M/s Samiah International Builders Pvt. Ltd., New Delhi V. Addll. CIT, New Delhi

ITA 2110/DEL/2009

• Counselvise Citation: [2009] 115 COUNSELVISE.COM (IT) 0961 (ITAT-DELHI)
• Duration Of Justice: 4 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-10-2009
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: F
• Next Hearing Date: 07-10-2009
• Assessment Year: 2006-2007
• Appeal Filed On: 19-05-2009
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: P C GUPTA
• Section: 133A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH F NEW DELHI BEFORE SHRI G.E. VEERABHADRAPPA : VICE PRESIDENT AN D SHRI C.L. SETHI : JUDICIAL MEMBER ITA NO. 2110/DEL/09 ASSTT. YR: 2006-07 M/S SAMIAH INTERNATIONAL BUILDERS VS. ADDL. CIT, R ANGE-7, PVT. LTD. B-98, PLOT NO. 22, ABUL NEW DELHI. FAZAL APARTS, VASUNDHRA ENCLAVE, NEW DELHI. PAN/ GIR NO. AAHCS5326F AND ITA NO. 2259/DEL/09 ASSTT. YR: 2006-07 ADDL. CIT, RANGE-7, VS. M/S SAMIAH INTERNATIONAL B UILDERS NEW DELHI PVT. LTD. B-98, PLOT NO. 22, ABUL FAZAL APARTS, VASUNDHRA ENCLAVE, NEW DELHI. ( APPELLANT ) ( RESPONDENT ) ASSESSEE BY : SHRI ANIL JAIN ADV. REVENUE BY : SHRI P.C. GUPTA DR O R D E R PER G.E. VEERABHADRAPPA, V.P : THESE ARE CROSS APPEALS, ARISING OUT OF THE ORDER D ATED 20-3-2009 OF THE CIT(APPEALS) FOR A.Y. 2006-07. ITA 2110 & 2259/DEL/09 M/S SAMIAH INTERNATIONAL BUILDERS 2 ITA NO. 2110/DEL/09 ( ASSESSEES APPEAL) : 2. THE ONLY EFFECTIVE GROUND IN ASSESSEES APPEAL RELATES TO AN ADDITION OF RS. 10 LAKHS ON THE BASIS OF SEIZED ANNEXURE TA- 5/2. THE ASSESSEE IS A COMPANY, ENGAGED IN THE BUSINESS OF CONSTRUCTION OF RESIDENTIAL AND COMMERCIAL COMPLEXES AS A CONTRACTOR AND IS ALSO DO ING BUSINESS IN THE REAL ESTATE. A SURVEY U/S 133A OF THE INCOME-TAX ACT, 19 61, WAS CARRIED OUT IN THE ASSESSEES GROUP PREMISES ON 15-1-2008 BY THE INVESTIGATION WING, DELHI. ON THE BASIS OF IMPOUNDED MATERIAL, INVOLVIN G DIFFERENT YEARS, THE ASSESSING OFFICER MADE VARIOUS ADDITIONS. ANNEXURE TA-5/2 IS A DOCUMENT CONTAINING DETAILS OF RECEIPT OF RS. 10 LAKH IN CAS H BY THE ASSESSEE ON 25-12- 2005 AND IT IS INCLUDED IN THE PAYMENT OF RS. 50 LA KH ON 29-12-2005. IT IS A PART OF THE SURRENDER OF RS. 6.29 CRORES WHICH WAS MADE BY THE ASSESSEE AT THE TIME OF SURVEY. 3. WE HAVE HEARD BOTH SIDES AND FIND THAT THE SUM O F RS. 10 LAKH IS A PART OF THE SAME PROJECT WHICH RESULTED IN THE SURRENDER OF RS. 6.29 CRORES MADE BY THE ASSESSEE. WE, THEREFORE, ACCEPT THE CONTENTI ON OF THE ASSESSEE AND DELETE THE ADDITION. ITA NO. 2259/DEL/09 ( REVENUES APPEAL): 4. IN THE REVENUES APPEAL, THE ONLY DISPUTE RELATE S TO THE ADDITION OF RS. 21,38,853/- BASED ON SEIZED MATERIAL, REFERRED TO A S ANNEXURE TA-9/18. A ITA 2110 & 2259/DEL/09 M/S SAMIAH INTERNATIONAL BUILDERS 3 COPY OF ANNEXURE TA-9/18 IS PLACED AT PAGE 3 OF THE ASSESSEES PAPER BOOK. WE HAVE SEEN NOTINGS ON THIS PAPER AND FIND THAT THESE ARE ONLY CERTAIN JOTTINGS. NEITHER THE DOCUMENT NOR THE REVENUE HAS ANY INDICATION TO SAY WHETHER THIS IS A RECEIPT OR A PAYMENT. THE LEARNED CIT(A), IN OUR VIEW, WAS CORRECT IN CONCLUDING THAT THE DOCUMENT IN THE FORM OF LOOSE PAPER IS A DUMB DOCUMENT. THE LEARNED CIT(A) HAS CORRECTLY AP PLIED THE RATIO OF DECISION OF JURISDICTIONAL HIGH COURT IN THE CASE O F CIT VS. D.K. GUPTA (2009) 308 ITR 230 (DEL.), THAT IN THE ABSENCE OF A NY CORROBORATIVE OR DIRECT EVIDENCE TO PRESUME THAT NOTINGS OR JOTTINGS ON S UCH PAPER HAD MATERIALIZED INTO TRANSACTIONS GIVING RISE TO INCOME, CANNOT BE SUBJECT MATTER OF AN ADDITION. WE, THEREFORE, DO NOT FIND ANY INFIRMITY IN THE ORDER OF CIT(A). 5. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED AND THE APPEAL FILED BY THE REVENUE IS DISMISSED. ORDER PRONOUNCED IN OPEN COURT ON 9 TH OCTOBER 2009. SD/- SD/- ( C.L. SETHI ) ( G.E. VEERABHADRAPPA ) JUDICIAL MEMBER VICE PRESIDENT DATED: 9 TH OCT. 2009. MP COPY TO : 1. ASSESSEE 2. AO 3. CIT 4. CIT(A) 5. DR