Vijay Bhavani Constructions Private Limited , Hyderabad V. Income Tax Officer, Ward-17(4), Hyderabad

ITA 1919/Hyd/2018

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 9525 (ITAT-HYDERABAD)
• Duration Of Justice: 2 year(s) 6 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-03-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB-B
• Assessment Year: 2014-2015
• Appeal Filed On: 18-09-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: P MURALI MOHANA RAO
• Keywords: FORM 26AS

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES B : HYDERABAD (THROUGH VIDEO CONFERENCE) BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER AND SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER I.T.A. NO. 1919/HYD/2018 ASSESSMENT YEAR: 2014-15 VIJAY BHAVANI CONSTRUCTIONS PVT. LTD., HYDERABAD [PAN: AABCV6770A] VS INCOME TAX OFFICER, WARD-17(4), HYDERABAD (APPELLANT) (RESPONDENT) FOR ASSESSEE : SHRI P.MURALI MOHANA RAO, AR FOR REVENUE : SHRI ROHIT MUJUMDAR, DR DATE OF HEARING : 17-02-2021 DATE OF PRONOUNCEMENT : 18-03-2021 O R D E R PER S.S.GODARA, J.M. : THIS ASSESSEES APPEAL FOR AY.2014-15 ARISES FROM TH E CIT(A)-5, HYDERABADS ORDER DATED 13-03-2018 PASSED IN APPEAL NO.0403/2016-17/CIT(A)-5, CIT(A), HYDERABAD- 5/ 10465/2016-17 IN PROCEEDINGS U/S.143(3) OF THE INCOM E TAX ACT, 1961 [IN SHORT, THE ACT]. HEARD BOTH PARTIES. CASE FILE PERUSED. 2. THE ASSESSEE HAS RAISED THE FOLLOWING SUBSTANTIVE GROUNDS IN THE INSTANT APPEAL: ITA NO. 1919/HYD/2018 :- 2 -: 1. THE ORDER OF THE LD.CIT(A), IS ERRONEOUS BOTH O N ACTS OF THE CASE AND IN LAW TO THE EXTENT THE ORDER IS PREJUDICIAL T O THE INTEREST OF THE ASSESSEE. 2.THE LD CIT(A) ERRED IN CONFIRMING THE ADDITION FO R AN AMOUNT OF RS.3,78,77,506/-. STATING THAT THERE WAS A DIFFEREN CE IN THE FORM 26AS AND THE ASSESSEE BOOKS OF ACCOUNTS. 3.THE CIT(A) OUGHT TO HAVE APPRECIATED THE FACT THA T OUT OF THE RECEIPTS FROM M/S K N R CONSTRUCTION LTD ARE RS.8,41,12,672/ -, THE ACTUAL AMOUNT IS RS.4,62,35,166/-. IS ADMITTED IN P & L A/ C , THE DIFFERENCE AMOUNT OF RS.3,78,77,506/- IS DUE TO EXCESS PAYMENT TOWARDS ADVANCES. 4.THE LD.CIT(A) ERRED IN DIFFERENTIATING THE RECEIP TS BETWEEN REVENUE GENERATED AND THE MOBILISATION ADVANCES RECEIVED BY THE ASSESSEE DURING THE YEAR. 5.THE LD.CIT(A) OUGHT TO HAVE APPRECIATED THE FACT THAT MONEY RECEIVED AS MOBILISATION ADVANCE CANNOT BE TREATED AS INCOME OF THE ASSESSEE. 6.THE LD.CIT(A) OUGHT TO HAVE APPRECIATED THE FACT THAT ASSESSEE HAS DECLARED THE INCOME BASED ON WORK CERTIFIED. 7.THE LD.CIT(A) ERRED IN NOT CONSIDERING THE EXPLAN ATION GIVEN BY THE ASSESSEE WITH REGARD TO MOBILISATION ADVANCES RECEI VED DURING THE YEAR HAS BEEN OFFERED TO INCOME IN SUBSEQUENT YEAR AS INCOME. 8.THE ASSESSEE MAY ADD, ALTER OR MODIFY ANY OTHER P OINTS TO THE GROUNDS OF APPEAL AT ANY TIME BEFORE OR AT THE TIME OF HEARING OF THE APPEAL. 3. IT EMERGES FROM A PERUSAL OF THE ASSESSEES FOREGO ING PLEADINGS THAT ITS SOLE ARGUMENT IS THAT THE IMPUGNED SUM INDICATING DIFFERENCE BETWEEN FORM-26AS VIZ-A-VIZ THA T DECLARED IN ITS BOOKS OF ACCOUNT ALREADY STANDS ASSESS ED AS INCOME IN AY.2015-16. 4. MR.RAO HAS ALSO SOUGHT TO INVITE OUR ATTENTION TO ASSESSEES PROFIT AND LOSS ACCOUNT PERTAINING TO THE SAI D SUBSEQUENT ASSESSMENT YEAR TO THIS EFFECT. FACED WITH TH IS PECULIAR SITUATION, WE DEEM IT APPROPRIATE THAT LARGER I NTEREST OF JUSTICE WOULD BE MET IN CASE THE ISSUE IS RESTORED BACK TO ITA NO. 1919/HYD/2018 :- 3 -: THE ASSESSING OFFICER FOR HIS NECESSARY FACTUAL VERIF ICATION REGARDING ASSESSMENT OF THE IMPUGNED INCOME COMPONENT IN AY.2015-16. THE ASSESSEE OR ITS AUTHORISED REPRESENTATI VE SHALL APPEAR BEFORE THE ASSESSING OFFICER ON OR BEFO RE 31-08- 2021 ALONG WITH ALL THE NECESSARY DETAILS TO BE FOLLO WED BY THREE EFFECTIVE OPPORTUNITIES OF HEARING; AT ITS OWN RIS K AND RESPONSIBILITY. 5. THIS ASSESSEES APPEAL IS TREATED AS ALLOWED FOR S TATISTICAL PURPOSES IN ABOVE TERMS. ORDER PRONOUNCED IN THE OPEN COURT ON 18 TH MARCH, 2021 SD/- SD/- (LAXMI PRASAD SAHU) (S.S.G ODARA) ACCOUNTANT MEMBER JUDICIAL MEM BER HYDERABAD, DATED: 18-03-2021 TNMM ITA NO. 1919/HYD/2018 :- 4 -: COPY TO : 1.VIJAY BHAVANI CONSTRUCTIONS PRIVATE LIMITED, C/O. P.MURALI & CO., CHARTERED ACCOUNTANTS, 6-3- 655/2/3, 1 ST FLOOR, SOMAJIGUDA, HYDERABAD. 2.THE INCOME TAX OFFICER, WARD-17(4), HYDERABAD. 3.CIT(APPEALS)-5, HYDERABAD. 4.PR.CIT-5, HYDERABAD. 5.D.R. ITAT, HYDERABAD. 6.GUARD FILE.