M/s Gupteshwaram Rice Mill Pvt Ltd, Kaimur V. DCIT, Circle-3, Gaya

ITA 199/PAT/2018

• Counselvise Citation: [2020] 110 COUNSELVISE.COM (IT) 6422 (ITAT-PATNA)
• Duration Of Justice: 2 year(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-09-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2003-2004
• Appeal Filed On: 17-08-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Assessee Lawyers: K N PRASAD
• Section: 143(3); 22; 68

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PATNA, VIRTUAL COURT, AT KOLKATA BEFORE SHRI S.S.GODARA, JM &DR. A.L.SAINI, AM ./ITA NO.199/PAT/2018 ( / ASSESSMENT YEAR:2003-04) GUPTESHWARAM RICE MILL PVT. LTD. BHABHUA, KAIMUR VS. DCIT, CIRCLE-3, GAYA ./ ./PAN/GIR NO.: AACCG 0515 H (APPELLANT) .. (RESPONDENT) APPELLANT BY : SHRI K.N. PRASAD, ADVOCATE RESPONDENT BY :SHRI AJAY KUMAR, ADDL. CIT, SR. D.R / DATE OF HEARING : 15/09/2020 /DATE OF PRONOUNCEMENT : 15/09/2020 / O R D E R PER SHRI S. S. GODARA, JM: THE ASSESSEES APPEAL FOR ASSESSMENT YEAR 2003- 04, ARISES AGAINST THE LEARNED CIT(APPEALS)-1, PATNAS ORDER DATED 14.06. 2018, PASSED IN CASE NO. 238/CIT(A)-1/2006-07 INVOLVING PROCEEDINGS U/S 143(3) OF THE INCOME TAX ACT, 1961 ( IN SHORT THE ACT). HEARD BOTH THE PARTIES. CASE FILE PERUSED. 2. COMING TO THE FORMER ISSUE OF SECTION 68 UN EXPLAINED UNSECURED LOAN ADDITION OF RS. 4,69,886/- MADE IN BOTH THE LEARNED LOWER AUTHORITIES RESPECTIVE ORDERS THAT THIS TAXPAYER HAD FAILED TO PROVE IDENT ITY, GENUINENESS AND CREDITWORTHINESS OF THE CREDIT PARTIES, WE FIND NO MERIT TO SUSTAIN THE SAME SINCE THE SAME HAS COME FROM THE ASSESSEES FOUR DIRECTOR S NAMELY AVINASH TIWARY, SHASHI NATH TIWARY, SMT. SAVITRI DEVI, SMT. SHARDA DEVI INVOLVING SUM OF RS. 2.25,000/-, RS. 94,602/-, RS. 58,148/- AND RS. 92,1 36/-; RESPECTIVELY. MR. AJAY KUMAR HAS DRAWN STRONG SUPPORT FROM THE IMPUGNED AD DITION THAT THE ASSESSEE HAD I.T.A NO.199/PAT/2018 M/S GUPTESHWARAM RICE MILL PVT. LTD. A.Y.: 2003-04 P PP PA AA AG GG GE EE E | || | 2 22 2 FAILED TO SATISFY THE ABOVESTATED THREE BASIC PARAM ETERS IN A CASE INVOLVING UNSECURED LOANS. HE FAILS TO DISPUTE THAT THERE IS NO INDICATION AS EITHER OF THE LOWER AUTHORITIES ORDER AS TO WHETHER THEY HAD C ALLED THE ASSESSEES DIRECTOR OR NOT WHILST EXAMINING THE IMPUGNED ISSUE. WE THEREFO RE, DELETE THE IMPUGNED ADDITION ON THIS COUNT ALONE. 3. COMING TO THE LATTER ISSUE OF DISALLOWANCE OF LO ANS AMOUNTING TO RS. 2,41,676/-, WE FIND THAT THE SAME DOES NOT EMANATE FROM THE ASSESSMENT ORDER DATED 22.02.2006. BE THAT AS IT MAY, IT SHALL BE OP EN TO THE ASSESSEE TO TAKE RECOURSE TO NECESSARY RECTIFICATION IN CASE IT IS FOUND THAT THE IMPUGNED LOSS HAD BEEN DISALLOWED DURING THE COURSE OF ASSESSMENT. WE REJECT THE INSTANT LATTER GRIEVANCE IN ABOVE TERMS. 4. THIS ASSESSEES APPEAL IS PARTLY ALLOWED IN AB OVE TERMS. ORDER PRONOUNCED IN THE COURT ON 15.09.2020 SD/- (A. L. SAINI) SD/- (S.S.GODARA) / ACCOUNTANT MEMBER / JUDICIAL MEMBER /KOLKATA; / DATE: 15/09/2020 SB, SR.PS COPY OF THE ORDER FORWARDED TO: 1. M/S GUPTESHWARAM RICE MILL PVT. LTD. 2. DCIT, CIRCLE-3, GAYA 3. C.I.T(A)- 4. C.I.T.- PATNA 5. CIT(DR), PATNA BENCH, PATNA . 6. GUARD FILE. TRUE COPY BY ORDER SENIOR PRIVATE SECRETARY ITAT, KOLKATA BENCHES