The ITO, Ward-5(3), Baroda V. Shri Bipinchandra S. Tamakuwala, Baroda

ITA 1227/AHD/2014

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 8366 (ITAT-AHMEDABAD)
• Duration Of Justice: 4 year(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-05-2018
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 21-08-2017
• Assessment Year: 2008-2009
• Appeal Filed On: 25-04-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: O P PATHAK
• Keywords: Deemed to accrue or arise in india; Tax effect
• Section: 131

Judgement Text

, M MM MH HH H IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH, AHMEDABAD LOZJH IZNHI DQEKJ DSFM;K] YS[KK LNL; ,OA LOZJH IZNHI DQEKJ DSFM;K] YS[KK LNL; ,OA LOZJH IZNHI DQEKJ DSFM;K] YS[KK LNL; ,OA LOZJH IZNHI DQEKJ DSFM;K] YS[KK LNL; ,OA EK/KQFERK JKW; EK/KQFERK JKW; EK/KQFERK JKW; EK/KQFERK JKW;] ] ] ] U;KF;D LNL; DS LE{KA U;KF;D LNL; DS LE{KA U;KF;D LNL; DS LE{KA U;KF;D LNL; DS LE{KA BEFORE SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER AND SMT MADHUMITA ROY, JUDICIAL MEMBER ./ I.T.A. NO. 1227/AHD/2014 ( / ASSESSMENT YEAR : 2008-09) THE INCOME TAX OFFICER, WARD 5(3), ROOM NO.506, 5 TH FLOOR AAYAKAR BHAVAN, RACE COURSE CIRCLE, BARODA 390 007 / VS. SHRI BIPINCHANDRA S. TAMAKUWALA, PROP. OF NAIRUTI DEVELOPERS, 10, SHREE ANANT APARTMENT, NR. LAKDI POOL, DANDIA BAZAR, BARODA 390 001 ./ ./ PAN/GIR NO. : ABLPT 9978 N ( / APPELLANT ) .. ( / RESPONDENT ) / APPELLANT BY : SHRI O. P. PATHAK, SR.D.R. / RESPONDENT BY : MS. KINJAL SHAH, A.R. / DATE OF HEARING 01/05/2018 !'# / DATE OF PRONOUNCEMENT 02/05/2018 $% / O R D E R PER PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER: THE CAPTIONED APPEAL HAS BEEN FILED AT THE INSTAN CE OF THE REVENUE AGAINST THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS)-V, BARODA [CIT(A) IN SHORT] DATED 16/01/2014 ARISING I N THE MATTER OF ASSESSMENT ORDER PASSED UNDER S.143 OF THE INCOME T AX ACT, 1961 (HEREINAFTER REFERRED TO AS 'THE ACT') DATED 24/12/ 2010 RELEVANT TO ASSESSMENT YEAR (AY) 2008-09. ITA NO.1227/AHD /2014 ITO VS. SHRI BIPINCHANDRA S. TAMAKUWALA ASST.YEAR 2008-09 - 2 - 2. THE GROUND OF APPEAL RAISED BY THE REVENUE READ S AS UNDER:- (I) THE LEARNED CIT(A) ERRED IN LAW AND ON FACTS IN DELETING ADDITION OF RS.27,39,180/- MADE ON ACCOUNT OF GAIN ON PURCHA SE OF STOCK IN TRADE OF THE FIRM, BEING DEEMED INCOME OF ASSESS EE. (II) THE LEARNED CIT(A) ERRED IN LAW AND ON FACT S IN HOLDING THAT THE CLAIM OF ASSESSEE REGARDING SALE/DISTRIBUTION OF FL AT TO IT IN 1996 IS APPARENTLY CORRECT, DESPITE THE FACT THAT ASSESS EE FAILED TO PRODUCE ANY EVIDENCE TO ESTABLISH THAT THE DATE OF ACQUISITION OF THE ALLEGED PROPERTY, WAS PRIOR TO A.Y. 2008-09. (III) THE LEARNED CIT(A) ERRED IN NOT APPRECIATING THE FACT THAT ASSESSEE PROVIDED COMPLETELY CONTRADICTORY SALE VAL UE OF THE ALLEGED PROPERTY AT RS.30,00,000/- AS PER THE SALE DEED DATED 3.11.2007 AND THE VALUE AT RS.9,49,000/--, AS ADMIT TED, REPLYING TO QUESTION NO. 7 AT PAGE NO. 4 IN HIS STATEMENT RE CORDED U/S 131 OF THE IT ACT ON 16.12.2010 DURING THE ASSESSMENT P ROCEEDINGS, PROVING THE AO'S FINDING THAT ASSESSEES VERSION IS NOT RELIABLE . 3. AT THE TIME OF HEARING, IT WAS SUBMITTED BY THE LD.AR FOR THE ASSESSEE THAT APPEAL FILED BY THE REVENUE IS HIT BY CBDT CIRCULAR NO.21 OF 2015 DATED 10/12/2015. AS PER AFORESAID CIRCULA R, ALL PENDING APPEALS FILED BY REVENUE ARE LIABLE TO BE DISMISSED AS A ME ASURE FOR REDUCING LITIGATION WHERE THE TAX EFFECT DOES NOT EXCEED THE PRESCRIBED MONETARY LIMIT WHICH IS RS.10 LAKHS. IN THE INSTANT CASE, T HE TAX EFFECT ON THE DISPUTED ISSUE RAISED BY THE REVENUE IS STATED TO B E NOT EXCEEDING RS.10 LAKHS AND THEREFORE APPEAL OF THE REVENUE IS REQUIRED TO BE DISMISSED IN LIMINE . 4. THE LD. DR FOR THE REVENUE FAIRLY ADMITTED THE A PPLICABILITY OF THE CBDT CIRCULAR NO.21 OF 2015. ACCORDINGLY, APPEAL OF THE REVENUE IS DISMISSED AS NOT MAINTAINABLE. HOWEVER, IT WILL BE OPEN TO THE REVENUE TO SEEK RESTORATION OF ITS APPEAL ON SHOWING INAPPL ICABILITY OF THE AFORESAID CBDT CIRCULAR IN ANY MANNER. ITA NO.1227/AHD /2014 ITO VS. SHRI BIPINCHANDRA S. TAMAKUWALA ASST.YEAR 2008-09 - 3 - 5. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSE D. THIS ORDER PRONOUNCED IN OPEN COURT ON 02 /05 /201 8 SD/- SD/- E/KQFERK JKW; E/KQFERK JKW; E/KQFERK JKW; E/KQFERK JKW; IZNHI DQEKJ DSFM ;K IZNHI DQEKJ DSFM;K IZNHI DQEKJ DSFM;K IZNHI DQEKJ DSFM;K U;KF;D LNL; U;KF;D LNL; U;KF;D LNL; U;KF;D LNL; YKS[KK LN YKS[KK LN YKS[KK LN YKS[KK LN L; L; L; L; (MADHUMITA ROY) (PRADIP KUMAR KEDIA) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD; DATED 02/05/2018 PRITI YADAV, SR.PS !'# $#! / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. & '( ) / CONCERNED CIT 4. ) () / THE CIT(A)- V, BARODA. 5. ,-. //'( , '(# , 12$&$ / DR, ITAT, AHMEDABAD 6. .34 5 / GUARD FILE. % & / BY ORDER, , / //TRUE COPY// '/& () ( DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD 1. DATE OF DICTATION 01/05/2018 2. DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 01/05/2018 3. OTHER MEMBER 4. DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR.P. S./P.S.. 5. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE D ICTATING MEMBER FOR PRONOUNCEMENT 6. DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR.P .S./P.S. 7. DATE ON WHICH THE FILE GOES TO THE BENCH CLERK 8. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK ... 9. THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT RE GISTRAR FOR SIGNATURE ON THE ORDER.. 10. DATE OF DESPATCH OF THE ORDER