The Income Tax Officer, Jalandhar V. Sh. Anil Kumar, Jalandhar

ITA 349/ASR/2014

• Counselvise Citation: 34920914 RSA 2014
• Duration Of Justice: 1 year(s) 3 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-08-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 04-06-2015
• Assessment Year: 2010-2011
• Appeal Filed On: 26-05-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: TARSEM LAL
• Keywords: Business income; Income from undisclosed sources
• Section: 143(3)

Judgement Text

I.T.A. NO.: 349/ASR/2014 ASSESSMENT YEAR: 2010-11 PAGE 1 OF 3 IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR. [CORAM: PRAMOD KUMAR AM AND A. D. JAIN,JM] I.T.A. NO.: 349/ASR/2014 ASSESSMENT YEAR: 2010-11 INCOME-TAX OFFICER, IV(2), JALANDHAR ....................APPELLANT VS. SH. ANIL KUMAR PROP. M. S. SIDHARTH ENTERPRISES, GANDHI NAGAR, ALAWALPUR ROAD . .RESPONDENT PAN ABCPK 9833G APPEARANCES BY: TARSEM LAL.....FOR THE APPELLANT NONE.... F OR THE RESPONDENT DATE OF CONCLUDING THE HEARING: 04/06/2015 DATE OF PRONOUNCING THE ORDER: 31/08/2015 O R D E R PER PRAMOD KUMAR, AM: BY WAY OF THIS APPEAL THE ASSESSING OFFICER, HAS C HALLENGED CORRECTNESS OF THE ORDER DATED 23 RD APRIL, 2013 PASSED BY THE LEARNED CIT(A) IN THE MATTER OF ASSESSMENT UNDER SECTION 143(3) OF THE INCOME-TAX ACT, 1961, FOR THE ASSESSMENT YEAR 2010-11. 2. IN THE FIRST GROUND OF APPEAL, THE ASSESSING OFF ICER HAS RAISED THE FOLLOWING GRIEVANCE :- I.T.A. NO.: 349/ASR/2014 ASSESSMENT YEAR: 2010-11 PAGE 2 OF 3 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E AND IN LAW THE LD. CIT(A) HAS ERRED IN ESTIMATING A FLAT RATE OF 5% ON THE TOTAL SALES AND CONTRACT RECEIPTS, WITHOUT ANY BASIS BY RELYING UPO N THE DECISION OF JURISDICTIONAL ITAT IN ASSESSEES OWN CASE FOR THE AYS. 2007-08 AND 2008-09 WHEREAS THE DEPARTMENT HAS PREFERRED APPEAL S AGAINST THE SAID ORDERS BEFORE THE HONBLE PUNJAB & HARYANA HIG H COURT. 3. AS THE ABOVE GROUND OF APPEAL ITSELF INDICATES, THE ISSUE IN APPEAL IS COVERED IN FAVOUR OF THE ASSESSEE BY TRIBUNALS DEC ISIONS, IN ASSESSEES OWN CASE FOR THE ASSESSMENT YEARS 2007-08 AND 2008-09, ON THE QUESTION OF ESTIMATION OF THE PROFITS. THE MERE FACT THAT THESE DECISIONS HAVE BEEN CHALLENGED, IN APPEAL, BEFORE HONBLE HIGH COURT, T HE BINDING NATURE OF THESE PRECEDENTS IS NOT AFFECTED. WE, THEREFORE, CONFIRM THE CONCLUSION ARRIVED AT BY THE CIT(A) AND DECLINE TO INTERFERE IN THE MATTE R. 4. GROUND NO.1 IS THUS DISMISSED. 5. IN GROUND NO.2, THE ASSESSING OFFICER HAS RAISED THE FOLLOWING GRIEVANCE :- 2. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E AND IN LAW THE LD. CIT(A) HAS ERRED IN DELETING THE ADDITION OF RS.1,2 0,000/- MADE BY THE .O. ON ACCOUNT OF LOW HOUSEHOLD WITHDRAWALS BY IGNO RING THE SOCIAL STATUS OF THE ASSESSEE, INFLATION RATE PREVAILED AN D COMPOSITION OF THE FAMILY (CONSISTS OF FIVE MEMBERS). 6. AS FOR THE ABOVE GRIEVANCE OF THE ASSESSING OFFI CER, IT IS CLEARLY ILL- CONCEIVED INASMUCH AS THE ADDITION IS DELETED, NOT ON MERITS BUT ON ACCOUNT OF THE FACT THAT TRADING ADDITION IS PARTLY CONFIRM ED AND THE SOURCE OF THESE EXPENSES CAN BE TAKEN AS THE UNACCOUNTED INCOME TO THAT EXTENT. I.T.A. NO.: 349/ASR/2014 ASSESSMENT YEAR: 2010-11 PAGE 3 OF 3 7. LEARNED DR DID NOT HAVE ANY SPECIFIC SUBMISSION ON THE ABOVE ASPECT, BEYOND RELYING UPON THE STAND OF THE AO. AS WE SEE NO LEGALLY SUSTAINABLE MERITS IN THE GRIEVANCE, WE CONFIRM THE ACTION OF T HE CIT(A) ON THIS ASPECT AS WELL. 8. GROUND NO.2 IS DISMISSED. 9. IN THE RESULT, APPEAL IS DISMISSED. PRONOUNCED TODAY ON 31 ST DAY OF AUGUST 2015 UNDER PROVISO TO RULE 34(4) OF THE APPELLATE TRIBUNAL (INCOME-TAX) RULES, 1963. SD/- SD/- A. D. JAIN PRAM OD KUMAR (JUDICIAL MEMBER) (AC COUNTANT MEMBER) AMRITSAR, THE 31 ST DAY OF AUGUST 2015 COPIES TO: (1) THE APPELLANT (2) THE RESPON DENT (3) COMMISSIONER (4) CIT(A) (5) DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ETC ASSISTANT REGISTRAR INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH AMRITSAR