Rummy Chabbra, New Delhi V. DCIT, New Delhi

ITA 3170/DEL/2016

AI Insights

The case involves two appeals by Bindia Chabbra and Rummy Chabbra against the orders of the Commissioner of Income-tax (Appeals) for the assessment year 2009-10. The primary issue in both appeals was the confirmation of the addition of Rs.19,39,997 made by the Assessing Officer under section 56(2)(vi) of the Income Tax Act, 1961, concerning gifts received on the occasion of a daughter's marriage. The appellants argued that the gifts should fall within the exclusion provided in the section, which the CIT(A) had denied, leading to the appeals. The tribunal decided to remit the matter back to the AO after admitting additional evidences that were deemed crucial for a proper adjudication.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 113642 (ITAT-DELHI)
• Duration Of Justice: 6 year(s) 9 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-03-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 20-03-2023
• Assessment Year: 2009-2010
• Appeal Filed On: 30-05-2016
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Gift

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH ‘A’ : NEW DELHI) SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER and MS. ASTHA CHANDRA, JUDICIAL MEMBER ITA No.3171/Del./2016 (ASSESSMENT YEAR : 2009-10) Bindia Chabbra, vs. DCIT, Central Circle 05, 101, Jyoti Bhawan, New Delhi. Commercial Complex, Dr. Mukherjee Nagar, New Delhi. (PAN : ADOPC9460F) ITA No.3170/Del./2016 (ASSESSMENT YEAR : 2009-10) Rummy Chabbra, vs. DCIT, Central Circle 05, 101, Jyoti Bhawan, New Delhi. Commercial Complex, Dr. Mukherjee Nagar, New Delhi. (PAN : ADOPC9460F) (APPELLANT) (RESPONDENT) ASSESSEE BY : Shri Salil Kapoor, Advocate REVENUE BY : Shri P. Praveen Sidharth, CIT DR Date of Hearing : 21.03.2023 Date of Order : 24.03.2023 ORDER PER SHAMIM YAHYA, ACCOUNTANT MEMBER : These appeals by two assessee are directed against the respective orders of ld. CIT (A) pertaining to AY 2009-10. ITA No.3171/Del./2016 ITA No.3170/Del./2016 2 2. The grounds of appeal taken by the assessee in both the appeals are common except the difference in amount. For the sake of brevity, we are reproducing grounds of ITA No.3171/Del/2016 :- “1. That the Commissioner of Income-tax (A) ['CIT(A)'] erred on facts and in law in confirming the addition of Rs.19,39,997/- made by the Assessing Officer under section 56(2)(vi) of the Income Tax Act, 1961 ('the Act') on the ground that gifts received by the appellant on behalf and on occasion of her daughter's marriage did not fell within the exclusion provided in that section. 1.1. That the CIT(A) erred on facts and in law in law in holding that gift must directly be received by the individual on the occasion of his/her marriage to fall in the exclusion contained in 56(2)(vi) of the Act. 1.2. That the CIT(A) erred on facts and in law in holding that gifts received by the appellant from business associates, albeit on the occasion of her daughter's marriage, had no connection with the daughter so as to fall within the exception contained under section 56(2)(vi) of the Act.” 3. At the outset, in this case, ld. Counsel of the assessee prayed that assessee seeks permission to file application under Rule 29 of Income Tax (Appellate Tribunal) Rules, 1963 for admission of additional evidences. He submitted that these are crucial documents and necessary for proper adjudication. He prayed that the same may be admitted and the matter may be remitted to the AO. 4. Although ld. DR for the Revenue objected to the same but we are of the opinion that interest of justice would be served if the additional evidences filed now are accepted and matter be remitted to the file of AO ITA No.3171/Del./2016 ITA No.3170/Del./2016 3 to decide afresh after considering the additional evidences. Needless to add, assessee should be provided an opportunity of being heard. We order accordingly. The additional evidences submitted in both the appeals are as under :- (i) Covering letters received from dealers/ suppliers in wedding along with shoguns; (ii) Copy of the relevant pages of balance sheet as on 31.03.2008; (iii) Summary of loans and advances; (iv) Details of discount recoverable which was reversed in AY 2009-10; and (v) Details of sundry debtors which includes debtors of 36 lacs. 5. In the result, both the appeals are allowed for statistical purposes. Order pronounced in the open court on this 24 th day of March, 2023. Sd/- sd/- (ASTHA CHANDRA) (SHAMIM YAHYA) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated the 24 th day of March, 2023 TS Copy forwarded to: 1.Appellant 2.Respondent 3.CIT 4.CIT (A). 5.CIT(ITAT), New Delhi. AR, ITAT NEW DELHI.