Appeal details
Counselvise Citation
[2016] 133 COUNSELVISE.COM (IT) 1524 (ITAT-AHMEDABAD)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
3 year(s) 9 month(s) 22 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
24-05-2016
Appeal Filed By
Department
Order Result
Dismissed
Bench Allotted
B
Next Hearing Date
19-05-2016
Assessment Year
2008-2009
Appeal Filed On
02-08-2012
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD B BENCH AHMEDABAD , BEFORE SHRI SHAILENDRA KUMAR YADAV, JUDICIAL MEMBER, AND SHRI ANIL CHATURVEDI, ACCOUNTANT MEMBER. ITA. NO.1699/AHD/2012 (ASSESSMENT YEAR:2008-09) ITO, WARD-6(4), AHMEDABAD APPELLANT VS. SHRI SUDHIR J THAKKAR B-10, G.F. SURJEN COMPLEX, KRISHNADHAM SOCIETY, NAROL GAM, AHMEDABAD RESPONDENT PAN: ABZPT9809N /BY APPELLANT : SHRI N. P. PATEL, SR. D. R. /BY RESPONDENT :WRITTEN SUBMISSION /DATE OF HEARING : 19.05.2016 /DATE OF PRONOUNCEMENT : 24.05.2016 ORDER PER SHAILENDRA KUMAR YADAV, J.M: THIS APPEAL HAS BEEN FILED BY REVENUE AGAINST THE O RDER OF COMMISSIONER OF INCOME TAX (APPEALS)-XI, AHMEDABAD, DATED 29.05.2012 FOR A.Y. 2008-09 ON FOLLOWING GROUNDS:- V) THE CIT(A) HAS ERRED IN LAW AND ON FACTS IN DE LETING THE ADDITION OF RS. 10,24,5007- MADE U/S 68 OF THE IT A CT, ITA NO.1699/AHD/12 A.Y. 08-09 [ITO VS. SHRI SUDHIR J THAKKAR] PAGE 2 ON ACCOUNT OF UNEXPLAINED CASH CREDITS IN BANK ACCOUNT EVEN WHEN THE ASSESSEE HAD FAILED TO PRODUC E THE CASH BOOK, IF ANY MAINTAINED, TO PROVE ANY NEXU S BETWEEN THE WITHDRAWALS MADE BY HIM FROM THE BANK ACCOUNT AND SALES REALIZATIONS AND THE DEPOSITS IN THE BANK ACCOUNT. VI) THE CIT(A) HAS ERRED IN LAW AND ON FACTS IN D ELETING THE PROFIT EARNED FROM SHARE TRADING IN BSE AND IN NOT DETERMINING THE ACTUAL PROFITS/LOSS EARNED/INCURRED FROM SUCH ACTIVITY ON BSE. VII) THE CIT(A) HAS ERRED IN LAW AND ON FACTS IN A DMITTING ADDITIONAL EVIDENCE IN CONTRAVENTION OF RULE 46A AN D IN DELETING, ON THE BASIS OF SUCH ADDITIONAL EVIDEN CE, THE ADDITION OF RS.4,93,000/-MADE ON ACCOUNT OF UNEXPLAINED INVESTMENT/PAYMENTS TO M/S. ANGEL BROKING LTD. 2. BEFORE US, AT THE OUTSET, LD. AUTHORIZED REPRESE NTATIVE THROUGH WRITTEN SUBMISSION SUBMITTED THAT THE PRESE NT APPEAL OF THE REVENUE NEEDS TO BE DISMISSED ON ACCOUNT OF LOW TAX EFFECT IN VIEW OF THE CBDT CIRCULAR NO.21 OF 2015 DATED 10.12 .2015. THE LD. DEPARTMENTAL REPRESENTATIVE FAIRLY ADMITTED THA T THE TAX EFFECT IS LESS THAN THE LIMIT PRESCRIBED BY THE AFORESAID CBDT CIRCULAR. 2.1 WE HAVE HEARD THE LD. DEPARTMENTAL REPRESENTATIVE A ND PERUSED THE MATERIAL ON RECORD. ON PERUSING THE GR OUNDS OF APPEAL RAISED BY THE REVENUE, WE PRIMA-FACIE FIND T HAT THE TAX EFFECT IN THIS APPEAL IS BELOW RS.10 LACS. AS PER T HE ANNOUNCEMENT OF CENTRAL BOARD OF DIRECT TAXES (CBDT ) DATED 10.12.2015 (CIRCULAR NO.21 OF 2015), NO DEPARTMENT APPEALS ARE TO BE FILED AGAINST RELIEF GIVEN BY LD. CIT(A) BEFORE THE INCOME TAX APPELLATE TRIBUNAL UNLESS THE TAX EFFECT , EXCLUDING INTEREST, EXCEEDS RS.10 LACS AND IT FURTHER STATES THAT THE ITA NO.1699/AHD/12 A.Y. 08-09 [ITO VS. SHRI SUDHIR J THAKKAR] PAGE 3 INSTRUCTIONS WILL APPLY RETROSPECTIVELY TO THE PEND ING APPEALS. THE BOARD HAS PROVIDED EXEMPTIONS AT CLAUSE (8) OF THE INSTRUCTIONS WHEREIN IT HAS BEEN PROVIDED THAT THES E INSTRUCTIONS WILL NOT BE APPLICABLE, IF VIRES OF AN Y PROVISIONS HAS BEEN QUASHED BY IMPUGNED ORDER OR ADDITION WAS MADE ON SOME AUDIT OBJECTIONS OR THE ADDITION RELATES TO UN DISCLOSED FOREIGN ASSETS/BANK ACCOUNTS, ETC. WE PRIMA-FACIE F IND THAT THE PRESENT CASE DOES NOT FALL WITHIN THE EXEMPTION CLA USE AND THE TAX EFFECT OF THIS IS BELOW RS. 10 LAKHS. IT IS FU RTHER OBSERVED THAT SINCE, WHILE HEARING THE APPEAL, SUCH FACTORS WERE NOT CONSIDERED, THEREFORE, IN CASE, ON RE-VERIFICATION AT THE END OF THE ASSESSING OFFICER, IT CAME TO THE NOTICE THAT T HE TAX EFFECT IS MORE OR IT FALLS WITHIN THE AMBIT OF EXCEPTIONS PRO VIDED IN THE INSTRUCTION, THEN THE DEPARTMENT WILL BE AT LIBERTY TO APPROACH THE TRIBUNAL FOR RECALL OF THIS ORDER. SUCH APPLIC ATION SHOULD BE FILED WITHIN FOUR YEARS OF THIS ORDER. IN VIEW OF THE ABOVE, THE APPEAL OF THE REVENUE IS DISMISSED. 3. IN THE RESULT, THE APPEAL OF REVENUE IS DISMISSE D. PRONOUNCED IN THE OPEN COURT ON THIS THE 24 TH DAY OF MAY, 2016. SD/- SD/- (ANIL CHATURVEDI) (SHAILENDRA KUMAR YADAV) ACCOUNTANT MEMBER JUDICIAL MEMBE R AHMEDABAD: DATED 24/05/2016 TRUE COPY S.K.SINHA / COPY OF ORDER FORWARDED TO:- 1. / REVENUE 2. / ASSESSEE ITA NO.1699/AHD/12 A.Y. 08-09 [ITO VS. SHRI SUDHIR J THAKKAR] PAGE 4 $. %&%'( ) / CONCERNED CIT 4. )- / CIT (A) ,.-./00'(1 '( 123& / DR, ITAT, AHMEDABAD 4./5678 / GUARD FILE. BY ORDER / 1 / 2% '( 123&
Mehul