BHARUCHA & PARTNERS, MUMBAI V. ACIT - 16(2), MUMBAI

ITA 3069/MUM/2018

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 6040 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 4 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-10-2019
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2014-2015
• Appeal Filed On: 10-05-2018
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: K MADHUSUDHAN LD
• Section: 143(3)

Judgement Text

1 ITA NO.3069/MUM/2018 M/S. BHARUCHA & PARTNERS ASSESSMENT YEAR-2014-15 IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, MUMBAI , , BEFORE SHRI SAKTIJIT DEY, JM AND SHRI MANOJ KUMAR AGGARWAL, AM ./ I.T.A. NO.3069/MUM/2018 ( / ASSESSMENT YEAR:2014-15) M/S. BHARUCHA & PARTNERS CECIL COURT, 4 TH FLOOR M.K. BHUSHAN ROAD, COLABA MUMBAI-400 039. / VS. A CIT - 1 6 ( 2 1) AAYKAR BHAVAN, MUMBAI-400 020. ./ ./PAN/GIR NO. AAIFB-4100-C ( '# /APPELLANT ) : ( $%'# / RESPONDENT ) '#& / APPELLANT BY : NONE $%'#& / RESPONDENT BY : SHRI K. MADHUSUDHAN LD. CIT - DR / DATE OF HEARING : 03/10/2019 / DATE OF PRONOUNCEMENT : 03/10/2019 / O R D E R MANOJ KUMAR AGGARWAL (ACCOUNTANT MEMBER):- 1. AGGRIEVED BY CONFIRMATION OF ADHOC DISALLOWANCE OF 5% OF MISCELLANEOUS EXPENSES AS WELL AS TELEPHONE AND FAX CHARGES BY FIRST APPELLATE AUTHORITY, THE ASSESSEE IS UNDER APPEAL B EFORE US. NONE HAS APPEARED FOR ASSESSEE AND NO VALID ADJOURNMENT APPL ICATION IS ON RECORD. 2 ITA NO.3069/MUM/2018 M/S. BHARUCHA & PARTNERS ASSESSMENT YEAR-2014-15 LEFT WITH NO OPTION, THE MATTER IS PROCEEDED WITH E X-PARTE QUA THE ASSESSEE AFTER HEARING THE REVENUE AND ON THE BASIS OF MATER IAL ON RECORD. 2. THE ASSESSEE BEING RESIDENT FIRM OF ADVOCATES & SOLICITORS WAS ASSESSED U/S 143(3) ON 24/12/2016 WHEREIN IT WAS SA DDLED WITH ADHOC DISALLOWANCE OF 10% TO ACCOUNT FOR PERSONAL ELEMENT AGAINST MISCELLANEOUS EXPENSES AND TELEPHONE & FAX CHARGES DEBITED TO THE PROFIT & LOSS ACCOUNT. THE SAME RESULTED INTO AN ADDITION OF RS.6 .45 LACS IN THE HANDS OF THE ASSESSEE. THE LEARNED FIRST APPELLATE AUTHORITY OBSERVED THAT THE ASSESSEE DID NOT SUBMIT ANY SUBSTANTIVE SUPPORTING DOCUMENTS TO JUSTIFY ITS CLAIM AND THEREFORE, UPHELD THE DISALLOWANCE TO THE EXTENT OF 5%. STILL AGGRIEVED, THE ASSESSEE IS UNDER APPEAL BEFORE US. 3. UPON DUE CONSIDERATION, WE FIND THAT THE ONUS WA S ON ASSESSEE TO SUBSTANTIATE THE CLAIM OF EXPENDITURE AT THE THRESH OLD OF SECTION 37(1). KEEPING IN VIEW THE OBSERVATION OF FIRST APPELLATE AUTHORITY, WE FIND NO REASON TO INTERFERE IN THE IMPUGNED ORDER. 4. THE APPEAL STANDS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 03 RD OCTOBER, 2019. SD/- SD/- (SAKTIJIT DEY) (MANOJ KUMAR AGGARWAL) / JUDICIAL MEMBER / ACCOUNTANT MEMBER MUMBAI; DATED : 03/10/2019 SR.PS:-JAISY VARGHESE 3 ITA NO.3069/MUM/2018 M/S. BHARUCHA & PARTNERS ASSESSMENT YEAR-2014-15 => ?> / COPY OF THE ORDER FORWARDED TO : 1. '# / THE APPELLANT 2. $%'# / THE RESPONDENT 3. ( ) / THE CIT(A) 4. / CIT CONCERNED 5. I J$ K , K , / DR, ITAT, MUMBAI 6. J LMN / GUARD FILE / BY ORDER, / (DY./ASSTT.REGISTRAR) , / ITAT, MUMBAI.