Virendra Motilal Lodha, Ahmednagar V. Deputy Commissioner of Income-tax,

ITA 2121/PUN/2013

• Counselvise Citation: 212124514 RSA 2013
• Duration Of Justice: 10 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-10-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2007-2008
• Appeal Filed On: 04-12-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P S NAIK
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH B, PUNE BEFORE SHRI G.S. PANNU, ACCOUNTANT MEMBER AND MS. SUSHMA CHOWLA, JUDICIAL MEMBER ITA NO.2121/PN/2013 (ASSESSMENT YEAR: 2007-08) VIRENDRA MOTILAL LODHA MANIKNAGAR, NEAR ANAND RUSHIJI HOSPITAL AHMEDNAGAR. PAN: ABOPL0334M . APPELLANT VS. THE DY. COMMISSIONER OF INCOME TAX AHMEDNAGAR CIRCLE, AHMEDNAGAR. . RESPONDENT APPELLANT BY : NONE RESPONDENT BY : SHRI P.S. NAIK DATE OF HEARING : 20-10-2014 DATE OF PRONOUNCEMENT : 27-10-2014 ORDER PER SUSHMA CHOWLA, JM: THIS APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF CIT (A)- IT/TP, PUNE DATED 06.09.2013 RELATING TO ASSESSMENT YEAR 2007-08 IS AGAINST ORDER PASSED UNDER SECTION 143(3) OF THE INCOME-TAX ACT . 2. THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL: 1. HON. COMMISSIONER (APPEALS) ERRED IN CONFIRMING ADDITI ONS OF RS.1,46,300/- AGRICULTURE INCOME TREATED AS INCOME FROM UNDISCLOSED SOURCE. 2. APPELLANT PRAYS TO ADD, ALTER, AMEND, RATIFY, EXPLAIN, AND/OR WITHDRAW THE GROUND/S AS THE OCCASION MAY DEMAND. 3. DESPITE THE SERVICE OF NOTICE, NONE APPEARED ON BEHALF OF THE ASSESSEE NOR WAS ANY APPLICATION FOR ADJOURNMENT MOVED. LOOKING AT THE SMALLNESS OF THE ISSUE, WE PROCEED TO DECIDE THE PRES ENT APPEAL ITA NO.2121/PN/2013 VIRENDRA MOTILAL LODHA 2 AFTER HEARING THE LEARNED DEPARTMENTAL REPRESENTATIVE FOR THE REVENUE. 4. THE ONLY ISSUE RAISED IN THE PRESENT APPEAL IS IN RELAT ION TO THE ASSESSABILITY OF THE INCOME OF RS.1,46,300/-. THE ASSESSEE HAD CLAIMED THE SAID RECEIPT TO BE AGRICULTURAL INCOME, WHEREAS THE ASSESSING OFFICER AND THE CIT(A) HAVE ASSESSED THE SAME A S INCOME FROM UNDISCLOSED SOURCE. 5. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE H AD AN AGRICULTURAL LAND HOLDING OF 1.40H WHICH AMOUNTS TO 3.5 ACRES . THE ASSESSEE HAD DECLARED THAT IT HAD SOLD AGRICULTURAL PRODU CE FOR RS.1,46,300/- VIDE TWO DIFFERENT BILLS DATED 15.07.2006 AND 23.09.2006. THE FIRST BILL FOR RS.1,43,153/- WAS DATED 15.07.20 06 AND THE SECOND BILL FOR RS.26,550/- DATED 23.09.2006. THE ASSE SSING OFFICER WAS OF THE VIEW THAT THE TWO BILLS WERE NOT TRUE A ND GENUINE AS THE CROP OF GRAM AND JOWAR WERE NOT READY IN THE MONT HS SHOWN TO HAVE BEEN PURCHASED. FURTHER, THE ASSESSEE HAD NOT FU RNISHED ANY DETAILS OF PURCHASE OF SEEDS, LABOUR PAYMENTS, PESTICIDES, FER TILIZERS, ETC. HENCE, AN ADDITION OF RS.1,46,300/- WAS MADE BY ASSE SSING OFFICER. THE CIT(A) UPHELD THE ORDER OF ASSESSING OFFICER. 6. ON THE PERUSAL OF THE RECORD AND THE ORDERS PASSED BY THE AUTHORITIES BELOW, IT IS ESTABLISHED THAT THE ASSESSEE WAS THE OWNER OF 1.40H (3.5 ACRES) OF LAND ON WHICH HE HAD DECLARED TOTAL IN COME OF RS.1,46,300/- ONLY. THE ASSESSEE HAD ALSO PRODUCED THE SALE BILLS OF THE TWO CROPS I.E. GRAM AND JOWAR. THE PLEA OF THE ASSES SEE WAS THAT THE CROPS MENTIONED AS RABI BY THE ASSESSING OFFICER, HOW EVER, JOWAR WAS TO BE TAKEN IN KHARIF SEASON. BEFORE THE CIT(A), THE A SSESSEE ITA NO.2121/PN/2013 VIRENDRA MOTILAL LODHA 3 MENTIONED THAT THE QUANTITY MENTIONED BY THE ASSESSING OFFICER WAS ALSO NOT CORRECT AND THE ADDITION MADE BY THE ASSESSING OFFICER WAS ARBITRARY. IN THE TOTALITY OF THE FACTS AND CIRCUMSTANCE S WHERE THE ASSESSEE HOLDS AGRICULTURAL LAND, THE CLAIM OF AGRICULTURAL INC OME FROM THE SAID LAND CANNOT BE BRUSHED ASIDE IN THE TOTALITY OF THE LAND HOLDING BY THE ASSESSEE BEFORE US. WE FIND NO MERIT IN THE ORDERS OF THE AUTHORITIES BELOW IN HOLDING THAT AGRICULTURAL INCOME TO THE EXTENT OF RS.1,46,300/- CANNOT ARISE FROM THE SAID AGRICULTURAL LAND . WE FIND MERIT IN THE PLEA OF THE ASSESSEE IN THIS REGARD AND DIREC T THE ASSESSING OFFICER TO INCLUDE THE SAID RECEIPT OF RS.1,46,300/- AS AGRICULTURAL INCOME IN THE HANDS OF THE ASSESSEE. THE GRO UNDS OF APPEAL RAISED BY THE ASSESSEE ARE THUS, ALLOWED. 7. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWED. PRONOUNCED IN THE OPEN COURT ON THIS 27 TH DAY OF OCTOBER, 2014. SD/- SD/- (G.S. PANNU) (SUSHMA CHOWLA) ACCOUNTANT MEMBER JUDICIAL MEMBER PUNE, DATED: 27 TH OCTOBER, 2014. GCVSR COPY OF THE ORDER IS FORWARDED TO : - 1) THE ASSESSEE; 2) THE DEPARTMENT; 3) THE CIT(A)-IT/-TP, PUNE; 4) THE CIT-IT/TP, PUNE; 5) THE DR B BENCH, I.T.A.T., PUNE; 6) GUARD FILE. BY ORDER //TRUE COPY// ASSISTANT REGISTRAR I.T.A.T., PUNE