ITO, CHENNAI V. Shri K.Kalairajan, CHENNAI

ITA 348/CHNY/2011

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 57858 (ITAT-CHENNAI)
• Duration Of Justice: 10 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-01-2012
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 17-01-2012
• Assessment Year: 1995-1996
• Appeal Filed On: 25-02-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: K E B RENGARAJAN JUNIOR
• Assessee Lawyers: D ANAND
• Keywords: Gift

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH, CHENNAI BEFORE SHRI ABRAHAM P. GEORGE, ACCOUNTANT MEMBER AND SHRI GEORGE MATHAN, JUDICIAL MEMBER I.T.A. NO. 348/MDS/2011 (ASSESSMENT YEAR : 1995-96) THE INCOME TAX OFFICER, WARD I(4), CHENNAI-600 034. (APPELLANT) V. SHRI K. KALAIRAJAN, 1ST MAIN ROAD, R.K. NAGAR, CHENNAI 600 028. (RESPONDENT) APPELLANT BY : SHRI K.E.B. RENGARAJAN, JUNIOR STANDING COUNSEL RESPONDENT BY : SHRI D. ANAND, ADVOCATE DATE OF HEARING : 17.01.2012 DATE OF PRONOUNCEMENT : 17.01.2012 O R D E R PER ABRAHAM P. GEORGE, ACCOUNTANT MEMBER : IN THIS APPEAL FILED BY THE REVENUE, ITS GRIEVANC E IS THAT THE CIT (APPEALS) DELETED THE ADDITION OF ` 20 LAKHS MADE BY THE A.O. CONSIDERING CERTAIN GIFTS RECEIVED FROM ONE SHRI SI NNIAH BOSE, BY THE ASSESSEE TO BE UNEXPLAINED. ACCORDING TO REVENUE, SHRI SINNIAH BOSE HAD MADE GIFTS TOTALLING TO ` 2 CRORES TO VARIOUS FAMILY MEMBERS I.T.A. NO. 348/MDS/11 2 OF THE ASSESSEE AND THIS WAS HIGHLY IMPROBABLE. RE VENUE HAS ALSO SUBMITTED THAT BY VIRTUE OF DECISION OF HONBLE APE X COURT IN THE CASE OF DURGA PRASAD MORE (82 ITR 540), A TEST OF HUMAN PROBABILITIES SHOULD HAVE BEEN APPLIED BEFORE ACCEPTING THE VERSI ON OF THE ASSESSEE. 2. WHEN THE MATTER CAME UP BEFORE US, LEARNED A.R. SUBMITTED THAT IN THE CASE OF SHRI P.R. GANAPATHY, WHO ALSO H AD CERTAIN GIFTS FROM SHRI SINNIAH BOSE, HONBLE JURISDICTIONAL HIGH COURT HAD DISMISSED APPEAL OF THE REVENUE IN T.C. NOS.926 TO 928 OF 2004 VIDE THEIR JUDGEMENT DATED 20.12.2004. AS PER LEARNED A .R., THERE WAS A FINDING OF THE TRIBUNAL IN THE SAID CASE THAT THE G IFTS RECEIVED FROM SHRI SINNIAH BOSE WERE GENUINE. LEARNED A.R. HAS ALSO FILED A COPY OF THE ORDER IN THE CASE OF M/S K.R. KALAIMATHY, ON E OF THE MEMBERS OF THE FAMILY OF ASSESSEE IN I.T.A. NO. 357/MDS/201 1 DATED 21 ST OCTOBER, 2011, WHERE THE TRIBUNAL HAD FOLLOWED THE DECISION OF HONBLE JURISDICTIONAL HIGH COURT IN P.R. GANAPATHY S CASE (SUPRA) AND THE GIFTS RECEIVED FROM SHRI SINNIAH BOSE WERE HELD TO BE GENUINE. NOTHING WAS BROUGHT ON RECORD BY THE LEAR NED D.R. IN SUPPORT OF THE CASE OF THE REVENUE THAT THERE HAS B EEN ANY ADVERSE I.T.A. NO. 348/MDS/11 3 DECISION BY THE HONBLE APEX COURT IN THE CASE OF P .R. GANAPATHY. WE, THEREFORE, OF THE OPINION THAT LD. CIT(APPEALS) WAS WELL JUSTIFIED, IN FOLLOWING THE DECISION OF THIS TRIBUNAL IN THE C ASE OF K.R. KALAIMATHY AND THAT OF HONBLE JURISDICTIONAL HIGH COURT IN THE CASE OF P.R. GANAPATHY. 3. IN THE RESULT, APPEAL FILED BY THE REVENUE STAND S DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT AFTER CONCLUSION OF HEARING ON 17 TH JANUARY, 2012. SD/- SD/- (GEORGE MATHAN) (ABRAHAM P. GEORGE) JUDICIAL MEMBER ACCOUNTANT MEMBER CHENNAI, DATED THE 17 TH JANUARY, 2012. KRI. COPY TO: (1) APPELLANT (2) RESPONDENT (3) CIT(A)-II, CHENNAI-34 (4) CIT, CENTRAL-II, CHENNAI (5) D.R. (6) GUARD FILE