Shri Manoj Kumar Singhal, Sriganganagar V. ITO, Ward-3, Sriganganagar

ITA 206/JODH/2018

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 6316 (ITAT-JODHPUR)
• Duration Of Justice: 2 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-07-2018
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2013-2014
• Appeal Filed On: 07-05-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: SHRI A K DAS
• Section: 143(3); 244A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL JODHPUR BENCH (SMC), JODHPUR BEFORE SHRI R.C. SHARMA, ACCOUNTANT MEMBER ITA NO. 206/JODH/2018 (ASSESSMENT YEAR-2013-14 SHRI MANOJ KUMAR SINGHAL, SRIGANGANAGAR VS THE INCOME TAX OFFICER, WARD-3, SRIGANGANAGAR (APPELLANT) (RESPONDENT) PAN: AWJPS8776N ASSESSEE BY SHRI RAJENDRA JAIN (ADV.) REVENUE BY SHRI SHRI A. K. DAS (JCIT) DR DATE OF HEARING 18/07/2018 DATE OF PRONOUNCEMENT 20/07/2018 O R D E R PER: R.C. SHARMA, AM THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF THE CIT(A), BIKANER DATED 24/10/2017 FOR THE A.Y. 2 013-14 IN THE MATTER OF ORDER PASSED U/S 143(3) R.W.S 147 OF THE INCOME- TAX ACT, 1961 [HEREINAFTER REFERRED TO AS THE ACT , FOR SHORT]. THE GROUNDS RAISED BY THE ASSESSEE IN APPEAL ARE RE PRODUCED AS UNDER: 1. THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) GROSSLY ERRED IN SUSTAINING THE DISALLOWANCE OF E XPENSES OF RS. 1,56,000/- OUT OF EXPENDITURE CLAIMED BY THE ASSESSEE. 2 ITA NO. 206/JODH/2018 SHRI MANOJ KUMAR SINGHAL, VS. ITO 2. THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF TH E CASE, THE LD. CIT(A) GROSSLY ERRED IN RESTRICTING EXPENDITURE TO RS. 700 0/- PER MONTH AS AGAINST RS. 20,000/- CLAIMED BY THE ASSESSEE. 3. THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF TH E CASE, THE LD. CIT(A) ERRED IN CHARGING INTEREST U/S 234D, 244A & 220(2). 4. THAT THE PETITIONER MAY KINDLY BE PERMITTED TO R AISE ANY ADDITIONAL OR ALTERNATIVE GROUNDS AT OR BEFORE THE TIME OF HEARIN G. 5. THE PETITIONER PRAYS FOR JUSTICE & RELIEF. 2. IN THIS APPEAL, THE ASSESSEE IS AGGRIEVED FOR DI SALLOWANCE OF EXPENDITURE INCURRED FOR EARNING COMMISSION INCO ME. 3. RIVAL CONTENTIONS HAVE BEEN HEARD AND RECORD PER USED. THE FACTS IN BRIEF ARE THAT THE APPELLANT WAS DERIVING INCOME OF COMMISSION FROM GLOBUS LOGISTIC P. LTD. JAIPUR WHER EFROM HE DECLARED NET INCOME OF RS. 3,66,510/-, HOWEVER IN R ESPECTIVE COLUMN RELATING TO COMMISSION IN THE INCOME TAX RET URN APPELLANT HAD SHOWN NET COMMISSION INCOME OF RS. 3, 65,889/- WHEREAS TOTAL COMMISSION RECEIPTS WERE OF RS. 6,05, 889/-. DURING THE ASSESSMENT PROCEEDINGS APPELLANT EXPLAIN ED TO HAVE SHOWN NET COMMISSION OF RS. 3,65,889/- AFTER EXCLUD ING RS. 2,40,000/- FOR INCIDENTAL NECESSARY EXPENDITURE FRO M GROSS COMMISSION RECEIPTS OF RS. 6,05,889/-. 4. DURING THE COURSE OF ASSESSMENT PROCEEDINGS, TH E 3 ITA NO. 206/JODH/2018 SHRI MANOJ KUMAR SINGHAL, VS. ITO ASSESSING OFFICER ESTIMATED MONTHLY EXPENDITURE OF RS. 5,000/-. ACCORDINGLY, THE TOTAL OF EXPENDITURE OF RS. 60,000 /- WAS ALLOWED. 5. BY THE IMPUGNED ORDER, THE LD CIT(A) ESTIMATED EXPENDITURE AT RS. 7,000/- PER MONTH AND THE BALANC E WAS DISALLOWED. THE ASSESSEE IS IN APPEAL BEFORE ME ACT ION OF THE ORDER OF LD. CIT(A). 6. I HAVE HEARD THE RIVAL CONTENTIONS AND CAREFULLY GONE THROUGH THE ORDERS OF THE AUTHORITIES BELOW. CONSID ERING THE NATURE OF ASSESSEES BUSINESS VIS A VIS NATURE AND QUANTUM OF EXPENDITURE INCURRED FOR EARNING THE SAME. I ESTIMA TE EXPENSES OF RS. 10,000/- PER MONTH. ACCORDINGLY, DISALLOWANC E IS CONFIRMED TO THE EXTENT OF RS. 1,20,000/-. WE DIREC T ACCORDINGLY. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED I N PART. ORDER PRONOUNCED IN THE OPEN COURT ON 20/07/2018. SD/- [R.C. SHARMA] ACCOUNTANT MEMBER DATED : 20/07/2018 4 ITA NO. 206/JODH/2018 SHRI MANOJ KUMAR SINGHAL, VS. ITO *GANESH KR. COPY TO : 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT 4. THE CIT(A) 5. THE DR 6. GUARD FILE (ITA NO. 206/JODH/2018) ASSISTANT REGISTRAR JODHPUR BENCH