFFICER RIGHTLY MADE ADDITION IN THE HANDS OF THE ASSESSEE. THE LD.DR VEHEMENTLY DEFENDED THE ACTION OF ASSESSING OFFICER IN MAKING THE A DDITION AND PRAYED FOR REVERSING THE FINDINGS OF COMMISSIONER OF INCOME TAX (APPEAL). 3. ON THE OTHER HAND SHRI PRATIK SANDBHOR APPEARING ON BEHALF OF THE ASSESSEE VEHEMENTLY DEFENDING THE IMPUGNED ORDER SUBMITTED THAT THE ASSESSEE IS A CHIEF EXECUTIVE O FFICER (CEO) OF SAPTASHRUNGI MAHILA NAGARI 3 ITA NO . 1191/PUN/2016, A.Y. 2008 - 09 SAHAKARI PATSANSTHA, KALWAN. THE ASSESSEE IS HAVING INCOME FROM THE SALARY AND AGRICULTURAL INCOME. THE 15 PERSONS WHO HAVE DEPOSITED THE AMOUNT IN BANK ACCOUNT OF THE ASSESSEE WERE IN FACT ASKED TO DEPOSIT THE AMOUNT OF RS.4,00,000/ - EACH IN THE OD ACCOUNT OF SAPTASHRUNGI MAHILA NAGARI SAHAKARI PATSANSTHA, KALWAN WITH NASHIK DISTRICT GIRNA CO - OP. BANK, KALWAN. THE AMOUNT WAS INADVERTENTLY DEPOSITED BY THEM IN THE SAVING BANK ACCOUNT OF THE ASSESSEE. AS SOON AS THE ASSESSEE CAME TO KNOW THAT THE AMOUNT HAS BEEN WRONGLY DEPOSITE D IN HIS SAVING BANK ACCOUNT, T HE ASSESSEE IMMEDIATELY TRANSFERRED THE ENTIRE AMOUNT OF RS.60,00,000/ - IN THE OD ACCOUNT OF SAPTASHRUNGI MAHILA NAGARI SAHAKARI PATSANSTHA, KALWAN. THE ASS ESSEE EXPLAINED THESE FACTS TO THE AUTHORITIES BELOW. HOWEVER, THE ASSESSING OFFICER REFUSED TO ACCEPT THE EXPLANATION FURNISHED BY THE ASSESSEE. THE COMMISSIONER OF INCOME TAX (APPEALS) APPRECIATED THESE FACTS IN THE RIGHT PERSPECTIVE AND DELETED THE AD DITION. 4. W E HAVE HEARD THE SUBMISSIONS MADE BY REPRESENTATIVES OF RIVAL SIDES AND HAVE PERUSED THE ORDERS OF AUTHORITIES BELOW . THE SHORT ISSUE IN THE PRESENT APPEAL BY THE REVENUE IS DELETING THE ADDITION OF RS.60,30,000/ - DEPOSITED IN THE SAVING BANK ACCOUNT OF THE ASSESSEE. THE ASSESSEE IS A CEO OF SAPTASHRUNGI MAHILA NAGARI SAHAKARI PATSANSTHA, KALWAN. A PERUSAL OF DOCUMENT S ON RECORD REVEAL THAT 15 PERSONS MADE CASH DEPOSITS OF RS.4,00,000/ - EACH IN THE SAVING BANK ACCOUNT OF THE ASSESSEE. THE AMOUNT WAS IN FACT TO BE DEPOSITED BY THE AFORESAID PERSONS IN THE OD ACCOUNT OF SAPTASHRUNGI MAHILA NAGARI SAHAKARI PATSANSTHA, KA LWAN. THE LD. AR HAS DRAWN OUR ATTENTION TO THE CONFIRMATION FILED BY THE SAPTASHRUNGI MAHILA NAGARI SAHAKARI PATSANSTHA, KALWAN ( AT PAGE - 33 4 ITA NO . 1191/PUN/2016, A.Y. 2008 - 09 OF THE PAPER BOOK) ADMITTING THAT RS.60,00,000/ - DEPOSITED ON 28 - 01 - 2018 IN THE BANK ACCOUNT OF ASSESSEE BELONGS TO THE SAPTASHRUNGI MAHILA NAGARI SAHAKARI PATSANSTHA, KALWAN AND WAS INADVERTENTLY DEPOSITED IN THE BANK ACCOUNT OF THE ASSESSEE. THE RELEVANT EXTRACT OF THE CONFIRMATION IS REPRODUCED HERE - IN - BELOW : OUTWARD NO. 25/2014 - 15 19/05/2014 TO, THE INCO ME TAX OFFICER, NASHIK, WD 2(2), NASHIK. SUB: IN RESPECT OF SAVINGS ALE TRANSACTION OF MR. PAWAR SAH E BRAO NIMBA SIR, IN REGARD TO THE CAPTIONED SUBJECT YOU ARE HEREBY INFORMED THAT MR. PAWAR SAHCBRAO NIMBA IS A AN EMPLOYEE OF OUR INSTITUTION AND THAT HE HOLDS A SAVINGS BANK A/C NO. 74 IN NASHIK DISTRICT GIRNA SAHKARI BANK LTD., NASHIK BRANCH KALWAN. AN AMOUNT OF RS .60,00,000/ - HAS BEEN DEPOSITED IN THE SAID ACCOUNT ON 28/0112008. THE SAID A MOUNT INADVERTENTLY HAS BEEN DEPOSITED IN HIS SAVINGS ALC INSTEAD OF OUR INSTITUTION'S BANK A/C. THIS TRANSACTION HAS BEEN RECTIFIED ON THE VERY SAME DAY BY CREDITING THE SAID AMOUNT TO OUR INSTITUTION'S FDR ADVANCE A/C. THIS TRANSACTION HAS INADVERTENT LY BEEN MADE IN MR. PAWAR SAHEBRAO NIMBA'S A/C AND HE HAS NO RELATION WITH IT WHATSOEVER. THE AFORESAID LETTER HAS BEEN GIVEN ON REQUEST OF MR. PAWAR SAH EBRAO NIMBA. S/D MAIN ADMINISTRATIVE OFFICER SAPTASHRUNGI MAHILA NAGARI SAHAKARI PATSANSTHA L TD. TAL : KALWAN DIST: NASHIK ENCL: COPY OF OUR INSTITUTION'S FDR ADVANCE AL /C STATEMENT. 5. THE REVENUE HAS FAILED TO REBUT THE CONTENTIONS OF ASSESSEE THAT THE AMOUNT OF RS.60,00,000/ - WAS IMMEDIATELY TRANSFERRED BY THE ASSESSEE FROM HIS SAVING BANK ACCOUNT TO OD ACCOUNT OF SAPTASHRUNGI MAHILA NAGARI SAHAKARI PATSANSTHA, KALWAN. THUS, IN VIEW O F THE UNDISPUTED FACT 5 ITA NO . 1191/PUN/2016, A.Y. 2008 - 09 AND THE ADMISSION OF SAPTASHRUNGI MAHILA NAGARI SAHAKARI PATSANSTHA, KALWAN OWING THE CASH DEPOSITS , WE DO NOT FIND ANY INFIRMITY IN THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS) IN DELETING THE ADDITION IN THE HANDS OF ASSESSEE. W E UPHOLD THE FINDINGS OF FIRST APPELLATE AUTHORITY AND DISMISS THE APPEAL OF REVENUE. 6. IN THE RESULT, THE APPEAL OF REVENUE IS DISMISS ED . ORDER PRONOUNCED ON THURSDAY, THE 20 TH DAY OF DECEMBER, 201 8 . SD/ - SD/ - ( . /D. KARUNAKARA RAO ) ( / VIKAS AWASTHY) / ACCOUNTANT MEMBER / JUDICIAL MEMBER / PUNE; / DATED : 20 TH DECEMBER, 2018 RK / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. ( ) / THE CIT(A) - 2, NASHIK 4. THE PR. COMMISSIONER OF INCOME TAX - 2, NASHIK 5. , , , / DR, ITAT, A BENCH, PUNE. 6. / GUARD FILE. / / // TRUE COPY// / BY ORDER, / PRIVATE SECRETARY, , / ITAT, PUNE