Jadi Bala Reddy, Karimnagar V. Income Tax Officer, Ward-1, Karimnagar

ITA 1544/Hyd/2017

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 6429 (ITAT-HYDERABAD)
• Duration Of Justice: 10 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-07-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 24-07-2018
• Assessment Year: 2013-2014
• Appeal Filed On: 05-09-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RAJEEV BENJWAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES A (SMC), HYDERABAD BEFORE SHRI B. RAMAKOTAIAH, ACCOUNTANT MEMBER I.T.A. NO. 1544/HYD/2017 ASSESSMENT YEAR: 2013-14 JADI BALA REDDY, KARIMNAGAR [PAN: AGRPJ1771A] VS THE INCOME TAX OFFICER, WARD-1, KARIMNAGAR (APPELLANT) (RESPONDENT) FOR ASSESSEE : SHRI K.C. DEVDAS, AR FOR REVENUE : SHRI RAJEEV BENJWAL, DR DATE OF HEARING : 24-07-2018 DATE OF PRONOUNCEMENT : 25-07-2018 O R D E R THIS IS AN APPEAL BY ASSESSEE AGAINST THE ORDER OF TH E COMMISSIONER OF INCOME TAX (APPEALS)-2, HYDERABAD, DATED 30-06-2017. 2. BRIEFLY STATED, ASSESSEE SEEMS TO BE IN THE BUSINES S OF DEVELOPING OF LAND. ASSESSING OFFICER (AO) ACKNOWL EDGES THE NATURE OF BUSINESS AS COMMISSION INCOME. DURING THE C OURSE OF ASSESSMENT PROCEEDINGS, AO NOTICED THAT THERE WERE C REDITS TO THE EXTENT OF RS. 56,59,123/- IN THE BANK ACCOUNT (CORPORATION BANK, KARIMNAGAR) AND ALSO DEBITS TO AN E XTENT OF RS. 57,23,032/-. ASSESSEE ADMITTED NET INCOME FROM L AND DEVELOPMENT AND SURVEYING OPERATIONS AT RS. 2,56,990/- . AO ON NOTICING THAT ASSESSEE HAS NOT MAINTAINED BOOKS OF ACCOUNT, CONSIDERED THE PEAK OF THE DEPOSITS IN THE BA NK ACCOUNT WHICH WERE ARRIVED AT RS. 9,38,900/- AND BRO UGHT THE SAME AS UNEXPLAINED MONEY U/S. 69A OF THE ACT. I.T.A. NO. 1544/HYD/2017 :- 2 - : 3. BEFORE THE LD.CIT(A) ASSESSEE CONTENDED THAT THE TRANSACTIONS IN THE BANK PERTAINING TO ASSESSES BUSINE SS AND PEAK CASH CREDIT NEED NOT BE BROUGHT TO TAX. HOWEVER, LD.CIT(A) AFTER GIVING THREE OPPORTUNITIES TO ASSESSEE ON 22-05-2017, 08-06-2017 AND 19-06-2017 NOTED THAT NONE HAS APPEARED AND ACCORDINGLY, THE APPEAL WAS DECIDED ON MERITS EX-PARTE CONFIRMING THE ORDER OF AO. 4. IN THE COURSE OF PRESENT PROCEEDINGS, EVEN THOUGH VARIOUS GROUNDS ARE RAISED ON THE MERITS OF ADDITION, AN AFFIDAVIT IS FILED BY SHRI M.V. PURUSHOTTAMA RAO, PRAC TICING CHARTERED ACCOUNTANT AND COUNSEL OF ASSESSEE THAT THE NOTICES WERE NOT BROUGHT TO HIS NOTICE IN-TIME DUE TO FA ULT IN THE OFFICE OF COUNSEL AND IF GIVEN AN OPPORTUNITY, THE CASE WOULD BE REPRESENTED PROPERLY BEFORE THE CIT(A). 5. CONSIDERING THE PRAYER, WITHOUT GOING TO THE MERITS , I AM OF THE OPINION THAT DUE OPPORTUNITY CAN BE GIVEN TO ASS ESSEE TO REPRESENT THE CASE BEFORE THE LD.CIT(A). CONSIDERING TH AT THE IMPUGNED ORDER OF CIT(A) IS SET ASIDE AND THE APPEAL BEFORE HIM IS RESTORED. LD.CIT(A) MAY CONSIDER THE ISSUE AF RESH ON MERITS, AFTER GIVING DUE OPPORTUNITY TO ASSESSEE. 6. IN THE RESULT, THE APPEAL OF ASSESSEE IS ALLOWED FO R STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 25 TH JULY, 2018 SD/- (B. RAMAKOTAIAH) ACCOUNTANT MEMBER HYDERABAD, DATED 25 TH JULY, 2018 TNMM I.T.A. NO. 1544/HYD/2017 :- 3 - : COPY TO : 1. SHRI JADI BALA REDDY, 4-49 (1-288 OLD), REKURT HI KOTHWADA, MALKAPUR, KARIMNAGAR. 2. THE INCOME TAX OFFICER, WARD-1, KARIMNAGAR. 3. CIT (APPEALS)-2, HYDERABAD. 4. PR.CIT-2, HYDERABAD. 5. D.R. ITAT, HYDERABAD. 6. GUARD FILE.