M/s Softech Agency , Bokaro V. ITO WARD-3(4), BOKARO

ITA 192/RAN/2017

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 0352 (ITAT-RANCHI)
• Duration Of Justice: 1 year(s) 3 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-11-2018
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2011-2012
• Appeal Filed On: 17-08-2017
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: A K MOHANTY
• Assessee Lawyers: NITIN PASARI
• Section: 145; 144

Judgement Text

P A G E 1 | 3 IN THE INCOME TAX APPELLATE TRIBUNAL, RANCHI SMC BENCH, RANCHI BEFORE SHRI N.S SAINI, ACCOUNTANT MEMBER ITA NO . 192 / RAN /201 7 ASSESSMENT YEAR : 2011 - 12 M/S. SOFTECH AGENCY, HA - 14, CITY CENTRE, SECTOR - 4, BOKARO STEEL CITY. VS. ITO, WARD 3(4), BOKARO, BOKARO STEEL CITY. PAN/GIR NO. AASFS 3537 L (APPELLANT ) .. ( RESPONDENT ) ASSESSEE BY : SHRI NITIN PASARI, ADV REVENUE BY : SHRI A.K.MOHANTY, JCIT DATE OF HEARING : 20 / 11 / 2018 DATE OF PRONOUNCEMENT : 20 / 11 / 2018 O R D E R THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF THE CI(A) , HAZARIBAG D ATED 15.6.2017 FOR THE ASSESSMENT YEAR 2011 - 12. 2. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSING OFFICER REQUIRED THE ASSESSEE TO PRODUCE CASH BOOK, PURCHASE/SALES BILLS AND VOUCHERS, WHICH WAS CLAIMED TO HAVE BEEN MAINTAINED AT SL.NO.9(B) OF FORM 3CD OF THE AUDIT REPORT BUT THE SAME WAS NOT FURNISHED. THEREFORE, THE ASSESSING OFFICER REJECTED THE BOOK RESULTS BY INVOKING THE PROVISIONS OF SECTION 145 OF THE ACT AND MADE ASSESSMENT TO THE BEST OF HIS JUDGMENT UNDER SECTION 144 OF THE ACT. WHILE DOING SO, HE ESTIMATED THE INCOME @ 3% OF THE GROSS ITA NO192 / RAN/ 2017 ASSESSMENT YEAR : 11 - 12 P A G E 2 | 3 RECEIPTS /SALES OF RS.3,74,18,031/ - AND ASSESSED INCOME AT RS.11,22,540/ - . 3. ON APPEAL, THE CIT(A) CONFIRMED THE ACTION OF THE ASSESSING OFFICER ON THE GROUND THAT BEFORE HIM ALSO, NO EVIDENCES WERE PRODUCED TO ASSAIL THE ORDER OF THE ASSESSING OFFICER. 4. BEFORE ME, THE ONLY SUBMISSION OF LD A.R. IS THAT THE ESTIMATION OF INCOME AT 3% OF THE GROSS RECEIPTS OF THE ASSESSE WAS AT A HIGHER SIDE. HE SUBMITTED THAT IN THE IMMEDIATELY PRECEDING TWO ASSESSMENT YEARS, THE ASSESSE HAD SHOWN INCOME AT 1% OF THE GROSS RECEI PTS, WHICH WAS ACCEPTED BY THE DEPARTMENT. THEREFORE, HE PRAYED THAT THE INCOME OF THE ASSESSE SHOULD BE ESTIMATED AT 1% FOR THE PRESENT ASSESSMENT YEAR. 5. ON THE OTHER HAND, LD D.R. VEHEMENTLY OPPOSED THE SUBMISSION OF LD A.R. AND SUBMITTED THAT THE ASS ESSE FAILED TO AVAIL THE OPPORTUNITY PROVIDED BY THE ASSESSING OFFICER AND THE CIT(A) AND DID NOT FILE BOOKS OF ACCOUNT AND DOCUMENTS ASKED FOR BASED ON WHICH, THE TAX AUDIT REPORT WAS MADE. HENCE, THE ESTIMATION OF INCOME BY THE ASSESSING OFFICER AT 3% OF THE GROSS RECEIPTS WAS QUITE REASONABLE. 6. AFTER CONSIDERING THE RIVAL SUBMISSIONS AND PERUSING THE MATERIALS ON RECORD, I AM OF THE CONSIDERED VIEW THAT IT IS NOT IN DISPUTE THAT THE INCOME OF THE ASSESSE HAS BEEN ASSESSED AT 1% OF THE GROSS RECEIPTS AS SHOWN BY THE ASSESSE. THE ASSESSING OFFICER HAS ASSESSED THE INCOME BY APPLYING THE RATE OF 3%. IN THE LIGHT OF THE ABOVE, I AM OF THE CONSIDERED VIEW THAT IT WOULD MEET THE ENDS OF JUSTICE, IF THE INCOME OF THE ASSESSE IS ESTIMATED @ 2%. ITA NO192 / RAN/ 2017 ASSESSMENT YEAR : 11 - 12 P A G E 3 | 3 ACCORDINGLY, I MODIFY THE ORDER OF THE CIT(A) AND PARTLY A LLOW THE APPEAL OF THE ASSESSE. 7. IN THE RESULT, APPEAL OF THE ASSESSEE IS PARTLY ALLOWED ORDER PRONOUNCED ON 20 / 11 /2018. SD/ - ( N.S SAINI) A CCOUNTANT MEMBER RANCHI ; DATED 20 / 11 /2018 B.K.PARIDA, SPS COPY OF THE ORDER FORWARDED TO : BY ORDER SR. PVT. SECRETARY, ITAT, RANCHI ON TOUR 1. THE APPELLANT: M/S. SOFTECH AGENCY, HA - 14, CITY CENTRE, SECTOR - 4, BOKARO STEEL CITY. 2. THE RESPONDENT. ITO, WARD 3(4), BOKARO, BOKARO STEEL CITY 3. THE CIT(A) - HAZARIBAG 4. PR.CIT - HAZARIBATG 5. DR, ITAT, RANCHI 6. GUARD FILE. //TRUE COPY//