ACIT, CIRCLE-33, KOLKATA, Kolkata V. M/s. SBD Enterprise., Kolkata

ITA 1685/KOL/2016

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 2976 (ITAT-KOLKATA)
• Duration Of Justice: 2 year(s) 11 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-08-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2010-2011
• Appeal Filed On: 23-08-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ALOKE NAG
• Assessee Lawyers: RAMESH KUMAR BHAWANI PARTNER
• Keywords: Assessment record
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH C, KOLKATA BEFORE SH. J. SUDHAKAR REDDY, ACCOUNTANT MEMBER AND SH. S.S.GODARA, JUDICIAL MEMBER ITA NO. 1685/KOL/2016 [ASSESSMENT YEAR: 2010-11] ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE- 33, KOLKATA. VS M/S. SBD ENTERPRISE 10B, MIDDLETON ROW, 3 RD FLOOR, KOLKATA- 400 071. PAN- ABBFS 9142 H (APPELLANT) (RESPONDENT) APPELLANT BY SH. ALOKE NAG , ADDL. CIT, SR. DR RESPONDENT BY SH. RAMESH KUMAR BHAWANI, PARTNER DATE OF HEARING 05 .0 8 .201 9 DATE OF PRONOUNCEMENT 21 .08.2019 ORDER PER SH. S.S.GODARA, JUDICIAL MEMBER THIS REVENUES APPEAL FOR ASSESSMENT YEAR 2010-11 ARISE AGAINST THE CIT(A)- 9, KOLKATAS ORDER DATED 31.05.2016 PASSED IN CASE NO. 46/CIT(A)-9/CIR-33/2014- 15/KOL INVOLVING PROCEEDINGS U/S 143(3) OF THE INCOME TAX ACT, 1961 (IN SHORT ACT). HEARD BOTH THE PARTIES. CASE FILE PERUSED. 2. THE REVENUE'S FORMER THREE SUBSTANTIVE GROUNDS CHALLENGED THE CIT(A)'S ACTION REVERSING ASSESSMENT FINDINGS DISALLOWING 50% OF TRANSPORT EXPENDITURE, 5% OF LABOUR, LOADING CHARGES AND PURCHASES EACH INVOLVING SUMS OF RS. 9,66,217/-, 315823/-, 4,51,104/- AND 23,80,105/-; RESPECTIVELY. THE REVENUE VEHEMENTLY CONTENDS DURING THE COURSE OF HEARING THAT THE ASSESSING OFFICER HAD RIGHTLY INVOKED THE IMPUGNED FOUR DISALLOWANCES AS THE ASSESSEE FAILED TO FILE ON RECORD ALL NECESSARY DETAILS. WE FIND NO MERIT IN REVENUE'S INSTANT GRIEVANCES. CASE FILE SUGGEST THAT THE ASSESSEE HAD PLACED ON RECORD ALL OF ITS DETAILS INCLUDING BOOKS OF ACCOUNTS ALONG WITH VOUCHERS, PAYEES ADDRESSES BEFORE THE ASSESSING OFFICER. THE SAME HAD NOWHERE BEEN DOUBTED AS PER ASSESSMENT ORDER DATED 28.03.13. THE ASSESSING OFFICER CHOSE TO DISALLOW THE IMPUGNED SUMS ON ADHOC BASIS. WE HOLD IN THIS BACKDROP OF FACTS THAT THE REVENUE'S ARGUMENTS SEEKING TO REVIVE THE SAME ARE NOT SUSTAINABLE ON FACTS AS WELL AS IN LAW. THE CIT(A) ALSO APPEARS TO HAVE SOUGHT ITA NO. 1685/KOL/2016 [ASSESSMENT YEAR: 2010-11] M/S. SBD ENTERPRISE PAGE | 2 REMAND REPORT FROM THE ASSESSING OFFICER WHEREIN NO DEFECT WAS FOUND IN ASSESSEE'S DETAILS. WE THEREFORE AFFIRM THE CIT(A)'S FINDINGS ON ALL THESE ISSUES. 3. NEXT COMES THE REVENUE'S FOURTH SUBSTANTIVE GROUND THAT THE CIT(A) HAS ERRED IN LAW AS WELL AS IN FACTS IN DELETING CAPITAL CONTRIBUTION BY PARTNERS' ADDITION AMOUNTING TO RS. 43,32,700/-. LEARNED DR FAILS TO REBUT THE CLINCHING FACT THAT THE CIT(A) HAS DIRECTED THE ASSESSING OFFICER TO MAKE THE CORRESPONDING ADDITION IN ASSESSEE'S PARTNERS' HANDS. WE THEREFORE CONCLUDE THAT THE REVENUE'S INSTANT SUBSTANTIVE GROUND AMOUNTS TO AN INSTANCE OF DOUBLE ADDITION OF THE VERY SUM IN BOTH FIRM AS WELL AS PARTNERS' HANDS. THIS REVENUE'S GRIEVANCE IS DECLINED THEREFORE. 4. LASTLY COMES REVENUE'S GRIEVANCE SEEKING TO REVIVE SUNDRY CREDITORS DISALLOWANCE/ADDITION OF RS. 13,80,721/- AND 6,58,765/- PAID S/SHRI MOHAN LAL HIRANI AND SURESH KUMAR. WE FIND THAT THE ASSESSEE HAD DULY FILED ALL OF ITS SUPPORTIVE EVIDENCE BOTH IN THE COURSE OF ASSESSMENT AS WELL AS IN LOWER APPELLATE PROCEEDINGS. THE SAID TWO PARTIES HAD ALSO FILED THE NECESSARY CONFIRMATIONS ALONG WITH THE ASSESSMENT RECORDS TO THIS EFFECT. WE THEREFORE SEE NO MERIT IN REVENUE'S INSTANT LAST GRIEVANCE AS WELL. THE SAME IS ACCORDINGLY DECLINED. 5. THIS REVENUE'S APPEAL IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 21.08.2019. SD/- SD/- (J. SUDHAKAR REDDY) (S.S.GODARA) ACCOUNTANT MEMBER JUDICIAL MEMBER DATE:- 21.08.2019 BIDHAN COPY FORWARDED TO: 1. APPELLANT- ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE- 33, KOLKATA. 2. RESPONDENT- M/S. SBD ENTERPRISE, 10B, MIDDLETON ROW, 3RD FLOOR, KOLKATA- 400 071. 3. CIT-KOLKATA 4. CIT(APPEALS)-9, KOLKATA (SENT THROUGH MAIL) 5. DR: ITAT-KOLKATA BENCHES (SENT THROUGH MAIL) AR/H.O.O ITAT, KOLKATA