SHRI ,M. GANESAN, TRICHY V. ACIT, CIRCLE - 1 (1), TRICHY

ITA 2475/CHNY/2019

• Counselvise Citation: [2022] 107 COUNSELVISE.COM (IT) 1060 (ITAT-CHENNAI)
• Duration Of Justice: 2 year(s) 11 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-08-2022
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2013-2014
• Appeal Filed On: 26-08-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Gift; Deemed dividend; Set aside

Judgement Text

आयकर अपीलीय अिधकरण, ‘बी’ ᭠यायपीठ, चे᳖ई IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH, CHENNAI Įी महावीर ͧसंह, उपाÚय¢ एवं Įी मनोज क ु मार अĒवाल, लेखा सदèय के सम¢ BEFORE SHRI MAHAVIR SINGH, VICE PRESIDENTAND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.: 2475/CHNY/2019 िनधाᭅरण वषᭅ /Assessment Year:2013-14 Late Shri M. Ganesan, (Rep. by Legal Heir Smt. G. Jayanthi), No.33/4A, Alexandria Road, Cantonment, Trichy – 620 001. PAN : AALPG 0342E v. The ACIT, Circle -1 (1), Trichy. (अपीलाथᱮ/Appellant) (ᮧ᭜यथᱮ/Respondent) अपीलाथᱮ कᳱ ओर से/Appellant by : Shri S. Sridhar, Advocate ᮧ᭜यथᱮ कᳱ ओर से/Respondent by : Shri R. Boopathi, JCIT स ु नवाई कȧ तारȣख/Date of Hearing : 02.08.2022 घोषणा कȧ तारȣख/Date of Pronouncement : 02.08.2022 आदेश /O R D E R PER MAHAVIR SINGH, VICE PRESIDENT: This appeal filed by the assessee is directed against the order of learned Commissioner of Income Tax (Appeals)-1, Trichy in ITA No.19/2016-17/CIT(A)-1/TRY dated 08.07.2019. The assessment was framed by the DCIT, Circle-1, Thiruchirappalli for the 2 I.T.A. No.2475/Chny/2019 assessment year 2013-14 u/s.143(3) of the Income Tax Act, 1961 (hereinafter the ‘Act’) vide order dated 29.03.2016. 2. The first issue in this appeal of assessee is against the order of CIT(A) confirming the action of AO in making addition of Rs.22,72,034/- by treating the loan received from Gaja Priya Hotels Pvt. Ltd., as deemed dividend u/s.2(22)(e) of the Act. The second issue is as regards to the order of CIT(A) sustaining the gift received from son-in-law to the extent of Rs.3.80 lakhs as income of the assessee. The third issue is as regards to addition of interest of Rs.29,35,730/- towards loan from Reliance Capital as unproved or not for the purpose of business. 3. At the outset, the ld.counsel for the assessee took us through the order of CIT(A) and stated that on all the above three issues, the CIT(A)’s order is totally non-speaking and none of the facts either CIT(A) could not understand or he has not adjudicated. We have gone through the order of CIT(A) and noted that how these three additions are confirmed, it is not at all clear and there is no adjudication. When these facts were confronted to ld. Senior DR, particularly the order of CIT(A), he also could not explain how the CIT(A) has confirmed these three additions. In such circumstances, 3 I.T.A. No.2475/Chny/2019 the ld.counsel for the assessee stated that this case is represented by assessee’s wife for her late husband Shri M. Ganesan and assessee’s case in the name of Smt. G. Jayanthi Ganesan has already been set aside to the file of the AO and accordingly, the matter can be restored back to the file of the AO again. 4. After hearing rival contentions and going through the facts, we are inclined to set aside the orders of AO and that of the CIT(A) and remand the matter back to the file of the AO for fresh adjudication. 5. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced in the open court on 2 nd August, 2022 at Chennai. Sd/- Sd/- (मनोज कुमार अᮕवाल) (MANOJ KUMAR AGGARWAL) लेखा सद᭭य /ACCOUNTANT MEMBER (महावीर ᳲसह ) (MAHAVIR SINGH) उपा᭟यᭃ /VICE PRESIDENT चे᳖ई/Chennai, ᳰदनांक/Dated, the 2 nd August, 2022 RSR आदेश कᳱ ᮧितिलिप अᮕेिषत/Copy to: 1. अपीलाथᱮ/Appellant 2. ᮧ᭜यथᱮ/Respondent 3. आयकर आयुᲦ (अपील)/CIT(A) 4. आयकर आयुᲦ /CIT 5. िवभागीय ᮧितिनिध/DR 6. गाडᭅ फाईल/GF.