M/S SURYA HOMES , HZB V. ITO WARD-2(2), HZB

ITA 149/RAN/2018

• Counselvise Citation: [2020] 110 COUNSELVISE.COM (IT) 9523 (ITAT-RANCHI)
• Duration Of Justice: 1 year(s) 9 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-03-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2012-2013
• Appeal Filed On: 24-05-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Assessee Lawyers: M K CHOUDHURY
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL: RANCHI BENCH, RANCHI BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER I.T.A NO.149/RAN/2018 ASSESSMENT YEAR: 2012-13 M/S SURYA HOMES 2 ND FLOOR, APARAJITA BUILDING, NEAR BANK OF BARODA, MITHA TANK ROAD H.BAG. VS. ITO, WARD-2(2), HAZARIBAGH PAN/GIR NO. : AAZFS9812P ( APPELL ANT ) .. (RESPONDENT) APPELLANT BY SRI M. K. CHOUDHURY, ADVOCATE RESPONDENT BY SRI AJAY KUMAR, ADDL. CIT(DR) DATE OF HEARING 03.03.2020 DATE OF PRONOUNCEMENT 03.03.2020 O R D E R S. S. GODARA(ORAL): THIS ASSESSEES APPEAL FOR ASSESSMENT YEAR 2012-13 ARISES AGAINST THE COMMISSIONER OF INCOME TAX (APPEALS), JHARKHAND DATED 23.06.2016 PASSED IN CASE NO.08/HZB/2015-16 INVOLVING PROCEEDINGS U/S 143(3) OF THE INCOME TAX ACT, 1961 (IN SHORT THE ACT). HEARD BOTH THE PARTIES. CASE FILE PERUSED. 2. THE ASSESSEES FIRST SUBSTANTIVE GRIEVANCE CHALLENGES CORRECTNESS OF BOTH THE LOWER AUTHORITIES ACTION ADDING RS.6,86,400/- AS ALLEGED OUTSTANDING INCOME SHOWN BOOKS OF ACCOUNTS. THIS ASSESSEE ADMITTEDLY IS A BUILDER AND DEVELOPER IN REAL ESTATE. LEARNED COUNSELS ONLY CASE IS THAT THE ASSESSEES STAND FROM THE DAY ONE DURING THE COURSE OF SCRUTINY WAS THAT THE ABOVE SUM HAD COME FROM SHRI R. N. YADAV, SMT. LATA DEVI AND DR. ADITI LAL TO THE TUNE OF RS.178000/-, RS.399990/-, RS.109400/-; RESPECTIVELY FOR EXTRA INTERNAL FURNISHING WORK OVER AND ABOVE THE SALE PRICE DISCLOSED. I FIND THAT THIS ASSESSEE HAS EXPLAINED ITS CASE FROM THE RECIPIENT PARTIES END. I REJECT THE REVENUES ARGUMENT THEREFORE AND HOLD THAT THE ASSESSEE HAS SATISFACTORILY DISCHARGED HIS ONUS QUA THE INSTANT ISSUE. THE IMPUGNED ADDITION OF RS.6,86,400/- STANDS DELETED. I.T.A NO.149/RAN/2018 M/S SURYA HOMES 2 3. MR. CHOUDHURY IS FAIR ENOUGH IN NOT PRESSING THE ASSESSEES SECOND AND FOURTH SUBSTANTIVE GRIEVANCES CHALLENGING ADDITION(S) OF RS.103100/- AND RS.202119/- REGARDING UNEXPLAINED PURCHASES AND DIFFERENCE IN BANK ACCOUNT DEPOSITS; RESPECTIVELY. 4. THIS LEAVES ME THAT THE THIRD ISSUE OF DISALLOWANCE OF RS.202119/- @20% OF VARIOUS EXPENSES WHICH HAD NEITHER BEEN SATISFACTORILY EXPLAINED BY THE ASSESSEE NOR THERE IS ANY JUSTIFICATION FROM THE LOWER AUTHORITIES SIDE SUCH A HIGHER DISALLOWANCE IN PRINCIPLE. I THEREFORE HOLD THAT A LUMPSUM ESTIMATION OF 5% QUA THIS THIRD ISSUE WOULD MEET THE ENDS OF JUSTICE WITH A RIDER THAT THE SAME SHALL NOT BE TREATED AS PRECEDENT IN ANY OTHER ASSESSMENT YEAR. NECESSARY COMPUTATION INCLUDING THAT OF INTEREST, IF ANY, SHALL FOLLOW AS PER LAW. 5. THIS ASSESSEES APPEAL IS PARTLY ALLOWED IN ABOVE TERMS. ORDER IS PRONOUNCED IN THE OPEN COURT ON 03.03.2020. SD/- (S. S. GODARA) JUDICIAL MEMBER DATED: 03.03.2020. RS COPY OF THE ORDER FORWARDED TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT CONCERNED 4. THE CIT(A) - 5. THE DR, ITAT, RANCHI 6. GUARD FILE BY ORDER SR. P.S., ITAT, RANCHI (ON TOUR)