Sthapati Projects Infrastructure Pvt. Ltd., Kolkata V. I.T.O.,Ward-5(4), Kolkata

ITA 2431/KOL/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 6230 (ITAT-KOLKATA)
• Duration Of Justice: 3 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-02-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Next Hearing Date: 04-02-2020
• Assessment Year: 2014-2015
• Appeal Filed On: 11-11-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: JAYANTA KHANRA SR DR
• Assessee Lawyers: SOURABH MAJUMDAR
• Keywords: TDS
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH SMC KOLKATA BEFORE SHRI S.S, GODARA, JUDICIAL MEMBER ITA NO.2431/KOL/2019 ASSESSMENT YEAR:2014-15 STHAPATI PROJECTS INFRASTRUCTURE PVT. LTD., 186, KALITALA ROAD, KOLKATA-700099 [ PAN NO.AATCS 0047 D ] / V/S . INCOME TAX OFFICER, WARD-5(4), AAYAKAR BHABAN, 8 TH FLOOR, P-7, CHOWRINGHEE SQUARE, KOLKATA-700 069 /APPELLANT .. /RESPONDENT /BY APPELLANT SHRI SOURABH MAJUMDAR, CA /BY RESPONDENT SHRI JAYANTA KHANRA, SR-DR /DATE OF HEARING 04-02-2020 /DATE OF PRONOUNCEMENT 12-02-2020 /O R D E R THIS ASSESSEES APPEAL FOR ASSESSMENT YEAR 2014-15 , ARISES AGAINST THE COMMISSIONER OF INCOME-TAX (APPEALS)-2, KOLKATAS O RDER DATED 20.08.2019 PASSED IN CASE NO.11604/CIT(A)-2/16-17, INVOLVING PROCEEDING S U/S. 143(3) OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT. HEARD SHRI MAJUMDAR, AND SHRI KHANRA REPRESENTING A SSESSEE AND REVENUE RESPECTIVELY. 2. LEARNED AUTHORIZED REPRESENTATIVE INVITED MY ATT ENTION TO THE ASSESSEES MULTIPLE FOLDED PLEADINGS CHALLENGING CORRECTNESS O F BOTH THE LOWER AUTHORITIES ACTION DISALLOWING CONSULTANCY CHARGES, COMMISSION PAYMENT S, ASSOCIATES CONSULTANCY FEES AND LABOUR CHARGES OF 1,42,700/-, 4,00,000/-, 5,07,500 & 4,75,000/-; RESPECTIVELY, DURING THE COURSE OF ASSESSMENT AS AFFIRMED IN THE LOWER APPELLATE PROCEEDINGS. MR. MAJUMDAR STATES VERY FAIR THAT ALTHOUGH THEREBY ASS ESSEE HAS FILED ALL THE ITA NO.2431/KOL/2019 A.Y. 2014-15 STHAPATI PROJECTS & INFRASTRUCTURE PVT. LTD. VS. ITO WD-5(4),KOL. PAGE 2 CORRESPONDING EVIDENCE REGARDING THE FOREGOING FOUR HEAD(S) OF EXPENDITURE, IT WOULD NOT BE ABLE TO PROVE EACH AND EVERY TRANSACTION WIT H THE PAYEES PARTIES TO THE HILT. 3. LEARNED DEPARTMENTAL REPRESENTATIVE STRONGLY SUP PORTS BOTH THE LOWER AUTHORITIES ACTION MAKING THE IMPUGNED DISALLOWANCE (S). I NOTICE IN THIS BACKDROP OF PLEADINGS THAT THE ASSESSEE HAS NOT BEEN ABLE TO PR OVE THE CORRESPONDING BUSINESS SERVICE OFFERED FROM THE PAYEE SIDE. THE FACT ALSO REMAINS THAT HE HAS DEDUCTED TDS AND FILED ALL DOCUMENTARY EVIDENCE IN SUPPORT OF TH ESE FOUR HEAD(S) IN ISSUE. I THEREFORE DEEM IT APPROPRIATE IN THIS PECULIAR FACT UAL BACKDROP THAT A LUMP SUM DISALLOWANCE OF 33% OF ALL FOUR HEAD(S) OF EXPENDIT URE WOULD MEET THE ENDS OF JUSTICE WITH A RIDER THAT THE SAME SHALL NOT BE TREATED AS A PRECEDENT IN ANY OTHER ASSESSMENT YEAR. THE ASSESSEE GETS PART RELIEF. NECESSARY CONS EQUENTIAL COMPUTATION SHALL FOLLOW AS PER LAW. 4. THIS ASSESSEES APPEAL IS PARTLY ALLOWED IN ABOV E TERMS. ORDER PRONOUNCED IN OPEN COURT ON 12/02/2020 SD/- (S.S. GODARA) JUDIC IAL MEMBER KOLKATA, *DKP/SR.PS - 12/02/2020 / COPY OF ORDER FORWARDED TO:- 1. /APPELLANT-STHAPATI PROJECTS & INFRASTRUCTURE PVT. LTD., 186, KALITALA ROAD, KOLKATA-7 00 099 2. /RESPONDENT-ITO WD-5(4), AAYKAR BHABAN, 8 TH FL. P-7, CHOWRINGHEE SQUARE, KOLKATA- 69 3. ' % / CONCERNED CIT 4. % - / CIT (A) 5. & ))' , ' / DR, ITAT, KOLKATA 6. + / GUARD FILE. BY ORDER/ , /TRUE COPY/ ',