ACIT CIR-2, THANE V. NOBOKUMAR K MANNA, THANE

ITA 1255/MUM/2013

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 3373 (ITAT-MUMBAI)
• Duration Of Justice: 3 year(s) 3 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-06-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 06-05-2015
• Assessment Year: 2007-2008
• Appeal Filed On: 13-02-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SACHIDANAND DUBE
• Keywords: Unexplained cash credit; Tax effect
• Section: 68; 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES B, MUMBAI BEFORE SHRI B.R.BASKARAN (AM) AND SHRI RAM LAL NEGI (JM) ITA NO. 1255/MUM/2013 ASSESSMENT YEAR: 2007-08 THE ACIT, CIRCLE - 2, ASHAR I.T.PARK, 6 TH FLOOR, B WING, ROOM NO. 27, WAGLE INDUSTRIAL ESTATE, ROAD NO. 16Z, THANE- 400604. VS. SHRI. NOBOKUMAR K. MANNA, E-4, SHEETAL INDUSTRIAL ESTATE, KASHIMIRA ROAD, BHAYANDER(EAST), DISTT. THANE. PAN- AFMPM3307D (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI. SACHIDANAND DUBE RESPONDENT BY : NONE DATE OF HEARING: 09/06/2016 DATE OF PRONOUNCEMENT: 09/06/2016 O R D E R PER RAM LAL NEGI, JM THIS APPEAL HAS BEEN FILED BY THE REVENUE AGAI NST ORDER DATED 22/10/2012 PASSED BY THE LD CIT(APPEALS)-II, MUMBAI FOR THE AS SESSMENT YEAR 2007-08. 2. THE REVENUE HAS CHALLENGED THE IMPUGNED ORDER O N FOLLOWING EFFECTIVE GROUNDS OF APPEAL:- 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E AND IN LAW, THE LD. CIT(A) HAS ERRED IN ALLOWING THE APPEAL OF THE ASSESSEE AND HAS SUSTAINED ONLY AN AMOUNT OF RS. 1 LAKH AGAINST AN A DDITION MADE OF RS. 14,91,636/- ON ACCOUNT OF UNEXPLAINED CASH CRED IT U/S 68. 2 ITA NO. 1255/MUM/2013 ASSESSMENT YEAR: 2007-08 2. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E AND IN LAW, THE LD. CIT(A) HAS ERRED IN GIVING RELIEF TO THE ASSES SEE DESPITE THE FACT THAT THE ASSESSEE DID NOT CO-OPERATE OR APPEAR BEFO RE THE ASSESSING OFFICER DURING THE ASSESSMENT AND REMAND PROCEEDING S. NO DOCUMENTS WERE PRODUCED FOR THE PURPOSE OF VERIFICA TION OF UNSECURED LOANS AND THE ASSESSING OFFICER WAS UNABLE TO VERIF Y THE GENUINENESS OF LOAN CREDITORS. 3. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E AND IN LAW, THE LD. CIT(A) HAS ERRED IN DELETING THE ADDITION MADE ON THE GROUND THAT OLD LOANS CANNOT BE CONSIDERED AS SUBJECT MATTER U/ S SEC. 68 OF THE I.T.ACT, 1961. 3. AT THE OUTSET, THE LD. DEPARTMENTAL REPRESENTAT IVE POINTED OUT THAT THE TAX EFFECT IN THIS CASE IS BELOW RS.10,00,000/- AS THE TOTAL ADDITION MADE BY THE AO ON ACCOUNT OF UNEXPLAINED CASH CREDIT U/S 68 IS RS. 14,91,636/-. HENCE, AS PER THE CBDT CIRCULAR NO. 21 OF 2015, DATED 10/12/2015, THE PRESENT APPEAL IS NOT MAINTAINABLE. 4. WE FIND THAT THE ISSUE RAISED IN APPEAL DOES NOT FALL UNDER ANY OF THE EXCEPTIONS SPECIFIED IN PARA 8 OF THE CIRCULAR. SIN CE, IT HAS BEEN SPECIFICALLY CLARIFIED IN THE CIRCULAR AFORESAID THAT THE INSTRU CTION WILL APPLY RETROSPECTIVELY TO ALL THE PENDING APPEALS; THE PRESENT APPEAL FILE D BY THE REVENUE IS NOT MAINTAINABLE. WE, THEREFORE, DISMISS THE SAME IN LIMINE . ORDER PRONOUNCED IN THE OPEN COUR T ON 9 TH JUNE, 2016 SD/- SD/- ( B.R.BASKARAN ) (RAM LAL NEGI) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI; DATED: 09/06/2016 3 ITA NO. 1255/MUM/2013 ASSESSMENT YEAR: 2007-08 / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. ( ) / THE CIT(A)- 4. / CIT 5. !' , $ !'% , / DR, ITAT, MUMBAI 6. &' ( / GUARD FILE. / BY ORDER, ) //TRUE COPY// / (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI PRAMILA