Khader Ali Qureshi Mohd., , Hyderabad V. Income Tax Officer, Ward-6(3), Hyderabad

ITA 1681/Hyd/2017

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 7391 (ITAT-HYDERABAD)
• Duration Of Justice: 2 year(s) 3 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-01-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB-A
• Next Hearing Date: 11-12-2019
• Assessment Year: 2009-2010
• Appeal Filed On: 03-10-2017
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: R S ARVINDAKSHAN
• Keywords: Additional evidence
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD A - SMC BENCH : HYDERABAD BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER ITA NO. 1681 /HYD./201 7 ASSESSMENT YEAR: 20 09 - 10 SRI KHADER ALI QURESHI MOHD. VS. ITO, WARD 6(3) C/O SH. M.M.FIRDOS HYDERABAD ADVOCATE 11 - 3 - 942, 1 ST FLOOR NEW MALLEPALLI HYDERABAD PAN: AFLPM0749Q (APPELLANT) (RESPONDENT) FOR ASSESSE E : SH. P.C.YADAV, A.R. FOR REVENUE : S H. R.S.ARVINDAKSHAN, D.R. DATE OF HEARING : 11 / 12 /19 DATE OF PRONOUNCEMENT : 31 / 01 / 20 O R D E R THIS IS ASSESSEES APPEAL FOR A.Y. 20 09 - 10 AGAINST THE ORDER DATED 26.06.2017 OF LD.CIT(A) - 9, HYDERABAD. 2. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE , AN INDIVIDUAL , FILED HIS RETURN OF INCOME FOR THE A.Y. 2009 - 10 ON 30.09.2009 DECLARING TOTAL INCOME OF RS.5,98,370/ - . DURING THE ASSESSMENT PROCEEDINGS U/S 143(3) OF THE I.T. ACT, 1961 (THE ACT), THE AO NOTICED THAT AS PER AIR DATA THE ASSESSEE HAD DEPOSITED CASH IN ABN AMRO BANK . T HEREFORE, ASSESSEE WAS ASKED TO FURNISH INFORMATION FOR THE CREDITS APPEARING IN THE BANK ACCOUNTS. ASSESSEE EXPLAINED THAT THEY WERE CASH ADVANCES RECEIVED FROM 5 PARTIES. THE A.O. ACCEPTED THE CREDIT WORTHINESS OF ONLY ONE PARTY I.E. SH. NASIM BANU FOR RS.1,50,000/ - . HOWEVER, REGARDING OTHER 4 PERSONS , THE A.O. DID NOT ACCEPT THE CREDIT WORTHINESS OF THE PARTIES AND ACCORDINGLY BROUGHT THE AMOUNT OF RS.5,50,000/ - TO TAX. 2.1. AGGRIEVED, ASSESSEE PREFERRED AN APPEAL BEFORE THE LD.CIT(A) ALONG WITH ADDITIONAL EVIDENCES IN THE FORM OF CONFIRMATION LETTERS IN R ESPECT OF ITA NO. 1681 /HYD/1 7 AY:20 09 - 10 SH. KHADER ALI QURESHI MOHD. VS. ITO, WARD 6( 3 ) 2 SH. SAAYEDUDDIN, SH. AMEERUDDIN AND SH. SYED ANEESUDDIN. THE CIT(A) ACCEPTED THE CREDITWORTHINESS OF TWO PERSONS I.E. SH. SAYEDUDDIN FOR RS.1,00,000/ - AND SH. AMEERUDDIN FOR RS.1,50,000/ - , BUT CONFIRMED THE ADDITION OF RS.3,00,000/ - IN RESPECT OF SH. SYED ANEESUDDIN. 3 . AGGRIEVED, ASSESSEE IS IN APPEAL BEFORE THE TRIBUNAL BY RAISING THE FOLLOWING GROUNDS OF APPEAL. 1. THE LD.CIT(A) - 9, HYDERABAD, ERRED IN CONFIRMING OF RS.3,00,000/ - TO THE TOT AL INCOME OF THE APPELLANT. THE AUTHORITIES BELOW FAILED TO UNDERSTAND THE TRANSACTION AND PROCEEDED TO ADD THE SAME ON WRONG ASSUMPTION. THEY FAILED TO APPRECIATE THAT THE FACT THAT IT IS A SIMPLE PURCHASE AND SALE TRANSACTION OF A FLAT BETWEEN THE SAID SYED ANEESUDDIN AND THE APPELLANT HEREIN. THUS, THE ADDITION IS UNWARRANTED AND UNSUSTAINABLE UNDER THE FACTS AND CIRCUMSTANCES OF THE CASE. 2. THE LD.CIT(A) - 9, HYDERABAD, ERRED IN REJECTING THE ADDITIONAL EVIDENCE FILED BEFORE IT WITHOUT AFFORDING A REA SONABLE OPPORTUNITY. IT IS THEREFORE PRAYED THAT THE ADDITIONAL EVIDENCE MAY BE CONSIDERED, UNDER THE FACTS AND CIRCUMSTANCES OF THE CASE. 4. LD.COUNSEL FOR ASSESSEE SUBMITTED THAT ASSESSEE HAS NOW FURNISHED CONFIRMATION LETTER OF S H. SYED ANEESUDDIN BEF ORE THE TRIBUNAL AS ADDITIONAL EVIDENCE WHICH WAS IN FACT FILED BEFORE THE CIT(A) , BUT THE CIT(A) HA D NOT ADMITTED THE SAME. LD.COUNSEL FURTHER SUBMITTED THAT THE SAID CONFIRMATION LETTER MENTIONS THE PAN NUMBER OF THE CREDITOR AND ALSO THAT IT WAS MENTIONED THAT THE ADVANCE WAS FOR BOOKING A FLAT. HE SUBMITTED THAT THE IDENTITY OF THE CREDITOR IS PROV ED BY PAN NUMBER PROVIDED AND THE CREDIT WORTHINESS AND GENUINENESS MAY BE EXAMINED BY THE AO HAVING REGARD TO THE CONFIRMATION LETTER GIVEN BY THE PARTY. 5. HAVING REGARD TO RIVAL CONTENTIONS AND MATERIAL PLACED ON RECORD, AS THE ASSESSEE HAS FILED CON FIRMATION LETTER OF THE CREDITOR SH. SYED ANEESUDDIN, BEFORE THE CIT(A) AND ALSO BEFORE THE TRIBUNAL, I DEEM IT FIT AND PROPER TO ADMIT THE SAME AND REMIT THE MATTER BACK TO THE FILE OF AO WITH A DIRECTION TO EXAMINE THE CREDIT WORTHINESS AND GENUINENESS O F THE CREDITOR SH. SYED ANEESUDDIN. NEEDLESS TO MENTION, THAT THE ASSESSEE BE GIVEN A FAIR OPPORTUNITY OF HEARING. 6 . IN THE RESULT, ASSESSEES APPEAL IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN OPEN COURT ON 31 ST JANUARY, 2020 . SD/ - (P MADHAVI DEVI) JUDICIAL MEMBER DATED: 31 ST JANUA RY, 2020 . *GMV ITA NO. 1681 /HYD/1 7 AY:20 09 - 10 SH. KHADER ALI QURESHI MOHD. VS. ITO, WARD 6( 3 ) 3 - COPY FORWARDED TO: 1. SRI KHADER ALI QURESHI MOHD. C/O S H. M.M.FIRDOS, ADVOCATE, 11 - 3 - 942, 1 ST FLOOR, NEW MALLEPALLY, HYDERABAD . 2. ITO, WARD 6( 3 ), HYDERABAD 3. CIT(A) - 9 HYDERABAD 4. PR.CIT - 6, HYDERABAD 5. D.R. ITAT HYDERABAD 6. GUARD FILE ITA NO. 1681 /HYD/1 7 AY:20 09 - 10 SH. KHADER ALI QURESHI MOHD. VS. ITO, WARD 6( 3 ) 4 1. DRAFT DICTATED ON 28/01/20 2. DRAFT PLACED BEFORE THE AUTHOR 30 /01/20 3. DRAFT PLACED BEFORE THE SECOND MEMBER 4. DRAFT APPROVED BY SECOND MEMBER 5. APPROVED DRAFT COMES TO SRPS 6. KEPT FOR PRONOUNCEMENT 31/01/20 7. FILE SENT TO BENCH CLERK