Income Tax Officer, V. Sri Prakash Samanta,

ITA 147/RAN/2014

• Counselvise Citation: [2014] 120 COUNSELVISE.COM (IT) 8588 (ITAT-RANCHI)
• Duration Of Justice: 7 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-12-2014
• Appeal Filed By: Department
• Bench Allotted: DB
• Assessment Year: 2007-2008
• Appeal Filed On: 15-04-2014
• Court: TRIBUNAL

Judgement Text

1 ITA NO.147/RAN/14 - SRI PRAKASH SAMANTA 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 . 147/RAN/2014 A.Y 200 7 - 08 I . T. O, W 2(3), RANCHI VS. SHRI PRAKASH SAMANTA PAN: AZIPS8436M [ APPELLANT ] [ RESPONDENT ] FOR THE APPELLANT: SH. SHRI DEEPAK ROSHAN, SENIOR S.C/LD.DR FOR THE RESPONDENT /ASSESSEE : NONE DATE OF HEARING : 04 - 12 - 2014 DATE OF PRONOUNCEMENT: 04 - 12 - 2014 ORDER SHRI B.R. BASKARAN, ACCOUNTANT MEMBER : THE REVENUE HAS FILED THIS APPEAL CHALLENGING THE ORDER PASSE D BY LD CIT(A), RANCHI AND IT RELATES TO THE ASSESSMENT YEAR 2007 - 08. NONE APPEARED ON BEHALF OF THE ASSESSEE AND HENCE WE PROCEED TO DISPOSE OF THE APPEAL EX - PARTE, WITHOUT THE PRESENCE OF THE ASSESSEE. 2. THE REVENUE IS AGGRIEVED BY THE DECISION OF LD C IT(A) IN REDUCING THE DISALLOWANCE OF RS.21,14,500/ - MADE BY THE AO TO RS.59,438/ - . 3. WE HEARD LD D.R AND PERUSED THE RECORD. THE AO RECEIVED AIR INFORMATION TO THE EFFECT THAT THE ASSESSEE HAS DEPOSITED CASH AMOUNTING TO RS.19,19,500/ - IN HIS BANK ACCO UNT. DURING THE COURSE OF ASSESSMENT PROCEEDING, THE AO NOTICED THAT THE AGGREGATE AMOUNT OF DEPOSIT MADE WAS RS.21,14,500/ - IN THE ACCOUNT MAINTAINED BY THE ASSESSEE WITH AXIS BANK. THE ASSESSEE SUBMITTED THAT HE USED TO PURCHASE GOLD ON BEHALF OF 2 ITA NO.147/RAN/14 - SRI PRAKASH SAMANTA NEAR AND DEAR ONES AND THE CASH GIVEN BY THEM HAVE BEEN DEPOSITED IN THE BANK ACCOUNT. THE ASSESSEE ALSO FURNISHED THE NAME AND ADDRESSES OF THE PERSONS FROM WHOM HE HAD RECEIVED THE MONEY . THE AO SENT NOTICES TO THE SAID PERSONS, BUT THEY WERE RETURNED BACK UNSERVED. FURTHER THE ASSESSEE COULD NOT FURNISH THE PURCHAE AND SALE BILLS. HENCE THE AO ASSESSED THE ENTIRE AMOUNT OF RS.21,14,500/ - AS INCOME OF THE ASSESSEE. 4. BEFORE LD CIT(A), THE ASSESSEE FURNISHED CONFIRMATION LETTERS OBTAINED FROM THE PERS ONS WHO HAD GIVEN MONEY TO THE ASSESSEE. HENCE THE LD CIT(A) CALLED FOR A REMAND REPORT FROM THE AO. ACCORDINGLY, THE ASSESSING OFFICER CONDUCTED ENQUIRIES WITH REGARD TO THE CONFIRMATION LETTERS AND ACCEPTED THE CONTENTION OF THE ASSESSEE THAT HE WAS PU RCHASING GOLD ON BEHALF OF NEAR AND DEAR ONES. FURTHER THE AO SUBMITTED THAT THE ENTIRE AMOUNT OF CASH DEPOSITS SHOULD NOT HAVE BEEN ASSESSED AND INSTEAD COMMISSION @ 5% OF THE TOTAL AMOUNT OF DEPOSITS SHOULD BE ASSESSED. THE LD CIT(A), FOLLOWING THE REM AND REPORT, ESTIMATED THE COMMISSION INCOME AT 5% OF RS.21,14,500/ - AND THE SAME WORKED OUT TO RS.1,05,725/ - . SINCE THE ASSESSEE HAD ALREADY DECLARED COMMISSION INCOME OF RS.46,290/ - , THE LD CIT(A) RESTRICTED THE ADDITION TO RS.59,438/ - . THE REVENUE IS A GGRIEVED BY THE SAID ADDITION. 5. WE NOTICE THAT THE LD CIT(A) HAS DULY CALLED FOR A REMAND REPORT FROM THE ASSESSING OFFICER UPON THE NEW EVIDENCES FURNISHED BEFORE HIM BY THE ASSESSEE. WE FURTHER NOTICE THAT THE ASSESSING OFFICER HIMSELF HAS SUGGES TED THAT THE ADDITION SHOULD BE RESTRICTED TO 5% OF THE AGGREGATE AMOUNT OF CASH DEPOSITS. ACCORDINGLY, THE LD CIT(A) RENDERED HIS DECISION BY FOLLOWING THE REMAND REPORT. HENCE, WE ARE OF THE VIEW THAT THE 3 ITA NO.147/RAN/14 - SRI PRAKASH SAMANTA REVENUE SHOULD NOT HAVE ANY GRIEVANCE WHEN THE LD CIT(A) HAS PASSED THE ORDER IN ACCORDANCE WITH THE SUGGESTION GIVEN BY THE AO IN THE REMAND REPORT. ACCORDINGLY, WE DO NOT FIND ANY MERIT IN THE PRESENT APPEAL FILED BY THE REVENUE. 6. IN THE RESULT, THE APPEAL FILED BY THE REVENUE IS DISMISSED. PRONOUNCED ACCORDINGLY ON 04 - 12 - 2014 SD/ - SD/ - [ H.L. KARWA ] [ B.R. BASKARAN ] PRESIDENT ACCOUNTANT MEMBER D T. 04 - 12 - 2014 PLACE : RANCHI PP, SR. PS COPY OF THE ORDER FORWARDED TO: 1. THE APPELLANT : 2 THE RESPONDENT: 3..THE CIT, 4.THE CIT(A), 5.DR, ITAT CIRCUIT BENCH, RANCHI 6. GUARD FILE. TRUE COPY, BY ORDER, ASSTT. REGISTR AR 4 ITA NO.147/RAN/14 - SRI PRAKASH SAMANTA 1. DATE OF DICTATION ............. ORDER DRAFTED BY THE MEMBER IN HIS LAPTOP .... 4 - 12 - 14 ................. 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 SR. P.S./P.S. ..................... 4. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT.................................. 04 - 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 GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER ................................................................................................. 9. DATE OF DESPATCH OF THE ORDER ................... ...........................................