Smt. Dintakurthi Sharmila, Machilipatnam V. The ITO, Machilipatnam

ITA 25/VIZ/2017

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 8753 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 1 year(s) 1 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-02-2018
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2011-2012
• Appeal Filed On: 23-01-2017
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: P S MURTHY
• Keywords: Gift
• Section: 143(3); 148; 10

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH, VISAKHAPATNAM BEFORE SHRI V. DURGA RAO , HONBLE JUDICIAL MEMBER & SHRI D.S. SUNDER SINGH , HONBLE ACCOUNTANT MEMBER ITA NO. 25 / VIZ /201 7 (ASST. YEAR : 20 11 - 1 2 ) SMT . DINTAKURTHI SHARMILA, D.NO. 4 - 748, RAJUPETA, MACHILIPATNAM , KRISHNA DIST . V S . IT O , WARD - 1, MACHILIPATNAM . PAN NO. APVPD 7865 C (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI C. SUBRAHMANYAM FC A. DEPARTMENT BY : SHRI P.S. MURTHY SR. DR DATE OF HEARING : 21 / 02 /201 8 . DATE OF PRONOUNCEMENT : 2 3 / 02 /201 8 . O R D E R PER V. DURGA RAO, JUDICIAL MEMBER TH IS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS) , VIJAYAWADA , DATED 28 /0 9 /201 6 FOR THE ASSESSMENT YEARS 20 11 - 12 . 2. FACTS OF THE CASE, IN BRIEF, ARE THAT ASSESSEE IS AN INDIVIDUAL, FILED HIS RETURN OF INCOME IN RESPONSE TO THE NOTICE ISSUED UNDER SECTION 148 BY ADMITTING NIL INCOME. THE CASE OF THE ASSESSEE WAS SELECTED FOR SCRUTINY AND AFTER DUE PROCE DURE , ASSESSMENT IS 2 ITA NO. 25/VIZ/2017 ( SMT. DINTAKURTHI SHARMILA ) COM P LETED UNDER SECTION 143(3) R.W.S. 147 OF THE ACT. IN THE ASSESSMENT ORDER, THE ASSESSING OFFICER HAS NOTED THAT DURING THE COURSE OF VERIFICATION OF BANK ACCOUNT STATEMENT OF SB ACCOUNT N O. 1468155000010681 FOR THE FINANCIAL YEAR 2010 - 11 HELD IN KARUR VYSYA BANK, MACHILIPATNAM, IT IS NOTED THAT THE ASSESSEE HAS MADE CASH DEPOSITS ON DIFFERENT DATES , TOTALLING TO RS. 14,60,132/ - WHEN THE ASSESSING OFFICER Q UESTIONED A B OUT THE SOURCE OF DEPOSITS, THE ASSESSEE HAS SUBMITTED THAT SHE HAD SHRIDHANAM AND GIFTS FROM HER FAMILY MEMBERS AROUND RS. 3,00,000/ - AND THE SAME WAS LE N T TO VARIOUS PERSONS FOR INTEREST. SHE ALSO SUBMITTED THAT SHE IS A B.SC. (COM P UTERS) GRADUATE AND IS EARNING RS.10,000/ - P.M. IT WAS FURTHER CONTENDED THAT OUT OF THE ACCUMULATED SAVINGS, GIFTS AND LOAN RECEIPTS, SHE STARTED TRADING IN SHARES , DERIVATES AND COMMODITIES THOUGH PCS COMMODITIES LTD. FROM THE YEAR 2009. IN THIS CONNEC TION, SHE SUBMITTED COPIES OF HER TRADING ACCOUNT WITH PCS COMMODITIES LTD. FOR THE YEAR UNDER CONSIDERATION. FURTHER, DURING THE COURSE OF HEARING ON 12/12/2014, SHE FURNISHED A REVISED STATEMENT OF TOTAL INCOME WITH A CLAIM OF SET OFF OF LOSS TO THE TUN E OF RS. 10,66,303/ - . THE ASSESSING OFFICER HAS CALLED AND ASKED THE ASSESSEE TO FILE THE DETAILS OF THE SOURCE OF CASH DEPOSITS, BUT SHE COULD NOT FURNISH ANY EVIDENCE TO SHOW THAT SHE HAD ACCUMULATED SAVINGS AND GIFTS 3 ITA NO. 25/VIZ/2017 ( SMT. DINTAKURTHI SHARMILA ) RECEIVED FROM THE FAMILY MEMBERS AS SHRIDHANAM. ACCORDINGLY, THE TOTAL CASH DEPOSITS WERE WORKED OUT TO RS. 14,60,132/ - , WHICH HAS BEEN TREATED AS INCOME FROM UNEXPLAINED SOURCE AND ADDED TO THE TOTAL INCOME OF THE ASSESSEE. 3 . ON APPEAL BEFORE THE LD. CIT(A), ASSESSEE NEITHER APPEARED NOR FILED ANY DETAILS IN RESPECT OF SOURCE OF BANK DEPOSITS IN THE SB ACCOUNT MAINTAINED WITH KARUR VYSYA BANK. THEREFORE, LD. CIT(A) CONFIRMED THE ORDER OF THE ASSESSING OFFICER. 4 . BEFORE US ALSO , ASSESSEE HAS NOT FILED ANY DETAILS IN RESPECT OF DEPOSITS MADE IN HER SAVINGS ACCOUNT IN KARUR VYSYA BANK AT MACHILIPATNAM BRANCH. THE COUNSEL FOR THE ASSESSEE HAS NOT ABLE TO EXPLAIN THE SOURCE OF CA S H DEPOSITS. LD. DEPARTMENTAL REPRESENTATIVE HAS STRO NGLY SUPPORTED THE ORDERS PASSED BY THE AUTHORITIES BELOW. 5. KEEPING IN VIEW OF THE FACTS AND CIRCUMSTANCES OF THE CASE AND NON - FILING OF THE RELEVANT MATERIAL TO EXPLAIN THE SOURCE OF CASH DEPOSITS, WE ARE OF THE OPINION THAT LD. CIT(A) HAS RIGHTLY CONFI RMED THE ORDER OF THE ASSESSING OFFICER. WE FIND NO INFIRMITY IN THE ORDER PASSED BY THE LD. CIT(A). THUS, THIS APPEAL FILED BY THE ASSESSEE IS DISMISSED. 4 ITA NO. 25/VIZ/2017 ( SMT. DINTAKURTHI SHARMILA ) 6 . IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS DISMISSED. ORDER PRONOUNCED IN OPEN COURT ON TH IS 2 3 R D DAY OF FEB . , 201 8 . ( D.S. SUNDER SINGH ) ( V. DURGA RAO ) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 2 3 R D FEBRUARY , 201 8 . VR/ - COPY TO: 1. THE ASSESSEE - SMT. DINTAKURTHI SHARMILA, D.NO. 4 - 748, RAJUPETA, MACHILIPATNAM, KRISHNA DIST. 2. THE REVENUE ITO, WARD - 1, MACHILIPATNAM. 3. THE PR. CIT , VIJAYAWADA. 4. THE CIT(A) , VIJAYAWADA. 5. THE D.R . , VISAKHAPATNAM. 6. GUARD FILE. BY ORDER (VUKKEM RAMBABU) SR. PRIVATE SECRETARY, ITAT, VISAKHAPATNAM. DATE INITIAL ORIGINAL DICTATION PAD & DRAFT ARE ENCLOSED IN THE FILE 1. DRAFT DICTATED ON 21 /02 /2018 SR.PS 2. DRAFT PLACED BEFORE AUTHOR 22 /02/2018 SR.PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER 22 /02/2018 JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER 22 /02/2018 JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS 22 /02/2018 SR.PS 6. DATE OF PRONOUNCEMENT /02/2018 SR.PS 7. FILE SENT TO THE BENCH CLERK /02/2018 SR.PS 8. DATE ON WHICH FILE GOES TO THE HEAD CLERK 9. DATE ON WHICH FILE GOES TO THE SR. PRIVATE SECRETARY 10 . DATE OF DISPATCH OF ORDER