Shri Hardik Harshad Patel, Ahmedabad V. The Income Tax Officer, (Intl. Taxn.)-1, Ahmedabad

ITA 299/AHD/2015

• Counselvise Citation: [2017] 130 COUNSELVISE.COM (IT) 9441 (ITAT-AHMEDABAD)
• Duration Of Justice: 1 year(s) 11 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-01-2017
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Next Hearing Date: 16-01-2017
• Assessment Year: 2006-2007
• Appeal Filed On: 10-02-2015
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: P S CHAUDHARY
• Assessee Lawyers: S N DIVETIA
• Keywords: Unexplained investment; Peak credit
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD SMC BENCH AHMEDABAD BEFORE, SHRI S. S. GODARA, JUDICIAL MEMBER AND SHRI MANISH BORAD, ACCOUNTANT MEMBER ITA NOS.298 TO 301/AHD/2015 (ASSESSMENT YEARS:2005-06 TO 2008-09) HARDIK HARSHAD PATEL 20, ANAND BUNGLOW, OPP. AKSHAT BUNGLOWS, NR. GULAB TOWER, AHMEDABAD - 380054 APPELLANT VS. THE ITO (INTL. TAXN.)-1, 2 ND FLOOR, NAVJIVAN BUILDING, OFF ASHRAM ROAD, AHMEDABAD 14 RESPONDENT PAN: AKQPP5735K /BY ASSESSEE : SHRI S. N. DIVETIA, A.R. /BY REVENUE : SHRI P. S. CHAUDHARY, SR. D.R. /DATE OF HEARING : 16.01.2017 /DATE OF PRONOUNCEMENT : 17.01.2017 ORDER PER S. S. GODARA, JUDICIAL MEMBER THESE FOUR ASSESSEES APPEALS FOR ASSESSMENT YEARS 2005-06 TO 2008-09 ARISE FROM CIT(A), GANDHINAGARS SEPARATE ORDERS; A LL DATED 14.11.2014, PASSED IN APPEAL NOS. CIT(A)GNR/17/INTL. TAXN./2013 -14, CIT(A)GNR/16/INTL. TAXN./2013-14, CIT(A)GNR/15/INTL . TAXN./2013-14 & ITA NOS. 298 TO 301/AHD/2015 (HARDIK HARSHAD PATEL VS. ITO) A.YS. 2005-06 TO 2008-09 - 2 - CIT(A)GNR/14/INTL. TAXN./2013-14 CONFIRMING ASSESSI NG OFFICERS ACTION MAKING SECTION 69B UNEXPLAINED INVESTMENT ADDITIONS IN THE FORM OF CASH DEPOSITS IN BANK ACCOUNTS AMOUNTING TO RS.80,000/-, RS.2,60,000/-, RS.1,48,000/- AND RS.1,16,000/-; RESPECTIVELY, IN P ROCEEDINGS UNDER SECTION 143(3) R.W.S. 147 OF THE INCOME TAX ACT, 1961; IN S HORT THE ACT. 2. LEARNED COUNSEL REPRESENTING ASSESSEE AT THE OUT SET SUBMITS THAT THE ASSESSING OFFICER FRAMED RE-ASSESSMENTS IN ALL THES E CASES ON 30.03.2013 TREATING THE ABOVE CASH DEPOSITS MADE IN HIS BANK A CCOUNT AS UNEXPLAINED INVESTMENTS AS SPECIFIED IN PRECEDING PARAGRAPHS U/ S.69B OF THE ACT. HE STATES VERY FAIRLY THAT THE ASSESSEE DOES NOT OBJEC T TO THE IMPUGNED ADDITIONS IN ALL FOUR ASSESSMENT YEARS IN PRINCIPLE. HE FILE S BEFORE US A COPY OF THE TRIBUNALS ORDER IN A BATCH OF EIGHT APPEALS DATED 19.01.2016 IN CASES OF SHRI HARSHAD MAGAMBHAI PATEL AND SHARDABEN HARSHAD PATEL (ASSESSEES PARENTS) REMITTING IDENTICAL ISSUE BACK TO THE ASSESSING OFF ICER TO CONSIDER THEIR PLEA OF PEAK CREDITS ADDITION. HE THEN INVITES OUR ATTE NTION TO THE CORRESPONDING SUBSTANTIVE GROUND NO.3.2 RAISED IN ALL APPEALS THA T ONLY PEAK LIMIT IS TO BE ADDED INSTEAD OF THE ENTIRE SUM OF DEPOSITS. LD. D EPARTMENTAL REPRESENTATIVE HOWEVER FAILS TO REBUT THIS FACTUAL POSITION. 3. WE HAVE HEARD BOTH THE PARTIES AT LENGTH TO THE LIMITED EXTENT OF PEAK CREDIT ISSUE SINCE THE ASSESSEE HAS ALREADY GIVEN U P HIS CHALLENGE TO MERITS OF THE IDENTICAL ADDITION IN PRINCIPLE AS INDICATED HE REINABOVE IN ALL THE FOUR ASSESSMENT YEARS. IT IS EVIDENT THAT THE ASSESSING OFFICER HAS ADDED ALL THE DEPOSIT AMOUNTS IN ASSESSEES BANK ACCOUNT. HIS FU RTHER PLEA RAISED IN ALL THE LOWER APPELLATE PROCEEDINGS SEEKING ADDITION OF PEA K CREDIT ONLY IS NOWHERE DEALT WITH IN THE IDENTICAL LOWER APPELLATE ORDERS UNDER CHALLENGE. IT HAS ALREADY COME ON RECORD THAT WE HAVE REMITTED IDENTI CAL ISSUES (SUPRA) BACK TO THE ASSESSING OFFICER. WE THUS FOLLOW THE SUIT HER EIN AS WELL AND DIRECT THE ITA NOS. 298 TO 301/AHD/2015 (HARDIK HARSHAD PATEL VS. ITO) A.YS. 2005-06 TO 2008-09 - 3 - ASSESSING OFFICER TO EXAMINE THE ASSESSEES PEAK CR EDIT PLEA AFRESH AS PER LAW. A PERUSAL OF THE PAPER BOOK REVEALS THAT THE ASSESSEE HAS FILED DETAILS OF HIS ENTRIES IN THE BANK ACCOUNT MAINTAINED WITH TH E AHMEDABAD MERCANTILE CO-OPERATIVE BANK LTD. WITH A FURTHER CERTIFICATE T HAT THE SAME FORMED PART OF RECORD BEFORE THE ASSESSING OFFICER. WE THUS RES TORE THE INSTANT ISSUE AS WELL TO THE FILE OF ASSESSING OFFICER TO BE ADJUDIC ATED AFTER AFFORDING ADEQUATE OPPORTUNITY OF HEARING TO THE ASSESSEE. 4. THESE FOUR ASSESSEES APPEALS ARE PARTLY ACCEPTE D FOR STATISTICAL PURPOSES. [PRONOUNCED IN THE OPEN COURT ON THIS THE 17 TH DAY OF JANUARY, 2017.] SD/- SD/- ( MANISH BORAD ) (S. S. GODARA) ACCOUNTANT MEMBER JUDICIAL MEMBER AHMEDABAD: DATED 17/01/2017 TRUE COPY S.K.SINHA / COPY OF ORDER FORWARDED TO:- / REVENUE 2 / ASSESSEE ! / CONCERNED CIT 4 !- / CIT (A) ( )*+ ,--. . /0 / DR, ITAT, AHMEDABAD 1 +23 45 / GUARD FILE. BY ORDER / . // . /0