SHRI PRADEEP KUMAR AHUJA, KOTA V. INCOME TAX OFFICER, KOTA

ITA 37/JPR/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 1451 (ITAT-JAIPUR)
• Duration Of Justice: 1 year(s) 2 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-03-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2010-2011
• Appeal Filed On: 10-01-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: ANURADHA JCIT DHK
• Section: 143(3)

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES (SMC), JAIPUR JH JES'K LH 'KEKZ] YS[KK LNL; DS LE{K BEFORE: SHRI RAMESH C SHARMA , ACCOUNTANT MEMBER VK;DJ VIHY LA-@ ITA NO. 37/JP/2018 FU/KZKJ.K O'KZ@ ASSESSMENT YEAR : 2010-11 PRADEEP KUMAR AHUJA, 2/733, KHAI ROAD, NAYAPURA, KOTA. CUKE VS. I.T.O., WARD 2(1), KOTA. LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO.: AIWPA 9781 G VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY : SHRI MAHENDRA GARGIEYA (ADV) JKTLO DH VKSJ LS@ REVENUE BY : MS. ANURADHA (JCIT) LQUOKBZ DH RKJH[K@ DATE OF HEARING : 18/03/2019 MN?KKS'K.KK DH RKJH[K @ DATE OF PRONOUNCEMENT : 20/03/2019 VKNS'K@ ORDER PER: R.C. SHARMA, A.M. THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF LD.CIT(A), KOTA DATED 04/10/2017 FOR THE A.Y. 2010-1 1 IN THE MATTER ORDER PASSED U/S 143(3) OF THE INCOME TAX ACT, 1961 (IN SHORT THE ACT). 2. IN THIS APPEAL, THE ASSESSEE IS AGGRIEVED FOR TH E ACTION OF THE LD. CIT(A) IN CONFIRMING THE ADDITION OF RS. 3.00 LACS O N ACCOUNT OF DEPOSITS IN THE BANK ACCOUNTS. ITA 37/JP/2018 PRADEEP KR. AHUJA VS. ITO 2 3. RIVAL CONTENTIONS HAVE BEEN HEARD AND RECORD PER USED. THE FACTS IN BRIEF ARE THAT THE ASSESSEE IS A PARTNER IN THE FIRM M/S ISRAR BAIG & PARTY, KOTA. THE AO NOTED THAT THE ASSESSEE INTRODUC ED FRESH CAPITAL OF RS.12,39,662/- THIS YEAR AND THE SOURCES THEREOF WAS EXPLAINED TO BE RECOVERY OF THE OLD LOANS GIVEN RS.9,00,000/- TO SH RI GALIB BAIG ON 10.03.2009 AND RECEIVED ON 15.04.2009 AND RS.3,00,0 00/- AS LOAN TAKEN FROM SHRI AMAR NATH KATHURIA, ON 17.07.2009. THE ASS ESSING OFFICER DID NOT AGREE WITH THE RECEIPT OF LOAN OF RS. 3.00 LACS FROM SHRI AMAR NATH KATHURIA, ACCORDINGLY, THE SAME WAS ADDED TO THE ASS ESSEES INCOME. BY THE IMPUGNED ORDER, THE LD. CIT(A) CONFIRMED THE ACT ION OF THE ASSESSING OFFICER. NOW THE ASSESSEE IS IN FURTHER AP PEAL BEFORE THE ITAT. 4. I HAVE CONSIDERED THE RIVAL CONTENTIONS AND FOUN D THAT THE IMPUGNED AMOUNT OF RS.3,00,000/- WAS TAKEN FROM SHRI AMARNATH KATHURIA THROUGH BANKING CHANNELS ON DATED 17.07.2009. THIS FACT IS VERIFIABLE FROM BANK STATEMENT OF THE ASSESSEE AS WE LL AS LENDER SHRI AMAR NATH KATHURIA. THE SAME VERY AMOUNT OF RS.3,00, 000/- WAS REPAID TO HIM ON DATED 4.11.2009 THAT TOO THROUGH BANK TRA NSFER. IN THE BANK PASSBOOK OF BANK OF RAJASTHAN LIMITED, THERE IS A C LEAR MENTION OF THE RECEIPT OF RS. 3,00,000/- ON DATED 17.07.2009 AND R EPAYMENT OF ITA 37/JP/2018 PRADEEP KR. AHUJA VS. ITO 3 RS.3,00,000/- ON 04.11.2009. AFTER RECEIVING THE LO AN FROM SHRI KATHURIA, THE SAME AMOUNT THEREAFTER, WAS TRANSFERR ED ON THE VERY NEXT DAY I.E. ON DATED. 18.07.2009 TO THE FIRM M/S ISRAR BEG & PARTY VIDE A D.D NO. 466385. WE ALSO OBSERVE THAT THE ASSESSEE WA S HAVING HIS BANK ACCOUNT IN BANK OF RAJASTHAN LIMITED. THEREAFTER, TH E SAID BANK OF RAJASTHAN LTD. GOT MERGED WITH THE ICICI BANK LTD. T HERE WAS A SIMPLE MENTION OF A WORD TRANSFER AND NAME OF SH. AMARANT H KATHURIA WAS NOT SHOWING. THE ASSESSEE APPROACHED THE ICICI BANK A ND OBTAINED ACCOUNT LEDGER INQUIRY IN THE FORM OF ONLINE FINANCIAL TRANSACTION INQUIRY SHOWING COMPLETE DETAILS. THE ASSESSEE ALSO OBTAINED THE SIMILAR ONLINE FINANCIAL TRANSACTION INQUIRY FROM THE LENDER SHRI AMAR NATH KATHURIA WHEREIN THE RECEIPT BY THE ASSESSEE OF RS.3 ,00,000/- HAS BEEN SHOWN AS PAYMENT I.E. CORRESPONDING DEBIT IN THE ACC OUNT OF SHRI KATHURIA. 5. IN VIEW OF ABOVE, I CAN SAFELY CONCLUDE THAT THE TRANSACTION OF RS. 3,00,000/- RECEIVED/PAID BACK WAS IS FULLY SUPPORTED BY THE EVIDENCES AS IT WAS DONE THROUGH BANKING CHANNELS AND THE STATUS OF TRANSACTION IS ALSO CROSS VERIFIED FROM THE INFORMATION OBTAINED F ROM THE BANK. THE ASSESSEE FILED CASH BOOK AD WELL AS BANK PASSBOOK OF RAJ. BANK ALONGWITH LETTER DATED 28/02/2013. ITA 37/JP/2018 PRADEEP KR. AHUJA VS. ITO 4 6. IN VIEW OF THE ABOVE FACTS AND CIRCUMSTANCES, I D O NOT FIND ANY JUSTIFICATION IN THE ADDITION OF RS. 3.00 LACS SO M ADE BY THE ASSESSING OFFICER AND CONFIRMED BY THE LD. CIT(A), ACCORDINGLY , THE ASSESSING OFFICER IS DIRECTED TO DELETE THE SAME. 7. THE ASSESSEE IS ALSO AGGRIEVED FOR CONFIRMING THE ADDITION OF RS. 36,000/- BY THE LD. CI(A) ON ACCOUNT OF HOUSEHOLD E XPENSES. 8. RIVAL CONTENTIONS HAVE BEEN HEARD AND RECORD PER USED. FROM THE RECORD I FOUND THAT THE ASSESSEE DEBITED RS.48,000/ - TOWARDS DRAWINGS. THE ASSESSING OFFICER ASKED EXPLANATION FOR SHOWING S UCH LOW HOUSEHOLD EXPENSES. THE ASSESSEE SUBMITTED THAT RS.48,000/- AR E FOR HIS PERSONAL USE AND BEING A BACHELOR THIS AMOUNT IS SUFFICIENT FOR HIM AS HE IS LIVING IN HIS PARENTAL OLD HOUSE WITH HIS UNCLE. THE ASSESSI NG OFFICER MADE ADDITION ALLEGING THAT THE ASSESSEE IS A BIG BUSINE SSMAN AND LEADS A LAVISH LIFE, MAINTAINS CARS AND INVOLVED IN LIQUOR BUSINESS HENCE HIS HOUSEHOLD EXPENSES SHOULD BE MINIMUM AT RS.1,20,000 /- PER ANNUM I.E. RS.10,000/- PER MONTH. HENCE AN ADDITION OF RS.72,0 00/- WAS MADE BY THE ASSESSING OFFICER. 9. BY THE IMPUGNED ORDER, THE LD. CIT(A) OBSERVED TH AT THE ESTIMATION SO MADE BY THE ASSESSING OFFICER IS AT H IGHER SIDE, ACCORDINGLY, HE ESTIMATED RS. 7,000/- PER MONTH AS HOUSEHOLD ITA 37/JP/2018 PRADEEP KR. AHUJA VS. ITO 5 EXPENSES, WHICH COMES TO RS. 84,000/- PER YEAR, THER EFORE, THE ADDITION OF RS. 36,000/- WAS SUSTAINED BY THE LD. CIT(A). THE DETAILED FINDING RECORDED BY THE LD. CIT(A) FOR UPHOLDING THE ADDITIO N OF RS. 36,000/- HAS NOT BEEN CONTROVERTED BY THE LD AR BY BRINGING ANY POSITIVE MATERIAL ON RECORD, ACCORDINGLY, I CONFIRM THE ADDITION OF RS. 36,000/- ON ACCOUNT OF HOUSEHOLD EXPENSES KEEPING IN VIEW THE STATUS OF THE ASSESSEE. 10. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWE D IN PART. ORDER PRONOUNCED IN THE OPEN COURT ON 20 TH MARCH, 2019 SD/- JES'K LH 'KEKZ ( RAMESH C SHARMA ) YS[KK LNL;@ YS[KK LNL;@ YS[KK LNL;@ YS[KK LNL;@ ACCOUNTANT MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 20 TH MARCH, 2019 *RANJAN VKNS'K DH IZFRFYFI VXZSFKR @ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ @ THE APPELLANTS- SHRI PRADEEP KUMAR AHUJA, KOTA. 2. IZR;FKHZ @ THE RESPONDENT- THE I.T.O., WARD 2(1), KOTA. 3. VK;DJ VK;QDR @ CIT 4. VK;DJ VK;QDRVIHY @ THE CIT(A) 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K] T;IQJ @ DR, ITAT, JAIPUR 6. XKMZ QKBZY @ GUARD FILE (ITA NO. 37/JP/2018) VKNS'KKUQLKJ @ BY ORDER, LGK;D IATHDKJ @ ASST. REGISTRAR