Dhanalaxmi Vividhodhesh Sahakari Sangh Ltd , Gadag V. Income TAx Officer Ward-1, Gadag

ITA 1588/BANG/2018

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 1470 (ITAT-BANGALORE)
• Duration Of Justice: 6 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-11-2018
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: C
• Assessment Year: 2007-2008
• Appeal Filed On: 14-05-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: DR P V PRADEEP KUMAR
• Assessee Lawyers: R MRINALINI
• Keywords: Unexplained investment; Unexplained expenditure; Additional evidence
• Section: 144

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH, B ENGALURU BEFORE SHRI N.V.VASUDEVAN, VICE PRESIDENT AND SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER I TA NO. 1588 /BANG/2 01 8 (ASSESSMENT YEAR: 2007 - 08 ) DHANALAXMI VIVIDHODHESH SAHAKARI SANGH LTD., NEAR RAMDEV T EMPLE, TRURNEL PET, BETEGERI, GADAG - 582102. PAN: AAAD7052N VS. APPELLANT INCOME - TAX OFFICER, WARD - 1, GADAG . RESPONDENT A PPELLANT BY : R. MRINALINI, ADVOCATE. RESPONDENT BY : DR.P.V.PRADEEP KUMAR, ADDL.CIT. DATE OF HEARING : 19 / 1 1 /2018 DATE OF PRONOUNCEMENT : 27 /11 /2018 O R D E R PER INTURI RAMA RAO, JM : THIS IS AN APPEAL FILED BY THE ASSESSEE DIRECTED AGAINST THE ORDER OF THE LEARNED COMMISSIONER OF INCOME - TAX (APPEALS), HUBBALLI, DATED 06/03/2018 FOR THE ASSESSMENT YE AR 2007 - 08. 2. BRIEFLY THE FACTS OF THE CASE ARE AS UNDER: THE ASSESSEE FILED RETURN OF INCOME FOR THE ASSESSMENT YEAR 2007 - 08. AGAINST THE SAID RETURN OF INCOME, ASSESSMENT ORDER DATED 22/12/2009 WAS PASSED U/S 144 ASSESSING THE TOTAL INCOME AT RS.57,43, 955/ - . WHILE DOING SO, AO MADE THE FOLLOWING THREE ADDITIONS: UNEXPLAINED INVESTMENT IN PURCHASE OF PROPERTY.. RS.52,50,000 UNEXPLAINED EXPENDITURE TOWARDS STAMP DUTY ON THE ABOVE PROPERTY ... RS. 4,41,000 UNEXPLAINED EXPENDITURE TOWARDS REGISTRATI ON CHARGES ON THE ABOVE PROPERTY ... RS.52,955 ITA NO . 1588/B ANG/20 18 PAGE 2 OF 2 FROM THE PERUSAL OF THE ASSESSMENT ORDER IT IS CLEAR THAT THE ASSESSEE HAD NOT RESPONDED TO NOTICE OF HEARING ISSUED BY THE AO DESPITE SEVERAL OPPORTUNITIES. ACCORDINGLY, AO HAD PASSED EX - PARTE ASSESSMENT ORDER AFTER MAKING THE ABOVE ITEMS OF ADDITIONS. 3. BEING AGGRIEVED, AN APPEAL WAS FILED BEFORE THE LD.CIT(A) STATING THAT THE ASSESSEE COULD NOT CO - OPERATE WITH AO DURING THE COURSE OF ASSESSMENT PROCEEDINGS FOLLOWING DIFFERENCES AMONG CHAIRMAN AND I TS DIRECTORS AND ALSO FIL ED CERTAIN ADDITIONAL EVIDENCE WHICH WAS REFERRED TO THE AO FOR HIS COMMENTS IN ACCORDANCE WITH PROVISIONS OF RULE 46A OF THE IT RULES. IT APPEARS THAT AO HAD NOT ACCEPTED THE ADDITIONAL EVIDENCE . TH E LD.CIT(A), WITHOUT INDEPENDE NT APPLICATION OF HIS MIND ON ADDITIONAL EVIDENCE , MERELY DISMISSED THE APPEAL. THEREFORE, IN OUR CONSIDERED OPINION, IT IS A FIT CASE TO REMIT THE MATTER TO THE FILE OF THE AO FOR FRESH ADJUDICATION IN ACCORDANCE WITH LAW AFTER AFFORDING AN OPPORTUNITY O F BEING HEARD TO THE ASSESSEE AS WELL AS THE AO. 4. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 27 TH NOVEMBER, 2018 SD/ - SD/ - (N.V.VASUDEVAN) ( INTURI RAMA RAO) VICE PRESIDENT ACCOUNTANT M EMBER PLACE : BENGALURU. D A T E D : 27 / 11 /2018 SRINIVASULU, SPS COPY TO : 1 APPELLANT 2 RESPONDENT 3 CIT(A) 4 CIT 5 DR, ITAT, BANGALORE. 6 GUARD FILE BY ORDER ASSISTANT REGISTRAR INCOME - TAX APPELLATE TRIBUNAL BANGALORE