Sanjeev Thukral, Phagwara V. The Dy Commissioner of Income Tax, Phagwara

ITA 138/ASR/2017

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 4148 (ITAT-AMRITSAR)
• Duration Of Justice: 1 year(s) 10 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-02-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 13-02-2019
• Assessment Year: 2011-2012
• Appeal Filed On: 17-03-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: BHAWANI SHANKAR
• Keywords: Corroborative evidences
• Section: 69

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR BEFORE SH. N. S. SAINI, ACCOUNTANT MEMBER AND SH. N. K. CHOUDHRY, JUDICIAL MEMBER I. T. A. NO. 138(ASR)/2017 ASSES SMENT YEAR: 2011-12 SANJEEV THURKRAL, B/4-178, SARGUNDI ROAD, GORAYA, TEHSIL PHILLUAR PAN NO. ACSPT7493G VS. THE DCIT, PHAGWARA CIRCLE, PHAGWARA . (APPELLANT) (RESPONDENT) APPELLANT BY : SH. ASHWANI KALIA, CA RESPONDENT BY: SH. BHAWANI SHANKAR, DR DATE OF HEARING : 13.2.2019 DATE OF PRONOUNCEMENT : 14.2.2019 ORDER PER N.S. SAINI, AM: THIS IS AN APPEAL BY THE ASSESSEE DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS)-2, JALANDHAR D ATED 6.12.2016. 2. THE SOLE ISSUE INVOLVED IN THIS APPEAL IS THAT C IT(A) ERRED IN CONFIRMATION OF THE ADDITION OF RS. 13,67,300/-. 3. THE BRIEF FACTS OF THE CASE ARE THAT THE AO OBSE RVED THAT ASSESSEE IS MAINTAINING A SAVING BANK ACCOUNT NO.909010032326816 WITH AXIS BANK, GORAYA, WHEREIN, DURING THE YEAR UNDER CONSIDERATION THE ASSESSEE MA DE CASH DEPOSITS OF RS. 32,87,931/- ON VARIOUS DATES. HE ASKED THE ASSESSEE TO EXPLAIN THE SOURCE OF SUCH DEPOSITS MADE IN THE SAID BANK ACCOUNT. THE ASSESSE E FILED EXPLANATION OF THE SAME 2 ITA NO. 138/ASR/2017 SHRI SANJEEV THUKRA, PHILLAUR AND THE AO BEING PARTIALLY SATISFIED MADE ADDITION U/S 69 OF THE I.T. ACT, 1961 (HEREINAFTER REFERRED TO AS 'ACT', IN SHORT) FOR RS . 13,67,300/-, OUT OF TOTAL DEPOSITS OF RS. 32,87,931/-, ON THE GROUND THAT THE SOURCE OF SUCH DEPOSITS COULD NOT BE SATISFACTORILY EXPLAINED BY THE ASSESSEE BEFORE HIM . 4. THE ASSESSEE CARRIED THE MATTER IN APPEAL BEFORE THE LD. CIT(A) WHO CONFIRMED THE ORDER OF THE AO FOR THE REASONS THAT DURING THE COURSE OF ASSESSMENT PROCEEDINGS, THE ASSESSEE SUBMITTED THAT CASH WAS WITHDRAWN FOR USE OF THE MARRIAGE EXPENSES OF A FAMILY MEMBER AND ALSO CASH WAS WITHDRAWN FOR PURCH ASE OF THE PROPERTY. HOWEVER, THE ASSESSEE COULD NOT PRODUCE THE SUPPORTING EVIDE NCE WITH REGARD TO THE MARRIAGE OF A FAMILY MEMBER / RELATIVE OF THE APPELLANT AND ALS O WITH REGARD TO THE INTENDED PURCHASE OF THE PROPERTIES. IN THE ABSENCE OF ANY SUPPORTING EVIDENCE WITH REGARD TO THE PATTERN OF REPEATED CASH DEPOSITS AND WITHDRAW ALS OF AMOUNTS EXCEEDING RS. 50,000/- IN CASH, THE AO EXAMINED THE DETAILS AND W ORKED OUT THE UNEXPLAINED CASH DEPOSITS AT RS. 13,67,300/-. HE, HOWEVER, OBSERVED THAT HE HAS CONSIDERED THE CONTENTION OF THE APPELLANT WITH REGARD TO THE JUDI CIAL DECISIONS CITED ON THE ISSUE WITH THAT THE BENEFIT OF PEAK CASH CREDIT HAS TO B E GIVEN AND THEREAFTER THE CIT(A) OPINED THAT THOSE DECISION ARE NOT APPLICABLE IN TH E PRESENT FACTS OF THE ASSESSEES CASE. 5. BEFORE US, THE CONTENTION OF THE ASSESSEE IS TH AT THE ASSESSEE IS MAINTAINING TWO OTHER BANK ACCOUNTS BEARING NO. 324010100067698 WIT H AXIS BANK, GORAYA, PUNJAB, IN THE NAME OF THE ASSESSEE AND ALSO AN ACCOUNT WIT H ORIENTAL BANK OF COMMERCE BEARING ACCOUNT NO. 51202010025650. HE FILED BEFORE US A CONSOLIDATED CASH FLOW STATEMENT AFTER TAKING INTO CONSIDERATION THE WITHD RAWALS FROM ALL THE THREE BANK 3 ITA NO. 138/ASR/2017 SHRI SANJEEV THUKRA, PHILLAUR ACCOUNTS AND DEPOSITS IN THE BANK ACCOUNTS AND SUBM ITTED THAT IF THIS CASH FLOW IS CONSIDERED, THEN THE SOURCE OF BALANCE DEPOSIT OF R S. 13,67,300/- IS EXPLAINED AND THEREFORE, NO ADDITION U/S 69 OF THE ACT IS CALLED FOR. 6. THE DR, ON THE OTHER HAND, HAS RELIED ON THE ORD ERS OF THE LOWER AUTHORITIES. 7. IN THE FACTS AND CIRCUMSTANCES OF THE CASE, WE A RE OF THE CONSIDERED OPINION, THAT THE AO AS WELL AS THE CIT(A) HAS NOT EXAMINED THE FACTS WHETHER WITHDRAWALS OF THE ASSESSEE FROM THE OTHER TWO BANK ACCOUNTS BEAR ING NOS. 324010100067698 WITH AXIS BANK, GORAYA, PUNJAB IN THE NAME OF THE ASSESS EE AND BEARING ACCOUNT NO. 51202010025650 WITH ORIENTAL BANK OF COMMERCE EXPLA INS THE DEPOSITS OF RS. 13,67,300/- MADE IN THE BANK ACCOUNT OR NOT. THERE FORE, WE ARE OF THE CONSIDERED OPINION THAT THE MATTER SHOULD BE REMANDED BACK TO THE FILE OF THE AO TO CONSIDER THE CONTENTION OF THE ASSESSEE AND ADJUDICATE THE ISSUE AS PER LAW AFTER ALLOWING A REASONABLE AND PROPER OPPORTUNITY TO THE ASSESSEE. WE ORDER ACCORDINGLY. THUS, THE GROUNDS OF APPEAL OF THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES. 8. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED. ORDER PRONOUNCED IN THE OPEN COURT ON 14. 2.2019. SD/- SD/- (N. K. CHOUDHRY) (N.S. SAINI) JUDICIAL MEMBER ACCOUNTANT MEMBER DATE: 14.02.2019 RKK 4 ITA NO. 138/ASR/2017 SHRI SANJEEV THUKRA, PHILLAUR COPY OF THE ORDER FORWARDED TO: (1) THE APPELLANT (2) THE RESPONDENT (3) THE CIT(APPEALS) (4) THE CIT CONCERNED (5) THE SR. DR, I.T.A.T.