Girish Kumar Khatri , Hyderabad V. Income Tax Officer, Ward-5(2), Hyderabad

ITA 2414/Hyd/2018

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 9612 (ITAT-HYDERABAD)
• Duration Of Justice: 1 year(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-01-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB-A
• Next Hearing Date: 01-01-2020
• Assessment Year: 2012-2013
• Appeal Filed On: 31-12-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: K A SAI PRASAD
• Keywords: Gift; Condonation of delay
• Section: 72

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES SMC, HYDERABAD BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER I.T.A. NO. 2414/HYD/2018 ASSESSMENT YEAR: 2012-13 GIRISH KUMAR KHATRI, HYDERABAD [PAN: AGWPK1622Q] VS INCOME TAX OFFICER, WARD-5(2), HYDERABAD (APPELLANT) (RESPONDENT) FOR ASSESSEE : SHRI K.A.SAI PRASAD, AR FOR REVENUE : SHRI SUNKU SRINIVAS, DR DATE OF HEARING : 01-01-2020 DATE OF PRONOUNCEMENT : 08-01-2020 O R D E R THIS APPEAL FILED BY THE ASSESSEE FOR THE AY.2012-13, IS DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCO ME TAX (APPEALS)4, HYDERABAD, DATED 25-01-2018. 2. BRIEF FACTS OF THE CASE ARE THAT, THE ASSESSEE, AN INDIVIDUAL, ENGAGED IN THE BUSINESS OF TRADING OF PLA STIC/PAPER DISPOSABLE ITEMS, FILED HIS RETURN OF INCOME FOR THE AY.2012-13 ON 21-11-2013, DECLARING INCOME OF RS.6,94,700/-. T HE CASE OF ASSESSEE WAS SELECTED FOR SCRUTINY UNDER CASS. 3. DURING THE ASSESSMENT PROCEEDINGS U/S.143(3) OF THE OF THE INCOME TAX ACT [ACT], THE ASSESSING OFFICER (AO) N OTICED THAT THE ASSESSEE, ALONG WITH THREE OF HIS FAMILY MEMBER S, PURCHASED A PROPERTY BEARING MUNICIPAL NO.3-4-512/1 2 (OLD NO.46/4RT) ADMEASURING 413.13 SQ. YARDS SITUATED AT BARKATPURA, HYDERABAD FOR RS.88.79 LAKHS, INCLUDING STAMP DUTY OF RS.7.79 LAKHS. THE ASSESSEES SHARE OF INV ESTMENT IN ITA NO. 2414/HYD/2018 :- 2 -: THIS PROPERTY WAS RS.23,54,310/-. WHEN THE ASSESSEE WAS ASKED TO EXPLAIN THE SOURCE OF ABOVE INVESTMENT, VIDE LETTER DT.25-11-2014, HE HAS FURNISHED A STATEMENT SHOWING GI FTS FROM HIS FAMILY MEMBERS AS SOURCES FOR THE INVESTMENT. IT IS SEEN FROM THE STATEMENT THAT THE ASSESSEE RECEIVED GIFTS F ROM HIS FAMILY MEMBERS. HOWEVER, THE AO WAS NOT CONVINCE D WITH THE CREDITWORTHINESS OF THE CREDITORS TO THE EXTENT OF RS.1 3.00 LAKHS AND ACCORDINGLY, TREATED THE SUM OF RS.13 LAKHS AS UNEXPLAINED GIFTS U/S.68 OF THE ACT AND BROUGHT IT TO TA X. 3.1. AGGRIEVED, THE ASSESSEE PREFERRED AN APPEAL BEF ORE THE CIT(A), WITH A DELAY OF 72 DAYS. SINCE THE ASSESSEE DID NOT FILE ANY APPLICATION FOR CONDONATION OF DELAY BEFORE THE CI T(A), THE CIT(A) DISMISSED THE APPEAL AND THE ASSESSEE IS IN AP PEAL BEFORE THE TRIBUNAL WITH A DELAY OF 261 DAYS. THE AS SESSEE HAS FILED AN APPLICATION FOR CONDONATION OF DELAY, STATING THAT THE DELAY HAS OCCURRED DUE TO COMMUNICATION GAP BETWEEN TH E ASSESSEES COUNSEL AND THE ASSESSEE AND ALSO THAT DUE TO CERTAIN CONSTRAINTS OF HIS CHARTERED ACCOUNTANT, WHO WAS DEALING THE ASSESSEES CASE, THE ASS HANDED OVER THE F ILE TO AN ADVOCATE. THE CHARTERED ACCOUNTANT ALSO HAS FILED AN AF FIDAVIT, EXPLAINING THE REASONS. 4. LD.DR OPPOSED THE CONDONATION OF DELAY. 5. HAVING REGARD TO THE RIVAL CONTENTIONS AND THE CONSTRAINTS FACED BY THE CHARTERED ACCOUNTANT AS EXPLAIN ED BY HIM IN THE AFFIDAVIT FILED BY HIM, STATING THAT THE FILE W AS HANDED OVER TO AN ADVOCATE AND SUBSEQUENTLY WAS WITHD RAWN ITA NO. 2414/HYD/2018 :- 3 -: AND GIVEN TO ANOTHER COUNSEL, WHICH HAS RESULTED IN DELAY OF 261 DAYS IN FILING OF THE APPEAL BEFORE THE TRIBUNAL, I AM INCLINED TO CONDONE THE DELAY AND REMAND THE ISSUE TO TH E FILE OF CIT(A), FOR RE-CONSIDERATION OF THE ISSUE. THE ASS ESSEE IS DIRECTED TO FILE AN APPLICATION FOR CONDONATION OF DEL AY, GIVING REASONS FOR THE DELAY AND THE CIT(A), IF SATISFIED WIT H THE SAID REASONS, MAY TAKE A DECISION ON THE FOR CONDONATION OF DELAY AND IN CASE THE DELAY BEING CONDONED, THE CIT(A) MAY DECIDE THE APPEAL ON MERITS. 6. IN THE RESULT, THE APPEAL OF ASSESSEE IS TREATED AS A LLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 8 TH JANUARY, 2020 SD/- (P. MADHAVI DEVI) JUDICIAL MEMBER HYDERABAD, DATED: 08-01-2020 TNMM COPY TO : 1.GIRISH KUMAR KHATRI, C/O. CH.PARTHASARATHY & CO., 1-1-298/2/B/3, 1 ST FLOOR, SOWBHAGYA AVENUE, ST.NO.1, ASHOKNAGAR, HYDERABAD. 2. INCOME TAX OFFICER, WARD-5(2), HYDERABAD. 3. CIT(APPEALS)-4, HYDERABAD. 4. PR.CIT-4, HYDERABAD. 5. D.R. ITAT, HYDERABAD. 6. GUARD FILE.