Jitesh Awadhwal, Seoni V. Income Tax Officer, Seoni

ITA 12/JAB/2018

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 2245 (ITAT-JABALPUR)
• Duration Of Justice: 1 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-03-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2013-2014
• Appeal Filed On: 29-01-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Business income; Opportunity of being heard
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL JABALPUR BENCH, JABALPUR BEFORE SHRI KUL BHARAT, JUDICIAL MEMBER AND SHRI MANISH BORAD, ACCOUNTANT MEMBER ./ ITA NO. 12/JAB/2018 / ASSESSMENT YEAR : 2013-14 JITESH AWADHWAL, JB COLONY, BARA PATTHAR, SEONI (MP) PAN : AOVPA 7224 D VS INCOME TAX OFFICER, SEONI (MP) / (APPELLANT) / (RESPONDENT) ASSESSEE BY : SHRI SAPAN USRETHE, ADV. REVENUE BY : SHRI PD CHOUGULE, DR / DATE OF HEARING : 14/03/2018 / DATE OF PRONOUNCEMENT: 15/03/2018 / O R D E R PER MANISH BORAD, ACCOUNTANT MEMBER:- THIS APPEAL OF ASSESSEE FOR ASSESSMENT YEAR 2013-14 IS DIRECT ED AGAINST THE ORDER OF THE CIT(A)-I, JABALPUR DATED 22 ND NOVEMBER 2017 VIDE APPEAL NO.J/CIT/A-1/JBP/ITO/W/SEONI/842/2015-16, ARISING OUT OF ORDER UNDER SECTION 143(3) OF THE INCOME-TAX ACT, 1961 (HERE INAFTER REFERRED TO AS THE ACT) DATED 18.02.2016 FRAMED BY THE ITO, WARD-SEONI. 2. ASSESSEE HAS RAISED FOLLOWING GROUNDS OF APPEAL:- 1. THE LEARNED CIT (APPEAL) WAS NOT JUSTIFIED IN PASSI NG ORDER EX PARTE EVEN THOUGH AR OF THE APPELLANT APPEARED ON 13.10.2017 AND SUBMITTE D THAT DEPOSITS IN BANK ACCOUNT WERE MADE OUT OF BROKERAGE ON PURCHASE AND SALE OF PROPERTY. 2. THE LEARNED COMMISSIONER OF INCOME TAX (APPEAL) CON FIRMED THE FINDING OF THE ASSESSING OFFICER MECHANICALLY, WITHOUT REALIZI NG THAT THERE WERE CREDITS FROM SALE OF PROPERTY AND DEBITS FROM PURCHASES O F PROPERTY AND WITHOUT EXAMINING DETAILS ONLY CREDITS IN BANK ACCOUNT CO ULD NOT BE ADDED. ITA NO. 12/JAB/2018 JITESH AWADHWAL VS. ITO AY : 2013-14 2 3. THE LEARNED COMMISSIONER OF INCOME TAX (APPEAL) WA S NOT JUSTIFIED IN DISMISSING THE APPEAL AS ALL THE CREDITS IN BANK ACCOUNTS WERE DEPOSITS FROM KNOWN SOURCES WHICH COMPRISES OF BUSINESS INCOME, SALE OF LAND, AMOUNT DEPOSITED OUT OF GOLD LOAN, AMOUNT RECEIVED FROM CUSTOM ERS, AND OUT OF WITHDRAWAL. 3. AT THE OUTSET, LEARNED COUNSEL FOR THE ASSESSEE SU BMITTED THAT THE ORDER PASSED BY THE LEARNED CIT(A) IS AN EX-PARTE ORDER. FURTHER, DURING THE COURSE OF ASSESSMENT PROCEEDINGS, DUE TO UNAVOIDABLE C IRCUMSTANCES, ASSESSEE WAS PREVENTED FROM FURNISHING NECESSARY DETAIL S TO EXPLAIN THE SOURCE OF ALLEGED CASH DEPOSITS IN THE BANK ACCOUNT. LEARNED COUNSEL FOR THE ASSESSEE, THEREFORE, HAS REQUESTED FOR SETTING ASI DE THE ISSUE TO THE FILE OF THE ASSESSING OFFICER FOR EXAMINING THE MATTER AFRESH. LEARNED DEPARTMENTAL REPRESENTATIVE HAS NO OBJECTION IF THE ISS UE RAISED IN THIS APPEAL IS SET ASIDE TO THE FILE OF THE ASSESSING OFFIC ER. 4. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE RE CORD PLACED BEFORE US. WE FIND THAT THE ASSESSEES CASE WAS SELECTED FOR SCRUTINY ASSESSMENT THROUGH CASS ON ACCOUNT OF INFORMATION REG ARDING ALLEGED CASH DEPOSITS OF MORE THAN RS.10 LAKHS IN THE BANK ACCOUNT OF THE ASSESSEE. IT WAS CONTENDED BY THE ASSESSEE THAT HE IS ENGAGED IN THE BU SINESS OF REAL ESTATE BROKER AND THE SOURCE OF CASH DEPOSITS ARE ON ACCOUNT O F BUSINESS TRANSACTIONS AS WELL AS SALE OF PROPERTY ON BEHALF OF CUS TOMERS. HOWEVER, DURING THE COURSE OF ASSESSMENT PROCEEDINGS, ASSESSEE WAS UNABLE TO FILE THE RELEVANT DOCUMENTS TO SUPPORT HIS CONTENTION. LEARNE D CIT(A) PASSED AN EX-PARTE ORDER. WE, THEREFORE, IN THE GIVEN FACTS AND CIRCUMS TANCES OF THE CASE AND IN THE INTERESTS OF JUSTICE, DEEM IT FIT AND PROPER TO SET ASIDE ALL THE ISSUES RAISED IN THIS APPEAL RELATING TO ADDITION OF RS. 77,11,102/- MADE BY THE ASSESSING OFFICER TO THE FILE OF ASSESSING OFFI CER FOR DE NOVO ADJUDICATION. WE ORDER SO. NEEDLESS TO MENTION THAT THE ASSESSING OFFICER WILL PROVIDE ITA NO. 12/JAB/2018 JITESH AWADHWAL VS. ITO AY : 2013-14 3 ADEQUATE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE WHI LE RE-ADJUDICATING THIS MATTER. 5. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE COURT ON 15 TH MARCH, 2018 AT JABALPUR. SD/- SD/- (KUL BHARAT) JUDICIAL MEMBER (MANISH BORAD) ACCOUNTANT MEMBER JABALPUR; DATED 15/03/ 2018 *BIT / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / CONCERNED CIT 4. ( ) / THE CIT(A) 5. , , / DR, ITAT, JABALPUR 6. / GUARD FILE . / BY ORDER, TRUE COPY / ( DY./ASSTT.REGISTRAR) , / ITAT, JABALPUR