Shri Bhavesh Kushal Thakkar, Ahmedabad V. The Income tax Officer, Ward-6(4), New Ward-3(2)(6), Ahmedabad

ITA 1460/AHD/2015

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 5247 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 7 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-01-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: B
• Assessment Year: 2011-2012
• Appeal Filed On: 22-05-2015
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Unexplained cash credit; Depreciation; Corroborative evidences
• Section: 143(3); 68

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD B BENCH BEFORE: SHR I RAJPAL YADAV , JUDICIAL MEMBER AND SHRI AMARJIT SINGH, ACCOUNTANT MEMBER BHAWESH KUSHAL THAKKAR, A/43, PRESTIN BUNGLOW, B/H. HARIOM NAGAR, GHODASAR, CHINKUWADI, AHMEDABAD - 380050 PAN: AIGPT9084R (APPELLANT) VS THE IT O , WARD - 6(4), NEW WARD: 3(2)(6) , AHMEDABAD (RESPONDENT) REVENUE BY : S H R I MUDIT NAGPAL , SR. D . R. ASSESSEE BY: SHRI TUSHAR HEMANI, A.R. DATE OF HEARING : 19 - 10 - 2 018 DATE OF PRONOUNCEMENT : 15 - 01 - 2 019 / ORDER P ER : AMARJIT SING H, ACCOUNTANT MEMBER : - THIS ASSESSEE S APPEAL FOR A.Y. 2011 - 12 , ARI SES FROM ORDER OF THE CIT(A) - 13, AHMEDABAD DATED 27 - 03 - 2 015 , IN PROCEEDINGS UNDER SECTION 143(3) OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT . 2. THE ASSESSEE HAS RAISED FOLLOWING GROUNDS OF APPEAL: - (1) THE LEARNED CIT (A) HAS ERRED ON FACTS AND IN LAW IN CONFIRMING THE ADDITION OF RS. 685300/ - MADE - BY THE ASS ESSING OFFICER AS UNEXPLAINED CREDITS U/S 68 OF THE I.T. ACT, 1961 IGNORING THE I T A NO . 1460 / A HD/20 15 A SS ESSMENT YEAR 2011 - 12 I.T.A NO. 1460 /AHD/20 15 A.Y. 2011 - 12 PAGE NO BHAWESH KUSHAL THAKKAR VS. IT O 2 FACTS THAT THE ASSESSEE HAS DISCHARGED ITS ONUS OF PROVING NECESSARY INGREDIENTS OF SECTION 68 I.E., THE IDENTITY, GENUINENESS AND CREDIT WORTHINESS OF THE DEPOSITORS. (2) THE ID. COMMISSIONER OF INCOME TAX (APPEALS.) ERRED ON FACTS AND IN LAW IN PARTIALLY CONFIRMING THE ADDITION OF RS . 100678/ - OUT OF TOTAL EXPENSES AND DEPRECIATION AMOUNTING TO RS. 201357/ - CLAIMED BY THE ASSESSEE IGNORING THE FACTS THAT OUT OF TOTAL EXPENSES OF RS. 201357/ - RS. 105217/ - IS DEPRECIATION AND OTHER EXPENSES ARE BARE MINIMUM EXPENSES. 3. IN THIS CASE, RETURN OF INCOME DECLARING INCOME OF RS. 2 , 36 , 575/ - WAS FILED ON 30 TH MAY, 2011. SUBSEQUENTLY , THE CASE WAS SELECTED UNDER SCRUTINY BY ISSUING OF NOTICE U/S. 143(2) OF THE ACT ON 3 RD AUGUST, 2012. DURING THE COURSE OF ASSESSMENT PROCEEDINGS, THE ASSESSING OFFICER HAS NOTICED THAT ASSESSEE HAS MADE FOLLOWING CASH DEPOSIT IN HIS BANK ACCOUNT : - BANK OF INDIA MANINAGAR BRANCH, AHMEDABAD RS. 15,50,800/ - AXIS BANK MANINAGAR BRANCH, AHMEDABAD RS. 14,19,500/ - AXIS BANK MANI NAGAR BANNCH, AHMEDBAD RS. 10,86 ,000/ - . T HE ASSESSEE WAS ASKED TO EXPLAIN THE SOURCE OF CASH DEPOSIT IN THE AFORESAID BANK ACCOUNTS WITH DOCUMENTARY EVIDENCES. THE ASSESSEE HAS FURNISH ED COP IES OF CASH BOOK , BANK BOOK AND LEDGER A/C. T HE ASSESSEE CLAIMED THAT HE WAS ENGAGED IN THE BUSINESS OF COMPUTER RELATED JOB WORK AND SHARE CONSULTANCY BUSINESS AND MAINTAINED REGULAR BOOKS OF ACCOUNTS AND FURTHER CLAIMED THAT ALL THE TRANSACTI ONS INCLUDING CASH TRANSACTIONS W ERE D U LY RECORDED IN HIS BOOKS OF ACCOUNTS. THE ASSESSEE HAS CLAIMED TO HAVE RECEIVED AND RE - PAID LOAN TO THE TUNE OF RS. 3 , 08 , 500/ - FR OM 17 PERSONS MOSTLY IN THE RANG E OF R S. 18500/ - TO RS. 19000/ - . HOWEVER THE ASSESSEE HAS FAILED TO SUBMIT COMPLETE ADDRESS, PAN, CONFIRMATION LETTER , COPY OF RETURN O F INCOME , SOURCE OF INCOME OF THESE P ER S ONS TO PROVE THE IDENTITY OF THE PERSON S , GENUINENESS OF THE TRANSACTIONS AND CREDITWORTHINESS OF THE SAID DEPOSITORS. IN ADDITION TO ABOVE THE ASSESSEE ALSO CLAIMED TO HAVE RECEIVED LOANS AND ADVANCES TO THE I.T.A NO. 1460 /AHD/20 15 A.Y. 2011 - 12 PAGE NO BHAWESH KUSHAL THAKKAR VS. IT O 3 AMOUNT OF RS. 5,50 ,000/ - FROM VARIOUS P ERSONS HOWEVER THE ASSESSEE FAILED TO SUBMIT COMPLETE ADDRESS ES , PAN S NO. CONFIRMATION LETTER S , COP IES OF RETURN OF INCOME , SOURCE OF INCOME OF THESE PERSONS TO PROVE THE GENUINENESS OF THE TRANSACTIONS AND CREDITWORTHIN ESS OF THE DEPOSITORS. THE ASSESSEE HAS ALSO SHOWN ADVANCE OF RS.1,81,000 IN CASH AGAINST CAR SALE AND RS.2,75,000/ AS ADVANCE RECEIPT AGAINST INCOME . THE ASSESSING OFFICER HAS STA TED THAT ASSESSEE HAS NOT FURNISHED ANY VALID DOCUMENTARY EVIDENCES IN S UPPORT OF CLAIM FOR ADVANCE OF RS. 1,81,000/ - IN CASH AGAINST CAR SALES AND RS. 2,75,000/ - AS ADVANCE RECEIPT AGAINST INCOME .T HEREFORE, THE ASSESSING OFFICER HAS ISSUED NOTICED DATED 13 TH DECEMBER, 2013 WHICH IS REPRODUCED AS UNDER: - 'VIDE YOUR AFORESAID S UBMISSIONS YOU CLAIMED TO HAVE RECEIVED LOANS/DEPOSITS IN CASH FROM VARIOUS PERSONS AS UNDER: 1) AJAYKUMAR SETA RS.18,500/ - 2) AAKASHBHAI AGARWAL RS.19,500/ - 3) AMITBHAI AGARWAL RS.18,500/ - 4) DHIRAJ KHAKHARIA RS.18,000/ - 5) DIKUBEN MAHESHBHAI THAKKAR RS.18,500/ - 6) HARISHBHAI PUNJABI RS.18,500/ - 7) HEMANTKUMAR PATEL RS.19,000/ - 8) JAYDEEPLAL RS.18,000/ - 9) MADHURKADIA RS.18,500/ - 10)NAGESHWARTHAKUR RS.18,000/ - 11)RAHUL ARORA RS.18,500/ - 12)RASHMIN PATEL RS.19,000/ - 13)VINOD J THAKKAR RS.10,000/ - 14)ANKITA THAKKAR RS.19,000/ - 15)YOGESH AMBAVANI RS.19,000/ - 16)SHIVAM PATEL RS.19,000/ - 17)SUMITBHAI AGARWAL RS.19,000/ - ORDER U/S 143(3) OF THE I T ACT - SHRI BHAVESH K USHAL THAKKAR - A Y 2011 - 12 IT IS FURTHER SEEN THAT IN ADDITION TO ABOVE LOANS, YOU ALSO CLAIMED TO HAVE RECEIVED LOANS BY CHEQUE. HOWEVER, YOU HAVE FAILED TO SUBMIT COMPLETE ADDRESSES, PANS, CONFIRMATION LETTERS, COPY OF RETURNS OF INCOME, SOURCES OF INCO ME OF THESE PERSONS AS TO PROVE THE IDENTITY OF THE PERSONS, GENUINENESS OF THE TRANSACTIONS AND CREDITWORTHINESS OF THE DEPOSITORS. YOU ARE THEREFORE REQUIRED TO FURNISH COMPLETE DOCUMENTARY EVIDENCES AS TO PROVE THE IDENTITY OF THE PERSONS, GENUINENESS O F THE TRANSACTIONS AND CREDITWORTHINESS OF THE DEPOSITORS. YOU ARE FURTHER ASKED TO PROVE THE BUSINESS NEEDS AND UTILIZATION OF THESE LOANS/ DEPOSITS; FAILING WHICH ADVERSE VIEW WILL BE TAKEN, VIDE YOUR AFORESAID SUBMISSIONS YOU CLAIMED TO HAVE RECEIVED LO ANS & ADVANCES OF RS.99,500/ - IN CASH AND FURTHER RS.4,50,500/ - BY CHEQUE FROM VARIOUS PERSONS. HOWEVER, YOU HAVE FAILED TO SUBMIT COMPLETE ADDRESSES, PANS, CONFIRMATION LETTERS, COPY OF RETURNS OF INCOME, SOURCE OF INCOME OF THESE PERSONS AS TO PROVE THE GENUINENESS OF THE TRANSACTIONS AND CREDITWORTHINESS OF I.T.A NO. 1460 /AHD/20 15 A.Y. 2011 - 12 PAGE NO BHAWESH KUSHAL THAKKAR VS. IT O 4 THE DEPOSITORS. YOU ARE THEREFORE REQUIRED TO FURNISH COMPLETE DOCUMENTARY EVIDENCES AS TO PROVE THE GENUINENESS OF THE TRANSACTIONS AND CREDITWORTHINESS OF THE DEPOSITORS. YOU ARE FURTHER ASKED TO PR OVE THE BUSINESS NEED OF THESE LOANS AND UTILIZATION OF MONEY; FAILING WHICH ADVERSE VIEW WILL BE TAKEN. VIDE YOUR AFORESAID SUBMISSIONS YOU CLAIMED TO HAVE RECEIVED RS.1,81,000/ - IN CASH FROM SHRI HARISH PANDIT SON/ AS ADVANCE AGAINST CAR SALE. IN THIS RE GARD, YOU HAVE NOT FURNISHED ANY DOCUMENTARY EVIDENCES IN SUPPORT OF YOUR ABOVE CONTENTION. FURNISH THE CONFIRMAT ION LETTER ALONGWITH COPY OF RTO BOOK IN SUPPORT OF THE ABOVE, FAILING WHICH ADVERSE INFERENCE WILL BE DRAWN. IN YOUR SUBMISSION YOU HAVE SHOWN ADVANCE RECEIPTS AGAINST INCOME AMOUNTING TO RS.2,75,000/ - . FURNISH RELEVANT DOCUMENTARY EVIDENCES IN SUPPORT OF THE ABOVE, FAILING WHICH ADVERSE INFERENCE WILL BE DRAWN.' O N THE BASIS OF SUBMISSION OF THE ASSESSEE AND VERIFICATION OF THE MATERIAL , THE A SSESSING OFFICER HAS MADE ADDITION OF RS. 1,58,500/ - IN RESPECT OF ADVANCE SHOWN FROM 9 PERSONS AS THE ASSESSEE HAS NOT SUBMITTED ANY DETAILS OR DOCUMENTS I.E. PAN S , CONFIRMATION LETTER S , COP IES OF RETURN OF INCOME , BANK STATEMENT S ETC TO PROVE THE IDEN TITY OF THE PERSONS,GENUIENESS OF THE TRANSACTIONS AND CREDITWORTHINESS OF THE DEPOSITORS . I N RESPECT OF 9 P ERSONS FROM WHOM THE ASSESSEEE CLAIM ED TO HAVE OBTAINED LOAN OF RS. 1,68,000/ - THE ASSESSEE HAS FAILED TO FURNISH EVIDENCES IN RESPECT OF SO C ALLED LOANS DEPOSIT AS TO PRO VE THE IDENTITY OF THE PERSON S , GENUINENESS OF THE TRANSACTIONS AND CREDITWORTHINESS OF THE DEPOSITORS. FURTHER IN RESPECT O F 4 PERSONS FROM WHOM THE ASSESSEE HAS CLAIMED TO HAVE TAKEN LOAN OF RS.66,500/, THE ASSESSEEE H AS ONLY SUBMITTED CONFIRMATION LETTER WITH PAN S . HOWEVER, T HE ASSESSEE FAILED TO FURNISH THE COP IES OF RETURN OF INCOME, BANK STATEMENT S , ETC. THEREFORE, THE ASSESSING OFFICER HAS MAD E ADDITION OF RS. 66 , 500/ - . T HE ASSESSING OFFICER HAS NOTICED THAT IN CASE OF HARISH SONI , THE ASSESSEE HAS CLAIMED LOAN OF RS. 98,000/ - . HOWEVER, THE DEPOSITOR HAS GIVEN CONFIRMATION LETTER OF LOAN TO THE AMOUNT OF RS. 49,000/ - ONLY, THER EFORE, THE REMAINING UNEXPLAINED AMOUNT OF R S. 49,000/ - WAS ADDED TO THE TOTAL INCO ME OF THE ASSESSEE. I.T.A NO. 1460 /AHD/20 15 A.Y. 2011 - 12 PAGE NO BHAWESH KUSHAL THAKKAR VS. IT O 5 I N THE CASE OF SHIV AM PATEL FROM WHOM THE CASH LOAN OF RS. 13,300/ WAS SHOWN THE ASSESSEE HAS NOT FURNISHED ANY DETAIL .IN RESPECT OF RASHMIN PATEL THE ASSESSEE HAS CLAIMED LOAN ADVANC E OF RS. 1,97,0 00/ - AND RS.49000/ RESPECTIVELY. HOW EVER , THE SAID PARTY HAS NOT CONFIRMED THE ADVANCE TO THE AMOUNT OF RS. 49,000/ - . THEREFORE, THE ASSESSING OFFICER HAS HELD THAT CASH CREDIT OF RS. 62,300/ - REMAINED UNEXPLAINED . I N RESPECT OF ADVAN CE OF RS. 1,81,000/ - FROM HARIS H PANDIT SONI IN C ASH AGAINST SALE OF CAR , THE ASSESSING OFFICER ST A TED THAT AS S ESSEE HAS NOT FURNISH ED ANY DOCUMENTARY EVIDENCES AND NOT EXPLAINED WHY THE AMOUNT WAS WITHHOLD FOR ALMOST 8 MONTHS WHEN THE DEAL WAS CANCELLED . T HEREFORE, THE ASSESSING OFFICER HAS MADE ADDIT ION OF RS. 6,85,300/ - (RS. 1,58,500/ - + 1,68,000/ - + 66,5000+49 , 000+62,300+1,81,000/ - ) AS UNEXPLAINED CASH CREDIT AND ADDED TO THE TOTAL INCOME OF THE ASSESSEE. 4. AGGRIEVED ASSESSEE HAS FILED APPEAL BEFORE THE LD. CIT(A). THE LD. CIT(A) HAS DISMISSED THE APPEAL OF THE ASSESSEE. 5. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIAL ON RECORD CAREFULLY. T HE ASSESSEE HAS CLAIMED TO HAVE RECEIVED AND RE - PAID CASH LOAN FROM 17 PARTIES TO THE AMOUNT OF RS. 3 , 08 , 500/ - . THE ASSESSEE H AS FURTHER OBTAIN ED LOAN IN CASH FOR RS. 99 , 500/ - FROM 5 PERSONS AND AN AMOUNT OF RS. 4,50,000/ - BY CHEQUES FROM THE FOUR PERSONS . IT IS NOTICED THAT IN RESPECT OF NINE PERSON S FROM WHOM THE ASSESEE OBTAINED LOAN OF RS. 1,58,500/ - THE ASSSESSEE HAS FAILED TO FURNISH DETAIL S OR DOCUMENTS I.E. PANS , CONFIRMATION LETTERS , COPY OF RETURN OF INCOME , BANK STATEMENT TO PROVE THE IDENTITY OF THE PERSONS AND CREDITWORTHINESS OF THE DEPOSITORS. I.T.A NO. 1460 /AHD/20 15 A.Y. 2011 - 12 PAGE NO BHAWESH KUSHAL THAKKAR VS. IT O 6 IN RESPECT OF CASH LOAN OF RS. 1,68,000/ - FROM OTHER 9 PERSONS , THE ASSESSEE HAS ONLY SUBMIT TED CONFIRMATION LETTERS WITHOUT OTHER DETAILS SUCH AS PANS, CONFIRMATIONS LETTER , COPY OF RETURN OF INCOME , BANK STATEMENTS ETC. TO PROVE THE IDENTITY, GENUINENESS AND CREDITWORTHINESS OF THE DEPOSITORS. WE HAVE PERUSED THE INFORMATION ON RECORD IN RESP ECT OF THE AFORESAID 17 PARTIES FROM WHOM THE ASSESSE HAD CLAIMED CASH LOANS. IT IS NOTICED THAT IN RESPECT OF SOME OF THE PARTIES THE ASSESSEE HAS FILED ONLY CONFIRMATION LETTERS. ON PERUSAL OF THE MATERIAL ON RECORD I T IS NOTICED THAT ASSESSEE HAS NOT FILED COMP L ETE INFORMATION I.E. IN RESPECT TO CASH LOAN FROM MADHU KEDIA IT IS STATED THAT SHE HAS BEEN S ERVING IN A COMPANY AT KHARSHILA (RAJASTHAN) HOWEVER VAGUE ADDRESS OF THE LENDER WAS GIVEN AS STATION ROAD KHARSHILA CHHATIGARH. IT IS OBSERVED TH AT BECAUSE OF INCOMPLETE INFORMATION , IT IS NOT FEASIBLE FOR THE ASSESSING OFFICER TO CARRY OUT VERIFICATION AND INVESTIGATION TO PROVE THE GENUINENESS OF THE TRANSACTIONS . THESE MATERIAL FACTS DEMONSTRATE THA T ASSESSEE HAS FAILED T O PROVE THE BASI C REQUIREM EN T OF SECTION 68 BY NOT ESTABLISHING THE IDENTITY, GENUINENESS AND CREDITWORTHINESS OF THE IMPUGNED TRANSACTION WITH RELEVANT BASIC MATERIAL. IN THE CASE OF SHIVAM PATEL FROM WHOM THE CASH LOAN OF RS. 13,300/ WAS SHOWN THE ASSESSEE HAS NOT FURN ISHED ANY DETAIL. F OR THE REASONS STATED ABOVE IN THIS ORDER FOR WANT OF PROPER RELEVANT MATERIAL THE ASSESSEE FAILED TO PROVE THE IDENTITY OF THE PERSONS GENUINENESS OF THE TRANSACTIONS AND CREDITWORTHINESS OF THE PERSONS THEREFORE UNEXPLAINED DEPOSITS ( RS. 158,500+ RS. 1,68,000 + 13,300) TO THE AMOUNT OF RS. 3,39,800 IS TREATED AS UNEXPLAINED AND ADDED TO THE TOTAL INCOME OF THE ASSESSEE. I.T.A NO. 1460 /AHD/20 15 A.Y. 2011 - 12 PAGE NO BHAWESH KUSHAL THAKKAR VS. IT O 7 IN RESPECT OF FOUR PERSONS FROM WHOM THE ASSESSEE HAS CLAIMED LOAN OF RS. 66 , 500/ - THE ASSESSEE HAS FURNISHED CON FIRMATION LETTERS A N D PAN OF T HE DEPOSITORS. THE ASSESSING OFFICER HA D NOT ALLOWED THE CLAIM OF THE ASSESSEE ON THE GROUND THAT COP IES O F RETURN OF INCOME, BANK STATEMEN S T , SOURCE OF INCOME WERE NOT FURNISHED TO PROVE THE IDENTITY OF TH E PERSON, GENUINE NESS OF THE TRANSACTIONS AND CREDITWORTHINESS OF TH E DEPOSITORS . WE OBSERVE THAT IN TH E S E FO U R CASES THE ASSESSE HAS TAKEN LOAN OF RS. (18500, 10,000, 19000 & 19000) TOTALING TO RS. 66,500/ - AND TH E PAN S OF T HE DEPOSITORS HAVE BE E N FURNISHED . IN TH E CA SES OF THESE FOUR PERSONS , ASSESSING OFFICER SHOULD HAVE MADE FURTHER VERIFICATION AS THE IDENTITY AND ADDRESSES OF THE PERSONS WERE AVAILABLE IN THE PAN OF SUCH PERSONS. CONSIDERING THESE FACTS , WE ALLOW THE CLAIM OF THE ASSESSEE IN RESPECT OF THE LOAN AM OUNT RS. 66 , 500/ - . IN RESPECT OF UNSECURED LOAN OF RS. 98 , 000/ - CLAIMED TO BE RECEIVED FROM SHRI HARISH SON I, IT IS NOTICED THAT THE AFORE SAID P ERSON HAS CONFIRMED THE GRANTING OF UNSECURED LOAN TO THE EXTENT FOR RS. 49,000/ - ONLY AS AGAINST RS. 98,000/ - CLAIMED BY THE ASSESSEE . IN RESPECT OF RASHMIN PATEL THE ASSESSEE HAS CLAIMED LOAN ADVANCE OF RS. 1,97,000/ - AND RS.49000/ RESPECTIVELY. HOWEVER, THE SAID PARTY HAS NOT CONFIRMED THE ADVANCE TO THE AMOUNT OF RS. 49,000/ - AFTER CONSIDERING THE CONTENTI ON OF THE ASSESSEE THAT T HE DEPOSITORS HAVE INADVERTENTLY MENTIONED THE WRONG AMOUNT IN THE CONFIRMATION LETTERS WE C ON SIDER IT APPROPRIATE TO RESTORE THIS ISSUE TO THE FILE OF THE ASSESSING OFFICER FOR DECIDING AFRESH AFTER EXAMINATION OF THE INFORMATION T O BE PRODUCED BY THE ASSESSEE. I.T.A NO. 1460 /AHD/20 15 A.Y. 2011 - 12 PAGE NO BHAWESH KUSHAL THAKKAR VS. IT O 8 IN RESPECT OF ADVANCE OF RS. 1,81,000/ - FORM SHRI HARIN PANDIT SONI IN CASH AGAINST SALE OF CAR IN SUPPORT OF WHICH THE ASSESSEE HAS SUBMITTED A CONFIRMATION LETTER FROM HARISH P SONI SHOWING CASH RECEIPT OF R S. 1,81,000/ - ON 15/07/2010 AND PAYMENT BACK ON 05 - 03 - 2011 DUE TO CANCELATION OF DEAL. IT IS NOTICED THAT ASSESSING OFFICER HAS NOT DISPROVED T H ESE MATERIAL FACT WITH ANY COGENT MATERIAL AND DISALLOWED THE IMPUGNED AMOUNT ON ASSUMPTION BASIS , THEREFORE , THE CLAIM OF THE ASSESSEE ON THIS ISSUE IS ALLOWED. IN THE RESULT, THIS GROUND OF APPEAL OF THE ASSESSEE IS PARTLY ALLOWED AS UNDER: - (I) DISALLOWANCE SUSTAINED(RS.1,58,500/ - +168000/ - +13300/ - )= 3,39,800/ - (II) SET ASIDE FOR VERIFICATION: (RS. 49,000/ - +49,000/ - )= 98,000/ - (III)DI SALLOWANCE DELETED (RS. 66,500/ - + 18100/ - )= 247,500/ - AS PER THE TERMS AND CONDITIONS STATED IN THIS ORDER. 6. SECOND GROUND OF APPEAL OF THE ASSESSEE IS PERTAINED TO THE DISALLOWANCE OF EXPENSES OF RS. 2 , 01 , 357/ - . AT THE TIME OF ASSES SMENT T HE ASSESSING OFFICER OBSERVED THAT ASSESSEE HAS SHOWN GROSS INCOME OF RS. 6 , 20 , 768/ - AFTER CLAIMING VARIOUS EXPENSES OF RS. 2 , 01 , 357/ - . HOWEVER, DURING THE COURSE OF ASSESSMENT PROCEEDINGS, THE ASSESSEE HAS FAILED TO PRODUCE THE BOOKS OF ACCOUNTS AND SUPPORTING EVIDENCES TO SUBSTANTIATE THE CLAIM OF EXPENSES . CONSEQUENTLY, THE ASSESSING OFFICER HAS DISALLOWED THE WHOLE EXPENSES TO THE AMOUNT OF RS. 2 , 01 , 357/ - . I.T.A NO. 1460 /AHD/20 15 A.Y. 2011 - 12 PAGE NO BHAWESH KUSHAL THAKKAR VS. IT O 9 7. AGGRIEVED ASSESSEE FILED APPEAL BEFORE THE LD. CIT(A). THE LD. CIT(A) HAS RESTRICT ED THE DISALLOWANCE TO THE 50% OF THE EXPENSES TO THE AMOUNT OF RS. 1 , 00 , 678/ - 8. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIAL ON RECORD CAREFULLY. THE ASSESSEE HA S CLAIMED VARIOUS EXPENSES TO THE AMOUNT OF R S . 2 , 01 , 357/ - AGAINST THE GRO SS INCOME OF RS. 6,60,768/ - . IN THE ABSENCE OF SUPPORTING DETAILS , THE ASSESSING OFFICER HAS DISALLOWED 100% OF THESE EXPENSES , HOWEVER , THE LD. CIT(A) HAS RESTRICTED THE DISALLOWANCE TO THE EXTENT OF 50% OF SUCH EXPENSES. AFTER CONSIDERING THE GROSS I NCOME AND NATURE OF BUSINESS OF THE ASSSESSEE, WE OBSERVE THAT IT WOULD BE REASONABLE TO DISALLOW 25% OF SUCH EXPENSES FOR WANT OF PROPER SUPPORTING MATERIAL IN THE CASE OF ASSESSEE, THEREFORE, WE RESTRICT THE DISALLOWANCE TO THE EXTENT OF RS. 5 , 04 , 00/ - . ACCORDINGLY, THE APPEAL OF THE ASSESSEE ON THIS ISSUE IS PARTLY ALLOWED. 9. IN THE RESULT THE APPEAL OF THE ASSESSEE IS PARTLY ALLOWED. ORDER PR ONOUNCED IN THE OPEN C OURT ON 15 - 01 - 201 9 SD/ - SD/ - ( RAJPAL YADAV ) ( AMARJIT SINGH ) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD : DATED 15 /01/2019 / COPY OF ORDER FORWARDED TO: - 1. ASSESSEE 2. REVENUE 3. CONCERNED CIT I.T.A NO. 1460 /AHD/20 15 A.Y. 2011 - 12 PAGE NO BHAWESH KUSHAL THAKKAR VS. IT O 10 4. CIT (A) 5. DR, ITAT, AHMEDABAD 6. GUARD FILE. BY ORDE R/ , / ,