ITO, W-2, Hindupur V. M/s. Donty Hardware Mart, Hindupur

ITA 279/HYD/2011

• Counselvise Citation: [2011] 134 COUNSELVISE.COM (IT) 3383 (ITAT-HYDERABAD)
• Duration Of Justice: 2 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-04-2011
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2004-2005
• Appeal Filed On: 22-02-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: JAYASHANKAR
• Assessee Lawyers: CHAITANYA KUMAR

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH B (SMC), HYDERABAD BEFORE SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER ITA NO.279/HYD/2011 : ASSESSMENT YEAR 2004- 05 INCOME - TAX OFFICER, WARD - 2, HINDUPUR. VS M/S. DONTY HARDWARE MART, HINDUPUR (PAN AABFD 3117 A) (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI JAYASHANKAR RESPONDENT BY : SHRI CHAITANYA KUMAR O R D E R THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST TH E ORDER OF THE COMMISSIONER OF INCOME-TAX(APPEALS), G UNTUR DATED 21.09.2010 FOR THE ASSESSMENT YEAR 2004-05. 2. EFFECTIVE GROUNDS OF THE REVENUE IN THIS APPEA L READ AS FOLLOWS- (I) THE ORDER OF THE COMMISSIONER OF INCOME-TAX(APPEALS), GUNTUR IS ERRONEOUS AND ALSO BAD IN LAW. (II) THE COMMISSIONER OF INCOME- TAX(APPEALS) GUNTUR OUGHT NOT ALLOWED THE APPEAL OF THE ASSESSEE KEEPING IN VIEW THE FACT THAT THE ASSESSEE COULD NOT PROVE THE UNACCOUNTED PURCHASES AND OTHER EXPENSES RELATED TO THE UNACCOUNTED SALES. ITA NO.279/H/2011 M/S. DHONTY HARDWARE MART, HINDUPUR 2 3. I HAVE HEARD THE PARTIES AND PERUSED THE MATER IAL ON RECORD. AT THE OUTSET, THE LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE IMPUGNED ORDER OF ASSESSMENT HA S BEEN PASSED BY THE ASSESSING OFFICER IN PURSUANCE OF THE ORDER OF THE COMMISSIONER OF INCOME-TAX, TIRUPATI PASSED UNDER S .263 OF THE INCOME TAX ACT, AND INASMUCH AS THE SAID ORDER OF T HE COMMISSIONER OF INCOME-TAX PASSED UNDER S.263 OF TH E ACT HAS BEEN CANCELLED BY THIS TRIBUNAL VIDE ITS ORDER DATE D 6 TH AUGUST, 2010 IN ITA NO.904/HYD/2009, FURTHER PROCEEDINGS TA KEN UP IN PURSUANCE OF THE ORDER OF THE COMMISSIONER OF INCOM E-TAX PASSED UNDER S.263 HAVE BECOME INFRUCTUOUS, AND AS SUCH THE CIT(A) WAS CORRECT IN CANCELLING THE IMPUGNED ASSES SMENT FRAMED UNDER S.143(3) READ WITH S.263 OF THE ACT. A COPY OF THE ORDER OF THIS TRIBUNAL DATED 6 TH AUGUST, 2010 IN ITA NO.904/HYD/2009 HAS BEEN FILED BEFORE ME. LEARNED DEPARTMENTAL REPRESENTATIVE, COULD NOT CONTROVERT T HE SUBMISSIONS OF THE LEARNED COUNSEL FOR THE ASSESSEE , THOUGH HE RELIED ON THE IMPUGNED ORDER OF ASSESSMENT. 4. IT IS AN UNDISPUTED FACT THAT THE ORDER OF THE COMMISSIONER OF INCOME-TAX PASSED UNDER S.263 OF TH E ACT, WHICH PROMPTED THE ASSESSING OFFICER TO PASS THE IM PUGNED ASSESSMENT UNDER S.143(3) READ WITH S.263 OF THE A CT, HAS BEEN CANCELLED BY THIS TRIBUNAL, VIDE ITS ORDER DAT ED 6 TH AUGUST, 2010 CITED SUPRA. CONSEQUENTLY, THERE IS NO BASI S FOR THE IMPUGNED ORDER OF ASSESSMENT PASSED BY THE ASSESSI NG OFFICER UNDER S.143(3) READ WITH S.263 OF THE ACT, AND AS S UCH THE SAME WAS RIGHTLY CANCELLED BY THE CIT(A) BY HIS IMP UGNED ORDER DATED. 21.9.2010. I ACCORDINGLY UPHOLD THE ORDER OF THE CIT(A) IN ITA NO.279/H/2011 M/S. DHONTY HARDWARE MART, HINDUPUR 3 CANCELLING THE ORDER OF ASSESSMENT DATED 22.12.200 9 PASSED UNDER S.143(3) READ WITH S.263 OF THE ACT, AND REJE CT THE GROUNDS OF THE REVENUE IN THIS APPEAL. 4. IN THE RESULT, REVENUES APPEAL IS DISMISSED. ORDER PRONOUNCED AT THE CONCLUSION OF HEARING ON THE APPEAL ON 25.4.2011 SD/- (CHANDRA POOJARI) A CCOUNTANT MEMBER DATED THE 25TH APRIL,, 2011 COPY FORWARDED TO: 1. M/S. DHONTY HARDWARE MART, D.NO.7-2-116, D.I. RO AD, HINDUPUR 515 201. 2. INCOME-TAX OFFICER, WARD-2, HINDUPUR. 3. CIT (A), GUNTUR 4. COMMISSIONER OF INCOME - TAX , TIRUAPTI 5. DEPARTMENTAL REPRESENTATIVE, ITAT, HYDERABAD B.V.S.