Shri Atulkumar Laxmichand Shah, Sabarkantha V. The Income Tax Officer, S.K.Ward-1, Himatnagar

ITA 236/AHD/2016

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 1489 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-05-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 05-04-2016
• Assessment Year: 2012-2013
• Appeal Filed On: 01-02-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: DHIRAJ S PATEL
• Keywords: Unexplained cash credit; Additional evidence
• Section: 143(3); 68

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD B BENCH BEFORE: S H RI PRAMOD KUMAR , ACCOUNTANT MEMBER AND SHR I S. S. GODARA , JUDICIAL MEMBER ATULKUMAR LAXMICHAND SHAH, 5, KRUSHANA KUNJ SOCIETY, COLLEGE ROAD, TALOD, DIST: SABARKANTHA - 383215 PAN: ADAPS7147K (APPELLANT) VS THE ITO, S.K. WARD - 1, HIMMATNAGAR (RESPONDENT) REVENUE BY : S H RI R.K. GUPTA , SR. D . R. ASSESSEE BY: S H RI DHIRAJ S. PATEL , A.R. DATE OF HEARING : 05 - 04 - 2 016 DATE OF PRONOUNCEMENT : 31 - 05 - 2 016 / ORDER P ER : S. S. GODARA , JUDICIAL MEMB ER : - THIS ASSESSEE S APPEAL FOR A.Y. 2012 - 13 , AR IS ES FROM ORDER OF THE CIT(A) - 2, AHMEDABAD DATED 28 - 10 - 2015 IN APPEAL NO. CIT(A) - 2/262 / SK WD. 1, HMT/2014 - 15 , CONFIRMING SECTION 68 UNEXPLAINED CASH CREDIT ADDITIONS OF RS. 3,11,000/ - , IN PROCEEDINGS UNDE R SECTION 143(3) OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT . I T A NO . 236 / A HD/20 16 A SSESSMENT YEAR 2012 - 13 I.T.A NO. 236 /AHD/20 16 A.Y. 2012 - 13 PAGE NO ATULKUMAR LAXMICHAND SHAH VS. ITO 2 2. WE NOTICE AT THE OUTSET THAT THE ASSESSEE HAS FILED THE INSTANT APPEAL AFTER DELAY OF 31 DAYS IN FILLING. HE PLACES ON RECORD HIS CONDONATION AFFIDAVIT DATED 01 - 02 - 2016 ATTRIBUTING THE SAME TO HEALTH ISSUES AND LACK OF COMMUNICATION OF THE LOWER APPELLATE ORDER. THE REVENUE FAILS TO CONTROVERT THESE SOLEMN AVERMENTS. WE CONDONE THE IMPUGNED DELAY OF 31 DAYS IN FILING OF THIS APPEAL. THE SAME IS TAKEN UP FOR ADJUDICATION ON MERITS. 3. FACTS INVOLVED IN THE INSTANT CASE ARE VERY BRIEF. THE ASSESSEE CLAIMED IN SCRUTINY TO HAVE BORROWED A SUM OF RS. 21.21 LACS INCLUDING 18.10 LACS FROM SHRI SATISH K. SHAH AND RS. 3.11 LACS FROM 15 CREDITORS IN VARIOUS DENOMINATIONS INVOLVING LESS THAN RS . 2 0,000/ - IN EACH CASE. HE FILED ALL DETAILS OF SHRI SATISH K. SHAH. THE ASSESSING OFFICER ACCEPTED THE SAME. THE ISSUE NOW COMES TO THE REMAINING SUM OF RS. 3.11 LACS. THE ASSESSEE GAVE COPY OF THE ACCOUNT. THE ASSESSING OFFICER CONCLUDED IN ASSE SSM ENT ORDER DATED 21 - 10 - 2014 TH AT ALL THE THREE CONDITIONS , OF IDENTITY, GENUINENESS AND CREDIT WORT HINESS REMAINED UNSATISFIED. TH IS MADE HIM TO ADD THE IMPUGNED SUM UNEXPLAIN ED CASH CREDIT U/S. 68 OF THE ACT. 4. THE ASSESSEE PREFERRED APPEAL. HE FILED ADDITIONAL SUBMISSIONS IN THE LOWER APPELLATE PROCEEDINGS. THE CIT(A) FORWARDED THE SAME TO THE ASSESSING OFFICER. HE FILED HIS REMAND REPORT DATED 16 - 07 - 2015 FORMING PAGES 38 TO 40 OF THE PAPER BOOK I.T.A NO. 236 /AHD/20 16 A.Y. 2012 - 13 PAGE NO ATULKUMAR LAXMICHAND SHAH VS. ITO 3 BEFORE US. HE MADE IT CLEAR IN PARA 3.2 THAT THE ASS ESSEE PRODUCED ID PROOF OF HIS DEPOSITORS AND THE SAME STOOD VERIFIED. HE SUPPORTED ASSESSEE S CASE. IT TRANSPIRES THAT THE CIT(A) HAS THEREAFTER REJECTED A S SES S EE S ADDITIONAL EVIDENCE BY HOLDING THAT RULE 46A CONDITIONS ARE NOT FULFILLED. 5. WE HAV E HEAR D BOTH THE PARTIES . SUFFICE TO SAY, THE ASSESSING OFFICER S REMAND REPORT HAS ALREADY SUPPORTED ASSESSEE S CASE THAT HE HAS VERIFIED THE CREDITORS IN QUESTION. WE ARE OF THE OPINION THAT THE LEAR NE D CIT(A) ADOPTED A HYPER - TECHNICAL APPROACH IN NOT CONSIDERING THE SAME ON TECHNICAL GROUNDS. WE OBSERVE THAT THE ASSESSEE HAD ALREADY PROVED THE REASONS FOR HIS FAILURE IN FILING ALL NECESSARY DETAILS WHICH MA DE THE ASSESSING OFFICER TO CONCL UDE IN HIS FAVOUR ON MERITS. WE ACCEPT ASSESSEE S ARGUMENTS IN THESE FACTS AND CIRCUMSTANCES. THE IMPUGNED ADDITION OF UNEXPLAINED CASH CREDIT AMOUNTING TO RS. 3,11,000/ - IS DELETED. 6. THIS ASSESSEE S APPEAL IS ALLOWED. ORDER PR ONOUNCED IN THE OPEN C OURT ON 31 - 05 - 201 6 SD/ - SD/ - ( PRAMOD KUMAR ) ( S. S. GODARA ) ACCOUNTANT MEMBER JUDICIAL MEMBER AHMEDABAD : DATED 31 /05 /2016 AK / COPY OF ORDER FORWARDED TO: - 1. ASSESSEE I.T.A NO. 236 /AHD/20 16 A.Y. 2012 - 13 PAGE NO ATULKUMAR LAXMICHAND SHAH VS. ITO 4 2. REVENUE 3. CONCERNED CIT 4. CIT (A) 5. DR, ITAT, AHMEDABAD 6 . GUARD FILE. BY ORDER/ , / ,