GUMAN FURNITURE & SERVICES P LTD., Jaipur V. ACIT, Jaipur

ITA 159/JPR/2011

• Counselvise Citation: [2011] 140 COUNSELVISE.COM (IT) 54142 (ITAT-JAIPUR)
• Duration Of Justice: 6 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-09-2011
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2006-2007
• Appeal Filed On: 24-02-2011
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Assessee Lawyers: K L MOOLCHANDAN I

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL JAIPUR BENCH A JAIPUR (BEFORE SHRI R.K.GUPTA AND SHRI N.L.KALRA) ITA NO.159/ JP/2011 ASSESSMENT YEAR 2006-07 PAN: AABCG 7610 G M/S. GUMAN FURNITURE & SERVICE (P) LTD. VS. THE A CIT A-2, RANA PRATAP NAGAR CENTRAL CIRCLE- 1 JHOTWARA, JAIPUR JAIPUR (APPELLANT ) (RESPONDENT) ITA NO.320/ JP/2011 ASSESSMENT YEAR 2006-07 PAN: AABCG 7610 G THE ACIT VS. M/S. GUMAN FURNITURE & SERVICE (P) LTD CENTRAL CIRCLE- 1 A-2, RANA PRATAP NAGAR JAIPUR JHOTWARA, JAIPUR (APPELLANT ) (RESPONDENT) ASSESSEE BY: SHRI K.L. MOOLCHANDANI DEPARTMENT BY : SHRI SUNIL MATHUR DATE OF HEARING: 09-08-2011 DATE OF PRONOUNCEMENT:02-09-2011 ORDER PER N.L. KALRA, AM:- THE ASSESSEE AS WELL AS REVENUE HAVE FILED APPEA LS AGAINST THE ORDER OF THE LD. CIT(A), CENTRAL JAIPUR DATED 31-01-2011 FOR THE ASSESSMENT YEAR 2006-07. 2 2.1 THE FIRST GROUND OF THE ASSESSEE IS THAT THE LD . CIT(A) HAS ERRED IN CONFIRMING THE ADDITION OF RS. 9,26,975/- BY APPLYI NG THE G.P.RATE OF 8% ON ELECTRONIC AND OTHER ITEMS. 2.2 THE REVENUE IN GROUND NO. 1 IS AGGRIEVED AGAIN ST GIVING RELIEF OF RS.23,60,414/- FROM THE TOTAL ADDITION OF RS. 23,87 ,389/- MADE BY THE AO. 2.3 WE HAVE HEARD BOTH THE PARTIES. THE FACTS ARE S IMILAR TO THE FACTS OF THE PRECEDING YEAR. DURING THE YEAR, SALES ARE TO T HE EXTENT OF RS. 3,19,70,078/- AS AGAINST SALE OF RS. 2,89,54,072/-. THE OTHER INCOME IS RS. 10,12,299/- AS AGAINST RS. 8,99,983/- FOR THE PRECE DING YEAR. AS PER CHART FILED BEFORE THE LD. CIT(A), IT HAS BEEN SUBMITTED THAT THE ASSESSEE HAS DISCLOSED THE G.P.RATE OF 4.85% AS AGAINST 4.66% OF THE PRECEDING YEAR. THERE HAS BEEN NO RECEIPTS IN RESPECT OF FURNITURE JOB WORK. IN THE PRECEDING YEAR, THERE WERE SALES TO THE EXTENT OF RS. 8,16,23 5/- OTHER THAN ELECTRONIC ITEMS WHILE SALES DURING THE YEAR ARE OF ONLY ELECT RONIC ITEMS. CONSIDERING THE G.P.RATE DISCLOSED BY THE ASSESSEE AND CONSIDER ING OUR FINDING FOR THE IMMEDIATELY PRECEDING YEAR, WE FEEL THAT IT WILL BE FAIR AND REASONABLE TO RESTRICT THE ADDITION TO RS. 25,000/-. THUS GROUND NO. 1 OF THE ASSESSEE IS PARTLY ALLOWED WHILE GROUND NO. 1 OF THE REVENUE IS DISMISSED. 3.1 THE SECOND GROUND OF APPEAL OF THE ASSESSEE IS THAT THE LD. CIT(A) HAS ERRED IN NOT ANNULLING THE ASSESSMENT ORDER. 3 3.2 WE HAVE HEARD BOTH THE PARTIES. THE ASSESSEE HA S FILED THE RETURN AFTER SEARCH. HENCE, THIS WAS A REGULAR ASSE SSMENT AS THERE WAS NO RETURN BEFORE THE SEARCH. THE AO WAS JUSTIFIED IN M AKING REGULAR ASSESSMENT AND IT WAS NOT OBLIGATORY ON THE PART OF THE AO TO HAVE MADE ADDITION ONLY ON THE BASIS OF MATERIALS FOUND DURING THE COURSE O F SEARCH. HENCE, GROUND NO. 2 OF THE ASSESSEE IS DISMISSED. 4.1 THE SECOND GROUND OF APPEAL RAISED BY THE REVEN UE IS THAT THE LD. CIT(A) HAS ERRED IN ADMITTING THE ADDITIONAL EVIDEN CES. 4.2 WE HAVE HEARD BOTH THE PARTIES. SINCE FOR THE A SSESSMENT YEAR UNDER REFERENCE, THE LD. CIT(A) HAS NOT ADMITTED ANY ADD ITIONAL EVIDENCES, THEREFORE, THE GROUND OF APPEAL RAISED BY THE REVEN UE IS INFRUCTUOUS. 5. IN THE RESULT, THE APPEALS OF THE ASSESSEE IS PA RTLY ALLOWED AND THAT OF THE REVENUE IS DISMISSED. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 02-09 -2011. SD/- SD/- (R.K. GUPTA) (N.L. KALRA) JUDICIAL MEMBER ACCOUNTANT MEMBER JAIPUR DATED; 02/09/2011 *MISHRA COPY FORWARDED TO :- 1. M/S. GUMAN FURNITURE & SERVICES (P) LTD. , JAIPUR 2. THE ACIT, CENTRAL CIRCLE- 1, JAIPUR 3. THE LD. CIT BY ORDER 4. THE LD. CIT(A) 5. THE LD.DR 6. THE GUARD FILE (ITA NO.159/JP /11) A.R. , I TAT , JAIPUR 4 5 6