Dr. Shuvo Dutta, Kolkata V. ACIT, Circle - 55, Kolkata, Kolkata

ITA 174/KOL/2012

• Counselvise Citation: [2013] 120 COUNSELVISE.COM (IT) 3077 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 2 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-04-2013
• Appeal Filed By: Assessee
• Bench Allotted: A
• Assessment Year: 2007-2008
• Appeal Filed On: 03-02-2012
• Court: TRIBUNAL
• Department Lawyers: J KHAN
• Assessee Lawyers: S L KOCHAR
• Section: 143(3)

Judgement Text

, A , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH: KOL KATA () BEFORE . . . . . . . . , !' /AND #! $'# , ) [BEFORE SHRI K. K. GUPTA, AM & SHRI MAHAVIR SINGH, JM] '% '% '% '% / I.T.A NO. 174/KOL/2012 $&' !() $&' !() $&' !() $&' !()/ // / ASSESSMENT YEAR: 200 7- 0 8 DR. SHUVO DUTTA VS. ASSISTANT COMMISSIONER OF INCOME-TAX, (PAN:AEDPD5117N) CIRCLE-55, KOLKATA (+, /APPELLANT ) (-.+,/ RESPONDENT ) DATE OF HEARING: 17.04.2013 DATE OF PRONOUNCEMENT: 19.04.2013 FOR THE APPELLANT: SHRI S. L. KOCHAR, ADVOCA TE FOR THE RESPONDENT: SHRI J. KHAN, SR. DR / / ORDER PER SHRI MAHAVIR SINGH, JM: THIS APPEAL BY ASSESSEE IS ARISING OUT OF ORDER OF CIT(A)-XXXVI, KOLKATA IN APPEAL NO. 645/CIT(A)-XXXVI/KOL/CIRCLE-55/09-10/1794 DATED 16.12.2011. ASSESSMENT WAS FRAMED BY ACIT, CIRCLE-55, KOLKATA U/S. 143(3) OF THE INCO ME-TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT) FOR ASSESSMENT YEAR 2007-08 VIDE HIS ORD ER DATED 30.09.2009. 2. THE FIRST ISSUE IN THIS APPEAL OF ASSESSEE IS A GAINST THE ORDER OF CIT(A) CONFIRMING THE DISALLOWANCE OF CLUB FEES AT RS.36,464/-. FOR THIS , ASSESSEE HAS RAISED FOLLOWING GROUND NO.1: 1.FOR THAT THE LD. CIT(A) ERRED IN CONFIRMING DISA LLOWANCE OF RS.36,464/- MADE OUT BY THE AO BEING THE CLUB FEES INCURRED BY THE APPELLAN T WHICH WAS CLAIMED AS ALLOWABLE DEDUCTION AGAINST THE PROFESSIONAL INCOME DERIVED B Y THE APPELLANT. 3. WE HAVE HEARD RIVAL SUBMISSIOS AND GONE THROUGH FACTS AND CIRCUMSTANCES OF THE CASE. WE FIND THAT THE AO WHILE FRAMING ASSESSMENT MADE D ISALLOWANCE OF CLUB FEES BY HOLDING THE SAME AS PERSONAL IN NATURE AT RS.36,464/-. WE FIND THAT THE CIT(A) HAS CONFIRMED THE ADDITION ON THE BASIS THAT THE ASSESSEE COULD NOT PROVE THAT THE PAYMENT OF CLUB FEE WAS NOT PERSONAL IN NATURE AND ALSO FACTUALLY THE ASSESSEE AGREED FOR T HIS ADDITION BEING PERSONAL IN NATURE. THE CIT(A) CONFIRMED THE ADDITION BY GIVING FOLLOWING F INDING IN PARA 4.1 OF HIS ORDER, WHICH READS AS UNDER: 2 ITA NO.174/K/2012 DR. SHUVO DUTTA. AY : 2007-08 4.1. I HAVE DULY CONSIDERED THE SUIBMISSION OF THE AR OF THE APPELLANT. PAYMENT OF CLUB FEES ORDINARILY BE TAKEN AS PERSONAL EXPENSES UNLESS PROVE OTHERWISE. THE AR LTHOUGH CONTENDED THAT THE APPELLANT HAD MADE DISCU SSIONS WITH OTHER DOCTORS WHILE SITTING IN THE CLUB ABOUT MODERN SCIENTIFIC ADVANCE MENT IN THE TREATMENT OF HEART AILMENTS, BUT HAS NOT FURNISHED ANY EVIDENCE IN TH IS REGARD. THE AR HAS NOT SUBMITTED EVEN THE BASIC DETAILS OF (I) NAME OF THE PARTICIPATING DOCTORS, (II) DATES OF DISCUSSION AND (III) THE BENEFITS RECEIVED BY THE A PPELLANT FROM SUCH DISCUSSION AND USED IN HIS PROFESSION. THIS BEING THE ISSUE, WHET HER AGREED OR NOT BY THE APPELLANT, PAYMENT OF CLUB FEES CANNOT BE TAKEN AS EXPENSES MA DE FOR PROFESSIONAL PURPOSES. THE ADDITION OF RS.34,464/- IS THEREFORE, SUSTAINED . WE FIND NO REASON TO INTERFERE IN THE SAME AND HENC E, THE SAME IS CONFIRMED. THIS GROUND OF APPEAL OF ASSESSEE IS DISMISSED. 4. THE SECOND ISSUE IN THIS APPEAL OF ASSESSEE IS A GAINST ORDER OF CIT(A) CONFIRMING THE DISALLOWANCE OF RS.30,000/- BEING FOREIGN TRIP TO S INGAPUR. FOR THIS, ASSESSEE HAS RAISED FOLLOWING GROUND NO.2: 2. FOR THAT THE LD. CIT(A) ERRED IN CONFIRMING DIS ALLOWANCE OF RS.30,000/- RELATING TO THREE DAYS PROFESSIONAL TRIP TO SINGAPORE ARRANGED AND SPONSORED BY INDIA MEDTRONIC PVT. LTD. WHO HAD PAID HONORARIUM OF RS.1,00,00/- W HICH IS DULY SHOWN AS INCOME BY THE APPELLANT. 5. WE HAVE HEARD RIVAL SUBMISSIONS AND GONE THROUGH FACTS AND CIRCUMSTANCES OF THE CASE. WE FIND THAT THE AO ESTIMATED RS. 1 LAKH AS DISALLO WANCE. THE CIT(A) ALSO CONFIRMED THE DISALLOWANCE AT RS.30,000/- BY STATING THAT THE ASS ESSEE FAILED TO FURNISH ANY EVIDENCE THAT THE ASSESSEE HAS ATTENDED A PROFESSIONAL PROGRAMME. AC CORDING TO HIM, IT IS A PLEASURE TRIP. WE FIND THAT THE CIT(A) HAS JUST ESTIMATED THE DISALLO WANCE WITHOUT ANY BASIS. HE SHOULD NOT HAVE ESTIMATED RS.30,000/- AS AGAINST THE DISALLOWANCE M ADE BY AO WITHOUT ANY BASIS. HENCE, WE DELETE THE ESTIMATION MADE BY CIT(A) AND ALLOW THIS ISSUE OF ASSESSEES APPEAL. 6. IN THE RESULT, APPEAL OF ASSESSEE IS PARTLY ALLO WED. 7. ORDER PRONOUNCED IN THE OPEN COURT ON 19.04.2013 SD/- SD/- . . . . . . . . , #! #! #! #! $'# $'# $'# $'# , (K. K. GUPTA) (MAHAVIR SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER ( 0 0 0 0) )) ) DATED : 19TH APRIL, 2013 !12 $&34 $5! JD.(SR.P.S.) 3 ITA NO.174/K/2012 DR. SHUVO DUTTA. AY : 2007-08 / 6 -$$7 87(9- COPY OF THE ORDER FORWARDED TO: 1 . +, / APPELLANT DR. SHUVO DUTTA, C/O, M. KUMAR & CO. 4 GANGADHAR BABU LANE, KOLKATA-12. 2 -.+, / RESPONDENT ACIT, CIRCLE-55, KOLKATA. 3 . $/& ( )/ THE CIT(A), KOLKATA 4. 5. $/& / CIT KOLKATA 7!>$ -$& / DR, KOLKATA BENCHES, KOLKATA .7 -$/ TRUE COPY, /&?/ BY ORDER, # '4 /ASSTT. REGISTRAR .