Neelam Pradeep Goel, Pune V. Income-tax Officer,

ITA 2337/PUN/2016

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 9185 (ITAT-PUNE)
• Duration Of Justice: 1 year(s) 5 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-03-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2012-2013
• Appeal Filed On: 07-10-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: RAJEEV THAKKAR
• Keywords: Additional evidence
• Section: 143(3)

Judgement Text

- IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH SMC , PUNE , , BEFORE MS. SUSHMA CHOWLA, JM AND SHRI ANIL CHATURVEDI , AM . / ITA NO. 2 3 3 7 /P U N/201 6 / ASSESSMENT YEAR : 20 1 2 - 1 3 NEELAM PRADEEP GOEL, MZSK & ASSOCIATES, LEVEL 3, BUSINESS BAY, PLOT NO.84, WELLESELY ROAD, PUNE 411001 . / APPELLANT PAN: A EIPG0680A VS. THE INCOME TAX OFFICER, WARD 2 (3), AURANGABAD . / RESPONDENT / APPELLANT BY : SHRI RAJEEV THAKKAR / RESPONDENT BY : S HRI AJAY MODI / DATE OF HEARING : 2 2 . 0 2 .201 8 / D ATE OF PRONOUNCEMENT: 07 . 0 3 .201 8 / ORDER PER SUSHMA CHOWLA, J M : TH E APPEAL FILED BY THE ASSESSEE IS AGAINST THE ORDER OF CIT (A) - 2 , AURANGABAD , DATED 1 8 . 0 8 .20 1 6 RELATING TO ASSESSMENT YEAR 20 1 2 - 1 3 AGAINST ORDER PASSED UNDER SECTION 143(3) OF THE INCOME - TAX ACT , 1961 (IN SHORT THE ACT) . ITA NO. 2 3 3 7 /P U N/20 1 6 NEELAM PRADEEP GOEL 2 2. THE ASSESSEE HAS RAISED THE FOLLOWING GROUND S OF APPEAL: - 1. THE LEARNED TAXING AUTHORITIES BELOW HAD ERRED IN DISALLOWING CLAIM OF RS.493000/ - TOWARDS COMMISSION PAID. CONSIDERING THE FACTS OF THE CASE AN D PROVISIONS OF LAW, THE COMMISSION MAY BE ALLOWED IN FULL. JUST AND PROPER RELIEF MAY BE GRANTED TO THE APPELLANT AS PER THE PROVISIONS OF LAW. 2. THE LEARNED TAXING AUTHORITIES BELOW HAD ERRED IN DISALLOWING RS.63400/ - OUT OF SALARY PAID ON ESTIMATED B ASIS. CONSIDERING THE FACTS OF THE CASE AND PROVISIONS OF LAW, THE SALARY MAY BE ALLOWED IN FULL. JUST AND PROPER RELIEF MAY BE GRANTED TO THE APPELLANT AS PER THE PROVISIONS OF LAW. 3. BRIEFLY, IN THE FACTS OF THE CASE, THE ASSESSEE FOR THE YEAR UNDER CONSIDERATION HAD DECLARED TOTAL INCOME OF 7,45,010/ - . THE ASSESSEE WAS ENGAGED IN THE BUSINESS OF TRADING OF POLYFILMS AND ALLIED ITEMS REQUIRED FOR INDUSTRIAL PURPOSE. FOR THE YEAR UNDER CONSIDERATION, THE ASSESSEE HAD CLAIMED EXPENSES UNDER THE HEAD COMMISSION AT 9,10,516/ - . OUT OF THIS , COMMISSION OF 3,22,004/ - WAS PAID TO HER SON , TO HER HUSBAND OF 3,22,004/ - , 86,000/ - TO MRS. PALLAVI AND 85,000/ - TO RAVINA PRABAL AGRAWAL. THE ASSESSEE WAS ASKED AS TO WHAT TYPE OF SERVICES WERE RENDERED BY THEM. THE ASSESSEE EXPLAINED THAT H USBAND WAS LOOKING AFTER SALE/PURCHASE/ FINANCIAL MATTERS AND HER SON MR. APPORV GOEL, WHO WAS BE IN COMPUTER SCIENCE WAS HELPING IN MANAGEMENT, PRODUCTION, DISPATCH, ETC. BOTH PALLAVI AGRAWAL AND RAVINA AGRAWAL WERE MUMBAI BASED PERSONS AND PROVIDED CONS ULTANCY SERVICES. HOWEVER, THE ASSESSEE COULD NOT EXPLAIN THE TYPE OF CONSULTANCY SERVICES GIVEN BY THEM. THE ASSESSING OFFICER ALSO NOTED THAT HUSBAND MR. PRADEEP GOEL WAS EMPLOYEE OF YASHODA POLYFILMS PVT. LTD. AND MR. APPORV HAD JUST PASSED OUT AS ENG INEER GRADUATE AND ALSO RECEIVED SALARY FROM YASHODA POLYFILMS PVT. LTD. THE ASSESSING OFFICER DOUBTED THE COMMISSION PAID TO HIM IN THE ABSENCE OF ANY DOCUMENTARY EVIDENCE FILED IN SUPPORT OF EXPENSES CLAIMED . THE COMMISSION PAID TO PALLAVI AGRAWAL AND RAVINDA AGRAWAL WERE ALSO NOT ALLOWED BY THE ASSESSING OFFICER. HOWEVER, ITA NO. 2 3 3 7 /P U N/20 1 6 NEELAM PRADEEP GOEL 3 COMMISSION PAID TO MR. PADEEP GOEL WAS ALLOWED. THE ASSESSING OFFICER THUS, MADE ADDITION OF 4,93,000/ - . THE SAID ADDITION WAS UPHELD BY THE CIT(A), AGAINST WHICH THE ASSESSEE IS IN APPEAL BEFORE THE TRIBUNAL. 4. THE LEARNED AUTHORIZED REPRESENTATIVE FOR THE ASSESSEE POINTED OUT THAT THE ASSESSEE HAS SUFFICIENT EVIDENCES AVAILABLE WITH HER JUST IFYING THE PAYMENT OF COMMISSION TO THE RESPECTIVE PARTIES WHICH ARE BEING FILED AS ADDITIONAL EVIDENCE. ATTENTION WAS DRAWN TO THE ADDITIONAL EVIDENCE FILED AT PAGES 1 TO 81 OF THE PAPER BOOK AND IT WAS POINTED OUT THAT THE SAME MAY BE ADMITTED FOR ADJUD ICATION. 5. THE LEARNED DEPARTMENTAL REPRESENTATIVE FOR THE REVENUE STRONGLY OBJECTED TO THE SAME. 6. ON PERUSAL OF RECORD AND AFTER HEARING BOTH THE LEARNED AUTHORIZED REPRESENTATIVES AND I N THE INTEREST OF JUSTICE, THERE IS MERIT IN THE PLEA OF ASS ESSEE THAT THE EVIDENCES WHICH ARE AVAILABLE WITH THE ASSESSEE JUSTIFYING THE PAYMENT OF COMMISSION T O DIFFERENT PARTIES, BE ADMITTED AND THE SAME MAY BE VERIFIED AT THE LEVEL OF ASSESSING OFFICER. THE ASSESSEE IS DIRECTED TO JUSTIFY HER CLAIM OF EXPENSES BY WAY OF NECESSARY EVIDENCES IN THIS REGARD AND IN CASE THE SAME IS SO ESTABLISHED, THE ASSESSING OFFICER SHALL DECIDE THE ISSUE OF ALLOWABILITY OF EXPENDITURE AFTER AFFORDING REASONABLE OPPORTUNITY OF HEARING TO THE ASSESSEE AND AFTER ADMITTING ADDITIONAL EVIDENCE AND IN ACCORDANCE WITH LAW. 7. SIMILARLY, IN RESPECT OF SECOND ADDITION I.E. DISALLOWANCE OF SALARY EXPENSES ON ESTIMATE BASIS, THE ASSESSING OFFICER IS DIRECTED TO VERIFY THE PLEA ITA NO. 2 3 3 7 /P U N/20 1 6 NEELAM PRADEEP GOEL 4 OF ASSESSEE IN THIS REGARD AND A LSO GO THROUGH THE ADDITIONAL EVIDENCES WITH THE ASSESSEE. THE ASSESSEE IS DIRECTED TO COOPERATE AND APPEAR BEFORE THE ASSESSING OFFICER AND FURNISH NECESSARY EVIDENCES. THE ASSESSING OFFICER IS DIRECTED TO ALLOW REASONABLE OPPORTUNITY OF HEARING TO THE ASSESSEE AND COMPUTE THE INCOME IN THE HANDS OF ASSESSEE IN ACCORDANCE WITH LAW. THE GROUNDS OF APPEAL RAISED BY THE ASSESSEE ARE THUS, ALLOWED FOR STATISTICAL PURPOSES. 8 . IN THE RESULT, APPEAL OF ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRO NOUNCED ON THIS 7 TH DAY OF MARCH , 201 8 . SD/ - SD/ - ( ANIL CHATURVEDI ) (SUSHMA CHOWLA ) / ACCOUNTANT MEMBER / JUDICIAL MEMBER / PUNE ; DATED : 7 TH MARCH , 201 8 . GCVSR / COPY OF THE ORDER IS FORWARDED TO : 1. / THE AP PELLANT ; 2. / THE RESPONDENT; 3. ( ) / THE CIT(A) - 2 , AURANGABAD ; 4. THE PR. CIT - 2 , AURANGABAD ; 5. 6. , , , - / DR SMC , ITAT, PUNE; / GUARD FILE . / BY ORDER , // TRUE COPY // / SR. PRIVATE SECRETARY , / ITAT, PUNE