A.Narayanaswamy, CHENNAI V. ITO, CHENNAI

ITA 2928/CHNY/2014

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 86375 (ITAT-CHENNAI)
• Duration Of Justice: 3 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-03-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 26-03-2015
• Assessment Year: 2010-2011
• Appeal Filed On: 02-12-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR NISCHAL
• Assessee Lawyers: B RAMANA KUMAR
• Keywords: Unexplained investment
• Section: 142(1); 234B

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, CHENNAI , ! , ' #$ BEFORE SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER & SHRI CHALLA NAGENDRA PRASAD, JUDICIAL MEMBER ./ I.T.A. NO.2928/MDS/2014 ( / ASSESSMENT YEAR : 2010 -2011 ) SHRI. A. NARAYANASWAMY, NO.6, 2 ND MAIN ROAD, DHANDESWAR NAGAR, VELACHERY, CHENNAI 600 042. [PAN: ADGPN 4263M] ( %& /APPELLANT) VS THE INCOME TAX OFFICER, BUSINESS WARD IV (1) CHENNAI 600 034. ( !'%& /RESPONDENT) / APPELLANT BY : SHRI. B. RAMANAKUMAR, ADVOCATE / RESPONDENT BY : DR. NISCHAL, JCIT. /DATE OF HEARING : 26.03.2015 !' /DATE OF PRONOUNCEMENT : 26.03.2015 ( / O R D E R PER CHANDRA POOJARI, ACCOUNTANT MEMBER THIS APPEAL BY THE ASSESSEE IS DIRECT ED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS)-V, CHENNAI , DATED 02.09.2014. I.T.A.NO2928/MDS/2014. :- 2 -: 2. THE ASSESSEES GRIEVANCE IN THIS APPEAL IS WITH REG ARD TO ADDITION OF C22,74,860/- U/S. 68 OF THE INCOME TAX ACT. 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE H AD ELECTRONICALLY FIKED HIS INCOME TAX RETURN FOR THE ASSESSMENT YEAR 2010-11 DECLARING HIS INCOME OF C4,20,590/-. THE C ASE WAS SELECTED FOR SCRUTINY THROUGH CASS AND NOTICES UNDER SECTION 143(2) AND 142(1) WERE ISSUED. THE ASSESSING OFFICER COMPLETED THE A SSESSMENT U/S.143(3) DETERMINING THE TOTAL INCOME AT C26,95,4 50/- BY ADDING THE CASH DEPOSIT OF C22,74,860/- AS UNEXPLAINED INCOME. THE ASSESSING OFFICER HAS ALSO LEVIED INTEREST U/S. 234A, 234B AN D 234C AMOUNTING TO C1,02,760/-, C2,64,240/- AND C1,455/- RESPECTIVELY. AGGRIEVED, THE ASSESSEE PREFERRED AN APPEAL BEFORE THE COMMISSIONE R OF INCOME TAX (APPEALS). THE COMMISSIONER OF INCOME TAX (APPEAL S) VIDE ORDER DATED 02.09.2014 CONFIRMED THE ABOVE ADDITION. AGA INST THIS, THE ASSESSEE IS IN APPEAL BEFORE US. 4. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE MAT ERIAL ON RECORD. THE LD. COUNSEL SUBMITTED THAT THE ASSESS EE IS A SENIOR CITIZEN DERIVING INCOME FROM HOUSE PROPERTY. THERE IS S UFFICIENT CASH BALANCE ON HAND AND SAME WAS DEPOSITED INTO HIS BAN K ACCOUNT AND THERE IS NO UNEXPLAINED INVESTMENT OR UNEXPLAINED C REDIT. HE I.T.A.NO2928/MDS/2014. :- 3 -: SUBMITTED THAT THE ASSESSEE COULD EXPLAIN EVERY T RANSACTION IN BANK ACCOUNT IF PROPER OPPORTUNITY OF HEARING IS GIVEN T O THE ASSESSEE BY THE ASSESSING OFFICER. WE ARE INCLINED TO CONSIDER THIS REQUEST OF ASSESSEES COUNSEL. ACCORDINGLY, WE REMIT THE DISP UTED ISSUE TO THE FILE OF THE ASSESSING OFFICER WITH THE DIRECTION TO GIVE ONE MORE OPPORTUNITY TO THE ASSESSEE TO PRESENT HIS CASE. F URTHER, WE ALSO DIRECT THE ASSESSEE TO PLACE FULL PARTICULARS OF FINANCIAL STATEMENTS AND OTHER EVIDENCE TO SUPPORT HIS CASE AND THEREAFT ER, THE ASSESSING OFFICER SHALL CONSIDER THE SAME AFTER GIVING ADEQUA TE OPPORTUNITY OF HEARING TO THE ASSESSEE. 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE IN ITA NO.2928/MDS/2014 IS PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME OF H EARING ON THURSDAY, THE 26 TH OF MARCH, 2015 AT CHENNAI SD/- SD/- ( ! ) (CHALLA NAGENDRA PRASAD) ' / JUDICIAL MEMBER ( ) (CHANDRA POOJARI) / ACCOUNTANT MEMBER #$ /CHENNAI. %& /DATED:26.03.2015. KV &' () *) /COPY TO: 1. + APPELLANT 2. / RESPONDENT 3. , ( )/CIT(A) 4. , /CIT 5. )-. / /DR 6. .0 1 /GF. I.T.A.NO2928/MDS/2014. :- 4 -: