Ms. Farhana Khanam, New Delhi V. ITO, New Delhi

ITA 3215/DEL/2017

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 3091 (ITAT-DELHI)
• Duration Of Justice: 6 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-11-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2009-2010
• Appeal Filed On: 22-05-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Gift

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI SMC BENCH, NEW DELHI BEFORE SHRI B.P. JAIN, ACCOUNTANT MEMBER ITA NO. 3215 /DEL/201 7 [A.Y. 20 09 - 10 ] M/S FARHANA KHANAM VS. THE I.T. O 1378, STREET PAHARIMLI WARD 48 ( 1 ) JAMA MASJID, DELHI N EW DELHI PAN : A KGPK 0354 B [APPELLANT] [RESPONDENT] DATE OF HEARING : 27 . 1 1 .2017 DATE OF PRONOUNCEMENT : 29 . 1 1 .2017 ASSESSEE BY : SHR I R.S. SINGHVI, CA REVENUE BY : SHRI ATIQ AHMED SR. DR ORDER THIS APPEAL OF THE ASSESSEE ARISES F ROM THE ORDER OF THE LD. CIT(A) - 16 , NEW DELHI VIDE ORDER DATED 1 0 .0 3 .201 7 FOR A.Y. 20 09 - 10 . 2 . THE ASSESSEE HAS RAISED AS MANY AS 12 GROUNDS OF APPEAL MAINLY AGAINST THE ADDITION OF RS. 12,97,850/ - U/S 69 OF THE INCOME - TAX ACT, 1961 [HEREINAFTER REFERRED TO AS 'THE ACT' FOR SHORT]. 2 ITA NO. 4690 /DEL/2017 3 . BRIEFLY STATED, THE FACTS OF THE CASE ARE THAT THE ASSESSING OFFICER FOUND DEPO SITS TO THE TUNE OF RS. 12,97,850/ - IN THE S.B. A/C NO. 603210100018960 IN BANK OF INDIA, ANSARI ROAD, DARYA GAN J , NEW DELHI OUT OF WHICH RS. 10 LAKHS WERE DEPOSITED ON 08/10/2008. THE ASSESSEE WAS ASKED TO FURNISH SOURCE OF CASH. THE ASSESSEE SUBMITTED T HAT IT WAS RECEIVED AS GIFT FROM CLOSE RELATIVES AND UNSECURED LOANS FOR PURCHASE OF A HOUSE. THE ASSESSING OFFICER WAS NOT SATISFIED WITH THE EXPLANATION OF THE ASSESSEE AND STATEMENT RECORDED AND ACCORDINGLY MADE ADDITION OF RS. 12,97,850/ - WHICH WAS CO NFIRMED BY THE LD. CIT(A). 4. I HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE RELEVANT MATERIAL ON RECORD. IT IS A MATTER OF FACT THAT DURING THE COURSE OF STATEMENT, THE ASSESSEE SUBMITTED THAT THESE ARE THE SALE PROCEEDS OF THE GOODS WHICH WAS EXPLAI NED BEFORE THE LD. CIT(A) AS WELL. ON PERUSAL OF THE RECORD, IT IS EVIDENT THAT THE ASSESSEE HAS FILED RETURN OF INCOME U/S 44AF OF THE ACT AND AS PER PAPER BOOK II, RECEIPTS ARE RS. 12,97,850/ - AS AGAINST WHICH THE ASSESSEE HAS DECLARED G.P. OF 27.3% WH ICH IS MUCH ABOVE AS REQUIRED U NDER THE PROVISIONS OF SECTION 44AF OF THE ACT. THE ASSESSEE HAS ALSO PRODUCED CASH FLOW STATEMENT WHICH IS AVAILABLE AT PAGES 3 - 11 OF THE PAPER BOOK AND BANK STATEMENT AT 3 ITA NO. 4690 /DEL/2017 PAGES 12 TO 18 OF THE PAPER BOOK. THE ASSESSING OF FICER AND THE LD. CIT(A) HAVE IGNORED SUCH IMPORTANT EXPLANATION GIVEN BY THE ASSESSEE AND ACCORDINGLY NO ADDITION ON THIS COUNT CAN BE MADE. ACCORDINGLY, ADDITION SO MADE IS DIRECTED TO BE DELETED. THUS, THE GROUNDS RAISED BY THE ASSESSEE ARE ALLOWED. 5 . IN THE RESULT, THE APPEAL OF THE ASSESSEE IN ITA NO. 3215 /DEL/2017 IS ALLOWED . THE ORDER IS PRO NOUNCED IN THE OPEN COURT ON 29 . 1 1 .2017. SD/ - [B.P. JAIN] ACCOUNTANT MEMBER DATED: 29 TH NOVEMBER, 2017 VL/ COPY FORWARDED TO: 1 . APPELLANT 2 . RESPONDENT 3 . CIT 4 . CIT(A) 5 . DR ASST. REGISTRAR, ITAT, NEW DELHI