Mannalall Harsh Kumar (HUF), Kolkata V. D.C.I.T.,Circle-44, Kolkata

ITA 2525/KOL/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 6229 (ITAT-KOLKATA)
• Duration Of Justice: 2 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-02-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2014-2015
• Appeal Filed On: 29-11-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: JAYANTA KHANRA SR DR
• Assessee Lawyers: M C RATHI
• Keywords: Depreciation
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH SMC KOLKATA BEFORE SHRI S.S, GODARA, JUDICIAL MEMBER ITA NO.2525/KOL/2019 ASSESSMENT YEAR:2014-15 MANNALALL HARSH KUMAR (HUF), C/O. A.C. PUGALIA & CO. 46, STRAND ROAD, 1 ST FLOOR, KOLKATA-700 007 [ PAN NO.AAHHM 1071 J ] / V/S . DCIT, CIRCLE-44, 3,GOVT. PLACE (WEST), KOLKATA-700 001 /APPELLANT .. /RESPONDENT /BY APPELLANT SHRI M.C. RATHI, FCA /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)-13, KOLKATAS ORDER DATED 25.07.2019 PASSED IN CASE NO.10259/CIT(A)-13/CIR-44/KOL/2016-17, INV OLVING PROCEEDINGS U/S. 143(3) OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT. HEARD BOTH THE PARTIES. CASE FILE PERUSED. 2. IT EMERGES AT THE OUTSET THAT INSTANT APPEAL SUF FERS FROM FOURTEEN DAYS DELAY IN FILING. LEARNED COUNSEL REPRESENTING ASSESSEE INVIT ES MY ATTENTION TO ITS CONDONATION AFFIDAVIT DATED 25.11.2019 ATTRIBUTING THE SAME TO IN COMMUNICATION GAP AS WELL AS IN COMPILATION OF NECESSARY RECORDS. THE LEARNED DEPA RTMENTAL IS FAIR ENOUGH IN NOT REBUTTING ALL THESE SOLEMN AVERMENTS. I THEREFORE O BSERVE THAT THE IMPUGNED DELAY OF ITA NO.2525/KOL/2019 A.Y. 2014-15 MANNALALL HARSH KUMAR (HUF) VS. DCIT, CIR- 44 KOL. PA GE 2 FOURTEEN DAYS IN FILING OF THE INSTANT APPEAL IS NE ITHER INTENTIONAL NOR DELIBERATE. THE SAME STANDS CONDONED. THE CASE IS NOW TAKEN UP FOR ADJUDICATION ON MERITS. 3. THE ASSESSEE FILED SUBSTANTIVE GRIEVANCE CHALLEN GING CORRECTNESS OF BOTH THE LOWER AUTHORITIES ACTION BY DISALLOWING / ADDING 1,01,018/-, 40,621/-, 3,25,000/-, 15,544/- & 9,124/-ON ACCOUNT OF LACK OF RECONCILIATION BETWE EN VAT & INCOME TAX RETURNS, INTEREST ON NSCS, 20% DISALLOWANCE OF FREIGHT & LABOUR EXPENSES DEPRECIATION ON MOTOR CAR AND INTEREST FREE LOANS MADE TO SMT. MANISHA DAGA; SIMILAR ESTIMATION BASIS. LEARNED COUNSEL STATES AT THE OUT SET THAT ALTHOUGH THE ASSESSEE HAS FILED ALL THE NECESSARY EVIDENCE REGARDING THESE FI VE ISSUE(S) RIGHT FROM SCRUTINY TILL DATE; THE FACT REMAINS THAT IT WOULD BE ABLE TO REC ONCILE AND EXPLAIN THE FOREGOING DISCREPANCIES IN ALL FIVE HEAD(S). HIS ONLY CASE TH EREFORE IS THAT THE IMPUGNED DISALLOWANCES / ADDITION(S) FORMING SUBJECT-MATTER OF ALL FIVE ISSUES MAY BE APPROPRIATELY MODIFIED SUBJECT TO THE CONDITION THA T SAME ARE NOT TREATED AS PRECEDENT IN ANY OTHER ASSESSMENT YEAR. THE REVENUES CASE ON THE OTHER HAND IS THAT THE LEARNED LOWER AUTHORITIES HAVE RIGHTLY MADE THE IMPUGNED DI SALLOWANCE / ADDITION AS PER THEIR RESPECTIVE DETAILED DISCUSSION. I NOTICE IN THIS BA CKDROP OF PLEADINGS THAT APART FROM THE LATTER FOUR HEAD(S) OF ESTIMATED FIGURES (SUPRA ), THE LOWER AUTHORITIES HAVE FAILED TO TREAT THE FIRST ISSUE OF DIFFERENCE IN PURCHASE AMO UNT AS PER VAT & INCOME TAX AS INVOLVING RECONCILIATION BETWEEN TWO RETURNS ONLY. I THEREFORE DEEM IT APPROPRIATE IN LARGER INTEREST OF JUSTICE THAT ALL FIVE HEAD(S) IN ISSUE DESERVE TO BE RESTRICTED TO 50% OF THE RESPECTIVE SUMS INVOLVED THEREIN. I ORDER ACCOR DINGLY. THE INSTANT ESTIMATION SHALL NOT BE TREATED AS A PRECEDENT. NECESSARY COMPUTATIO N TO FOLLOW AS PER LAW IN ABOVE TERMS. 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 ITA NO.2525/KOL/2019 A.Y. 2014-15 MANNALALL HARSH KUMAR (HUF) VS. DCIT, CIR- 44 KOL. PA GE 3 / COPY OF ORDER FORWARDED TO:- 1. /APPELLANT-MANNALALL HARSH KUMAR (HUF), C/O A.C.PUG ALIA & CO., 46, STRAND ROAD, 1 ST FLOOR, KOLKATA-700 001 2. /RESPONDENT-DCIT, CIR-44, 3, GOVT. PLACE (WEST), KO LKATA-700 001 3. ' % / CONCERNED CIT 4. % - / CIT (A) 5. & ))' , ' / DR, ITAT, KOLKATA 6. + / GUARD FILE. BY ORDER/ , /TRUE COPY/ ',