ITO, Jaipur V. KANAHAIYA LAL KHANDELWAL, Alwar

ITA 173/JPR/2011

• Counselvise Citation: 17323114 RSA 2011
• Duration Of Justice: 3 year(s) 9 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-11-2014
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 1999-2000
• Appeal Filed On: 25-02-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: SWATI AGRAWAL
• Keywords: Unexplained investment; Assessment record
• Section: 133A; 263

Judgement Text

IN THE INCOME TAX APPELALTE TRIBUNAL: JAIPUR BENCH JAIPUR BEFORE SHRI SHAILENDRA KUMAR YADAV, JUDICIAL MEMBER, AND SHRI B. C. MEENA, ACCOUNTANT MEMBER. ITA.NO.173/JP/2011 (ASSESSMENT YEAR:1999-2000) ASSISTANT COMMISSIONER OF INCOME TAX , WARD 2 (1), ALWAR APPELLANT VS. SH. KANHAIYA LAL KHANDELWAL, 38-HOPE CIRCUS, ALWAR RESPONDENT PAN: AKHPK4373P /BY APPELLANT : SHRI RAJESH OJHA, D.R. /BY RESPONDENT : SWATI AGRAWAL, A.R. /DATE OF HEARING : 24.11.2014 /DATE OF PRONOUNCEMENT : 28.11.2014 ORDER PER SHAILENDRA KUMAR YADAV, J.M: I.T.A. NO. 173/JP/2011 A.Y. 1999-2000 (ACIT VS. SH. KANHAIYA LAL KHANDELWAL) PAGE 2 THIS APPEAL HAS BEEN FILED BY THE REVENUE AGAINST T HE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS), ALWA R, DATED 30.12.2010 FOR A.Y.1999-2000 ON THE FOLLOWING GROUN D: 1. THAT THE LD. COMMISSIONER OF INCOME-TAX (A) HA S ERRED IN LAW AS WELL AS ON THE FACTS AND CIRCUMSTANCES OF THE CASE IN DELETING THE ADDITION OF RS.62,76,000/- U/S 69 ON ACCOUNT OF UNEXPLAINED INVESTMENT WITHOUT ANY COGENT MATERIAL ON RECORD. 2. ASSESSING OFFICER OBSERVED THAT ASSESSEE HAS ARR ANGED FINANCE FOR M/S. BADRI PRASAD RAM GOPAL DAL MILL, A LWAR OF RS.62,70,000/- AND EARNED THE BROKERAGTE ON FINANCE . THERE WAS A SURVEY U/S. 133A AT THE PREMISES OF M/S. BADR I PRASAD RAM GOPAL DAL MILL, KHEDAL GANJ, ALWAR. DURING COU RSE OF SURVEY A DIARY MARKED AS GEETA DENANDINY 1998 WAS FOUND IN WHICH DETAILS ;OF MONEY BORROWED AND MONEY REPAID D URING THE PERIOD 01.01.1998 TO 31.12.1998 WERE RECORDED. ASS ESSEES NAME WAS SHOWN IN THE DIARY AS KANHAIYA ALONG WITH NAME OF MONEY LENDER. THERE WAS CHEQUE TRANSACTION IN THIS DIARY WHICH WAS FULLY REOCRDED IN BOOKS OF M/S. BADRI PRA SAD RAM GOPAL DAL MILL, ALWAR AS WELL AS IN BOOKS OF ASSESS EE BUT CASH TRANSACTION WAS NEITHER RECORDED IN BOOKS OF M/S. B ADRI PRASAD RAM GOPAL DAL MILL, ALWAR NOR IN BOOKS OF A SSESSEE. ASSESSEE WAS ASKED TO CONFIRM THE IDENTITY OF MONEY LENDER WITH THE COPY OF DIARY. ASSESSEE SUBMITTED REPLY D URING COURSE OF ASSESSMENT PROCEEDING BUT ASSESSING OFFICER REJE CTING BOOKS OF ASSESSEE MADE ADDITION OF RS.62,76,000/- AS INCO ME OF ASSESSEE. I.T.A. NO. 173/JP/2011 A.Y. 1999-2000 (ACIT VS. SH. KANHAIYA LAL KHANDELWAL) PAGE 3 3. MATTER WAS CARRIED BEFORE FIRST APPELLATE AUTHOR ITY, WHEREIN VARIOUS CONTENTIONS WERE RAISED ON BEHALF O F ASSESSEE AND HAVING CONSIDERED THE SAME CIT(A) HAS GRANTED R ELIEF TO THE ASSESSEE. SAME HAS BEEN OPPOSED BEFORE US ON BEHAL F OF REVENUE INTER ALIA SUBMITTING THAT CIT(A) WAS NOT J USTIFIED ON FACTS AND LAW IN DELETING ADDITION OF RS.62,76,000/ - U/S.69 ON ACCOUNT OF UNEXPLAINED INVESTMENT WITHOUT GIVING CO GENT REASONING. ACCORDING TO LD. DEPARTMENTAL REPRESENT ATIVE, SHRI RAJESH OJHA THE ORDER OF CIT(A) BE SET ASIDE AND TH AT OF ASSESSING OFFICER ON THE ISSUE BE RESTORED. ON OTH ER HAND LD. AUTHORIZED REPRESENTATIVE, SWATI AGRAWAL STRONGLY S UPPORTED THE ORDER OF CIT(A) ON THE ISSUE. 4. AFTER GOING THROUGH THE RIVAL SUBMISSIONS AND MA TERIAL ON RECORD, WE FIND THAT FROM ASSESSMENT RECORD OF M/S. BADRI PRASAD RAM GOPAL DAL MILL, ALWAR, IT WAS FOUND THAT THERE WAS AN ADDITION ON ACCOUNT OF THIS DIARY IN A.Y. 1999-2 000. THIS MATTER WAS HEARD BY CIT(ADMN.), ALWAR IN CASE OF M/ S. BADRI PRASAD RAM GOPAL DAL MILL, ALWAR AND IN THIS CASE O RDER U/S. 263 HAS ALRADY BEEN PASSED ON 22.12.2004. ASSESSEE FILED AN APPEAL BEFORE HONBLE ITAT, JAIPUR BENCH, JAIPUR AG AINST THE ORDER U/S. 263, INTER ALIA, ITAT HAS DIRECTED TO DE CIDE THE ISSUE OF CASH CREDIT. ASSESSING OFFICER AGAIN DECIDED TH E CASE OF M/S. BADRI PRASAD RAM GOPAL DAL MILL, ALWAR ON 18.10.200 7 FOR A.Y. 1999-2000. IT WAS FOUND THAT ASSESSING OFFICER HAS MADE ADDITION OF RS.19,60,000/- IN THE INCOME OF ABOVE C ASE. THEREFORE, ADDITION MADE IN CASE OF ASSESSEE WAS NO T FOUND I.T.A. NO. 173/JP/2011 A.Y. 1999-2000 (ACIT VS. SH. KANHAIYA LAL KHANDELWAL) PAGE 4 JUSTIFIED BY CIT(A) AND DELETED ADDITION IN QUESTIO N. THIS REASONED FINDING OF CIT(A), WHEREBY HE HAS RIGHTLY DELETED THE ADDITION OF RS.62,76,000/- U/S. 69, NEEDS NO INTERF ERENCE FROM OUR SIDE. WE UPHOLD THE SAME. 5. AS A RESULT, APPEAL FILED BY THE REVENUE IS DISM ISSED. PRONOUNCED IN THE OPEN COURT ON THIS THE 28 TH DAY OF NOVEMBER, 2014. SD/- SD/- (B. C. MEENA) (SHAILENDRA KUMAR YADAV) ACCOUNTANT MEMBER JUDICIAL MEMBE R TRUE COPY S.K.SINHA COPY FORWARDED TO: 1. THE APPELLANT- ACIT, WARD 2(1), ALWAR. 2. THE RESPONDENT- SH. KANHAIYA LAL KHANDELWAL 3. THE CIT 4. CIT(APPEALS) 5. THE DR 6. GUARD FILE (ITA NO. 173/JP/2011) BY ORDER A.R., JAIPUR.