ITO, Kottayam V. Shri Alex George, Kottayam

ITA 325/COCH/2009

• Counselvise Citation: [2013] 120 COUNSELVISE.COM (IT) 1049 (ITAT-COCHIN)
• Duration Of Justice: 3 year(s) 8 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-02-2013
• Appeal Filed By: Department
• Bench Allotted: DB
• Next Hearing Date: 03-12-2012
• Assessment Year: 2005-2006
• Appeal Filed On: 05-06-2009
• Court: TRIBUNAL
• Department Lawyers: S VIJAYAPRABHA
• Assessee Lawyers: PHILIP T VARGHESE
• Keywords: Retraction
• Section: 56

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH, COCHIN BEFORE S/SHRI N.R.S.GANESAN, JM AND B.R.BASKAR AN, AM I.T.A. NO. 325/COCH/2009 ASSESSMENT YEAR : 2005-06 I.T.O., WARD-1, KOTTAYAM. VS. SHRI ALEX GEORGE, PROP. UNIROYAL POLYMERS, THEKKEKARA PALA, KOTTAYAM [PAN : AFZPG 9591G] (REVENUE -APPELLANT) (ASSESSEE - RESPONDENT) REVENUE BY SMT. S. VIJAYAPRABHA, JR. DR ASSESSEE BY SHRI PHILIP T. VARGHESE, ADV. DATE OF HEARING 04/12/2012 DATE OF PRONOUNCEMENT 08/02/2013 O R D E R PER B.R.BASKARAN, ACCOUNTANT MEMBER: THE APPEAL FILED BY THE DEPARTMENT IS DIRECTED AGA INST THE ORDER DATED 15.3.2009 PASSED BY LD CIT(A)-IV, KOCHI AND IT RELA TES TO THE ASSESSMENT YEAR 2005-06. THE SOLITARY ISSUE URGED IN THIS APPEAL I S WHETHER THE LD CIT(A) WAS JUSTIFIED IN DELETING THE AMOUNT OF RS.46.55 LAKHS ASSESSED IN THE HANDS OF THE ASSESSEE. 2. THE FACTS RELATING TO THE SAID ISSUED ARE DI SCUSSED IN BRIEF. THE ASSESSEE IS A DEALER IN RAW RUBBER AND CARRYING ON BUSINESS UND ER THE NAME AND STYLE UNIROYAL POLYMERS. HE FILED HIS RETURN OF INCOME FOR THE YEAR UNDER CONSIDERATION ON 25.8.2005 DECLARING A TOTAL INCOME OF RS.61,038/- AND AGRICULTURAL INCOME OF RS.50,000/-. HIS CASE WAS SELECTED FOR SCRUTINY. THE AO RECEIVED AN INFORMATION FROM THE INCOME TAX OFFICER , WARD-4, KOTTAYAM TO THE I.T.A. NO.325/COCH/2009 2 EFFECT THAT THE ASSESSEE HEREIN HAD RECEIVED A SUM OF RS.46.55 LAKHS FROM A TRUST CALLED KURIAKOSE ELIAS TRUST, TRIVANDRUM DURIN G THE FINANCIAL YEAR 2004-05 IN SETTLEMENT OF HIS DUES, WHICH ARE DUE FROM A PER SON NAMED SHRI M.R. SOMARAJAN, AMBA RUBBER INDUSTRIES, THAMPALAKKADU, K ANJIRAPPALLY, KOTTAYAM DISTRICT. IT WAS STATED THAT THE ABOVE SAID SHRI M .R.SOMARAJAN WAS INDEBTED TO THE ASSESSEE HEREIN AND THE KURIAKOSE ELIAS TRUST O WNED MONEY TO SHRI M.R.SOMARAJAN. HENCE THE SAID TRUST SETTLED THE MO NEY DUE TO SHRI M.R.SOMARAJAN BY PAYING MONEY TO THE ASSESSEE ON HI S BEHALF. 3. THE TRANSACTION ENTERED BY SHRI M.R.SOMARAJA N WITH KURIAKOSE ELIAS TRUST NEEDS FURTHER ELABORATION. M/S KURIAKOSE ELIAS TRUS T ENTERED INTO A SALE AGREEMENT ON 02-03-1995 WITH SHRI M.R.SOMARAJAN FOR SALE OF 6.50 ACRES OF LAND LOCATED IN NEMOM VILLAGE. HOWEVER THE SALE AGREEME NT WAS EXTENDED FROM TIME TO TIME. SHRI M.R.SOMARAJAN HAD PAID AN ADVANCE AM OUNT OF RS.43.50 LAKHS TO THE TRUST. SINCE HE COULD NOT ARRANGE THE BALANCE A MOUNT OF CONSIDERATION, THE SALE AGREEMENT WAS CANCELED ON 05.04.2000. THE TRU ST AGREED TO RETURN THE ADVANCE AMOUNT WITH SIMPLE INTEREST CALCULATED @ 24 % PER ANNUM FOR A PERIOD OF FOUR YEARS. ACCORDINGLY, THE TOTAL AMOUNT REPAYA BLE TO SHRI M.R. SOMARAJAN WAS DETERMINED AT RS.85.25 LAKHS. 4. ON 12.5.2000, SHRI M.R. SOMARAJAN EXECUTED A LETTER OF AUTHORIZATION CUM EMPOWERMENT IN FAVOUR OF FR. A. SEBASTIAN, PRESIDEN T OF M/S KURIAKOSE ELIAS TRUST WHERE IN IT IS STATED THAT HE IS INDEBTED TO MR. ALEX GEORGE S/O K.C.GEORGE, PONNADAMVACKEL HOUSE, PALAI 686575, K OTTAYAM TO THE TUNE OF RS.46.55 LAKHS AND HENCE HE IS AUTHORIZING AND EMPOWERING FR. A. SEBASTIAN TO PAY THE ABOVE SAID AMOUNT TO THE SAID ALEX GEORGE IN FOUR EQUAL INSTALMENTS ON OR BEFORE 30.6.2000, 30.8.2000, 31.1 0.2000 AND 31.12.2000 OUT OF THE AMOUNT OF RS.85.25 LAKHS PAYABLE TO HIM. IT WAS ALSO STATED THAT THE PAYMENT OF RS.46.55 LAKHS TO MR. ALEX GEORGE WILL B E TREATED AS IF THE SAID AMOUNT HAS BEEN PAID BY SHRI M.R. SOMARAJAN AND REC EIVED BY SRI ALEX GEORGE I.T.A. NO.325/COCH/2009 3 AND THAT HE WILL NEVER BE MAKING ANY CLAIM IN RESPE CT OF THE SAID AMOUNT. THIS LETTER OF AUTHORIZATION WAS EXECUTED ON A STAMP PAP ER WITH THE VALUE OF RS.50/-. HOWEVER THE PAYMENT OF RS.46.55 LAKHS WAS MADE ONLY IN THE YEAR 2004 AS DETAILED BELOW:- CHEQUE NO. OF SOUTH INDIAN BANK DAT E AMOUNT 277785 05.04.2004 5,00,000 277792 17.04.2004 15,00,000 277794 22.04.2004 15,00,000 277799 28.05.2004 11,55,000 --------------- 46,55,000 ======== A FINAL AGREEMENT WAS ENTERED ON 28.05.2004 IN FULL AND FINAL SETTLEMENT OF ALL THE RIGHTS AND CLAIM BETWEEN THE PARTIES. 5. DURING THE COURSE OF ENQUIRY MADE BY THE INC OME TAX OFFICER, WARD-4, KOTTAYAM IN THE CASE OF SHRI M.R. SOMARAJAN, THE AS SESSEE HERE IN WAS EXAMINED ON 25.8.2005. IN THE SWORN STATEMENT TAKE N FROM HIM, THE ASSESSEE HEREIN DENIED THE FACT OF RECEIPT OF RS.46.55 LAKHS FROM M/S KURIAKOSE ELIAS TRUST ON BEHALF OF SHRI M.R SOMARAJAN. THERE AFTER, A ST ATEMENT WAS TAKEN FROM FR. MATHEW THAYYIL, TREASURER OF KURIAKOSE ELIAS TRUST O N 07.09.2005, WHEREIN HE CONFIRMED THE PAYMENT OF RS.46.55 LAKHS TO THE ASSE SSEE HEREIN. IT WAS STATED THAT THE STATEMENT WAS TAKEN FROM FR. MATHEW THAYYI L IN THE PRESENCE OF THE ASSESSEE HEREIN. HOWEVER THE ASSESSEE HEREIN TOTAL LY DENIED THE TRANSACTIONS AND STOOD BY HIS STAND THAT HE DID NOT RECEIVE THE IMPUGNED AMOUNT OF RS.46.55 LAKHS. 6. DURING THE COURSE OF ASSESSMENT PROCEEDING I N THE HANDS OF THE ASSESSEE, SHRI M.R.SOMARAJAN WAS ENQUIRED ABOUT THE TRANSACTI ONS AND HE REPLIED AS UNDER, VIDE HIS LETTER DATED 08.09.2006:- MR. ALEX GEORGE, UNIROYAL POLYMERS, PALA HAS ENTRU STED ME RS.12,00,000/- ON 22.03.1995, RS.6,00,000/- ON 28.0 5.1995 AND I.T.A. NO.325/COCH/2009 4 RS.2,00,000/- ON 18.07.1995 TO ADVANCE TO FR. ABRAH AM SEBASTIAN CMI, KURIAKOSE ELIAS TRUST, TRIVANDRUM FOR THE PURCHASE O F 6.50 ACRES OF PROPERTY OWNED BY KURIAKOSE ELIAS TRUST COMPRISED IN SURVEY NO. 86/1 AND 86/2 OF NEMOM VILLAGE. I HAD EXECUTED THE PRIN CIPAL AGREEMENT FOR PURCHASE OF 6.50 ACRES OF PROPERTY OWNED BY KURIAKO SE ELIAS TRUST COMPRISED OF SURVEY NO.86/1 AND 86/2 OF NEMON VILLA GE FOR AND ON BEHALF OF MR. PIOUSE SCARIAH, ALEX GEORGE, KANJIRAPPALLY R UBBERS, GEORGE KOTTARAM AND SUBSEQUENTLY AGREEMENTS WERE EXECUTED BETWEEN KURIAKOSE ELIAS TRUST AND MYSELF FOR AND ON BEHALF O F THE ABOVE PARTIES ON 10.07.1995, 05.01.1996, 28.03.1996 AND 19.11.1996. . HOWEVER, IN THE SWORN STATEMENT TAKEN FROM SHRI M.R .SOMARAJAN ON 07.8.2007, HE STATED THAT HE DOES NOT KNOW THE ASSESSEE HEREIN AND FURTHER STATED THAT HE DID NOT HAVE ANY FINANCIAL DEALING WITH THE ASSESSE E. HE FURTHER STATED THAT IT WAS ANOTHER ALEX GEORGE WITH WHOM HE WAS HAVING DEA LINGS AND THE SAID PERSON ONLY RECEIVED MONEY FROM KURIAKOSE ELIAS TRUST. 7. A SWORN STATEMENT WAS ALSO TAKEN FROM THE AS SESSEE HEREIN ON 07.8.2007, WHEREIN HE ALSO STATED THAT HE DID NOT KNOW SRI M.R .SOMARAJAN. HE FURTHER STATED THAT HE WAS NOT A PARTY TO THE ANY OF THE AG REEMENTS AND ALSO STATED THAT THE SIGNATURE RECORDED THEREIN ARE NOT HIS SIGNATUR E. 8. HOWEVER, THE AO DISBELIEVED THE STATEMENTS M ADE BY THE ASSESSEE AND PROCEEDED TO ASSESS THE AMOUNT OF RS.46.55 LAKHS IN THE HANDS OF THE ASSESSEE U/S 56 R.W.S. 69A OF THE ACT. AGGRIEVED, THE ASSES SEE CARRIED THE MATTER BY FILING APPEAL BEFORE LD CIT(A). 9. BEFORE LD CIT(A), THE ASSESSEE CONTENDED AS UNDER:- (A) THE AO HAS ASSESSED THE AMOUNT OF RS.46.55 LAK HS WITHOUT ANY SUPPORTING MATERIAL. (B) THOUGH THE PAYMENTS WERE STATED TO HAVE BEEN MADE BY WAY OF CHEQUES, NO EFFORT WAS TAKEN TO TRACE THE CREDITS I N ANY OF THE BANK ACCOUNTS. (C) THE AMOUNT WAS PAID BY THE TRUST IN THE YEA R 2004 AND THE INTEREST WAS PAID UP TO THE YEAR 2000 ONLY, THOUGH THE PAYME NT WAS AGREED TO BE PAID IN THE YEAR 2000 ITSELF. IF SUCH A HUGE AMOUN T WAS DUE TO THE ASSESSEE, HE WOULD HAVE FILED SUIT. I.T.A. NO.325/COCH/2009 5 (D) THE HANDWRITING AND SIGNATURES NOTICED ON THE RECEIPTS ARE NOT THAT OF THE ASSESSEE. EVEN THOUGH THE AO HAS NOTICED THE DIFFERENCE IN THE HANDWRITING AND SIGNATURES, THE SAID POINT WAS NOT ELABORATED BY HIM. 10. THE LD CIT(A) CALLED FOR A REMAND REPORT FR OM THE AO ABOUT THE CHEQUE PAYMENTS AND IN THE REMAND PROCEEDINGS, IT WAS NOTI CED THAT IMPUGNED AMOUNTS WERE ACTUALLY PAID BY WAY OF CASH BY WITHDRAWING TH E AMOUNTS THROUGH BEARER CHEQUES. HENCE THE LD CIT(A) DIRECTED THE AO TO TA KE SWORN STATEMENT FROM FR. MATHEW THAYYIL, THE SECRETARY CUM TREASURER OF THE KURIAKOSE ELIAS TRUST, SINCE THE AO HAD RELIED UPON THE STATEMENT TAKEN FROM THE ABOVE SAID PERSON BYTHE ITO, WARD-4, KOTTAYAM. IN THE SWORN STATEMENT TAKEN ON 14.10.2008, FR. MATHEW THAYYIL DEPOSED - THAT SHRI ALEX GEORGE INSISTED FOR CASH PAYMENT, - THAT HE HAS OBTAINED STAMPED RECEIPT ON MAKING THE PAYMENTS, - THAT THOSE RECEIPTS WERE SIGNED BY ALEX GEORGE IN HIS PRESENCE, - THAT ALEX GEORGE HIMSELF WROTE TWO RECEI PTS, - THAT A FINAL AGREEMENT WAS ENTERED ON 28.5.2004 B Y THE PRESIDENT OF THE TRUST, M.R. SOMARAJAN AND ALEX GEORGE, - THAT THE ALEX GEORGE IS THE ASSESSEE HEREIN ONLY WHO HAS WRITTEN AND SIGNED THE STAMPED RECEIPTS WHILE COLLECTING THE AM OUNTS. - THAT HE KNOWS MR. ALEX GEORGE SINCE 2002. 11. SHRI ALEX GEORGE WAS ALLOWED TO CROSS EXAMINE FR. MATHEW THAYYIL ON THE VERY SAME DAY, I.E., ON 14.10.2008. THE FOLLOWING QUESTION AND ANSWERS ARE RELEVANT HERE:- Q 18. I STATE THAT THE HANDWRITING AND SIGNATURE ON THE RECEIPTS ARE NOT MINE. IS IT TRUE? ANS.: NO, IT IS NOT CORRECT. THE SIGNATURE AND HA NDWRITING ARE YOURS. 12. BEFORE LD CIT(A), THE ASSESSEE CONTENDED THAT THE SIGNATURES RECORDED IN THE RECEIPTS, FINAL AGREEMENT AND CHEQUE NO.277794 DATED 22.04.2004 ARE NOT HIS SIGNATURE. HENCE, THE LD CIT(A) REMANDED THE M ATTER TO THE AO WITH THE DIRECTION TO OBTAIN EXPERT OPINION FROM THE GOVERNM ENT EXAMINER OF QUESTIONED DOCUMENTS, DIRECTORATE OF FORENSIC SCIENCES, HYDERA BAD. THE GOVERNMENT EXAMINER GAVE OPINION THAT THE SIGNATURES ARE NOT M ATCHING AND THEY ARE OF I.T.A. NO.325/COCH/2009 6 DIFFERENT AUTHORSHIP ON THE GROUND THAT THE DIFFERE NCES NOTICED IN THE MOVEMENT OF FORMATION OF LETTER I, DIRECTION OF ITS FINISH , TICKED COMMENCEMENT OF LETTER A ARE FUNDAMENTAL IN NATURE AND ARE BEYOND THE RA NGE OF NATURAL VARIATION AND INTENDED DISGUISE. ACCORDINGLY, THE LD CIT(A) CAME TO THE CONCLUSION THAT THE IMPUGNED AMOUNT OF RS.46.55 LAKHS WAS NOT ASSESSABL E IN THE HANDS OF THE ASSESSEE AND ACCORDINGLY DELETED THE SAID ADDITION. AGGRIEVED, THE REVENUE IS IN APPEAL BEFORE US. 13. WE HAVE HEARD THE RIVAL CONTENTIONS AND CAR EFULLY PERUSED THE RECORD. WE NOTICE THAT THE LD CIT(A) HAS PLACED MUCH RELIANCE ON THE OPINION GIVEN BY THE GOVERNMENT EXAMINER OF QUESTIONED DOCUMENTS. IT IS A WELL SETTLED PROPOSITION OF LAW THAT THE STRICT RULE OF EVIDENCE IS NOT APPL ICABLE TO THE INCOME TAX PROCEEDINGS AND THE ISSUES CAN BE DECIDED ON THE BA SIS OF PREPONDERANCE OF PROBABILITIES. HENCE, THE OPINION GIVEN BY AN EXPE RT MAY BE TAKEN AS ONE OF THE FACTORS AND THE SAME CANNOT BE TAKEN AS CONCLUSIVE PROOF. 14. ON A CAREFUL ANALYSIS OF ENTIRE ASPECTS, WE NOTICE FOLLOWING CONTRADICTIONS WITH REGARD TO THE IMPUGNED ISSUE:- (A) IN THE LETTER OF AUTHORIZATION WRITTEN BY SHR I M.R. SOMARAJAN, THE ADDRESS OF SHRI ALEX GEORGE WAS WRITTEN AS UNDER:- MR. ALEX GEORGE S/O K.C. GEORGE, PONNADAMVACKEL HOUSE, PALAI 686575, KOTTAYAM. HOWEVER, WE NOTICE THAT THE TAX AUTHORITIES HAVE NO T TAKEN ANY STEP TO VERIFY THIS ADDRESS IN ORDER TO ASCERTAIN THE CORRECT IDENTITY OF MR. ALEX GEORGE, PARTICULARLY IN THE CIRCUMSTANCES OF THE CLAIM THAT THE ALEX GEO RGE IS A DIFFERENT PERSON AND NOT THE ASSESSEE. THE FATHERS NAME HAS BEEN MENTI ONED AS K.C.GEORGE. IN MOST OF THE SITUATIONS; THE FATHERS NAME MAY NOT B E ALIKE, THOUGH THE PERSONAL NAME MAY BE ALIKE. (B) DURING THE COURSE OF ASSESSMENT PROCEEDINGS O F THE ASSESSEE HEREIN, THE AO MADE ENQUIRIES WITH SHRI M.R. SOMARAJAN AND HE HAS WRITTEN A LETTER DATED 08-09-2006 TO THE EFFECT THAT HE HAS RECEIVED MONEY FROM MR. ALEX GEORGE, UNIROYAL POLYMERS, PALA . IT IS AN UNDISPUTABLE FACT THAT THE I.T.A. NO.325/COCH/2009 7 ASSESSEE HEREIN IS ONLY CARRYING ON THE BUSINESS UN DER THE NAME AND STYLE UNIROYAL POLYMERS. THUS, SHRI M. R. SOMARAJAN HA S CONFIRMED THE IDENTITY OF THE ALEX GEORGE AS THE ASSESSEE HEREIN. HOWEVER, SUBSEQUENTLY HE HAS STATED THAT HE WAS HAVING DEALING WITH ANOTHER PERSON WITH THE SAME NAME AND HE DOES NOT KNOW THE ASSESSEE AT ALL. IT IS TOTALLY C ONTRADICTORY TO HIS EARLIER LETTER REFERRED ABOVE. THE RETRACTION WAS NOT ALSO SUPPOR TED BY PROVING THE IDENTITY OF ANOTHER ALEX GEORGE. IT IS A WELL SETTLED PROPOS ITION OF LAW THAT THE RETRACTION CAN BE ACCEPTED ONLY ON THE BASIS OF EVIDENCES AND EXPLANATIONS. M.R.SOMARAJAN HAS NOT OFFERED ANY EXPLANATION FOR HIS RETRACTION. HE ALSO DID NOT MAKE ANY ATTEMPT TO IDENTIFY THE ALEX GEORGE WHOM HE CLAIMED TO BE ANOTHER PERSON. (D) BOTH THE ASSESSEE AND M. R. SOMARAJA N HAVE STATED THAT THEY DO NOT KNOW EACH OTHER. HOWEVER THE FACT REMAINS THAT BOT H THE PARTIES ARE IN RUBBER TRADE/MFG. FURTHER THE ASSESSEE HEREIN HAS FURNISH ED THE ASSESSMENT DETAILS OF M.R.SOMARAJAN IN THE GROUNDS OF APPEAL FILED BEFORE LD CIT(A). ONE CANNOT DENY FACT THAT THE ASSESSMENT DETAILS OF ANOTHER PE RSON CANNOT BE NORMALLY OBTAINED WITHOUT ANY RELATIONSHIP. HENCE, THE VERAC ITY OF THE CLAIM MADE BY BOTH THE PARTIES CREATES DOUBT. (E) FR. MATHEW, THAYYIL, THE SECRETARY CUM TREASU RER OF M/S KURIAKOSE ELIAS TRUST HAS CONFIRMED THE IDENTITY OF THE ASSESS EE IN HIS SWORN STATEMENT AND HE DID NOT RETRACT FROM IT DURING THE COURSE OF CRO SS EXAMINATION CONDUCTED BY THE ASSESSEE HIMSELF. HE HAS FURTHER STATED THAT H E KNOWS THE ASSESSEE SINCE 2002. IT IS PERTINENT TO NOTE THAT FR. MATHEW, THA YYIL IS THE PERSON WHO MADE THE PAYMENT OF IMPUGNED AMOUNT OF RS.46.55 LAKHS AN D HENCE HIS STATEMENT CANNOT BE EASILY BE DISCOUNTED WITH. (F) WHEN THE FINAL INSTALMENT WAS GIVEN, AN AGREE MENT WAS ENTERED BY THE PRESIDENT OF THE TRUST, SHRI M.R.SOMARAJAN AND SHRI ALEX GEORGE. HENCE THE PRESIDENT OF THE TRUST WOULD ALSO BE IN A POSITION TO IDENTIFY SHRI ALEX GEORGE. 15. WE NOTICE THAT THE LD CIT(A) DID NOT CONSIDE R THE ABOVE CONTRADICTIONS, WHICH ARE VITAL ONES. IN OUR VIEW, THE CONTRADICTI ON WITH REGARD TO THE MODE OF PAYMENTS, I.E., WHETHER BY WAY OF CHEQUE OR CASH MA Y NOT BE GIVEN MUCH IMPORTANCE. SIMILARLY, IN OUR VIEW, THE OPINION GI VEN BY THE GOVERNMENT EXAMINER WITH REGARD TO THE DIFFERENCE IN THE SIGNAT URE AND HANDWRITING WOULD GAIN IMPORTANCE ONLY IF PROPER EXPLANATION IS OFFER ED TO THE ABOVE SAID CONTRADICTIONS. I.T.A. NO.325/COCH/2009 8 16. IN VIEW OF THE FOREGOING DISCUSSIONS, IT IS IMPERATIVE TO OBTAIN PROPER EXPLANATIONS ON THE CONTRADICTIONS POINTED ABOVE. IT IS ALSO IMPERATIVE (A) TO OBTAIN EXPLANATIONS FROM SHRI M.R.SOMARAJAN WITH REGARD TO HIS RETRACTION, (B) TO COMPEL SHRI M.R. SOMARAJAN TO PRODUCE THE ANOTH ER ALEX GEORGE. (C) TO VERIFY THE ADDRESS AND IDENTITY OF SHRI ALEX GEO RGE, S/O SHRI K.C. GEORGE (D) TO EXAMINE THE PRESIDENT OF THE TRUST. (E) TO OBTAIN PROPER EXPLANATIONS FROM THE ASSESSEE WIT H REGARD TO THE CONFIRMATION OF IDENTITY BY FR. MATHEW THAYYIL, THE SECRETARY CUM TREASURER OF THE TRUST. 17. HENCE, IN OUR VIEW, THIS ISSUE REQUIRES FUR THER EXAMINATION AT THE END OF THE LD CIT(A). ACCORDINGLY, WE SET ASIDE THE ORDER OF LD CIT(A) AND RESTORE THE MATTER TO HIS FILE WITH THE DIRECTION TO CAUSE ENQU IRIES ON THE ABOVE SAID LINES AND ALSO SUCH OTHER ENQUIRIES THAT MAY BE REQUIRED AND THEN TAKE APPROPRIATE DECISION IN ACCORDANCE WITH THE LAW. 18. IN THE RESULT, THE APPEAL FILED BY THE REVE NUE IS TREATED AS ALLOWED FOR STATISTICAL PURPOSES. PRONOUNCED ACCORDINGLY ON 08-01-2013. SD/- SD/- (N.R.S.GANESAN) (B.R.BASKARAN) JUDICIAL MEMBER ACCOUNTANT MEMBER PLACE: KOCHI DATED: 8TH FEBRUARY, 2013 GJ COPY TO: 1. SHRI ALEX GEORGE, PROP. UNIROYAL POLYMERS, THEKK EKARA, PALA, KOTTAYAM. 2. THE INCOME TAX OFFICER, WARD-1, KOTTAYAM. 3. THE COMMISSIONER OF INCOME-TAX(APPEALS)-IV, KOCH I. 4. THE COMMISSIONER OF INCOME-TAX, KOTTYAM. 5. D.R., I.T.A.T., COCHIN BENCH, COCHIN. 6. GUARD FILE. BY ORDER (ASSISTANT REGISTRAR ) I.T.A.T. COCHIN