ANANT B PATIL, MUMBAI V. ITO WD 3(2), KALYAN

ITA 3503/MUM/2014

• Counselvise Citation: [2017] 126 COUNSELVISE.COM (IT) 8707 (ITAT-MUMBAI)
• Duration Of Justice: 3 year(s) 5 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-10-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 31-05-2016
• Assessment Year: 2009-2010
• Appeal Filed On: 16-05-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SAURABH DESH
• Assessee Lawyers: S G DANDAWATE

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH A, MUMBAI BEFORE SHRI D.T. GARASIA, JUDICIAL MEMBER AND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER ITA NO.3503/M/2014 ASSESSMENT YEAR: 2009-10 SHRI ANANT B. PATIL, B-402/4, DEV DARSHAN BLDG., STATION ROAD, BHANDUP (W), MUMBAI-400 078 PAN: AAEPP 8841L VS. ITO WARD 3(2), KALYAN (APPELLANT) (RESPONDENT) PRESENT FOR: ASSESSEE BY : SHRI S.G. DANDAWATE, A.R. REVENUE BY : SHRI SAURABH DESHPANDE, D.R. DATE OF HEARING : 23.08.2017 DATE OF PRONOUNCEMENT : 25.10.2017 O R D E R PER D.T. GARASIA , JUDICIAL MEMBER: THE PRESENT APPEAL HAS BEEN PREFERRED BY THE ASSES SEE AGAINST THE ORDER DATED 07.02.2014 OF THE COMMISSIONER OF I NCOME TAX (APPEALS) [HEREINAFTER REFERRED TO AS THE CIT(A)] R ELEVANT TO ASSESSMENT YEAR 2009-10. GROUND NO.1 2. GROUND NO.1 RELATES TO THE ADDITION OF RS.7,08,6 50/- ON ACCOUNT OF NET PROFIT RATE ON UNDISCLOSED RECEIPTS. ITA NO.3503/M/2014 SHRI ANANT B. PATIL 2 THE SHORT FACTS OF THE CASE ARE THAT THE ASSESSEE I S A PROPRIETOR OF M/S. GANGESHWAR ROAD LINES CARRYING ON THE BUSIN ESS OF TRANSPORT AGENT. ASSESSEE HAD SHOWN GROSS TRANSPORT RECEIPTS AT RS.2,19,03,010/-. ON THESE RECEIPTS, THE ASSESSEE HAD SHOWN A NET PROFIT OF RS.11,49,819/- WHICH WORKS OUT TO A NET P ROFIT RATE OF 5.25%. ON VERIFICATION OF FORM NO.26AS, THE ASSESS ING OFFICER (HEREINAFTER REFERRED TO AS THE AO) NOTICED THAT TH E GROSS RECEIPTS OF THE ASSESSEE WORKED OUT AT RS.3,47,87,713/- WHEREAS THE ASSESSEE HAD DISCLOSED GROSS RECEIPTS AT RS.2,19,03,010/-. AFTE R CONSIDERING THE REPLY THE AO MADE THE ADDITION OF RS.7,08,653/- TO THE INCOME BEING 5.5% OF THE UNDISCLOSED RECEIPTS. 3. MATTER CARRIED TO THE LD. CIT(A) AND THE LD. CIT (A) HAS PARTLY ALLOWED THE APPEAL OF THE ASSESSEE. 4. DURING THE COURSE OF HEARING, THE LD. A.R. SUBMI TTED THAT ASSESSEE IS NOT A OWNER OF TRUCK BUT HE IS WORKING AS AGENT AND HE ARRANGES THE TRUCKS AND FOR MAKING THE ARRANGEMENT OF TRUCKS HE EARNS ONLY THE COMMISSION INCOME AND HENCE HE HAS P RAYED THAT IT MAY BE CONSIDERED AND MATTER MAY BE DECIDED. 5. ON THE OTHER HAND, THE LD. D.R. RELIED UPON THE ORDERS OF THE REVENUE AUTHORITIES. 6. WE HAVE HEARD THE RIVAL CONTENTIONS OF BOTH THE P ARTIES. WE FIND THAT AO AND LD. CIT(A) HAVE NOT VERIFIED THE D ETAILS SUBMITTED BY THE ASSESSEE. THEREFORE, IN THE INTEREST OF JUS TICE AND FAIRPLAY, WE ITA NO.3503/M/2014 SHRI ANANT B. PATIL 3 RESTORE THIS ISSUE TO THE FILE OF THE AO TO DECIDE THE MATTER AFRESH AS THE DETAILS SUBMITTED BY THE ASSESSEE. THIS GROUND IS ALLOWED FOR STATISTICAL PURPOSES. GROUND NO.2 7. GROUND NO.2 RELATES TO THE ADDITION OF RS.67,269 /- ON ACCOUNT OF DISALLOWANCE OUT OF EXPENSES. THE LD. A.R. SUBMITTED THAT NO DEFECT WAS POINTED OUT BY AO AND LD. CIT(A) AND IT REQUIRES TO BE VERIFIED AT TH E END OF THE AO, HENCE MATTER MAY BE RESTORED. 8. THE LD. D.R. RELIED UPON THE ORDERS OF THE REVEN UE AUTHORITIES. 9. WE FIND THAT NO DEFECT HAS BEEN POINTED OUT BY AO AND LD. CIT(A) WHICH REQUIRES TO BE VERIFIED AT THE END OF THE AO, HENCE WE RESTORE THIS ISSUE TO THE FILE OF AO TO DECIDE IT A FRESH. 10. IN THE RESULT, APPEAL IS ALLOWED FOR STATISTICA L PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 25.10.2017. SD/- SD/- (MANOJ KUMAR AGGARWAL) (D.T. GARASIA) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI, DATED: 25.10.2017. * KISHORE, SR. P.S. COPY TO: THE APPELLANT THE RESPONDENT THE CIT, CONCERNED, MUMBAI ITA NO.3503/M/2014 SHRI ANANT B. PATIL 4 THE CIT (A) CONCERNED, MUMBAI THE DR CONCERNED BENCH //TRUE COPY// [ BY ORD ER DY/ASSTT. REGISTRAR, ITAT, MUMBAI.