Illen Goud Potagani , Hyderabad V. Income Tax Officer, Ward-7(2) , Hyderabad

ITA 197/Hyd/2020

• Counselvise Citation: [2021] 109 COUNSELVISE.COM (IT) 1557 (ITAT-HYDERABAD)
• Duration Of Justice: 1 year(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-02-2021
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Next Hearing Date: 04-02-2021
• Assessment Year: 2005-2006
• Appeal Filed On: 13-02-2020
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: TOTA SUBRAMANYAM
• Assessee Lawyers: P MURALI MOHAN RAO
• Keywords: Unexplained cash credit
• Section: 251; 113

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES SMC : HYDERABAD (THROUGH VIRTUAL CONFERENCE) BEFORE SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER IT A NO. 197 /H/20 20 ASSESSMENT YEAR: 20 0 5 - 06 ILLEN GOUD POTAGANI, HYDERABAD. P AN AGIPP1597K VS. INCOME - TAX OFFICER, WARD 7(2), HYDERABAD. (APPELLANT) (RESPONDENT) ASSESSEE BY: SHRI P. MURALI MOHAN RAO REVENUE BY: SHRI TOTA SUBRAMANYAM DATE OF HEARING: 0 4 /0 2 /2021 DATE OF PRONOUNCEMENT: 15 /0 2 /2021 O R D E R T H IS ASSESSEE S APPEAL FOR AY 20 0 5 - 06 IS DIRECTED AGAINST THE C I T(A) - 10 , HYDERABAD S ORDER DATED 04 / 0 4 / 20 20 PASSED IN CASE NO. 0276 /CIT(A) 10 / /2015 - 16, CIT(A), HYD - 10/10283/2009 - 10 INVOLVING PROCEEDINGS U/S 1 4 3(3) RWS 147 OF THE INCOME TAX ACT , 1961 ; IN SHORT THE ACT. H EARD BOTH THE PARTIES. CASE F ILE PERUSED. I TA NO. 197 /HYD/ 2020 ILLEN GOUD POTAGANI, HYD. : - 2 - : 2. I NOTICE AT THE OUTSET THAT ASSESSEE S INSTANT APPEAL SUFFERS FROM 587 DAYS DELAY IN FILING. ASSESSEE FILED CONDONATION PETITION ALONG WITH THE AFFIDAVIT A VERRING THEREIN THAT SINCE THE DOCUMENTS RELATING TO THIS APPEAL WERE MISPLACED AND IN TRACING OUT TH E SAME CAUSED THE IMPUGNED DELAY RESULTING IN DELAY IN FILING OF THE INSTANT APPEAL. CASE LAW COLLECTOR LAND ACQUISITION VS MST. KATIJI & ORS, 1987 AIR 1353 (SC) AND UNIVERSITY OF DELHI VS. UNION OF INDIA, CIVIL APPEAL NO. 9488 & 9489/2019 DATED 17 DECEMBER, 2019, HOLD THAT SUCH A DELAY; SUPPORTED BY COGENT REASONS, DESERVES TO BE CONDONED SO AS TO MAKE WAY FOR THE CAUSE OF SUBSTANTIAL JUSTICE. I ACCORDINGLY HOLD THAT ASSESSEES IMPUGNED DELAY OF 587 DAYS IS NEITHER INTENTIONAL NOR DELIBERATE BU T DUE TO THE CIRCUMSTANCES BEYOND HIS CONTROL. CASE IS NOW TAKEN UP FOR ADJUDICATION ON MERITS. 3. THE A SSESSEE HAS PRESSED FOR HIS 7 TH SUBSTANTIVE GROUND ONLY THAT THE CIT(A) HAS ERRED IN LAW AND ON FACTS IN MAKING ENHANCEMENT OF RS. 12,67,000/ - U/S 68 OF THE ACT IN HIS LOWER APPELLATE ORDER. THE CLINCHING FACT THAT EMERGED I TA NO. 197 /HYD/ 2020 ILLEN GOUD POTAGANI, HYD. : - 3 - : DURING THE COURSE OF HEARING THAT THE ASSESSING OFFICERS ASSESSMENT FRAMED ON 28/11/2008 HAD MADE AN ADDITION OF RS. 50,000/ - OF EXCESS OF ASSETS OVER LIABILITIES ONLY. THE SAME SU FFICIENTLY INDICATE S THAT THIS ISSUE OF UNEXPLAINED CASH CREDIT WAS NOWHERE IN THE PICTURE WHICH FORM ED SUBJECT MATTER OF IMPUGNED ENHANCEMENT BY THE CIT(A). CASE LAW SHAPOORJI PALLONJI MISTRY 144 ITR 891, SARDARI LAL & C O 251 ITR 864 AND MYLAN LABORATORIE S LTD. 113 TAXMANN.COM 6 HOLD THAT CIT(A)S ENHANCEMENT JURISDICTION PERTAINS TO ONLY THOSE ISSUES OF ADDITION S IN ASSESSMENT ORDER RATHER TH A N HAVING ANY OTHER INDEPENDENT ASPECT OF THE MATTER. I THEREFORE DIRECT THE AO TO DELETE THE IMPUGNED ADDITION FOR THIS PREC ISE REASON ALONE. THE A SSESSEE SUCCEEDS IN HIS 7 TH SUBSTANTIVE GROUND. NO OTHER GROUND HAS BEEN PRESSED BEFORE ME DURING THE COURSE OF HEARING. I TA NO. 197 /HYD/ 2020 ILLEN GOUD POTAGANI, HYD. : - 4 - : 4 . THIS ASSESSEES APPEAL IS PARTLY ALLOWED IN ABOVE TERMS . PRONOUNCED IN THE OPEN COURT ON 15 TH FEBRUARY , 2021 . SD/ - ( S.S. GODARA ) JUDICIAL MEMBER HYDE RABAD, DATED : 15 TH FEBRUARY , 20 2 1 . K V C OPY TO : 1 P. ILLEN GOUD , C/O P. MURALI & CO., CAS, 6 - 3 - 655/2/3, 1 ST FLOOR, SOMAJIGUDA, HYDERABAD 82 2 IT O , WARD 7 ( 2 ), HYDERABAD. 3 C I T(A) 10 , HYDERABAD. 4 PR. CIT 3 , HYDERABAD 5 ITAT, DR, HYDERABAD. 6 GUARD FILE.