Hussain Goud Kowkuntla, RR Dist V. Income Tax Officer, Ward-15(4), Hyderabad

ITA 1814/Hyd/2017

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 7689 (ITAT-HYDERABAD)
• Duration Of Justice: 3 year(s) 9 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-08-2021
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: DB-A
• Assessment Year: 2014-2015
• Appeal Filed On: 06-11-2017
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: LAKKA BHUSHANAM
• Assessee Lawyers: S RAMA RAO

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES : BENCH A HYDERABAD (THROUGH VIDEO CONFERENCE) BEFORE SHRI S.S. GODARA, JUDICIAL MEMBER AND SHRI L.P. SAHU, ACCOUNTANT MEMBER I.T.A. NO. 1 814 /HYD./201 7 A.Y : 20 14 - 15 SHRI HUSSAIN GOUD KOWKUNTLA VS. ITO, WARD 15 ( 4 ) R.R. DIST. HYDERABAD [PAN: ALDPK2748M ] (APPELLANT) (RESPONDENT) FOR ASSESSEE: S HRI S. RAMA RAO, AR FOR REVENUE: SRI LAKKA BHUSHANAM, DR DATE OF HEARING : 05 /0 7 /2021 DATE OF PRONOUNCEMENT : 27 /0 8 /2021 O R D E R PER S.S. GODARA, J.M. TH IS ASSESSEES APPEAL ARISE S AGAINST THE CIT (A) - 7 , HYDERABADS ORDER DATED 2 7 .0 6 .201 7 IN CASE NO. 0525 /201 6 - 17 FOR AY 20 14 - 15 , INVOLVING PROCEEDINGS U/S 1 43(3) OF THE INCOME TAX ACT, 1961 [ IN SHORT THE ACT ]. HEARD BOTH THE PARTIES. CASE FILE PERUSED. 2. THE ASSESSEE HAS PLEADED THE FOLLOW ING SUBSTANTIVE GROUNDS IN THE INSTANT APPEAL. 1. THE ORDER OF THE LEARNED COMMISSIONER OF INCOME - TAX (APPEALS) IS ERRONEOUS TO THE EXTENT IT IS PREJUDICIAL TO THE APPELLANT. 2. THE LEARNED COMMISSIONER OF INCOME - TAX (APPEALS) ERRED IN CONFIRMING THE E STIMATION OF INCOME FROM SRI SAI BALAJI RESTAURANT AND BAR AT 10%. ITA NO. 1 814 /HYD/1 7 AY 20 14 - 15 SRI HUSSAIN GOUD KOWKUNTLA . 2 3. THE LEARNED COMMISSIONER OF INCOME - TAX (APPEALS) OUGHT TO HAVE APPRECIATED THE FACT THAT THE PROFIT FROM SRI SAI BALAJI RESTAURANT AND BAR WOULD NOT BE AS HIGH AS 10%. 4. THE LEARNED COMMISSIONER OF INCOME - TAX (APPEALS) ERRED IN CONFIRMING THE ACTION OF THE ASSESSING OFFICER IN SEPARATELY ADDING RS.24,800 / - BEING THE INTEREST RECEIVED, IN THE CASE OF SRI SAI BALAJI RESTAURANT AND BAR, PARTICULARLY WHEN THE INCOME IS DETERMINED BY ESTIMATION. 5. ANY OTHER GROUND THAT MAY BE URGED AT THE TIME OF HEARIN G. 3. LD.COUNSEL S FIRST AND FOREMOST GRIEVANCE IS THAT BOTH THE LOWER AUTHORITIES HAVE ERRED IN LAW AND ON FACTS IN ESTIMATING 10% OF THE INCOME ELEMENT QUA THE TAX PAYEES RECEIPTS DERIVED FROM RETAIL WINE BUSINESS, BAR AND RESTAURANT. WE NOTICE THAT THE ASSESSING OFFIC ER HAD ESTIMATED THE IMPUGNED INCOME ELEMENT @ 15% WHERE AS THE CIT(A) HAS ALREADY GRANTED RELIEF TO THE EXTENT OF 5% THEREBY RESTRICTING THE SAME TO THE EXTENT OF 10% ONLY BY FOLLOWING TRIBUNALS ORDER IN M/S MALLIKARJUNA BAR & RESTAURANT IN ITA 186/H/2012. LEARNED COUNSEL FAILS TO PIN POINT ANY DISTINCTION ON FACTS IN THE IMPUGNED BAR AND RESTAURANT BUSINESS. WE, THEREFORE, FIND NO REASON TO INTERFERE WITH THE CIT(A)S DIRECTIONS TO THIS EFFECT. THE ASSESSEE FAILS IN HIS FIRST A ND FOREMOST GRIEVANCE THEREFORE. 4. L EARNED COUNSEL IS FAIR ENOUGH IN NOT PRESSING ASSESSEES SECOND SUBSTANTIVE GRIEVANCE INVOLVING A SUM OF RS. 24,800/ - KEEPING IN MIND THE SMALLNESS THEREOF. THIS GROUND IS REJECTED ACCORDINGLY. THIS ASSESSEES APPEAL IS DISMISSED . PRONOUNCED IN OPEN COURT ON 27 TH AUGUST, 2021. SD/ - SD/ - (L.P. SAHU) (S.S. GODARA) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: THE 27 TH AUGUST, 2021. ITA NO. 1 814 /HYD/1 7 AY 20 14 - 15 SRI HUSSAIN GOUD KOWKUNTLA . 3 * GMV COPY OF THE ORDER FORWARDED TO: 1. SRI HUSSAIN GOUD KOWKUNTLA, PROP. SAMMAKKA SARAKKA WINES, H.NO. 3 - 105/7/1, BODUPPAL VILLAGE, MEDIPELLI MANDAL, MEDCHAL DIST. 500 038 , TELANGANA. 2. ITO, WARD 15 ( 4 ), HYDERABAD 3. ACIT, RANGE 15 , HYDERABAD. 4. CIT(A) - 7 , HYDERABAD 5. PR.CIT - 7 , HYDERABAD 6 . DR, ITAT, HYDERABAD. 7 . GUARD FILE.