Nandkumar Bharat Chougule, Kolhapur V. Income-tax Officer, Ward - 1 (2), Kolhapur

ITA 1605/PUN/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 3172 (ITAT-PUNE)
• Duration Of Justice: 4 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-03-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2011-2012
• Appeal Filed On: 18-10-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: ARISES OUT OF PASSED
• Keywords: Additional evidence; Set aside

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH SMC, PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT . / ITA NO.1605/PUN/2019 / ASSESSMENT YEAR : 2011-12 NANDKUMAR BHARAT CHOUGULE, 766/3, B-WARD, PLOT NO.8, ITI HOSTEL, NEAR SASNE COLONY, KARVEER, KOLHAPUR PAN : AHWPC0496M VS. ITO, WARD-1(2), KOLHAPUR (APPELLANT) (RESPONDENT) / ORDER PER R.S.SYAL, VP : THIS APPEAL BY THE ASSESSEE ARISES OUT OF THE ORDER PASS ED BY THE CIT(A)-1, KOLHAPUR ON 23-07-2019 IN RELATION TO THE ASSESSMENT YEAR 2011-12. 2. THE ONLY ISSUE RAISED IN THIS APPEAL IS AGAINST THE CONFIRMATION OF ADDITION OF RS.13.00 LAKH REPRESENTING CASH DEPOSIT IN THE BANK ACCOUNT. APPELLANT BY SHRI PRAMOD SHINGTE RESPONDENT BY SHRI RAJEEV RANJAN DATE OF HEARING 11-03-2020 DATE OF PRONOUNCEMENT 12-03-2020 ITA NO.1605/PUN/2019 NANDKUMAR BHARAT CHOUGULE 2 3. BRIEFLY STATED, THE FACTS OF THE CASE, ARE THAT THE ASSESS ING OFFICER GOT INFORMATION ABOUT THE ASSESSEE HAVING DEPOSITED A SUM OF RS.14,54,210/- IN HIS BANK ACCOUNT. ON BEING CALLED UPON TO EXPLAIN THE SOURCE OF SUCH DEPOSIT, THE ASSESSEE SUBMITTED THAT HE WAS WORKING IN AXIS BANK DRAWING A MONTHLY SALARY OF RS.5, 443/-. REGARDING THE CASH DEPOSIT, HE SUBMITTED THAT SOME BANK OF FICER USED HIS ACCOUNT FOR ISSUING DEMAND DRAFT AND MAKING INVES TMENT IN MUTUAL FUNDS AND AS PER HIS KNOWLEDGE ONE MR. RAJKUMA R ANNASO PATIL, RESIDING AT CHINCHWAD, WAS INSTRUMENTAL IN USING HIS BANK ACCOUNT FOR THE PURPOSE OF PURCHASING MUTUAL FUNDS TO THE TUNE OF RS.13.00 LAKH. THE ASSESSING OFFICER ISSUED SUM MONS U/S.131 TO MR. RAJKUMAR ANNASO PATIL, WHO APPEARED AND ALS O MADE WRITTEN SUBMISSIONS DENYING ANY RELATION WITH THE ASSESS EE OR HAVING MADE ANY INVESTMENT IN THE MUTUAL FUNDS. AS THE ASSESSEE DID NOT FURTHER PARTICIPATE IN THE ASSESSMENT PROCE EDINGS, THE AO MADE ADDITION OF RS.14,54,210/-, BEING, THE AMOUNT OF CASH DEPOSITS IN THE BANK ACCOUNT. THE ASSESSEE ASSAILED THE AD DITION OF RS.13.00 LAKH, BEING, THE MAJOR AMOUNT BEFORE THE LD. CIT( A) CONTENDING THAT HIS BANK ACCOUNT WAS USED FOR THE BENEFIT O F ONE MR. BAHUBALI ANNASO PATIL FOR DEPOSIT OF RS.13.00 LAKH AND THEREAFTER INVESTMENT IN MUTUAL FUNDS FOR THE EQUAL AMOUNT. NOT ITA NO.1605/PUN/2019 NANDKUMAR BHARAT CHOUGULE 3 CONVINCED, THE LD. CIT(A) CONFIRMED THE ADDITION, AGAINST WH ICH THE ASSESSEE HAS APPROACHED THE TRIBUNAL. 4. I HAVE HEARD BOTH THE SIDES AND PERUSED THE RELEVANT MATERIAL ON RECORD. THE LD. AR PLACED ON RECORD CERTAIN ADDITIONAL EVIDENCE IN THE SHAPE OF STATEMENT OF MR. BAHUBALI ANNASO PATIL RECORD ED BY THE AO ON 02-05-2019, WHOSE COPY IS AVAILABLE AT PAGE 11 ONWARDS OF THE PAPER BOOK. IN RESPONSE TO QUESTION NO .13, HE SUBMITTED TO HAVE RECEIVED SALE CONSIDERATION OF AGRICULTURAL PRODUCE ON BEHALF OF HIS FAMILY. AS HE WAS INTENDING TO INVEST THE SAID AMOUNT FOR FUTURE GROWTH, HE CAME INTO CONTACT WITH ON E MR. DNYANESHWAR SALUNKE (BANK EMPLOYEE OF AXIS BANK) IN THE SAME BRANCH, RAJARAMPURI BRANCH, WHERE THE ASSESSEE WAS WOR KING AND HAD BANK ACCOUNT. HE ADMITTED TO HAVE GIVEN CASH OF RS. 13.00 LAKH TO MR. DNYANESHWAR SALUNKE, WHO, IN TURN, GOT THE MUTUA L FUNDS INVESTMENTS MADE. THE LD. AR, WHILE REFERRING TO PA GE 17 OF THE PAPER BOOK, WHICH IS A COPY OF THE STATEMENT OF HDFC MUTUAL FUNDS, SUBMITTED THAT THE INVESTMENT OF RS.13.00 LAKH WAS M ADE ON 18-08-2010, WHICH IS SAME DATE ON WHICH THE AMOUNT OF RS. 13.00 LAKH WAS UTILIZED OUT OF THE ASSESSEES BANK ACCOUNT. HE F URTHER STATED THAT THIS ADDITIONAL EVIDENCE IN THE SHAPE OF STATEMENT OF M R. ITA NO.1605/PUN/2019 NANDKUMAR BHARAT CHOUGULE 4 BAHUBALI ANNASO PATIL AND ACCOUNT STATEMENT WITH HDFC MUTUAL FUND, SHOWING INVESTMENT IN MUTUAL FUNDS, CAME INTO THE ASSESSEES POSSESSION AFTER THE PASSING OF THE IMPUGNED ORDER. IN MY CONSIDERED OPINION, SUCH ADDITIONAL EVIDENCE HAS SOME B EARING ON THE ISSUE UNDER CONSIDERATION. I, THEREFORE, ADMIT THE ADDITIONAL EVIDENCE AND SEND THE MATTER BACK TO THE AO FOR DECIDING THIS ISSUE AFRESH IN THE LIGHT OF SUCH ADDITIONAL EVIDENCE. THE IMPUGN ED ORDER IS SET ASIDE TO THIS EXTENT. NEEDLESS TO SAY, THE ASSES SEE WILL BE ALLOWED REASONABLE OPPORTUNITY OF HEARING IN SUCH FRESH PROCEEDINGS. 5. IN THE RESULT, THE APPEAL IS ALLOWED FOR STATISTICAL PURPOSES . ORDER PRONOUNCED IN THE OPEN COURT ON 12 TH MARCH, 2020. SD/- (R.S.SYAL) / VICE PRESIDENT PUNE; DATED : 12 TH MARCH, 2020 ITA NO.1605/PUN/2019 NANDKUMAR BHARAT CHOUGULE 5 / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT; 2. / THE RESPONDENT; 3. ( ) / THE CIT (APPEALS)-1, KOLHAPUR 4. THE PR. CIT-1, KOLHAPUR 5. , , SMC / DR SMC, ITAT, PUNE; 6. / GUARD FILE. // TRUE COPY // / BY ORDER, // TRUE COPY // SENIOR PRIVATE SECRETARY , / ITAT, PUNE DATE 1. DRAFT DICTATED ON 11-03-2020 SR.PS 2. DRAFT PLACED BEFORE AUTHOR 11-03-2020 SR.PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER -- JM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. -- JM 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS 6. KEPT FOR PRONOUNCEMENT ON SR.PS 7. DATE OF UPLOADING ORDER SR.PS 8. FILE SENT TO THE BENCH CLERK SR.PS 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK 10. DATE ON WHICH FILE GOES TO THE A.R. 11. DATE OF DISPATCH OF ORDER. *