Shri Mahendra Singh, Bhopal V. The ITO, Bhopal

ITA 317/IND/2010

• Counselvise Citation: 31722714 RSA 2010
• Duration Of Justice: 1 year(s) 8 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-02-2012
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 24-08-2011
• Assessment Year: 2006-2007
• Appeal Filed On: 19-05-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A DEWAN

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL , INDORE BENCH, INDORE BEFORE SHRI JOGINDER SINGH, J.M. AND SHRI R.C.SHARM A, A.M. PAN NO. : AELPS9811E I.T.A.NO. 317/IND/2010 A.Y. : 2006 - 07 SHRI MAHENDRA SINGH, ITO DAULATPUR HOUSE, VS 2(1) 144/1, PROFES SOR COLONY, BHOPAL. BHOPAL APPELLANT RESPONDENT APPELLANT BY : SHRI SUMIT NEMA, ADV. RESPONDENT BY : SHRI A DEWAN, SR. DR DATE OF HEARING : 16 . 02 .201 2 DATE OF PRONOUNCEMENT : 17 . 0 2 .201 2 O R D E R PER R. C. SHARMA, A.M. THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF CIT(A) DATED 23.02.2010 FOR THE ASSESSMENT YEAR 2006-07, WHEREIN THE FOLLOWING GROUNDS HAVE BEEN TAKEN BY TH E ASSESSEE :- -: 2: - 2 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A)-I, BHOPAL, HAS ERRED IN NOT CONSIDERING THE DETAILED EXPLANATION GIVEN BY THE APPELLANT REGARDI NG THE SOURCE OF DEPOSIT OF RS. 3,00,000/- IN THE CENT RAL BANK A/C NO. 918 ON 25 TH NOVEMBER 2005. YOUR PETITIONER SUBMITS THAT THESE AMOUNTS WERE RECEIVED FROM THE SALE OF AGRICULTURE PRODUCE THROUGH KRISHI UPAJ MANDI SAMITI, JAORA DURING THE MONTH OF OCTOBE R & NOVEMBER, 2005. 2. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LD. CIT(A)-I, BHOPAL HAS ERRED IN CONFIRMING THE ADDITION OF RS. 3,00,000/- WITHOUT CONSIDERING THE SUPPORTING BILLS, RECEIPTS AND OTHER DOCUMENTS AND HENCE NOT BASED ON PROPER GROUNDS. 3. RIVAL CONTENTIONS HAVE BEEN HEARD AND RECORDS PERUSED. FACTS IN BRIEF ARE THAT IN THE RETURN OF I NCOME FILED, THE ASSESSEE HAD SHOWN AGRICULTURAL INCOME OF RS. 1 4 LAKHS. ON INQUIRY BY THE ASSESSING OFFICER DURING ASSESSME NT PROCEEDINGS, THE ASSESSEE VIDE LETTER DATED 15.12.2 008 -: 3: - 3 SUBMITTED THAT AN AMOUNT OF RS. 6.25 LAKHS IS NOT A GRICULTURAL INCOME, BUT THE SAME IS LOAN TAKEN FROM CENTRAL BAN K OF INDIA AGAINST FDR. ACCORDINGLY, THE ASSESSEE REVISED ITS CLAIM OF AGRICULTURE TO RS. 9,47,427/- FROM RS. 14 LAKHS. TH E ASSESSING OFFICER OBSERVED THAT THE ASSESSEE WANTED TO TAKE B ENEFIT OF HIGHER AGRICULTURAL INCOME, WHICH IS EXEMPT SO AS T O TAKE ITS BENEFIT IN CASH FLOW IN THE LATER ASSESSMENT YEARS. IN THIS BACKGROUND, THE ASSESSING OFFICER OBSERVED THAT THE ASSESSEE WAS UNABLE TO EXPLAIN CREDIT OF RS. 3,19,460/- IN C ENTRAL BANK ACCOUNT NO. 918. ACCORDINGLY, ADDITION OF RS. 3,19, 460/- WAS MADE. DURING THE COURSE OF APPELLATE PROCEEDINGS, T HE CIT(A) CALLED FOR THE REMAND REPORT FOR WHICH ASSESSEE FIL ED A REJOINDER AND CONTENDED THAT IN RESPONSE TO THE REM AND REPORT OF THE ASSESSING OFFICER HAD NEITHER ACCORDED ANY O PPORTUNITY NOR HAVE ASKED TO SUBMIT DETAILS OF THESE AMOUNTS, WHICH WERE DEPOSITED IN THE BANK. THE LD. AUTHORIZED REPR ESENTATIVE DREW OUR ATTENTION TO THE AGRICULTURAL INCOME EARNE D BY HIM AND WHICH WAS RECEIVED THROUGH KRISHI UPAJ MANDI SA MITI, JAORA. THE DETAILS OF SUCH RECEIPT WAS AS UNDER :- -: 4: - 4 BILL NU MBER & DATE AMOUNT 57 DATED 9.10.2005 93028 99 DATED 22.10.2005 1,20,946 84 DATED 30.10.2005 65,448 10 DATED 12.11.2005 22,579 TOTAL 3,02,001 4. IN VIEW OF THE ABOVE, IT WAS CONTENDED THAT ALL THE DETAILS WITH DOCUMENTARY EVIDENCE WAS PROVIDED TO T HE ASSESSING OFFICER TO EXPLAIN DEPOSIT OF RS. 3 LAKHS IN THE BANK ACCOUNT ON 25.11.2005. THE DETAILS OF REALIZATION T HROUGH KRISHI UPAJ MANDI SAMITI ON ACCOUNT OF SALE OF AGRI CULTURAL PRODUCE, AS STATED ABOVE, WAS FROM 9.10.2005 TO 12. 11.2005. IT APPEARS THAT LOWER AUTHORITIES HAVE NOT PROPERLY APPLIED THEIR MIND, MORE SO, WHEN THE ASSESSEE WAS NOT GIVE N DUE OPPORTUNITY TO EXPLAIN THE DEPOSIT OF CASH OUT OF A GRICULTURAL INCOME. KEEPING IN VIEW THE TOTALITY OF FACTS AND CIRCUMSTANCES, WE RESTORE THIS GROUND BACK TO THE F ILE OF THE ASSESSING OFFICER FOR DECIDING AFRESH AFTER GIVING DUE OPPORTUNITY TO THE ASSESSEE. WE DIRECT ACCORDINGLY. -: 5: - 5 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWE D FOR STATISTICAL PURPOSES. THIS ORDER HAS BEEN PRONOUNCED IN THE OPEN COURT ON 17 TH FEBRUARY, 2012. (JOGINDER SINGH) ( R.C.SHARMA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED : 17 TH FEBRUARY, 2012. CPU* 1617