JAGNNATH CHOUDHARY, PATNA V. ITO, WARD-4(4), PATNA

ITA 37/PAT/2020

• Counselvise Citation: [2021] 109 COUNSELVISE.COM (IT) 4379 (ITAT-PATNA)
• Duration Of Justice: 8 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-02-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: misc
• Appeal Filed On: 18-05-2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: ABHI SARKAR
• Keywords: Set aside
• Section: 143(3); 147

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL P A TNA SMC BENCH BEFORE SHRI S ANJAY G ARG , JUDICIAL MEMBER . / ITA NO. 37 /PAT / 20 2 0 ASSESSMENT YEAR: 20 10 - 1 1 JAGNNATH CHOUDHURY SAKET VIHAR, NEAR: OXFORD ACADEMY SCHOOL, MITRA MONDAL COLONY, PHULWARI, PATNA - 800 002 [ PAN NO. A DCPC4412F ] / V/S . INCOME TAX OFFICER WARD - 4(4), PATNA / APPELLANT .. / RESPONDENT HEARING THROUGH VIDEO CONFERENCING / BY APPELLANT SHRI A BHI SARKAR , AR / BY RESPONDENT SHRI AJAY KUMAR, ADDL. CIT - SR - DR / DATE OF HEARING 2 1 - 0 1 - 20 2 1 / DATE OF PRONOUNCEMENT 10 - 02 - 20 2 1 / O R D E R TH E PRESENT APPEAL HAS BEEN PREFERRED BY THE ASSESSEE AGAINST THE ORDER OF THE COMMISSIONER OF INCOME - TAX (APPEALS) , PATNA - 2 , DATED 2 3.01.2020 [HEREINAFTER REFERRED TO AS CIT(A)] . THE ASSESSEE HAS CONTESTED THE VALIDITY OF THE RE - ASSESSMENT FRAMED U/S 147 O F THE INCOME TAX ACT, 1961 (IN SHORT THE ACT) ALONG WITH THE IMPUGNED ADDITIONS MADE BY THE LD. ASSESSING OFFICER ( IN SHORT AO ) IN THE ASSESSMENT ORDER DATED 09 - 08 - 2016 PASSED U/S. 147 R.W.S 143(3) OF THE ACT. 2. AT THE OUTSET, LD. COUNSEL FOR THE ASSESSEE HAS INVITED MY ATTENTION TO THE IMPUGNED ASSESSMENT ORDER WHEREIN IT HAS BEEN STATED BY THE LD. ASSESSING OFFICER THAT AS PER INFORMATION AVAILABLE ON RECORD THE ASSESSEE DURING THE YEAR HAD PAID AN ITA NO. 37/PAT/2020 AY 2010 - 11 JAGNNATH CHOUDHURY PAGE 2 AMOUNT OF RS. 23,50,000/ - TO SANTOSH MEDICAL COLLEGE, GAZIABAD, WHICH INCLUDE D CAPITATION FEES / DONATION OF RS. 10,00,000/ - , REGULAR FEES PAID BY DD OF RS. 9,00,000/ - AND REGULAR FEES PAID IN CASH OF RS. 4,50,000/ - . DURING THE ASSESSMENT , PROCEEDINGS , THE ASSESSEE SUBMITTED THAT THE ASSESSEE HAD PAID AN AGGREGATE AMOUNT OF RS. 1 3.50 LAKHS @ RS.4,50,000/ - PER YEAR STARTING FROM F.Y 2009 - 10 TO 2011 - 12. HOWEVER, THE LD. AO OBSERVED THAT SINCE AS PER INFORMATION THE ASSESSEE HAD PAID TOTAL AMOUNT OF RS. 23.50 LAKH S DURING THE A.Y (2009 - 10) I.E. THE YEAR UNDER CONSIDERATION, HOWEVER, THE ASSESSEE COULD EXPLAIN ONLY A BOUT THE PAYMENT OF RS. 4,50,000/ - FROM THE ASSESSEES OWN CAPITAL BANK LOAN ACCOUNT . T HEREFORE, AFTER GIVING THE BENEFIT OF THE AFORESAID AMOUNT HE MADE AN ADDITION OF RS. 19 LAKHS INTO THE INCOME OF THE ASSESSEE . 3. BEING AGGRIEVED BY THE ORDER OF THE AO, THE ASSESSEE PREFERRED APPEAL BEFORE THE LD. CIT(A) AND BEFORE HIM PLEADED THAT THE ASSESSEE HAS NOT BEEN CONFRONTED WITH ANY SUCH INFORMATION ON THE BASIS OF WHICH THE AO HELD THAT THE ASSESSEE HAD PAID TOTAL SUM OF RS. 2 3.50 LAKHS. THE LD. CIT(A) , HOWEVER, UPHELD THE ORDER OF THE L D. AO BY W A Y OF A SMALL CRYPTIC ORDER. THE ASSESSEE , THUS, HAS COME UP IN APPEAL BEFORE THE TRIBUNAL. 4. I HAVE HEARD THE RIVAL CONTENTIONS AND GONE THROUGH THE ASSESSMENT ORDER AS WELL AS THE ORDER OF THE LD. CIT(A). I FIND THAT THE IMPUGNED ORDER OF THE LD. CIT(A) IS A CRYPTIC ORDER. D ESPITE THE PLEA TAKEN BY THE ASSESSEE THAT HE PAID AN AMOUNT OF RS. 13.50 LAKHS ONLY DURING THE F.Y 2009 - 10 TO 2011 - 12 , NO FINDING IN THIS RESPECT HAS BEEN GIVEN BY ANY OF THE LOWER AUTHORITIES . THERE IS NO MENT ION ABOUT THE NATURE, CONTENTS OR SOURCE OF INFORMATION AVAILABLE TO THE AO THAT THE ASSESSEE HAD PAID AN AMOUNT OF RS. 2 3.50 LAKHS DURING THE YEAR. THEREFORE, THE ASSESSMENT FRAME U/S. 147 OF THE ACT IS VAGUE AND NOTHING IS ESTABLISHED ON RECORD I N THIS RESPECT. T HERE IS NO MENTION OF ANY EVIDENCE IN THE ASSESSMENT ORDER REGARDING THE PAYMENT OF RS. 2 3. 50 LAKHS MADE BY THE ASSESSEE TO THE SAID MEDICAL COLLEGE DURING THE YEAR. NO MATERIAL , WHATSOEVER , IN THIS RESPECT HAS BEEN CONFRONTED TO THE A SSESSEE BY THE AO. THE LD. CIT(A) HAS ALSO UPHELD THE ASSESSMENT FRAMED U/S 147 OF THE ACT ITA NO. 37/PAT/2020 AY 2010 - 11 JAGNNATH CHOUDHURY PAGE 3 WITHOUT APPLICATION OF MIND. THE IMPUGNED ORDER OF THE LD. CIT(A) IS VAGUE AND BASELESS , H ENCE, THE SAME IS NOT SUSTAINABLE IN THE EYES OF LAW. ACCORDINGLY, THE SAME IS SET ASIDE. IN THE RESULT, ASSESSEES APPEAL STANDS ALLOWED. ORDER PRONOUNCED IN OPEN COURT ON 10 / 0 2 / 20 2 1 SD/ - (S ANJAY GAR G ) JUDICIAL MEM BER - 10 /02/2021 / KOLKATA * * PP /SR.PS / COPY OF ORDER FORWARDED TO: - 1. /APPELLANT - SHRI JAGNNATH CHODHURY, SAKET VIHAR, NEAR OXFORD ACADY SCHOOL, MITRA MANDAL COLONY, PHULWARI, PATNA - 800 002. 2. /RESPONDENT - ITO WARD - 4(4),PATNA 3. / CONCERNED CIT 4. - / CIT (A) 5. , / DR, ITAT, KOLKATA 6. / GUARD FILE. BY ORDER/ , ,