RAJESH PAVITHRAN NAMBIAR, MUMBAI V. DCIT CC 38, MUMBAI

ITA 1308/MUM/2012

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 83805 (ITAT-MUMBAI)
• Duration Of Justice: 2 year(s) 6 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-09-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Assessment Year: 2004-2005
• Appeal Filed On: 24-02-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SANTOSH KUMAR
• Assessee Lawyers: PRADEEP S SHETTY
• Keywords: Gift; Search and seizure; Principle of natural justice
• Section: 132; 69C; 153A

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH, MUMBAI BEFORE HONBLE S/SHRI H.L. KARWA, PRESIDENT AND B. R.BASKARAN (AM) . . , . . , ./ I.T.A. NO.211/MUM/2012 ( / ASSESSMENT YEAR :2007-08) RAJESH PAVITHRAN, 202, BLISS, D WING, VASANT OSCAR, LBS MARG, MULUND WEST, MUMBAI-400080 / VS. DY. COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-38, MUMBAI. ( / APPELLANT) .. ( !' / RESPONDENT) ./I.T.A. NOS.1308 TO 1310/MUM/2012 ( / ASSESSMENT YEARS :2004-05 TO 2006-07) RAJESH PAVITHRAN, 202, BLISS, D WING, VASANT OSCAR, LBS MARG, MULUND WEST, MUMBAI-400080. / VS. DY. COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-38, MUMBAI. ( / APPELLANT) .. ( !' / RESPONDENT) ./ #$ ./PAN/GIR NO. : AAZPN1547N % / ASSESSEE BY : SHRI PRADEEP S SHETTY !' & % / REVENUE BY : SHRI SANTOSH KUMAR ' ( & ) * / DATE OF HEARING : 9.9.2014 +, & ) * / DATE OF PRONOUNCEMENT : 12.9.2014 / O R D E R PER B.R.BASKARAN, ACCOUNTANT MEMBER: ALL THE FOUR APPEALS FILED BY THE ASSESSEE ARE DIRE CTED AGAINST THE ORDERS PASSED BY LD CIT(A) AND THEY RELATE TO THE ASSESSME NT YEARS 2004-05 TO 2007- 08. ALL THESE APPEALS WERE HEARD TOGETHER AND HENC E THEY ARE BEING DISPOSED OF BY THIS COMMON ORDER, FOR THE SAKE OF CONVENIENCE. I.T.A. NO.211/MUM/2012 I.T.A. NOS.1308 TO 1310 /MUM/2012 2 2. THE DEPARTMENT CARRIED OUT SEARCH AND SEIZURE OP ERATIONS U/S 132 OF THE ACT AT THE RESIDENTIAL PREMISES OF THE ASSESSEE AND CONSEQUENT THERETO THE PRESENT ASSESSMENTS WERE FRAMED U/S 153A OF THE ACT . THE ASSESSING OFFICER COMPLETED THE ASSESSMENTS OF THE YEARS UNDER CONSID ERATIONS BY MAKING VARIOUS TYPES OF ADDITIONS. THE ASSESSEE DID NOT GET FAVOU RABLE ORDERS FROM LD CIT(A) AND HENCE HE HAS PREFERRED THESE APPEALS BEFORE US. 3. AT THE TIME OF HEARING, THE LD A.R SUBMITTED THAT THE ADDITIONS MADE IN THESE YEARS CONSISTED OF ADDITIONS MADE U/S 68, 69, 69C AND DISALLOWANCE OF CERTAIN EXPENSES. HE FURTHER SUBMITTED THAT THE AS SESSING OFFICER HAS MADE THE ABOVE SAID ADDITIONS, AS THE ASSESSEE COULD NOT FUR NISH RELEVANT DETAILS BEFORE HIM. HE FURTHER SUBMITTED THAT THE ASSESSEE FURNIS HED ALL THE DETAILS BEFORE LD CIT(A), BUT THE FIRST APPELLATE AUTHORITY REFUSED T O ADMIT THEM AND ACCORDINGLY CONFIRMED THE ORDERS PASSED BY THE AO. ACCORDINGLY , HE SUBMITTED THAT THE ASSESSEE WOULD BE SUBJECTED TO GREAT PREJUDICE, IF THE EVIDENCES FURNISHED BY THE ASSESSEE ARE NOT CONSIDERED PROPERLY. ACCORDINGLY, HE SUBMITTED THAT ALL THE ISSUES URGED BEFORE THE TRIBUNAL MAY BE SET ASIDE T O THE FILE OF THE ASSESSING OFFICER FOR CONSIDERING THEM AFRESH. 4. THE LD D.R DID NOT OBJECT TO THE PLEA PUT F ORTH BY LD A.R 5. WE HEARD THE RIVAL CONTENTIONS AND PERUSED THE R ECORD. THE NATURE OF ADDITIONS CONTESTED BEFORE US ARE GIVEN BELOW:- ASSESSMENT YEAR : 2004-05 UNEXPLAINED GIFT - RS.1,35 ,000/- UNEXPLAINED DEPOSITS MADE IN BANK - RS.1,1 4,866/- ASSESSMENT YEAR : 2005-06 UNEXPLAINED DEPOSITS MADE IN BANK RS.7 9,472/- FOREIGN TOUR EXPENSES ADDED U/S 69C RS.1,00, 000/-. ASSESSMENT YEAR : 2006-07 DISALLOWANCE OF EXPENSES - RS.44,2 16/- DISALLOWANCE OF PROFESSIONAL FEE - RS. 1,14,000/- FOREIGN TOUR EXPENSES ADDED U/S 69C - RS.1,50 ,000/- I.T.A. NO.211/MUM/2012 I.T.A. NOS.1308 TO 1310 /MUM/2012 3 ASSESSMENT YEAR 2007-08 DISALLOWANCE OF EXPENSES - RS.95,74 8/- DISALLOWANCE OF PROFESSIONAL FEE - RS.48,0 00/- FOREIGN TOUR EXPENSES ADDED U/S 69C - RS.2,00, 000/-. BEFORE US, THE LD A.R ADMITTED THAT THE ASSESSEE C OULD NOT FURNISH NECESSARY DETAILS TO EXPLAIN THE SOURCES FOR THE DEPOSITS MAD E INTO THE BANK, CASH CREDITS AND FOREIGN TOUR UNDERTAKEN BY THE ASSESSEE. HE FU RTHER SUBMITTED THAT THE DISALLOWANCE OF EXPENSES WAS ALSO MADE SINCE THE AS SESSEE COULD NOT OFFER PROPER EXPLANATIONS. IT IS ALSO THE SUBMISSION OF THE LD A.R THAT THE ASSESSEE DID FURNISH NECESSARY DETAILS BEFORE LD CIT(A), BUT THE FIRST APPELLATE AUTHORITY REFUSED TO ADMIT THEM. 6. UNDER THE ABOVE SET OF FACTS, IN OUR VIEW, TH E ASSESSEE HAS NOT BEEN GIVEN PROPER OPPORTUNITY BY THE TAX AUTHORITIES. HENCE, IN THE INTEREST OF NATURAL JUSTICE, WE ARE OF THE VIEW THAT ALL THE ISSUES NEED TO BE E XAMINED AFRESH. ACCORDINGLY, WE SET ASIDE THE ORDERS PASSED BY LD CIT(A) IN ALL THE YEARS UNDER CONSIDERATION AND RESTORE ALL THE ISSUES TO THE FILE OF THE AO WI TH THE DIRECTION TO EXAMINE ALL THE ISSUES AFRESH BY DULY CONSIDERING THE INFORMATION A ND EXPLANATIONS THAT MAY BE FURNISHED BY THE ASSESSEE AND DECIDE THEM IN ACCORD ANCE WITH THE LAW. THE ASSESSEE IS ALSO DIRECT TO EXTEND FULL CO-OPERATION TO THE ASSESSING OFFICER BY FURNISHING THE NECESSARY DETAILS THAT MAY BE CALLED FOR BY THE AO. 7. IN THE RESULT, ALL THE APPEALS FILED BY THE ASSESSEE ARE TREATED AS ALLOWED FOR STATISTICAL PURPOSES. THE ABOVE ORDER WAS PRONOUNCED IN THE OPEN COURT ON 12TH SEPT, 2014 . +, ' - ./ 0 1 12TH SEPT, 2014 , & 3( 4 SD SD ( . . / H.L. KARWA ) ( . . , / B.R. BASKARAN) / PRESIDENT / ACCOUNTANT MEMBER . ' ( MUMBAI : 12TH SEPT,2014 . . . ./ SRL , SR. PS I.T.A. NO.211/MUM/2012 I.T.A. NOS.1308 TO 1310 /MUM/2012 4 ! ' / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. !' / THE RESPONDENT. 3. ' 9) ( ) / THE CIT(A)- CONCERNED 4. ' 9) / CIT CONCERNED 5. 6. :; 3 !)< , * < , . ' ( / DR, ITAT, MUMBAI CONCERNED 3 = ( / GUARD FILE. > ' / BY ORDER, TRUE COPY ? # (ASSTT. REGISTRAR) * < , . ' ( /ITAT, MUMBAI