Prakash Kishanchand Meghani, Pune V. Income-tax Officer, Ward - 8(3), Pune

ITA 292/PUN/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 3360 (ITAT-PUNE)
• Duration Of Justice: 1 year(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-02-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2012-2013
• Appeal Filed On: 05-02-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: ARISES OUT OF PASSED

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH SMC, PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT . / ITA NO.292/PUN/2018 / ASSESSMENT YEAR : 2012-13 PRAKASH KISHANCHAND MEGHANI, PROP. HARI OM ENGINEERS, SHOP NO.5, SAKORE CHAMBERS, STATION ROAD, PIMPRI, PUNE 411 018 PAN : ABOPM0390A VS. ITO, WARD-8(3), PUNE (APPELLANT) (RESPONDENT) / ORDER PER R.S.SYAL, VP : THIS APPEAL BY THE ASSESSEE ARISES OUT OF THE ORDER PASSED BY THE CIT(A)-8, PUNE ON 24-11-2017 IN RELATION TO THE ASSESSMENT YEAR 2012-13. 2. THE ONLY ISSUE RAISED IN THIS APPEAL IS AGAINST THE CONFIRMATION OF ADDITION OF RS.2,50,000/- MADE BY THE ASSESSING OFFICER (AO) U/S.68 OF THE INCOME-TAX ACT, 196 1. 3. BRIEFLY STATED, THE FACTS OF THE CASE ARE THAT THE ASSESS EE IS A TRADER IN MOTOR PUMP SPARE PARTS. HE FILED HIS RETURN APPELLANT BY NONE RESPONDENT BY SHRI RAJESH GAWALI DATE OF HEARING 18-02-2019 DATE OF PRONOUNCEMENT 19-02-2019 ITA NO.292/PUN/2018 PRAKASH K. MEGHANI 2 DECLARING TOTAL INCOME AT RS.6,25,824/-. A LOAN OF RS.2,50,000/- WAS SHOWN TO HAVE BEEN RECEIVED BY CHEQ UE DATED 22-10-2011 FROM MR. SRIKANT PADALKAR. ON VERIFICATIO N OF THE LENDERS BANK ACCOUNT, THE AO OBSERVED THAT HE DEPOSITED CASH OF EQUAL AMOUNT IN HIS BANK ACCOUNT BEFORE ADVANCING LOAN TO THE ASSESSEE. HE, THEREFORE, DID NOT A CCEPT THE GENUINENESS OF THE TRANSACTION AND MADE ADDITION OF U/S.6 8 OF THE ACT, WHICH CAME TO BE COUNTENANCED IN THE FIRST APPE AL. 4. I HAVE HEARD THE LD. DR AND PERUSED THE RELEVANT MATERIAL ON RECORD. THERE IS NO APPEARANCE FROM THE SIDE OF THE ASSESSEE DESPITE NOTICE. AS SUCH, I AM PROCEEDING TO DISPOSE OF THE APPEAL EX PARTE QUA THE ASSESSEE. IT CAN BE SEEN FROM THE ARGUMENTS ADDUCED BY THE ASSESSEE BEFORE THE LD. CIT(A) THAT MR. SRIKANT PADALKAR FILED HIS RETURN DECLARING TOTAL INCOME AT RS.5,73,660/- FOR THE INSTANT YEAR. HE DEPOSITED A SUM OF RS.2,50,000/- IN HIS BANK ACCOUNT BE FORE ISSUING CHEQUE TO THE ASSESSEE. CONSIDERING THE FACT THAT TH E AMOUNT OF LOAN IS LESS THAN 45% OF THE TOTAL INCOME DECLARED BY MR. SRIKANT PADALKAR, THE EXPLANATION SO TENDERED THAT HE DEPOSITED CASH IN HIS BANK ACCOUNT BEFORE ISSUING CHEQUE TO THE ASSESSEE, CANNOT BE FAULTED WITH. EXCEPT FOR THIS FACT, THE ITA NO.292/PUN/2018 PRAKASH K. MEGHANI 3 AO HAS BROUGHT NO MATERIAL ON RECORD CASTING SHADOW OF D OUBT ON THE GENUINENESS OF THE TRANSACTION. CONSIDERING THE PECULIA R FACTS AND CIRCUMSTANCES OF THE INSTANT CASE, I AM SATISFIED THAT THE ADDITION HAS BEEN WRONGLY MADE AND SUSTAINED. I, THEREFORE, OVERTURN THE IMPUGNED ORDER ON THIS SCORE AND ORDER TO DELETE THE ADDITION. 5. IN THE RESULT, THE APPEAL IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 19 TH FEBRUARY, 2019 SD/- (R.S.SYAL) / VICE PRESIDENT PUNE; DATED : 19 TH FEBRUARY, 2019 / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT; 2. / THE RESPONDENT; 3. ( ) / THE CIT (APPEALS)-8, PUNE 4. PR.CIT-5, PUNE 5. , , SMC / DR SMC, ITAT, PUNE; 6. / GUARD FILE. // TRUE COPY // / BY ORDER, // TRUE COPY // SENIOR P RIVATE SECRETARY , / ITAT, PUNE ITA NO.292/PUN/2018 PRAKASH K. MEGHANI 4 DATE 1. DRAFT DICTATED ON 18-02-2019 SR.PS 2. DRAFT PLACED BEFORE AUTHOR 19-02-2019 SR.PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. JM 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS 6. KEPT FOR PRONOUNCEMENT ON SR.PS 7. DATE OF UPLOADING ORDER SR.PS 8. FILE SENT TO THE BENCH CLERK SR.PS 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK 10. DATE ON WHICH FILE GOES TO THE A.R. 11. DATE OF DISPATCH OF ORDER. *