Smt. Paramjit Kaur, Jagraon V. The Income Tax Officer, Moga

ITA 150/ASR/2016

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 9556 (ITAT-AMRITSAR)
• Duration Of Justice: 6 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-09-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 04-08-2016
• Assessment Year: 2009-2010
• Appeal Filed On: 11-03-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 133(6)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH; AMRITSAR. BEFORE SH. A.D. JAIN, JUDICIAL MEMBER AND SH. T.S. KAPOOR, ACCOUNTANT MEMBER ITA NO.150(ASR)/2016 ASSESSMENT YEAR:2009-10 PAN: ATLPK8154D SMT. PARAMJIT KAUR VS. INCOME TAX OFFICER, M/S. NANAK TRAVEL ADVISER, WARD-4, MOGA. G.T.ROAD, JAGRAON. (APPELLANT) (RESPONDENT) APPELLANT BY: SH. SUDHIR SEHGAL RESPONDENT BY: SH. RAHUL DHAWAN, DR DATE OF HEARING: 06/09/2016 DATE OF PRONOUNCEMENT: 15/09/2016 ORDER PER T.S. KAPOOR, AM THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST TH E ORDER OF THE LD. CIT(A), BATHINDA, DATED 30.12.2015 FOR THE ASSESSME NT YEAR 2009-10. 2. THE ASSESSEE HAS TAKEN SEVEN GROUNDS OF APPEAL. HOWEVER, THE CRUX OF GRIEVANCE OF THE ASSESSEE IS THE ACTION OF THE LD. CIT(A) BY WHICH HE HAS UPHELD THE ADDITION OF RS.22,00,000/-, WHICH WAS MADE BY THE AO ON ACCOUNT OF ALLEGED CASH DEPOSITS BY THE ASSE SSEE. ITA NO.150(ASR)/2016 ASSESSMENT YEAR: 2009-10 2 3. THE BRIEF FACTS, AS NOTED IN THE ASSESSMENT ORDE R ARE THAT THE CASE OF THE ASSESSEE WAS SELECTED FOR SCRUTINY. DURING T HE ASSESSMENT PROCEEDINGS, ON THE BASIS OF INFORMATION UNDER SECT ION 133(6) OF THE INCOME TAX ACT, 1961, THE AO OBSERVED THAT THE ASSE SSEE HAD DEPOSITED CASH OF RS.22 LACS IN HER BANK ACCOUNT WITH HDFC B ANK ON 06.08.2008. THE ASSESSEE WAS ASKED TO PRODUCE THE SOURCE OF DE POSIT OF CASH AND IN REPLY THE ASSESSEE SUBMITTED THAT CASH BELONGED TO SH. DARSHAN SINGH, AND WITHDRAWALS FROM THIS ACCOUNT ALSO BELONGED TO SH. DARSHAN SINGH, WHO WAS A JOINT HOLDER OF ACCOUNT. BEFORE THE AO, THE ASSESSEE FILED AN AFFIDAVIT OF SH. DARSHAN SINGH, WHEREIN HE STATED T HAT HE HAD DEPOSITED RS. 22 LACS IN THE SAVINGS BANK ACCOUNT OF SMT. PAR AMJIT KAUR, THE ASSESSEE, WITH WHOM HE WAS HAVING A JOINT ACCOUNT. THE AO DEPUTED HIS INSPECTOR TO VERIFY THE CONTENTS OF THE AFFIDAVIT OF SH. DARSHAN SINGH. DURING RECORDING OF STATEMENT, THE SAID SH. DARSHAN SINGH ADMITTED TO HAVE DEPOSITED RS.22 LACS IN THE JOINT ACCOUNT WIT H THE ASSESSEE AND HE STATED THAT HE HAD SOLD LAND FOR RS.12,86,000/- ON 05.08.2008 OUT OF WHICH RS.12,81,000/- WAS STATED TO BE RECEIVED BY H IM PRIOR TO THE EXECUTION OF SALE DEED. THE AO, HOWEVER, WAS NOT SA TISFIED WITH THE SUBMISSION OF THE ASSESSEE AND HELD THAT THE FIRST NAME IN THE SAVING BANK ACCOUNT WAS THAT OF THE ASSESSEE AND, THEREFOR E, IT WAS HER OBLIGATION TO EXPLAIN THE DEPOSIT OF RS. 22 LACS. T HE AO FURTHER HELD THAT EVEN IF THE STATEMENT OF SH. DARSHAN SINGH WAS CONS IDERED EVEN THEN THE ITA NO.150(ASR)/2016 ASSESSMENT YEAR: 2009-10 3 SALE OF AGRICULTURAL LAND WAS FOR RS.12.81 LACS AND REST OF DEPOSITS WERE NOT EXPLAINABLE. IN VIEW OF THE ABOVE, THE AO, MADE AN ADDITION OF RS. 22 LACS. 4. AGGRIEVED WITH THE ORDER OF THE AO, THE ASSESSEE FILED APPEAL BEFORE THE LD. CIT(A), WHO ALSO CONFIRMED THE ADDIT ION MADE BY THE AO. 5. AGGRIEVED THE ASSESSEE IS NOW IN APPEAL BEFORE THIS BENCH. 6. AT THE OUTSET, THE LD. COUNSEL FOR THE ASSESSEE INVITED OUR ATTENTION TO PB-1, WHERE A COPY OF AFFIDAVIT SIGNED BY SH. D ARSHAN SINGH WAS PLACED AND WHEREIN HE HAD ADMITTED THAT RS.22 LACS BELONGED TO HIM, WHICH HE HAD GOT AFTER SELLING HIS LAND. THE LD. C OUNSEL ALSO TOOK US TO PB-3, WHERE A COPY OF PAN CARD OF SH. DARSHAN SINGH WAS PLACED. THE LD. COUNSEL SUBMITTED THAT WHEN SH. DARSHAN SINGH H AD ADMITTED THAT THE MONEY BELONGED TO HIM AND THE INSPECTOR OF THE AO HAD ALSO RECORDED THE STATEMENT OF SH. DARSHAN SINGH, WHEREI N HE HAD AGAIN ADMITTED THAT THE SAID AMOUNT BELONGED TO HIM, THER E WAS NO JUSTIFICATION ON THE PART OF THE ASSESSING OFFICER TO MAKE THE ADDITION IN THE HANDS OF THE ASSESSEE. 6.1. THE LD. COUNSEL FOR THE ASSESSEE ALSO DREW OUR ATTENTION TO A COPY OF SALE DEED OF LAND, DATED 05.08.2008, PLACED AT PB-10, FROM THE SALE OF WHICH SH. DARSHAN SINGH HAD DEPOSITED CASH. ITA NO.150(ASR)/2016 ASSESSMENT YEAR: 2009-10 4 7. THE LD. DR, ON THE OTHER HAND, HEAVILY PLACED RE LIANCE ON THE ORDERS OF THE AUTHORITIES BELOW. 8. WE HAVE HEARD THE RIVAL CONTENTIONS AND HAVE CAR EFULLY GONE THROUGH THE MATERIAL AVAILABLE ON RECORD. WE FIND T HAT SH. DARSHAN SINGH THROUGH HIS AFFIDAVIT HAD ACCEPTED THAT THE A MOUNT DEPOSITED IN THE JOINT ACCOUNT WITH MRS. PARAMJIT KAUR, THE ASS ESSEE, BELONGED TO HIM AND FURTHER IN HIS STATEMENT RECORDED BY THE INSPEC TOR OF THE AO, HE HAD AGAIN ACCEPTED THAT THE MONEY BELONGED TO HIM. THE SOURCE OF SUCH DEPOSIT OF MONEY WAS ALSO BACKED BY THE COPY OF SAL E DEED OF AGRICULTURAL LAND, WHICH WAS SOLD BY SH. DARSHAN SINGH ON 05.08 .2008. A COPY OF SUCH SALE DEED IS PLACED AT PB 11-12. DURING RECORD ING OF STATEMENT OF SH. DARSHAN SINGH, SH. DARSHAN SINGH EXPLAINED THAT THE REMAINING AMOUNT OF RS.9.19 LACS WAS OUT OF HIS PAST SAVINGS AND OUT OF HIS SALE OF AGRICULTURAL PRODUCE. THE AO HAD STATED THAT SH. D ARSHAN SINGH WAS NOT HOLDING ANY EVIDENCE IN SUPPORT OF HIS CONTENTI ON OF PAST SAVINGS AND SALE OF AGRICULTURAL PRODUCE AND HE, THEREFORE, RE JECTED THE THEORY OF THE ASSESSEE THAT THE MONEY BELONGED TO SH. DARSHAN SIN GH. HOWEVER, WE FIND THAT IN ANSWER TO LAST QUESTION, SH. DARSHAN S INGH STATED THAT HE WAS NOT HAVING ANY PROOF/EVIDENCE BUT FURTHER STATE D THAT IT CAN BE PRODUCED LATER ON. THE AO HAS CONVENIENTLY IGNORED THE LATER PART OF THE STATEMENT AND HELD THAT SH. DARSHAN SINGH WAS NOT H AVING ANY EVIDENCE, FOR SALE OF PRODUCE & PAST SAVINGS ITA NO.150(ASR)/2016 ASSESSMENT YEAR: 2009-10 5 8. IN VIEW OF THE ABOVE FACTS AND CIRCUMSTANCES OF THE CASE, WE HOLD THAT THE ADDITION IN THE HANDS OF THE ASSESSEE, IS NOT AT ALL WARRANTED AND THE SAME IS DELETED. THUS, WE ALLOW THE APPEAL FILED BY THE ASSESSEE. 9. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED. ORDER PRONOUNCED IN THE OPEN COURT ON 15/09/ 2016. SD/- SD/- (A.D. JAIN) (T.S. KAPOOR) JUDICIAL MEMBER ACCOUNTANT MEMBER /SKR/ DATED: 15/09/2016 COPY OF THE ORDER FORWARDED TO: 1. THE ASSESSEE:SMT. PARAMJIT KAUR, JAGRAON. 2. THE ITO WARD-4, MOGA. 3. THE CIT(A), BATHINDA. 4. THE CIT, BATHINDA. 5. THE SR DR, ITAT, AMRITSAR. TRUE COPY BY ORDER INCOME TAX APPELLATE TRIBUNAL, AMRITSAR BENCH: AMRITSAR.