Mamta Jain, Ghaziabad V. DCIT, Ghaziabad

ITA 3663/DEL/2016

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 3710 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 7 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-02-2018
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2008-2009
• Appeal Filed On: 21-06-2016
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: ASHMIA NEB
• Keywords: Search and seizure
• Section: 143(3); 153A; 132

Judgement Text

PAGE | 1 INCOME TAX APPELLATE TRIBUNAL DELHI BENCH B : NEW DELHI BEFORE SHRI H.S.SIDHU , JUDICIAL MEMBER AND SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER ITA NO. 3667 TO 3673/DEL/2016 (ASSESSMENT YEAR: 2005 - 06 TO 2011 - 12 ) SANGEETA JAIN, 12/40, RAJ NAGAR, GHAZIABAD PAN:AELPJ5231P VS. DCIT, CENTRAL CIRCLE GHAZIABAD (APPELLANT) (RESPONDENT) ITA NO. 3660 TO 3666/DEL/2016 (ASSESSMENT YEAR: 2005 - 06 TO 2011 - 12 ) MAMTA JAIN, 12/40, RAJ NAGAR, GHAZIABAD PAN:ACPPJ9065R VS. DCIT, CENTRAL CIRCLE GHAZIABAD (APPELLANT) (RESPONDENT) ASSESSEE BY : NONE REVENUE BY: MS. ASHMIA NEB, SR. DR DATE OF HEARING 30/01/2018 DATE OF PRONOUNCEMENT 0 2 / 02/2018 O R D E R PER BENCH 1. TH ESE ARE THE 14 APPEALS FILED BY THE TWO ASSESSES AGAINST THE ORDER OF CIT(A) - IV, KANPUR FOR ASSESSMENT YEAR 2005 - 06 TO 2011 - 12 DATED 10.02.2016 CONFIRMING THE PENALTY LEVIED U/S 271(1)(B) OF THE INCOME TAX ACT. 2. THE ASSESSEE THOUGH HAS RAISED THREE GROUNDS OF APPEAL IDENTICAL WORDED FOR BOTH THE ASSESSE S IN ALL THESE APPEALS BUT THE REAL GRIEVANCES CONFIRMATION OF PENALTY OF RS. 10,000/ - FOR EACH ASSESSMENT YEAR IN CASE OF BOTH THESE ASSESSES. 3. BRIEF FACTS OF THE CASE IS THAT SEARCH AND SEIZURE OPERATION U/S 132 OF THE ACT WERE CARRIED ON 09.09.2010 AT OFFICE AND RESIDENTIAL PREMISES OF SHRI ITA NO. 3667 TO 3673/DEL/2016 ITA NO. 3660 TO 3666/DEL/2016 (ASSESSMENT YEAR: 2005 - 06 TO 2011 - 12) MANISH JAIN AND OTHERS. DURING THE COURSE OF SEARCH IT WAS FOUND THAT THESE PERSONS ALONG WITH THEIR ASSOC IATES HAVE MADE HEAVY CASH TRANSACTION FOR LAST SO MANY YEARS IN DIFFERENT FIRMS AND CONCERNS WHICH ARE MORE THAN 75 OPERATED FROM 14 - 15, KONARK, RDC, RAJNAGAR, GHAZIABAD AND VARIOUS OTHER FAKE ADDRESSES WHERE APPROXIMATELY 25 CONCERNS ARE SHOWN RUNNING BU T NONE OF THEM EXISTED. THE MODUS OPERANDI OF THE ASSESSEE AS NOTED BY THE LD ASSESSING OFFICER IS THAT MR. MANISH JAIN AND MR. RAKESH JAIN WERE DEPOSITING HEAVY CASH ON DAILY BASIS IN THE BANK ACCOUNT OF ALL THESE BOGUS CONCERNS . MRS. SANGEETA JAIN ONE OF THE APPELLANT IS WIFE OF MR. NEERAJ JAIN, WHEREAS, MRS. MAMTA JAIN ANOTHER APPELLANT IS THE WIFE OF MR. MANISH JAIN. 4. CONSEQUENT TO SEARCH NOTICE U/S 153A WAS ISSUED ON 26.03.2012 AND RETURN OF INCOME WAS FILED ON 26.07.2012 SHOWING INCOME OF RS. 115746/ - IN CASE OF MRS. SANGEETA JAIN FOR AY 2005 - 06 AND RS. 85750/ - FOR MRS. MAMTA JAIN FOR THE SAME YEAR ASSESSMENT YEAR. SUBSEQUENTLY, THE ASSESSMENT U/S 143(3) READ WITH SECTION 153A(B) WAS PASSED ON 31.03.2013 IN CASE OF BOTH THE ASSESSES AT RETURNED INCOME. 5. DURING THE COURSE OF ASSESSMENT PROCEEDINGS TWO NOTICES WERE ISSUED TO THE ASSESSEE ON 17.09.2012 WHICH WAS COMPLIED ON 09.10.2012 AND ANOTHER NOTICE DATED 30.11.2012 WHICH WAS COMPLIED ON 10.12.2012. THEREFORE, THE LD ASSESSING OFFICER ISSUED PENALTY NO TICE U/S 271(1)(B) ON 15.04.2013 FIXING DATE OF HEARING ON 30.04.2013 WHICH REMAINED UNCOMPLIED WITH. SUBSEQUENTLY, ANOTHER NOTICE WAS ISSUED FIXING DATE OF HEARING ON 04.09.2013. ON THE APPOINTED DATE IT WAS SUBMITTED THAT THE COUNSEL WHO WAS REPRESENTING THE CASE OF THE ASSESSEE COULD NOT REACH THE OFFICE OF THE LD ASSESSING OFFICER DUE TO BREAK DOWN IN HIS CAR. THE LD ASSESSING OFFICER REJECTED THE EXPLANATION OF THE ASSESSEE AND LEVIED THE PENALTY OF RS. 10000/ - FOR EACH OF THE ASSESSMENT YEAR FOR FAILU RE TO ATTEND ON 10.12.2012. AGAINST THE ORDER THE ASSESSEE PREFERRED APPEAL BEFORE THE LD CIT(A) WHO CONFIRMED THE SAME HOLDING THAT DECISION OF THE LUCKNOW BENCH OF ITAT IN CASE OF KRISHNA BIHARI AGGARWAL VS. DCIT ITA NO. 296/LKW/2015 DATED 26.06.2015 SQU ARELY APPLIED TO THE FACTS OF THE ITA NO. 3667 TO 3673/DEL/2016 ITA NO. 3660 TO 3666/DEL/2016 (ASSESSMENT YEAR: 2005 - 06 TO 2011 - 12) CASE. THE LD CIT(A) FURTHER HELD THAT THE ASSESSEE HAS NOT SHOWN ANY REGARD TO THE STATUTORY NOTICES ISSUED BY THE LD AO. HE SUSTAINED THE PENALTY. THEREFORE, THE ASSESSEE IS IN APPEAL BEFORE US. 6. DESPITE NOTICE ISSUED ON 28.12.2017 FIXING THE DATE OF HEARING ON 30.01.2018, NONE APPEARED ON BEHALF OF THE ASSESSEE. THEREFORE, THE ISSUE IS DECIDED ON MERITS AS PER INFORMATION AVAILABLE ON RECORD. 7. THE LD DEPARTMENTAL REPRESENTATIVE VEHEMENTLY SUPPORTED THE ORDERS OF THE LOWER AUTHORITIES. SHE SUBMITTED THAT ASSESSEE IS ENGAGED IN PROVIDING FAKE ENTRIES AND THEREFORE, WILLFULLY DID NOT APPEAR BEFORE THE LD ASSESSING OFFICER. SHE FURTHER SUBMITTED THAT IN PARA NO. 1 AND 2 OF THE ASSESSMENT ORDER SHOWS THE CONDUCT OF THE ASSESSEE . HE THEREFORE, SUBMITTED THAT THE ABOVE PENALTY MAY BE CONFIRMED. 8. WE HAVE CAREFULLY CONSIDERED THE RIVAL CONTENTIONS AND ALSO PERUSED THE ORDERS OF THE LOWER AUTHORITIES. THE LD CIT(A) HAS HELD THAT THE SUBMISSION OF THE APPELLANT DOES NOT HAVE ANY SUPPO RTING EVIDENCE AS TO WHY THE NOTICES WERE NOT COMPLIED WITH. HE FURTHER HELD THAT NO REASONS WERE GIVEN BEFORE THE LD ASSESSING OFFICER WHY THE PENALTY PROCEEDINGS SHOULD BE DROP. THE LD CIT(A) RELIED UPON THE ORDERS OF COORDINATE BENCH IN CASE OF SHRI KRI SHNA BIHARI AGGARWAL (SUPRA) AND CONFIRMED THE PENALTY. ON PERUSAL OF THE SAME WE DO NOT FIND ANY REASON TO UPSET THE ORDERS OF THE LOWER AUTHORITIES. IN THE RESULT THE ORDER OF THE LD ASSESSING OFFICER LEVYING PENALTY U/S 271(1)(B) OF THE ACT FOR ALL THE 7 YEARS IN CASE OF BOTH THE ASSESSES AND THE ORDER OF THE LD CIT(A) IN CONFIRMING THE SAME ARE UPHELD. 9. IN THE RESULT ALL THE SEVEN APPEALS OF EACH OF THE ASSESSEE ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 02 / 02/2018 . - SD/ - - SD/ - ( H.S. SIDHU ) (PRASHANT MAHARISHI) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 02/ 02/2018 A K KEOT COPY FORWARDED TO ITA NO. 3667 TO 3673/DEL/2016 ITA NO. 3660 TO 3666/DEL/2016 (ASSESSMENT YEAR: 2005 - 06 TO 2011 - 12) 1. APPLICANT 2. RESPONDENT 3. CIT 4. CIT (A) 5. DR:ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI ITA NO. 3667 TO 3673/DEL/2016 ITA NO. 3660 TO 3666/DEL/2016 (ASSESSMENT YEAR: 2005 - 06 TO 2011 - 12) DATE 1. DRAFT DICTATED ON PS 2. DRAFT PLACED BEFORE AUTHOR PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. JM/AM 5. APPROVED DRAFT COMES TO THE SR.PS/PS PS/PS 6. KEPT FOR PRONOUNCEMENT ON PS 7. FILE SENT TO THE BENCH CLERK PS 8. DATE ON WHICH FILE GOES TO THE AR 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK. 10. DATE OF DISPATCH OF ORDER.