M/s Kavee Enerprises (P) Ltd., V. DCIT,

ITA 138/RAN/2014

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 85464 (ITAT-RANCHI)
• Duration Of Justice: 7 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-12-2014
• Appeal Filed By: Assessee
• Bench Allotted: DB
• Assessment Year: 2007-2008
• Appeal Filed On: 10-04-2014
• Court: TRIBUNAL
• Department Lawyers: P S PAUL CA LD
• Assessee Lawyers: DEEPAK ROSHAN SENIOR

Judgement Text

1 ITA NO. 138/RAN/14 M/S. KAVEE ENTERPRISES (P) LTD INCOME TAX APPELLATE TRIBUNAL, CIRCUIT BENCH, RANCHI BEFORE HON'BLE SHRI H.L. KARWA, PRESIDENT , AND HON'BLE SHRI B.R. BASKARAN, ACCOUNTANT MEMBER ITA NO . 13 8 /RAN/2014 A.Y 200 7 - 08 M/S. KAVEE ENTERPRISES (P) LTD VS. D.C.I.T, CIR - 2, RANCHI PAN: AAACK6387K [ APPELLANT ] [ RESPONDENT ] FOR THE RESPONDENT /ASSESSEE : SHRI P.S.PAUL, CA, LD.AR FOR THE APPELLANT/DEPARTMENT : SHRI DEEPAK ROSHAN, SENIOR S.C/LD.DR DATE OF HEARING : 0 3 - 12 - 2014 DATE OF PRONOUNCEMENT: 0 3 - 12 - 2014 ORDER SHRI B.R. BASKARAN, ACCOUNTANT MEMBER : THE ASSESSEE HAS FILED THIS APPEAL CHALLENGING THE ORDER DATED 25 - 02 - 2014 PASSED BY LD CIT(A), RANCHI AND IT RELATES TO THE ASSESSMENT YEAR 2007 - 08. THE ASSESSEE IS AGGRIEVED BY THE DECISION OF LD CIT(A) IN PARTIALLY CONFIRMING THE DISALLOWANCE MADE BY THE AO OUT OF THE EXPENSES. 2. WE HEARD THE PARTIES AND PERUSED THE RECORD. THE ASSESSEE IS CARRYING ON HOTEL AND RESTAURENT BUSINESS. SINCE THE AO HELD THAT THE EXPENSES CLAIMED BY THE ASSESSEE WAS NOT FULLY VERIFIABLE, HE DISALLOWED 10% OF THE AGGREGATE AMO UNT OF EXPENSES CLAIMED BY THE ASSESSEE. THE DISALLOWANCE SO MADE WORKED OUT TO RS.3,41,258/ - . IN THE APPELLATE PROCEEDINGS, THE LD CIT(A) REDUCED THE DISALLOWANCE TO RS.2,00,000/ - . STILL AGGRIEVED, THE ASSESSEE HAS FILED THIS APPEAL BEFORE US. 2 ITA NO. 138/RAN/14 M/S. KAVEE ENTERPRISES (P) LTD 3. DURING THE COURSE OF HEARING, THOUGH THE LD A.R SUBMITTED THAT THE DISALLOWANCE WAS ON THE HIGHER SIDE AND THE ACCOUNTS OF THE ASSESSEE HAS BEEN AUDITED, YET HE COULD NOT CONTRADICT THE FINDINGS GIVEN BY THE AO THAT THE EXPENSES ARE NOT FULLY VERIFIABLE. SINCE THE ADDITION HAS BEEN MADE ON ADHOC BASIS FOR THE DEFICIENCIES, WE DO NOT FIND ANY REASON TO INTERFERE WITH THE ORDER OF LD CIT(A). ACCORDINGLY, WE CONFIRM HIS ORDER ON THIS ISSUE. 4. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS DISMISSED . PRONOUNCED ACCORDINGLY ON 03 - 12 - 2014 SD/ - SD/ - [ H.L. KARWA ] [ B.R. BASKARAN ] PRESIDENT ACCOUNTANT MEMBER DT. 03 - 12 - 2014 PLACE : RANCHI PP, SR. PS COPY OF THE ORDER FORWARDED TO: 1. THE AP PELLANT : 2 THE RESPONDENT: 3..THE CIT, 4.THE CIT(A), 5.DR, ITAT CIRCUIT BENCH, RANCHI 6. GUARD FILE. TRUE COPY, BY ORDER, ASSTT. REGISTRAR 3 ITA NO. 138/RAN/14 M/S. KAVEE ENTERPRISES (P) LTD 1. DATE OF DICTATION ............. 03 - 12= - 2014. ORDER PREPARED BY THE MEMBER DRA FTED BY MEMBER IN HIS LAPTOP ........ DICTATION TAKEN .............. 2. DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER ........................OTHER MEMBER ............................... 3. DATE ON WHICH THE APPROVED DRAFT COMES TO THE S R. P.S./P.S. ..................... 4. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT.................................. 02 - 12 - 2014 ................................................... 5. DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. P.S./P.S ................ 6. DATE ON WHICH THE FILE GOES TO THE BENCH CLERK ....................................... 7. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK ......................................... 8. THE DATE ON WHICH THE FILE GOE S TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER ................................................................................................. 9. DATE OF DESPATCH OF THE ORDER ..............................................................