Sri Sujit Kumar Das, Howrah V. ITO, Ward-54(2), Kolkata, Kolkata

ITA 1921/KOL/2014

• Counselvise Citation: 192123514 RSA 2014
• Duration Of Justice: 1 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-11-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2006-2007
• Appeal Filed On: 15-10-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: NILRATAN DUTTA F

Judgement Text

I.T.A. NO . 1 9 21 / KOL ./201 4 ASSESSMENT YEAR: 200 6 - 20 0 7 PAGE 1 OF 3 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA SMC BENCH, KOLKATA BEFORE SHRI GEORGE MATHAN , JUDICIAL MEMBER I.T.A. NO. 1921 / KOL / 20 1 4 ASSESSMENT YEAR : 200 6 - 20 0 7 SHRI SUJIT KUMAR DAS,...... . ..... ............. ......... .... ............. .. .APP ELL ANT 100/4/A - 30, RABINDRA SARANI, BHATTA NAGAR, HOWRAH - 711 203 [PAN : A CSPD 1297 Q] ] - VS. - INCOME TAX OFFICER , ........................... ................... ... . RESPONDENT WARD - 5 4 ( 2 ), KOLKATA , 3, GOVT. PLACE (WEST), ROOM NO. 1/27, KOLKATA - 700 001 APP EARANCES BY: SHRI NILRATAN DUTTA , F.C.A , FOR THE ASSESSEE S MT. RANU BISWAS , J CIT, SR. D.R., FOR THE DEPARTMENT DATE OF CONCLUDING THE HEARING : NOVEMBER 2 8 , 2 01 4 DATE OF PRONOUNCING THE ORDER : NOVEMBER 28 , 201 4 O R D E R PER GEORGE MATHAN : THIS IS AN APPEAL FILED BY THE ASSESSE E AGAINST THE ORDER OF LD. COMMISSIONER OF INCOME TAX (APPEALS) - XX XVI , KOLKATA IN APPEAL NO. 3 69 / CIT(A) - XX XVI / KOL/ 37/ WD - 5 4 (2) /0 8 - 0 9/392 DATED 31 . 0 7 .201 4 FOR THE ASSESSMENT YEAR 200 6 - 0 7 . 2. SHRI NILRATAN DUTTA , F.C.A. , REPR ESENTED ON BEHALF OF THE ASSESSEE AND SMT. RANU BISWAS, JCIT, SR. D.R. REPRESENTED ON BEHALF OF THE REVENUE. 3. IT WAS SUBMITTED BY THE LD. A.R THAT THE ASSESSEE IS A N INDIVIDUAL. HE IS AN INSURANCE AGENT. IT WAS THE SUBMISSION THAT THE ASSESSEE HAD PAID VARIOUS SALARIES TO EMPLOYEES TO AN EXTENT OF RS.2,19,307/ - BY CHEQUE BUT THE SAME HAD BEEN WRONGLY RECORDED IN THE BOOKS UNDER THE HEAD I.T.A. NO . 1 9 21 / KOL ./201 4 ASSESSMENT YEAR: 200 6 - 20 0 7 PAGE 2 OF 3 BROKERAGE . IT WAS THE SUBMISSION THAT CONSEQUENTLY THE ASSESSING OFFICER DISALLOWED THE ASSESSEE S EXPENDITURE ON TH E GROUND THAT BROKERAGE IS NOT LIABLE TO BE ALLOWED. IT WAS THE FURTHER SUBMISSION THAT IN SOME CASES, AMOUNTS HAD ALSO BEEN PAID TO SOME OF THE POLICY - HOLDERS WHO ASSISTED THE ASSESSEE TO GET OTHER POLICIES. IT WAS THE SUBMISSION THAT ALL THE EXPENSES ARE GENUINE AND ARE PAID BY CHEQUE AND WAS EXPENDED WHOLLY AND EXCLUSIVELY FOR THE PURPOSE OF BUSINESS OF THE ASSESSEE. IT WAS THE SUBMISSION THAT THE EXPENDITURE WAS LIABLE TO BE ALLOWED. 4. IN REPLY, LD. SR. D.R. SUBMITTED THAT ALL THE PERSONS WHO HAD BEEN PAID THE MONEY HAD NOT APPEARED ALSO. THERE WAS BREACH OF THE PROVISIONS OF THE INSURANCE ACT IN SO FAR AS THE REMUNERATION CANNOT BE DIRECTLY OR INDIRECTLY PAID TO THE POLICY - HOLDERS. SHE VEHEMENTLY SUPPORTED THE ORDER OF THE ASSESSING OFFICER AND LD. CI T(APPEALS). 5. I HAVE CONSIDERED THE RIVAL SUBMISSIONS. ADMITTEDLY THE ASSESSEE HAS PAID ALL THE REMUNERATIONS BY CHEQUE. TWO OF THE PERSONS HAVE ALSO ADMITTED TO HAVE RECEIVED REMUNERATION. THIS CLEARLY SHOWS THAT THE ASSESSEE HAS PAID THE REMUNERATION. WHETHER THERE IS A VIOLATION OF THE INSURANCE ACT OR NOT IS FOR INSURANCE AUTHORITIES TO VERIFY . J UST BECAUSE ANY PAYMENT IS MADE TO POLICY - HOLDER, IT WOULD NOT MEAN THAT THERE IS A VIOLATION OF THE INSURANCE ACT. SUCH REMUNERATION COULD HAVE BEEN PAID FOR ASSISTING THE ASSESSEE TO GET OTHER BUSINESS ALSO. IN THESE CIRCUMSTANCES, I AM OF THE VIEW THAT THE EXPENDITURE CLAIMED BY THE ASSESSEE IS ALLOWABLE AND CONSEQUENTLY DIRECT THE ASSESSING OFFICER TO DELETE THE ADDITION AS MADE BY HIM ON THIS COUNT. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 28 TH NOV EMBER , 2014. SD/ - GEORGE MATHAN ( JUDICIAL MEMBER) KOLKATA, THE 28 TH D AY OF NOVE MBER , 201 4 I.T.A. NO . 1 9 21 / KOL ./201 4 ASSESSMENT YEAR: 200 6 - 20 0 7 PAGE 3 OF 3 COPIES TO : (1) SHRI SUJIT KUMAR DAS, 100/4/A - 30, RABINDRA SARANI, BHATTA NAGAR, HOWRAH - 711 203 (2) INCOME TAX OFFICER, WARD - 54(2),KOLKATA, 3, GOVT. PLACE (WEST), ROOM NO. 1/27, KOLKATA - 700 001 (3) COMMISSIONER OF INCOME - TAX (APPEALS) (4) COMMISSIONER OF INCOME TAX ( 5 ) THE DEPARTMENTAL REPRESENTATIVE ( 6 ) GUARD FILE BY ORDER ASSISTANT REGISTRAR INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCHES, KOLKATA LAHA /SR. P.S .