Rajesh Abhay Purohit, V. Tax Recovery Officer,

ITA 303/PUN/2016

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 9442 (ITAT-PUNE)
• Duration Of Justice: 1 year(s) 10 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-01-2018
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 24-01-2018
• Assessment Year: 2005-2006
• Appeal Filed On: 01-03-2016
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: VIVEK AGGARWAL; MUKESH JHA
• Section: 147; 148; 144

Judgement Text

] IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH B, PUNE BEFORE MS. SUSHMA CHOWLA, JM AND SHRI ANIL CHATURVEDI, AM . / ITA NO.303/PUN/2016 / ASSESSMENT YEAR : 2005-06 RAJESH ABHAY PUROHIT, 25/A, MARKET YARD, PUNE 411 037. PAN : ABXPP7516N. . / APPELLANT V/S TAX RECOVERY OFFICER, RANGE 2, PUNE. . / RESPONDENT ASSESSEE BY : NONE REVENUE BY : SHRI VIVEK AGGARWAL & SHRI MUKESH JHA. / ORDER PER ANIL CHATURVEDI, AM : 1. THIS APPEAL FILED BY THE ASSESSEE IS EMANATING OUT OF THE ORDER OF COMMISSIONER OF INCOME TAX (A) 4, PUNE, DT.30.01.2015 FOR THE ASSESSMENT YEAR 2005-06. 2. THE RELEVANT FACTS AS CULLED OUT FROM THE MATERIAL ON RE CORD ARE AS UNDER :- ASSESSEE IS AN INDIVIDUAL WHO FILED HIS RETURN OF INCOME FOR A.Y . 2005-06 ON 30.10.2005 DECLARING TOTAL INCOME OF RS.14,94,819 /-. THE ASSESSMENT WAS RE-OPENED BY ISSUANCE OF NOTICE U/S 148 OF THE ACT / DATE OF HEARING : 24.01.2018 / DATE OF PRONOUNCEMENT: 25.01.2018 2 DT.29.03.2012 AND U/S 143(2) OF THE ACT DT.28.09.2012. THER EAFTER, THE ASSESSMENT WAS FRAMED U/S 144 R.W.S. 147 OF THE ACT VIDE ORDER DT.25.03.2013 AND THE TOTAL INCOME WAS DETERMINED AT RS.1,51,59,330/-. AGGRIEVED BY THE ORDER OF AO, ASSESSEE C ARRIED THE MATTER BEFORE LD.CIT(A), WHO VIDE ORDER DT.30.01.2015 (IN A PPEAL NO.PN/CIT(A)-4/TRO/2/281/2013-14/87) DISMISSED THE APPEA L OF THE ASSESSEE. AGGRIEVED BY THE ORDER OF LD.CIT(A), ASSESSEE IS NOW IN APPEAL BEFORE US AND HAS RAISED THE FOLLOWING GROUNDS : 1. APPELLANT HAS FILED INCOME TAX RETURN SUPPORTED BY TRADING, PROFIT & LOSS ACCOUNT AND BALANCE SHEET. HENCE THERE WAS NO MISTAKE WHATSOEVER COMMITTED BY HIM IN A.Y . 2005-06 . HENCE THE ASSESSMENT ORDER PASSED IS ILLEGAL . 2) IF YOU LOOK AT COPY OF COMPUTATION OF INCOME & BALANCE SHEET FOR A.Y. 2005-06, THERE IS NO GROUND TO MAKE HEAVY ADDITION OF RS. 54,53,950/ - , HENCE ADDITION MADE IS ARBITRARY AND ILLEGAL . THE LEARNED A.O . WITHOUT FURNISHING COPY OF ACCOUNTS IN BOOK OF OF SHRI MANMOHAN SHREE DEVELOPERS HAS MADE ADDITION OF RS . 54,53,950/- WHICH IS AGAINST THE PRINCIPLE OF NATUR AL JUSTICE AND HENCE ILLEGAL. 3) A.O. NEVE R GAVE COPY OF ACCOUNT STATEMENT AND BALANCE SHEET FOR A . Y.2004-05. HENCE, ADDITION MADE OF RS.39,10,625/- IS ARBITRARY AND ILLEGAL . THERE IS NO BASIS WHATSOEVER TO RELY ON THE COPY OF ACCOUNT STATEMENT FOR A . Y.2004-05 WHICH SHOWS NIL BALANCE. THIS ACCOUNT STATEMENT DOES NOT BELONG TO THE APPELLANT . TH I S CAN BE SEEN COPY OF COMPUTATION AND BALANCE SHEET FOR A.Y.2004-05 WHICH ATTACHED. THUS LOWER AUTHORITY IS ARBITRARILY AND ILLEGALLY DEALT WITH THIS ASPECT . HENCE ASSESSMENT NEEDS TO BE SET ASIDE . AND COPIES OF ACCOUNTS RELIED UPON BY THE A . O. AS WELL AS HON . CIT(A) NEED TO BE GIVEN TO THE APPELLANT. COPY OF TRADING A/C, PROFIT AND LOSS A/C AND BALANCE SHEET AS ON 31-03- 2004 FOR A.Y.2004-05 IS ATTACHED HEREWITH . 4) APPELLANT HAS ATTENDED OFFICE OF A.O. DURING THE COURSE OF ASSESSMENT FOR A.Y.2005-06 ON 04-03-2013, BUT A.O. DID NOT FURNISH THE COPY OF ACCOUNTS BOOK OF SHRI MANMOHAN SHREE DEVELOPERS. INSTEAD THE A.O. ASKED THE APPELLANT TO PRODUCE BOOK OF A/CS. THE APPELLANT SUBMITTED THAT IS BEYOND SIX YEARS NOW 31-03-2006 PLUS 6 YEARS I.E. 31-03-2012, ON THE OF HEARING ON 04- 03-2013, HE NOT PRODUCED THE BOOKS OF ACCOUNTS THEN ASSESSMENT ORDER U/S.144 IS ARBITRARY AND ILLEGAL AND ADDITION MADE AT RS.54,53,950/- IS ILLEGAL AND WITHOUT ANY BASIS. 5) THE ADDITION MADE OF RS.39,10,625/- BASED ON CLO SING BALANCES ON 31-03-2004 AND OPENING BALANCE OF CABLE A/C ON 01- 04-2004 RELEVANT TO A.Y.2005-06 IS ILLEGAL HE HAS C OLLECTED INFORMATION NOT FURNISHED TO APPELLANT WHO HAS SUBM ITTED BEFORE A.O. DURING THE COURSE OF ASSESSMENT PROCEEDINGS TH AT COPY OF TRADING AND PROFIT AND LOSS ACCOUNT FOR YEAR ENDED 31-03-2004 IS 3 INCORRECT, BUT A.O. MADE HEAVY ADDITION OF RS.39,10 ,625/- SHOWING DIFFERENCE IN CABLE ACCOUNT, ENTIRE ADDITIO NS IS ARBITRARY AND ILLEGAL. 6) APPELLANT WAS NEVER GIVEN COPY OF ACCOUNTS FOR YEAR ENDED 31- 03-2004, COLLECTED BY A . O . AT BACK OF APPELLANT HENCE ADDITION ON DIFFERENCE IN CLOSING BALANCE THE GROUNDS AT RS . 39,10,625/- IS ILLEGAL AND BASELESS ON THIS GROUNDS ALSO THE ASSES SMENT NEEDS TO BE SET ASIDE. 7) ADDITION ON INVESTMENT OF RS.43,00,000/- IS ILL EGAL AS IT IS NOT BASED ON ANY INVESTMENT MADE BY THE APPELLANT. HENC E, ADDITION MADE AND SUSTAINED IN APPEAL AT RS. 43 LAKHS, IS AR BITRARY AND ILLEGAL . COPIES OF TRADING A/C, PROFIT & LOSS A/C AND BALANC E SHEET ON 31-03-2004 AS WELL AS 31-03-2005 ARE ATTAC HED HEREWITH. 3. THE CASE FILE REVEALS THAT ON EARLIER OCCASION NONE APP EARED ON BEHALF OF THE ASSESSEE NOR ANY ADJOURNMENT APPLICATION W AS FILED. IT IS FURTHER SEEN THAT THE NOTICE OF HEARING SENT THROUGH RE GISTERED POST OF ACKNOWLEDGMENT HAS BEEN RETURNED UNDELIVERED WITH THE R EMARK LEFT BY POSTAL AUTHORITIES. THE ASSESSEE HAS NOT INTIMATED THE CHANGED ADDRESS, IF ANY. IT IS FURTHER NOTICED THAT THERE IS DELAY OF 336 DAYS IN FILING THE PRESENT APPEAL AND ASSESSEE HAS ALSO NOT FILED A NY CONDONATION PETITION FOR THE DELAY IN FILING THE APPEAL. ON THE DATE OF HEARING ALSO NONE APPEARED ON BEHALF OF THE ASSESSEE NOR ANY ADJOURNMENT APPLICATION WAS FILED. IN SUCH CIRCUMSTANCES, W E PRESUME THAT ASSESSEE IS NOT INTERESTED IN PROSECUTING THE PRESENT APPEAL. WE THEREFORE DISMISS THE APPEAL OF THE ASSESSEE IN LIMINE. 4. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS DISMIS SED. ORDER PRONOUNCED ON 25 TH DAY OF JANUARY, 2018. SD/- SD /- ( SUSHMA CHOWLA ) ( ANIL CHATURVEDI ) ! / JUDICIAL MEMBER '! / ACCOUNTANT MEMBER PUNE; DATED : 25 TH JANUARY, 2018. YAMINI 4 #$%&'('% / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT 3 . 4. 5. 6. THE CIT(A)-4, PUNE. THE CIT-3, PUNE. '#$ %%&',) &', / DR, ITAT, B PUNE; $*+,/ GUARD FILE. / BY ORDER , / / TRUE COPY / / COPY // -./%0&1 / SR. PRIVATE SECRETARY ) &', / ITAT, PUNE.