ACIT, NCC-7(1), CHENNAI V. NIRMALA, CHENNAI

ITA 3182/CHNY/2018

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 5338 (ITAT-CHENNAI)
• Duration Of Justice: 8 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-08-2019
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2015-2016
• Appeal Filed On: 22-11-2018
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Set aside

Judgement Text

YOU , , IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH: CHENNAI . , !' # $% , & !' %' BEFORE SHRI DUVVURU RL REDDY , JUDICIAL MEMBER AND SHRI S. JAYARAMAN, ACCOUNTANT MEMBE R # ./ ITA NO.3182/CHNY/2018 ( )( /ASSESSMENT YEAR: 2015-16 THE ASST. COMMISSIONER OF INCOME TAX, NON-CORPORATE CIRCLE-7(1), CHENNAI. VS. SMT. NIRMALA, AP247, NO.34, KAMBAR COLONY, 31 ST STREET, ANNA NAGAR WEST, CHENNAI 600 040. [PAN: AAEPN 7460R] ( *+ /APPELLANT) ( ,-*+ /RESPONDENT) *+ . / / APPELLANT BY : SHRI R. CLEMENT RAMESH KUMAR, ADDL. CIT ,-*+ . / /RESPONDENT BY : SHRI N.ARJUN RAJ, C.A . 0& /DATE OF HEARING : 10.07.2019 12) . 0& / DATE OF PRONOUNCEMENT : 16.08.2019 !3 / O R D E R PER SHRI S. JAYARAMAN, ACCOUNTANT MEMBER : THE REVENUE FILED THIS APPEAL AGAINST THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS)-7, CHENNAI, IN ITA NO.62/CIT(A)- 7/2017-18 DATED 23.08.2018 FOR THE ASSESSMENT YEAR (AY) 2015-16. 2. SMT. NIRMALA, THE ASSESSEE, AN INDIVIDUAL IS RUN NING A MARRIAGE HALL AND TRANSPORT BUSINESS. WHILE MAKING THE ASSESSMENT FOR AY 2015-16, THE ASSESSING OFFICER (AO) NOTICED, INTER ALIA , THAT CERTAIN DISCREPANCIES ITA NO.3182/CHNY/2018 :- 2 -: WITH REGARD TO SUNDRY CREDITORS AND HENCE, THE AO C ALLED FOR EXPLANATION. THE ASSESSEE SUBMITTED THAT INSTEAD OF LOANS AND AD VANCES A WRONG GROUPING WAS MADE UNDER SUNDRY CREDITORS. THEREFOR E, THE AO CALLED FOR FURTHER EVIDENCES. THE ASSESSEE COULD NOT PRODUCE ANY EVIDENCE. IN VIEW OF THAT THE AO ADDED RS. 91,29,061/- AND COMPL ETED THE ASSESSMENT. 3. AGGRIEVED AGAINST THAT ORDER, THE ASSESSEE FILED AN APPEAL BEFORE THE CIT(A). THE ASSESSEE FURNISHED VARIOUS DOCUMENT S. ON EXAMINATION OF THEM, THE LD. CIT(A) DELETED THE ADDITION. AGGRI EVED AGAINST THAT ORDER, THE REVENUE FILED THIS APPEAL WITH THE FOLLOWING GR OUNDS: 1. THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) IS CONTRARY TO THE LAW AND FACTS OF THE CASE. 2.1 THE CIT(A) ERRED IN DELETING THE ADDITION MADE U/S.68 OF THE ACT BY HOLDING THAT ASSESSEE HAS DISCHARGED THE PRIMARY ONUS OF ESTABLISHING THE IDENTITY, CREDITWORTHINESS AND GEN UINENESS OF THE TRANSACTION. 2.2 THE CIT(A) OMITTED TO CONSIDER THE FACT THAT T HE ASSESSEE DID NOT DISCHARGED THE PRIMARY ONUS OF ESTABLISHING THE IDE NTITY, CREDITWORTHINESS AND GENUINENESS OF THE TRANSACTION BEFORE THE AC DURING THE COURSE OF ASSESSMENT PROCEEDINGS, HENCE, THE ADDITION WAS MADE. 2.3 THE CIT(A) OMITTED TO CALL FOR REMAND REPORT U/ R. 46A, WHEN THE ASSESSEE FURNISHED ANY DETAILS/EVIDENCE IN SUPPORT OF ITS CLAIM DURING THE APPELLATE PROCEEDINGS, ON WHICH THE CIT(A) RELI ED ON THE SAME AND ALLOWED THE GROUND OF THE ASSESSEE. 3. FOR THESE AND OTHER GROUNDS THAT MAY BE ADDUCED AT THE TIME OF HEARING, IT IS PRAYED THAT THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) BE SET ASIDE AND THAT OF THE A SSESSING OFFICER BE RESTORED. ITA NO.3182/CHNY/2018 :- 3 -: 4. THE LD. DR ARGUED AND PRESENTED THE CASE ON THE LINES OF THE GROUNDS OF THE APPEAL, SUPRA. PER CONTRA, THE LD. AR SUPPORTED THE ORDER OF LD. CIT(A). 5. WE HEARD THE RIVAL SUBMISSIONS AND GONE THROUGH THE RELEVANT MATERIAL. SINCE, THE LD. CIT(A) OMITTED TO CALL FO R THE REMAND REPORT FROM THE AO, ON THE FRESH DETAILS FILED BY THE ASSESSEE BEFORE THE LD. CIT(A), THE REVENUE HAS CLEARLY MADE OUT A CASE U/R. 46A OF THE INCOME TAX RULES, 1962. THEREFORE, ON THE FACTS AND CIRCUMSTAN CES, WE DEEM IT FIT TO REMIT THIS ISSUE BACK TO THE FILE OF AO FOR A FRESH EXAMINATION. THE ASSESSEE SHALL PLACE ALL THE MATERIAL ON WHICH SHE RELIES IN SUPPORT OF HER CONTENTIONS BEFORE THE AO AND COMPLY WITH THE REQUI REMENTS OF THE AO IN ACCORDANCE WITH LAW. THE AO ON DUE EXAMINATION OF T HE ISSUES, AND AFTER AFFORDING DUE OPPORTUNITY TO THE ASSESSEE, SHALL PA SS A SPEAKING ORDER. 6. IN THE RESULT, THE APPEAL FILED BY THE REVENUE IS T REATED AS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED ON THE DAY OF 16 TH AUGUST, 2019 IN CHENNAI. SD/- SD/- ( . ) (DUVVURU RL REDDY) !' /JUDICIAL MEMBER ( . $% ) (S. JAYARAMAN) & !' /ACCOUNTANT MEMBER /CHENNAI, 4!# /DATED: 16 TH AUGUST, 2019 . EDN, SR. P.S ITA NO.3182/CHNY/2018 :- 4 -: !3 . , 056 76)0 /COPY TO: 1. *+ /APPELLANT 2. ,-*+ /RESPONDENT 3. 80 ( )/CIT(A) 4. 80 /CIT 5. 69: , 0 /DEPARTMENTAL REPRESENTATIVE 6. :( ; /GF