Saya Paper Print Pvt. Ltd., Ahmedabad V. The Income Tax Officer, Ward-8(1), Ahmedabad

ITA 2479/AHD/2015

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 9851 (ITAT-AHMEDABAD)
• Duration Of Justice: 4 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-01-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 09-12-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 21-08-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: G A MEHTA
• Keywords: Revised return
• Section: 143(3); 148

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, AHMEDABAD BEFORE SHRI SHAILENDRA KUMAR YADAV, JUDICIAL MEMBER AND SHRI RAJESH KUMAR, ACCOUNTANT MEMBER ./ ITA NO. 2479/AHD/2015 / ASSESSMENT YEAR: 2008-09 SAYA PAPER PRINT PVT LTD KHODIAR MANDIR, SHANTIPURA, SARKHEJ, AHMEDABAD .. APPELLANT PAN : AAKCS 9369 K VS INCOME TAX OFFICER, WARD 8(1), AHMEDABAD .. RESPONDENT ASSESSEE(S) BY : SHRI G.A. MEHTA, A R REVENUE BY : SHRI JAMES KURIAN, SR - DR / DATE OF HEARING 09/12/2015 /DATE OF PRONOUNCEMENT 13/01/2016 / O R D E R PER SHAILENDRA KUMAR YADAV, JUDICIAL MEMBER: THIS APPEAL FILED BY THE ASSESSEE IS AGAINST THE O RDER OF THE COMMISSIONER OF INCOME-TAX (APPEALS)-9, AHMEDAB AD DATED 09.06.2015 FOR ASSESSMENT YEAR 2008-09, ON TH E FOLLOWING GROUND:- WHETHER CIT(A) WAS RIGHT IN UPHOLDING ADDITION OF RS.1,20,000/- MADE BY ITO 8(1) WHILE PASSING ORDER U/S 143(3) OF THE INCOME TAX ACT. ITA NO. 2479/AHD/2015 SAYA PAPER PRINT PVT LTD VS. ITO AY 2008-09 - 2 - 2. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSE E IS A COMPANY AND IT HAS FILED ITS RETURN OF INCOME ON 28 .06.2010, DECLARING TOTAL INCOME OF RS.70,742/-. THE ASSESSM ENT WAS REOPENED U/S 148 ON 26.03.2013 AND THEREAFTER THE A SSESSEE FILED THE REVISED RETURN OF INCOME ON 07.09.2013, D ECLARING TOTAL INCOME AT RS.70,740/- AND DUE TAXES WERE PAID IN TIME. NOTICES U/S 143(3) WERE ISSUED FROM TIME TO TIME; A ND ADVOCATE AND DIRECTOR OF THE COMPANY ATTENDED THE HEARING. BOOKS OF ACCOUNTS AND ALL THE OTHER DETAILS WERE PRESENTED B EFORE THE ASSESSING OFFICER. DURING THE COURSE OF ASSESSMENT PROCEEDINGS U/S 143(3) R.W.S. 147, THE ASSESSING OF FICER MADE THE ADDITION OF RS.1,20,000/- BY OBSERVING AS UNDER :- DURING THE COURSE OF ASSESSMENT PROCEEDINGS, THE ARS OF THE ASSESSEE WAS ASKED TO PRODUCE BOOKS OF ACCOUNTS OF THE COMPANY WITH VOUCHERS VIDE ORDER SHEET ENTRY DA TED 28.01.2014 AND THE CASE WAS FIXED FOR HEARING ON 07.02.2014. IN RESPONSE THEREOF, THE ARS OF THE AS SESSEE- COMPANY PRODUCED THE BOOKS OF ACCOUNTS OF THE ASSES SEE COMPANY ALONGWITH VOUCHERS. HOWEVER, ON VERIFICATI ON IT IS FOUND THAT SOME OF THE VOUCHERS ARE NOT AVAILABL E WITH THE ASSESSEE COMPANY. ON POINTING OUT THE SAME, TH EY STATED THAT THEY ARE NOT IN A POSITION TO PRODUCE A LL THE VOUCHERS FOR VERIFICATION AS THE MATTER PERTAINED T O THE FY 2007-08, WHICH IS ALMOST FIVE YEARS OLD. AFTER DUE DELIBERATIONS, THEY AGREED FOR DISALLOWANCE OF RS.1,20,000/- OUT OF THE TOTAL INDIRECT EXPENDITURE OF RS.11,89,926/-, VIDE ORDER SHEET ENTRY DATED 06.02. 2014, ON ACCOUNT OF NON PRODUCTION OF THE EXPENDITURE VOU CHERS FOR VERIFICATION. ACCORDINGLY, RS.1,20,000/- IS DI SALLOWED OUT OF THE INDIRECT EXPENDITURE DEBITED IN THE PROF IT & LOSS ACCOUNT AND THE SAME IS ADDED TO THE TOTAL INCOME O F THE ASSESSEE COMPANY. ITA NO. 2479/AHD/2015 SAYA PAPER PRINT PVT LTD VS. ITO AY 2008-09 - 3 - 2.1. IN THIS REGARD, THE STAND OF THE ASSESSEE HAS BEEN THAT THE YEAR UNDER CONSIDERATION WAS THE FIRST YEAR OF ASSE SSEES BUSINESS AND IT FILED BELATED RETURN OF INCOME ON 2 8.06.2010. THE ASSESSMENT WAS REOPENED BY ISSUING NOTICE U/S 1 48 ON 26.03.2013 AND THE ASSESSEE FILED REPLY TO THIS NOT ICE ON 09.04.2013 TO CONSIDER THE RETURN FILED ON 28.06.20 10 ALONGWITH COPY OF AUDIT REPORT. THEREAFTER, IT FILE D E-RETURN VIDE RECEIPT NO.81405221041013 SHOWING TOTAL INCOME OF RS.70,740/-. THE ASSESSEE SUBMITTED THAT THE DETAI LS WERE FILED WITH THE CONCERNED ASSESSING OFFICER IN RESPE CT OF EXPENSES INCURRED OF RS.11,89,926/- AND DEBITED TO PROFIT & LOSS ACCOUNT. HOWEVER, IN THE ASSESSMENT ORDER, THE ASSESSING OFFICER HAS MENTIONED THAT THE ASSESSEE COULD NOT P RODUCE ALL THE VOUCHERS AT THE TIME OF ASSESSMENT PROCEEDINGS AS THE MATTER WAS ALMOST FIVE YEARS OLD. ACCORDINGLY, THE AUTHORIZED REPRESENTATIVE FOR THE ASSESSEE VOLUNTARILY AGREED FOR TOTAL INCOME OF RS.1,20,000/- AS AGAINST RS.70,740/- DECL ARED BY THE ASSESSEE TO COVER UP THE PROBABLE LEAKAGES IN T HE EXPENSES. THE ASSESSEE SUBMITTED THAT DUE TO MISUNDERSTANDING , THE ASSESSING OFFICER MADE ADDITION OF RS.1,20,000/- IN STEAD OF RS.49,260/- AS VOLUNTARILY AGREED BY HIM TO MAKE TH E TOTAL INCOME AT RS.1,20,000/- AS AGAINST INCOME OFFERED B Y THE ITA NO. 2479/AHD/2015 SAYA PAPER PRINT PVT LTD VS. ITO AY 2008-09 - 4 - ASSESSEE FOR RS.70,740/-. (RS.70,740 + RS.49,260). IN THIS REGARD, THE AFFIDAVITS DULY NOTARIZED AND SIGNED BY THE DIRECTOR AS WELL AS THE AUTHORIZED REPRESENTATIVE FOR THE AS SESSEE WERE FURNISHED BEFORE THE LOWER AUTHORITIES, COPY OF WHI CH IS PLACED ON RECORD. WE FIND THAT THE CIT(A) CONFIRMED THE A DDITION OF RS.1,20,000/- MAINLY ON THE REASONING THAT HE WAS N OT INCLINED TO AGREE WITH THE CONTENTIONS OF THE AUTHO RIZED REPRESENTATIVE OF THE ASSESSEE THAT THE ASSESSING O FFICER MADE ADDITION OF RS.1,20,000/- INSTEAD OF RS.49,260/- DU E TO MISUNDERSTANDING AS DISCUSSED ABOVE, WHICH IN OUR O PINION, NEEDS VERIFICATION AT THE LEVEL OF ASSESSING OFFICE R. THEREFORE, IN THE INTEREST OF JUSTICE, WE RESTORE THIS ISSUE BACK TO THE FILE OF THE ASSESSING OFFICER WITH THE DIRECTION TO DECIDE THE MATTER AFRESH AS PER FACTS AND LOW, AFTER PROVIDING DUE OP PORTUNITY OF HEARING TO THE ASSESSEE. 3. IN THE RESULT, THE ASSESSEES APPEAL IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE COURT ON 13TH OF JANUARY, 2 016 AT AHMEDABAD. SD/- SD/- ( RAJESH KUMAR ) ACCOUNTANT MEMBER ( SHAILENDRA KUMAR YADAV ) JUDICIAL MEMBER AHMEDABAD; DATED /01/2016 *BT ITA NO. 2479/AHD/2015 SAYA PAPER PRINT PVT LTD VS. ITO AY 2008-09 - 5 - !'# $#! / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / CONCERNED CIT 4. ( ) / THE CIT(A), 5. !'# $$ , , / DR, ITAT, AHMEDABAD 6. #() / GUARD FILE. / BY ORDER, //TRUE COPY// / (DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD