The ITO, Ward-6(2), Ahmedabad V. Shri Jayantilal Laljibhai Patel, Ahmedabad

ITA 26/AHD/2011

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 56964 (ITAT-AHMEDABAD)
• Duration Of Justice: 1 year(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-01-2012
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 16-12-2011
• Assessment Year: 2007-2008
• Appeal Filed On: 05-01-2011
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: M MATHIVANAN

Judgement Text

, , , , , IN THE INCOME TAX APPELLATE TRIBUNAL AT AHMEDABAD, A BENCH . .. . . .. . , !'# !'# !'# !'#, , , , $ $ $ $ %&' ( ) %&' ( ) %&' ( ) %&' ( ) , , , , &* + &* + &* + &* + & # & # & # & # BEFORE S/SHRI G.C. GUPTA, VICE-PRESIDENT AND BIJENDRA PAUL JAIN, ACCOUNTANT MEMBER) ITA NO.26/AHD/2011 [ASSTT.YEAR : 2007-2008] ITO, WARD-6(2) AHMEDABAD. /VS. SHRI JAYANTILAL LAJIBHAI PATEL 20, UGANDA PARIKH SOCIETY SUBHASH CHOWK MEMNAGAR, AHMEDABAD. PAN : AAWP 5346 A ( (( (-. -. -. -. / APPELLANT) ( (( (/0-. /0-. /0-. /0-. / RESPONDENT) + 1 2 &/ REVENUE BY : SHRI M. MATHIVANAN 45 1 2 &/ ASSESSEE BY : NONE 6 1 57*/ DATE OF HEARING : 16 TH DECEMBER, 2011 89: 1 57*/ DATE OF PRONOUNCEMENT : 05-01-2012 &; / O R D E R PER G.C. GUPTA, VICE-PRESIDENT: THIS APPEAL BY THE REVENUE FOR THE ASSTT.YEAR 2007-2008 IS DIRECTED AGAINST TH E ORDER OF THE COMMISSIONER OF INCOME-TAX (APPEALS), AHMEDABAD. 2. AT THE TIME OF HEARING BEFORE US, NONE APPEARED ON BEHALF OF THE RESPONDENT ASSESSEE AND ACCORDINGLY, THE APPEAL OF THE REVENUE IS BEING DISPOSED OF ON MERIT EX PARTE QUA THE RESPONDENT-ASSESSEE AFTER HEARING THE LEARNED DR. 3. THE GROUNDS RAISED IN THIS APPEAL OF THE REVENUE READ AS UNDER: 1. THE LD. COMMISSIONER OF INCOME TAX (A) HAS ERRED IN LAW AND ON FACTS IN DIRECTING THE AO TO VERIFY THE CASH CREDITS OF R S.1,31,000/-AND RS.5,25,000/- AND IN DELETING THE ADDITION OF RS.89,000/- MADE U/ S 68 ON ACCOUNT OF ITA NO.26/AHD/2011 -2- UNSECURED LOANS. 2. THE CIT(A) HAS ERRED IN LAW IN DIRECTING THE AO TO VERIFY THE CASH CREDITS, WHICH IS IN THE NATURE OF RESTORING THE IS SUE BACK TO THE FILE OF AO IN CONTRAVENTION OF SEC.251 OF THE ACT. 3. THE LD. COMMISSIONER OF INCOME TAX (A) HAS ERRED IN LAW AND ON FACTS IN DELETING THE ADDITION OF RS.81,555/- MADE ON ACC OUNT OF UNACCOUNTED AGRICULTURAL EXPENSES ESTIMATED @ 40% OF GROSS AGRI CULTURAL INCOME DISCLOSED. 4. THE LD. COMMISSIONER OF INCOME TAX (A) HAS ERRED IN LAW AND ON FACTS IN RESTRICTING THE ADDITION MADE ON ACCOUNT OF DISA LLOWANCE OF EXPENSES FOR PERSONAL USE , TO 10% INSTEAD OF 25%, THEREBY DELET ING SUCH ADDITION TO THE EXTENT OF RS.84,388/-. 4. THE LEARNED DR SUBMITTED THAT THE CIT(A) HAS NO JURISDICTION TO SET ASIDE THE ISSUE OF CASH CREDIT TO THE FILE OF THE A O IN ACCORDANCE WITH THE AMENDMENT IN INCOME TAX ACT AND THEREFORE THE ORDER OF THE CIT(A) MAY BE SET ASIDE TO HIS FILE FOR DE NOVO APPELLATE ORDER. HE SUBMITTED THAT THE ORDER OF THE CIT(A) TO ISSUE CERTAIN DIRECTIONS TO THE AO TANTAMOUNT TO RESTORING THE ISSUE BACK TO THE FILE OF THE AO IN C ONTRAVENTION OF THE SPECIFIC PROVISION OF SECTION 151 OF THE ACT. 5. WE HAVE CONSIDERED ARGUMENTS OF THE LEARNED DR A ND HAVE PERUSED THE ORDERS OF THE AO AND THE CIT(A). WE FIND THAT THE DIRECTIONS ISSUED BY THE CIT(A) TO THE AO WHILE DISPOSING OF THE APPE AL BEFORE HIM EXCEEDS HIS POWER AS PER THE AMENDMENT IN THE INCOM E TAX ACT AND THE CIT(A) HAS NO JURISDICTION TO ISSUE DIRECTIONS IN T HE NATURE OF RESTORING THE ISSUE BACK TO THE FILE OF THE AO. IN THIS FACT S OF THE CASE, WITHOUT GOING INTO THE MERIT OF THE ISSUE RAISED IN THE GRO UNDS OF THE APPEAL OF THE REVENUE, WE SET ASIDE THE ORDER OF THE CIT(A) TO HI S FILE WITH DIRECTION TO PASS A DE NOVO APPELLATE ORDER IN ACCORDANCE WITH LAW AND AFTER G IVING DUE OPPORTUNITY OF HEARING TO BOTH THE PARTIES. TH E CIT(A) MAY CALL FOR ITA NO.26/AHD/2011 -3- REMAND REPORT FROM THE AO ON THE ISSUE RAISED BEFOR E HIM IN THE GROUNDS OF APPEAL OF THE ASSESSEE. WE DIRECT ACCORDINGLY. 6. IN THE RESULT, REVENUES APPEAL IS ALLOWED FOR S TATISTICAL PURPOSE. ORDER PRONOUNCED IN OPEN COURT ON THE DATE MENTIONE D HEREINABOVE. SD/- SD/- ( %&' ( ) %&' ( ) %&' ( ) %&' ( ) /B.P. JAIN &* + /ACCOUNTANT MEMBER ( . .. . . .. . /G.C. GUPTA) !'# !'# !'# !'# /VICE-PRESIDENT C OPY OF THE ORDER FORWARDED TO: 1) : APPELLANT 2) : RESPONDENT 3) : CIT(A) 4) : CIT CONCERNED 5) : DR, ITAT. BY ORDER DR/AR, ITAT, AHMEDABAD