Shri Thakul Chaplot, RAJSAMAND V. ACIT, UDAIPUR

ITA 274/JODH/2014

• Counselvise Citation: 27423314 RSA 2014
• Duration Of Justice: 1 year(s) 4 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-09-2015
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB
• Next Hearing Date: 03-09-2015
• Assessment Year: 2004-2005
• Appeal Filed On: 30-04-2014
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: S L MAURYA
• Assessee Lawyers: AMIT KOTH ARI
• Section: 147; 148

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL JODHPUR BENCH, JODHPUR JODHPUR BENCH, JODHPUR JODHPUR BENCH, JODHPUR JODHPUR BENCH, JODHPUR BEFORE SHRI BEFORE SHRI BEFORE SHRI BEFORE SHRI G.C. GUPTA G.C. GUPTA G.C. GUPTA G.C. GUPTA, , , , HONBLE HONBLE HONBLE HONBLE VICE VICE VICE VICE PRESIDENT AND PRESIDENT AND PRESIDENT AND PRESIDENT AND SHRI SHRI SHRI SHRI R.C. SHARMA R.C. SHARMA R.C. SHARMA R.C. SHARMA, , , , HON'BLE ACCOUNTANT HON'BLE ACCOUNTANT HON'BLE ACCOUNTANT HON'BLE ACCOUNTANT MEMBER MEMBER MEMBER MEMBER ITA NO ITA NO ITA NO ITA NO . .. . 274/JODH/2014 274/JODH/2014 274/JODH/2014 274/JODH/2014 ASSESSMENT YEAR ASSESSMENT YEAR ASSESSMENT YEAR ASSESSMENT YEAR : : : : 2004 2004 2004 2004 - -- - 05 0505 05 SHRI THAKUR CHAPLOT, SHRI THAKUR CHAPLOT, SHRI THAKUR CHAPLOT, SHRI THAKUR CHAPLOT, PROP. M/S BAPU TILES CO., PROP. M/S BAPU TILES CO., PROP. M/S BAPU TILES CO., PROP. M/S BAPU TILES CO., CHAPLOT GALI, RAJNAGAR, CHAPLOT GALI, RAJNAGAR, CHAPLOT GALI, RAJNAGAR, CHAPLOT GALI, RAJNAGAR, RAJSAMAND (RAJASTHAN). RAJSAMAND (RAJASTHAN). RAJSAMAND (RAJASTHAN). RAJSAMAND (RAJASTHAN). PAN : AAPPC9323H. PAN : AAPPC9323H. PAN : AAPPC9323H. PAN : AAPPC9323H. VS. VS. VS. VS. ASSISTANT COMMISSIONER OF ASSISTANT COMMISSIONER OF ASSISTANT COMMISSIONER OF ASSISTANT COMMISSIONER OF INCOME TAX, INCOME TAX, INCOME TAX, INCOME TAX, CIRCLE CIRCLE CIRCLE CIRCLE- -- -2, 6, NEW FATEHPURA, 2, 6, NEW FATEHPURA, 2, 6, NEW FATEHPURA, 2, 6, NEW FATEHPURA, UDAIPUR UDAIPUR UDAIPUR UDAIPUR 313 001. 313 001. 313 001. 313 001. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI AMIT KOTHARI, CA. RESPONDENT BY : SHR I S.L. MAURYA, DR. DATE OF HEARING : 03.09.2015 03.09.2015 03.09.2015 03.09.2015 DATE OF PRONOUNCEMENT: 04.09.2015 04.09.2015 04.09.2015 04.09.2015 ORDER ORDER ORDER ORDER PER G.C. GUPTA, VICE PRESIDENT PER G.C. GUPTA, VICE PRESIDENT PER G.C. GUPTA, VICE PRESIDENT PER G.C. GUPTA, VICE PRESIDENT : :: : THIS APPEAL BY THE ASSESSEE FOR THE ASSESSMENT YEA R 2004-05 IS DIRECTED AGAINST THE ORDER OF LEARNED CIT(A), UDAIP UR DATED 21 ST FEBRUARY, 2014. 2. GROUND NO.1 OF THE ASSESSEES APPEAL READS AS UN DER:- 1. THE LEARNED COMMISSIONER OF INCOME-TAX (APPEALS ) ERRED IN LAW AS WELL AS ON THE FACTS AND CIRCUMSTAN CES OF THE CASE IN CONFIRMING THAT THE ASSESSING OFFICE R WAS JUSTIFIED IN REOPENING OF THE ASSESSMENT OF THE APP ELLANT BY ISSUING THE NOTICE UNDER SECTION 148 READ WITH SECTION 147 OF THE ACT. 3. AT THE TIME OF HEARING, THE LEARNED COUNSEL FOR THE ASSESSEE HAS NOT PRESSED THIS GROUND, WHICH IS ACCORDINGLY DISMI SSED. ITA-274/JODH/2014 2 4. GROUND NO.2 OF THE ASSESSEES APPEAL READS AS UN DER:- 2. THE LEARNED COMMISSIONER OF INCOME-TAX (APPEALS ) ERRED IN LAW AS WELL AS ON THE FACTS AND CIRCUMSTAN CES OF THE CASE IN CONFIRMING THE ADDITION OF RS.1,49,7 12/- ON ACCOUNT OF UNRECORDED SALES MADE BY THE ASSESSIN G OFFICER. 5. LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT ALTHOUGH THE ASSESSEE HAS A GOOD CASE ON MERITS BUT IT HAS NO OB JECTION IF A REASONABLE RATE OF PROFIT IS APPLIED ON ACCOUNT OF SO CALLED UNRECORDED SALES. 6. LEARNED DR HAS RELIED ON THE ORDER OF THE ASSESS ING OFFICER AND THE LEARNED CIT(A). 7. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND HAV E PERUSED THE ORDER OF THE ASSESSING OFFICER AND THE LEARNED CIT( A). IT IS WELL-SETTLED THAT ONLY A REASONABLE RATE OF PROFIT COULD BE APPL IED WHERE UNRECORDED SALES ARE FOUND AND THE ENTIRE AMOUNT OF UNRECORDED SALES COULD NOT BE TAKEN AS INCOME OF THE ASSESSEE. IN THE FACTS O F THE CASE, WE ARE OF THE VIEW THAT IT SHALL BE REASONABLE TO APPLY A NET PROFIT RATE OF 13.5% ON THE AMOUNT OF UNRECORDED SALES OF `1,49,712/- AN D ADD THE AMOUNT OF PROFIT SO DETERMINED AS INCOME OF THE ASSESSEE A ND TO DELETE THE BALANCE ADDITION MADE BY THE ASSESSING OFFICER. WE DIRECT ACCORDINGLY. 8. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS PAR TLY ALLOWED. DECISION PRONOUNCED IN THE OPEN COURT ON 04.09.2015 . SD/- SD/- ( (( ( R.C. SHARMA R.C. SHARMA R.C. SHARMA R.C. SHARMA ) )) ) (G. (G. (G. (G. C. GUPTA C. GUPTA C. GUPTA C. GUPTA ) )) ) ACCOUNTANT ACCOUNTANT ACCOUNTANT ACCOUNTANT MEMBER MEMBER MEMBER MEMBER VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VK. ITA-274/JODH/2014 3 COPY FORWARDED TO: - 1. APPELLANT : SHRI THAKUR CHAPLOT, PROP. M/S B APU TILES CO., SHRI THAKUR CHAPLOT, PROP. M/S BAPU TILES CO., SHRI THAKUR CHAPLOT, PROP. M/S BAPU TILES CO., SHRI THAKUR CHAPLOT, PROP. M/S BAPU TILES CO., CHAPLOT GALI, CHAPLOT GALI, CHAPLOT GALI, CHAPLOT GALI, RAJNAGAR, RAJSAMAND (RAJASTHAN). RAJNAGAR, RAJSAMAND (RAJASTHAN). RAJNAGAR, RAJSAMAND (RAJASTHAN). RAJNAGAR, RAJSAMAND (RAJASTHAN). 2. RESPONDENT : ASSISTANT COMMISSIONER OF INCOME T AX, ASSISTANT COMMISSIONER OF INCOME TAX, ASSISTANT COMMISSIONER OF INCOME TAX, ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE CIRCLE CIRCLE CIRCLE- -- -2, 6, NEW FATEHPURA, UDAIPUR 2, 6, NEW FATEHPURA, UDAIPUR 2, 6, NEW FATEHPURA, UDAIPUR 2, 6, NEW FATEHPURA, UDAIPUR 313 001. 313 001. 313 001. 313 001. 3. CIT 4. CIT(A) 5. DR, ITAT ASSISTANT REGISTRAR