M/s Ashok Parashar, V. Income Tax Officer-1,

ITA 125/JAB/2014

• Counselvise Citation: 12522914 RSA 2014
• Duration Of Justice: 1 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-09-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2008-2009
• Appeal Filed On: 04-08-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SUDHIR KUMAR
• Assessee Lawyers: ABHIJEET SRIVASTAVA
• Keywords: Presumptive income
• Section: 147; 44AD

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, JABALPUR S.M.C. BENCH, JABALPUR BEFORE SHRI PRAMOD KUMAR, ACCOUNTANT MEMBER ITA NO.125/JAB/2013 ASSESSMENT YEAR: 2008-09 M/S. ASHOK PARASHAR, VS. INCOME TAX OFFICER, NECHA BAZAR, ITARSI. SEONIMALWA (M.P.) (PAN: AAGFA 3707 J). (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI ABHIJEET SRIVASTAVA RESPONDENT BY : SHRI SUDHIR KUMAR DATE OF HEARING : 26.09.2014 DATE OF PRONOUNCEMENT : 30.09.2014 ORDER BY WAY OF THIS APPEAL, THE ASSESSEE HAS CHALLENGED CORRECTNESS OF LD. COMMISSIONER OF INCOME TAX (APPEALS)S ORDER DATED 28.09.2010, FOR ASSESSMENT YEAR 2008-09, ON THE FOLLOWING GROUND:- 1. ON THE BASIS OF FACTS AND CIRCUMSTANCES OF CASE , THE ACTION INITIATED U/S 147 ARE NOT JUSTIFIED AND BAD IN LAW. 2. ON THE BASIS OF FACTS AND CIRCUMSTANCES OF CASE, THE LEARNED COMMISSIONER OF INCOME TAX (APPEAL) HAS ERRED IN CO NFIRMING THE ADDITION OF RS.1,72,859/- TO RETUNED INCOME. 3. THE COMMISSIONER OF INCOME TAX (APPEAL) HAS ERRE D BY NOT PROVIDING SUFFICIENT OPPORTUNITY TO ASSESSEE. 4. ANY OTHER ISSUE THAT MAY ARISE DURING THE COURSE OF HEARING. 2 ITA NO.125/JAB/2014 A.Y. 2008-09 2. BRIEFLY STATED, THE RELEVANT MATERIAL FACTS ARE LIKE THIS. THE ASSESSEE IS ENGAGED IN THE BUSINESS OF CIVIL CONTRACTOR AND IS ASSESSED TO TAX ON PRESUMPTIVE BASIS UNDER SECTION 44AD OF THE INCOME TAX ACT, 196 1. DURING THE COURSE OF ASSESSMENT PROCEEDINGS, THE A.O. NOTICED THAT RECEI PTS AGGREGATING RS.1,65,011/- ARE NOT TAKEN INTO ACCOUNT IN COMPUTATION OF INCOME . ACCORDINGLY, THE A.O. ADDED THE SAID RECEIPT TO THE INCOME RETURNED BY THE ASSE SSEE. AGGRIEVED, THE ASSESSEE CARRIED THE MATTER IN APPEAL BEFORE THE LD. CIT(A) WHO CONFIRMED THE SAID ADDITION. THE ASSESSEE IS AGGRIEVED AND IS IN FURTHER APPEAL BEFORE THIS TRIBUNAL 3. I HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED T HE MATERIAL ON RECORD AND CONSIDERED THE FACTUAL MATRIX OF THE CASE AS ALSO A PPLICABLE LEGAL POSITION. 4. I HAVE NOTICED THAT THE LD. CIT(A) HAS CONFIRMED THE ACTION OF THE A.O. BY RELYING UPON THE HONBLE DELHI HIGH COURT IN THE CA SE OF CIT VS. SOBTI CONSTRUCTION (INDIA), INDIA 307 ITR 374 BUT THAT WA S A CASE IN WHICH GROSS RECEIPT OF THE ASSESSEE WERE ADMITTEDLY MORE THAN RS.40,00, 000/-. THERE IS NO SUCH FINDING IN THE PRESENT CASE. I, THEREFORE, DEEM I T FIT AND PROPER TO REMIT THE MATTER TO THE FILE OF A.O. WITH DIRECTION THAT IN CASE GRO SS RECEIPT OF THE ASSESSEE INCLUDING THIS UNDISCLOSED RECEIPT IS LESS THAN RS.40,00,000/ -, ADDITION IN RECEIPT OF THE ENTIRE AMOUNT SHALL NOT BE MADE IN THE HANDS OF THE ASSESS EE BUT WILL BE RESTRICTED ONLY TO 3 ITA NO.125/JAB/2014 A.Y. 2008-09 8% OF THE UNDISCLOSED INCOME. IN CASE, HOWEVER, TH E TOTAL RECEIPTS ARE AND FOUND TO BE MORE THAN RS.40,00,000/-, THE A.O. SHALL BE A T LIBERTY TO COMPUTE THE INCOME IN ACCORDANCE WITH LAW, THOUGH AFTER GIVING FAIR AN D REASONABLE OPPORTUNITY OF HEARING TO THE ASSESSEE. WITH THIS DIRECTION, THE MATTER IS REMITTED TO THE FILE OF A.O. 5. IN THE RESULT, APPEAL IS ALLOWED FOR STATISTICAL PURPOSES. PRONOUNCED IN THE OPEN COURT TODAY ON 30 TH DAY OF SEPTEMBER, 2014. SD/- (PRAMOD KUMAR) ACCOUNTANT MEMBER DATE: 30 TH SEPTEMBER, 2014 PBN/* COPY OF THE ORDER FORWARDED TO :- 1) APPELLANT 2) RESPONDENT 3) CIT (APPEALS) CONCERNED 4) CIT CONCERNED 5) D.R., ITAT, JABALPUR BENCH, JABALPUR 6) GUARD FILE. BY ORDER, ASSISTANT REGISTRAR INCOME TAX APPELLATE TRIBUNAL, JABALPUR