The DCIT, Circle-15, Ahmedabad V. Shri Chandresh Sinh P.Parmar, Ahmedabad

ITA 1866/AHD/2011

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 89435 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 9 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-05-2015
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 08-05-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 26-07-2011
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: D C MISHRA
• Keywords: Income from undisclosed sources; Principle of natural justice
• Section: 68; 11

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, AHMEDABAD BEFORE SHRI N.S. SAINI ACCOUNTANT MEMBER AND SHRI S.S. GODARA JUDICIAL MEMBER ITA NO .1866/A HD/ 201 1 A. Y .2008 - 09 DCIT, CIRCLE - 15, AHMEDABAD. VS SHRI CHAMDRESH SINH P. PARMAR, LIC OF INDIA BAV LA RANCH, S.M. PATEL MARKET, STATION ROAD, BAVLA, DIST. AHMEDABAD. PAN: AEFPP 7033M (APPELLANT) (RESPONDENT) REVENUE BY : S HRI D.C. MISHRA , SR. D.R. , ASSESSEE(S) BY : NONE / DATE OF HEARING : 08 / 0 5 /201 5 / DATE OF PRONOUNCEMENT: 14 / 0 5 /201 5 / O R D E R PER SHRI S.S. GODARA , JUDICIAL MEMBER TH IS REVENUE S APPEAL FOR A.Y. 200 8 - 0 9 , ARISE S FROM ORDER OF THE C IT(A) - X X I AHMEDABAD DATED 24.5.2011 PASSED I N CASE NO .CIT(A) - XXI/915/WD.15(2)/10 - 11 DELETING SECTION 68 ADDITION OF UNEXPLAINED CASH DEPOSITS AMOUNTING TO RS.10,19,500/ - , IN PROCEEDINGS U/S. 143 ( 3 ) OF THE INCOME TAX ACT IN SHORT THE ACT . 2. THE REVENUE REFERS TO ITS GROUND RAISED IN THE APPEAL AND PRA YS FOR RESTORATION OF THE IMPUGNED ADDITION. IT ALSO CONTENDS THAT ITA NO. 1866 /AHD/201 1 SHRI CHAMDRESH SINH P. PARMAR . FOR A.Y. 200 8 - 0 9 - 2 - THE CIT(A) ORDER HAS ADMITTED ADDITIONAL FRESH EVIDENCE IN VIOLATION OF PRINCIPLE OF NATURAL JUSTICE AS WELL AS RULE 46A OF THE INCOME TAX R ULES. THE ASSESSEE DOES NOT APPEAR DESPITE SERVICE OF NOTICE. RPAD PROOF IS ON RECORD. IT IS ACCORDINGLY PROCEEDED EXPARTE. 3. THE ASSESSEE - AN INDIVIDUAL IS AN LIC EMPLOYEE. HE FILED HIS RETURN ON 17.6.2008 ADMITTING INCOME OF RS.6,21,150/ - . THE ASSESSIN G OFFICER GOT AIR INFORMATION QUA A SUM OF RS.11,54,500/ - DEPOSITED IN CASH IN THE ASSESSEE S BANK ACCOUNT MAINTAINED WITH PUNJAB NATIONAL BANK. HE APPEARS TO HAVE GIVEN COPY THEREOF TO THE ASSESSEE. THE ASSESSEE HAD NARRATED BANK ENTRIES STATING THE SAID AMOUNT TO HAVE BEEN BORROWED FROM ONE VIKRAM SINGH VAGHELA AGAINST THE SAME. THE ASSESSING OFFICER SOUGHT FOR CONFIRMATION, CREDITWORTHINESS, IDENTIFICATION AND SOURCE OF THE CASH LOAN. THE ASSESSEE SEEMS TO HAVE PLACE D ON RECORD ONLY A COPY OF JAMEEN JOTH BAHI OF THE SAID PERSON. NO OTHER DOCUMENT IS STATED TO HAVE BEEN FILED. THE ASSESSING OFFICER TREATED THE IMPUGNED DEPOSITS AS ASSESSEE INCOME FROM UNDISCLOSED SOURCES FOR INVOKING SECTION 68 OF THE ACT. HE ALSO RESTRICTED THE VERY ADDITION TO RS.10,19,5 00/ - AS THE ASSESSEE HAD MADE CASH WITHDRAWAL OF RS.2,35,000/ - . HE TREATED A SUM OF RS.1 LAC AS HOUSE - HOLD EXPENSES. AND ALSO DEDUCTED AN AMOUNT OF RS.1,35,000/ - FROM THE TOTAL CASH. THE BALANCE MONEY OF RS.10,19,500/ - STOOD ADDED AS ASSESSEE S INCOME FROM UNDISCLOSED SOURCED U/S.68 IN ASSESSMENT ORDER DATED 20.12.2010. ITA NO. 1866 /AHD/201 1 SHRI CHAMDRESH SINH P. PARMAR . FOR A.Y. 200 8 - 0 9 - 3 - 4. THE ASSESSEE PREFERRED AN APPEAL. HE FILED RETURN SUBMISSIONS STATING THAT THE SUM OF RS.11,54,500/ - IN HIS BANK ACCOUNT HAD ARISEN OUT OF SALE PROCEEDS OF HOUSE PROPERTY AT BAVLA TO S HRI VAGHELA TOTALING RS.18,81,000/ - . THE CIT(A) HAS ACCEPTED THE SAME IN HIS TWO LINER ORDER. THIS LEAVES THE REVENUE AGGRIEVED. 5. WE HAVE HEARD THE REVENUE AND GONE THROUGH THE CASE FILE. RELEVANT FACTS STAND NARRATED HEREINABOVE. IT IS AN UNDISPUTED FA CTUAL POSITION THAT THE ASSESSEE S CLAIM OF HAVING SOLD A HOUSE PROPERTY TO SHRI VAGHELA IS NOT SUPPORTE D BY ANY MATERIAL WHATSOEVER. NO VERIFICATION IN THIS REGARD BY WAY OF ANY DOCUMENTARY EVIDENCE IS FORTHCOMING. THEREFORE, WE DEEM IT APPROPRIATE THAT T HE ISSUE IN HAND REQUIRES RE - EXAMINATION AT THE ASSESSING OFFICER S HANDS. WE ORDER ACCORDINGLY. THE ASSESSEE SHALL BE ENTITLED TO PRODUCE ON RECORD ALL NECESSARY DETAILS EXPLAINING SOURCE OF HIS CASH DEPOSITS MADE IN THE BANK ACCOUNT IN QUESTION. THE REVE NUE S GROUND IS REMITTED TO THE ASSESSING OFFICER. 6. THE REVENUE S APPEAL IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE COURT ON THIS DAY, THE 14 TH MAY , 201 5 AT AHMEDABAD. SD/ - SD/ - ( N.S. SAINI ) ( S.S. GODARA ) ACCOUNTANT MEMBER JUDICIAL MEMBER AHMEDABAD; DATED 14 / 0 5 / 20 1 5 PRABHAT KR. KESARWANI , SR. P . S . ITA NO. 1866 /AHD/201 1 SHRI CHAMDRESH SINH P. PARMAR . FOR A.Y. 200 8 - 0 9 - 4 - / COPY OF THE ORDE R FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / CONCERNED CIT 4. ( ) / THE CIT(A) - III, AHMEDABAD 5. , , / DR, ITAT, AHMEDABAD 6. / GUARD FILE . / BY ORDER, / ( DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD