Shri Kunwar Lall Bothra, Kolkata V. ITO, Ward - 35(3), Kolkata, Kolkata

ITA 1712/KOL/2010

• Counselvise Citation: [2011] 134 COUNSELVISE.COM (IT) 9181 (ITAT-KOLKATA)
• Duration Of Justice: 6 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-03-2011
• Appeal Filed By: Assessee
• Bench Allotted: C
• Assessment Year: 2005-2006
• Appeal Filed On: 02-09-2010
• Court: TRIBUNAL
• Department Lawyers: V A RAJU
• Assessee Lawyers: S M SURANA
• Keywords: Set aside
• Section: 143(3); 2(22)(e)

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH: KOL KATA () BEFORE , /AND , . . !' ) [BEFORE HONBLE SRI MAHAVIR SINGH, JM & HONBLE SHR I C. D. RAO, AM] # # # # / I.T.A NO. 1712/KOL/2010 $% &' $% &' $% &' $% &'/ // / ASSESSMENT YEAR : 2005-06 SRI KUNWAR LALL BOTHRA VS INCOME-TAX OFFICER, WD -35(3), KOLKATA (PAN-AEIPB 7270 B) ( )* /APPELLANT ) (+,)*/ RESPONDENT ) FOR THE APPELLANT: SHRI S. M. SURANA FOR THE RESPONDENT: SHRI V. A. RAJU !- / ORDER PER MAHAVIR SINGH, JM ( , , , , ) THIS APPEAL BY ASSESSEE IS ARISING OUT OF THE ORDER OF CIT(A)-XX, KOLKATA IN APPEAL NO.339/CIT(A)-XX/WD-35(3)/07-08/KOL DATED 09 .06.2010. THE ASSESSMENT WAS FRAMED BY ITO-WD-35(3), KOLKATA U/S. 143(3) OF THE INCOME TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT) FOR ASSESSME NT YEAR 2005-06 VIDE HIS ORDER DATED 14.12.2007. 2. THE ONLY ISSUE IN THIS APPEAL OF THE ASSESSEE IS AGAINST THE ORDER OF CIT(A) CONFIRMING THE ADDITION BY INVOKING PROVISIONS OF S ECTION 2(22)(E) OF THE ACT. FOR THIS, THE ASSESSEE HAS RAISED THE FOLLOWING EFFECTIVE GRO UND NOS.2: 2. FOR THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE THE LD. CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.5,03,760/- MADE BY TH E A.O. BY APPLYING THE PROVISION OF SEC. 2(22)(E). 3. AT THE OUTSET, THE LD. COUNSEL FOR THE ASSESSEE DRAWN OUR ATTENTION TO THE ASSESSMENT ORDER AND PARTICULAR FINDINGS OF THE ASS ESSING OFFICER ON PAGE-4, WHICH READS AS UNDER: ON EXAMINATION OF BANK STATEMENT OF ABN AMRO BANK OF THE ASSESSEE IT IS FOUND THAT OPENING BALANCE AS ON 1.4.04 IS RS.2478/ -. ON 15.04.04 ASSESSEE GOT LOAN FROM M/S. SPECTRUM AUTOMOTIVE (P) LTD. AND BALANCE RAISED TO RS.10,06,528/- ON THE SAME DAY ASSESSEE HAS INVESTE D THIS AMOUNT TO RELIANCE MUTUAL FUND. ASSESSEE SOLD THIS RELIANCE MUTUAL FU ND ON 23.09.04 AND GOT 2 ITA 1712K/201 0 KUNWAR LALL BOTHRA A.Y. 05-06 RS.9,87,147/- AND ON THE SAME DAY HE HAS TRANSFERRE D RS.10,00,000/- TO M/S. SPECTRUM AUTOMOTIVE (P) LTD. TO SQUARE UP THE LOAN. 4. THE LD. COUNSEL FOR THE ASSESSEE FILED ACCOUNTS AND DRAWN OUR ATTENTION TO PAGE 11 OF THE ASSESSEES PAPER BOOK, WHERE THE ACCOUNT OF SPECTRUM AUTOMOTIVE (P) LTD. (HEREINAFTER REFERRED TO AS SAPL) IS FILED. AS P ER THIS ACCOUNT, IT IS FOUND THAT THE FINDINGS OF THE ASSESSING OFFICER AS RECORDED ABOVE , ARE NOT AT ALL TALLIED. IT SEEMS THAT THERE IS MISTAKE IN FINDING OUT FACTS ON ISSUE. EV EN THE CIT(A) HAS RELIED ON THE ASSESSMENT ORDER. IN THE INTEREST OF NATURAL JUSTI CE AND FAIR PLAY, THE BENCH REQUIRED THE DR TO EXPLAIN THE DISCREPANCY BUT HE URGED BENCH TO SET ASIDE THIS ISSUE TO THE FILE OF THE ASSESSING OFFICER FOR VERIFICATION IN TERMS OF THE DOCUMENTS FILED BY THE ASSESSEE. IN VIEW OF THESE ACCOUNTS FILED BEFORE US PARTICULARLY COPY OF ACCOUNT OF SAPL, WE REMIT THIS ISSUE TO THE FILE OF ASSESSING OFFICER, AS AGR EED BY BOTH THE SIDES. ASSESSING OFFICER WILL FIND OUT FACTS IN DETAIL AND GIVE FINDINGS ON THE ISSUE. THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. 5. IN THE RESULT, ASSESSEES APPEAL IS ALLOWED FOR STATISTICAL PURPOSES 6. ORDER IS PRONOUNCED IN THE OPEN COURT ON 31.3.20 11. SD/- SD/- . . !' , (C. D. RAO) (MAHAVIR SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER ( ' ' ' ') )) ) DATED 31ST DAY OF MARCH, 2011 ./ $01 2 JD.(SR.P.S.) !- 3 +4 5!4&6- COPY OF THE ORDER FORWARDED TO: 1 . )* / APPELLANT SHRI KUNWAR LALL BOTHRA, 9A, LAL BAZAR STREET, 2 ND FLOOR, BLOCK-A, MERCANTILE BUILDING, KOLKATA-700 0 01.. 2 +,)* / RESPONDENT ITO, WARD-35(3), KOLKATA 3 . -$ ( )/ THE CIT(A), KOLKATA 4. 5. -$ / CIT KOLKATA 4 <= +$ / DR, KOLKATA BENCHES, KOLKATA ,4 +/ TRUE COPY, !-$>/ BY ORDER, 1 /ASSTT. REGISTRAR .