Appeal details
Counselvise Citation
[2020] 111 COUNSELVISE.COM (IT) 2489 (ITAT-RANCHI)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
1 year(s) 2 month(s) 17 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
04-03-2020
Appeal Filed By
Assessee
Order Result
Partly Allowed
Bench Allotted
SMC
Assessment Year
2010-2011
Appeal Filed On
17-12-2018
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL RANCHI BENCH SMC RANCHI BEFORE SHRI S.S, GODARA, JUDICIAL MEMBER ITA NO.376/RAN/2018 ASSESSMENT YEAR:2010-11 SHYAM SUNDER BHAGAT, BHAGAT PARA, PAKUR-816107 [ PAN NO.ABLPB 2425 J ] / V/S . INCOME TAX OFFICER, WARD- 3(4), SRI HANUMAT NIWAS, ST XAVIERS ROAD, SAKROGARH, SAHIBGANJ - 816109 /APPELLANT .. /RESPONDENT /BY APPELLANT SHRI M.K. CHOWDHURY, ADVOCATE /BY RESPONDENT SMT. NISHA ORAON SINGHMARR, JCIT-DR /DATE OF HEARING 04-03-2020 /DATE OF PRONOUNCEMENT 04-03-2020 /O R D E R (ORAL) THIS ASSESSEES APPEAL FOR ASSESSMENT YEAR 2010-11 , ARISES AGAINST THE COMMISSIONER OF INCOME-TAX (APPEALS)-DHANBADS ORDE R DATED 14.09.2018 PASSED IN CASE NO.03/DHN/13-14, INVOLVING PROCEEDINGS U/S. 14 3(3) OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT. HEARD BOTH THE PARTIES. CASE FILE PERUSED. 2. THE ASSESSEES FIRST SUBSTANTIVE GRIEVANCE SEEKS TO DELETE SEC. 68 UNEXPLAINED CASH CREDITS ADDITION MADE IN BOTH THE LOWER PROCEE DINGS TO THE TUNE OF RS.3.25 LAKHS AND RS.5 LAKH INVOLVING AS MANY CREDITORS SHRI PARA S BHAKAT AND SHRI RAM YADAV; RESPECTIVELY. I FIND DURING THE COURSE OF HEARING T HAT THE FORMER CREDITOR SHRI PARAS BHAKAT HAD NOT ONLY APPEARED IN PERSON BUT ALSO FIL ED ALL BANK STATEMENT DETAILS AS ITA NO.376/RAN/2018 ASSESSMENT YEAR:2010-11 SHYAM SUNDER BHAGAT VS. ITO WD-3( 4), DHN P AGE 2 WELL AS INCOME TAX RETURNS ETC. DURING THE COURSE O F ASSESSMENT. LEARNED COUNSEL QUOTES HONBLE JURISDICTIONAL HIGH COURTS TAX CASE NO.02 OF 1999 COMMISSIONER OF INCOME TAX VS. M/S GIRDHAR AGENCIES , DATED 07.09.2010 THAT SUCH IN A EVIDENCE IS SUFFICIENT TO DISCHARGE ONUS OF PROVING IDENTITY, G ENUINENESS AND CREDITWORTHINESS OF THE CREDITORS CONCERNED. THE ASSESSEES FIRST SUBS TANTIVE GROUND SUCCEEDS QUA FORMER CREDITOR SHRI PARAS BHAKAT HEREINABOVE. 3. COMING TO LATTER SUM OF RS.5 LAKH OF SHRI RAM YA DAV, IT IS EVIDENT FROM THE CASE FILE THAT THE SAID CREDITOR DID NOT APPEAR ALL EGEDLY DUE TO HIS ILLNESS. LEARNED COUNSEL SUBMITS IN LIGHT OF THE HONBLE JURISDICTIO NAL HIGH COURTS DECISION AND THIS LATTER CREDITORS INCOME TAX RETURN(S) THAT THE ASS ESSEE HAS SUFFICIENTLY DISCHARGED HIS ONUS OF PROVING THE FOREGOING THREE INGREDIENTS. I FIND NO MERIT IN ASSESSEES INSTANT LATTER ARGUMENT. THE FACT REMAINS THAT THE CREDITOR HAD NOT ONLY MADE CASH DEPOSITS IMMEDIATELY IN HIS BANK ACCOUNT BEFORE ADVANCING TH E LOAN IN QUESTION BUT ALSO FILED INCOME TAX RETURN MUCH AFTER THE RELEVANT PREVIOUS YEAR. ALL THIS SUFFICIENTLY INDICATES THAT THE ASSESSEE HAS FAILED TO DISCHARGE HIS ONUS. I ACCORDINGLY CONFIRM THE IMPUGNED ADDITION OF RS.5 LAKHS IN THESE FACTS AND CIRCUMSTA NCES. 4. NEXT COMES DEPRECIATION DISALLOWANCE MADE BY BOT H THE LOWER AUTHORITIES RESTRICTING THE ASSESSEES CLAIM @ 30% ON JCB AND P OKLAND RESTRICTED TO 15% ONLY. THIS TRIBUNALS CO-ORDINATE BENCHS DECISION IN ITA NO.315/RAN/2017 DECIDED ON 22.11.2018 IN NEW PUNJAB MOTRO TRANSPORT VS. INCOME TAX OFFICER W ARD-1(2), JAMSHEDPUR AND (2010) 8 TAXMANN.COM 62 (KOL) BOTHRA SHIPPING SERVICES VS. COMMISSIONER OF INCOME-TAX-XII, KOLKATA HOLD THAT THE IMPUGNED HIGHER DEPRECIATION CLAIM IS VERY MUCH ADMISSIBLE IN SUCH CATEGORY OF V EHICLES WHICH ARE REGISTERED UNDER MOTOR VEHICLE. I THEREFORE DIRECT THE ASSESSING OFF ICER TO DELETE THE IMPUGNED HIGHER DEPRECIATION CLAIM. 5. LASTLY COMES THE ASSESSEES 4 TH AND 5 TH SUBSTANTIVE GROUNDS CHALLENGING ESTIMATED DISALLOWANCE(S) OF RS.50,000/- AND RS.30, 000/- ON REPAIR / MAINTENANCE AND MISCELLANEOUS HEAD(S); RESPECTIVELY MADE IN BOTH TH E LOWER APPELLATE PROCEEDINGS. THE ITA NO.376/RAN/2018 ASSESSMENT YEAR:2010-11 SHYAM SUNDER BHAGAT VS. ITO WD-3( 4), DHN P AGE 3 FACT REMAINS NEITHER THE ASSESSEE HAS SATISFACTORIL Y DISCHARGED HIS ONUS OF PROVING BOTH THESE HEAD(S) BY FILING THE REQUISITE EVIDENCE THE DEPARTMENT HAS FAIL TO PIN-POINT ANY ABNORMALITY VIS--VIS PRECEDING AND SUCCEEDING ASSE SSMENT YEAR HEREIN. I THEREFORE DEEM IT APPROPRIATE TO RESTRICT THE FORMER HEAD OF RS.50,000/- TO RS.20,000/- AND LATTER HEAD OF RS.30,000/- TO RS.10,000/-; RESPECTIVELY. N ECESSARY COMPUTATION INCLUDING THAT OF INTEREST TO FOLLOW AS PER LAW. 6. THIS ASSESSEES APPEAL IS PARTLY ALLOWED IN ABOV E TERMS. ORDER PRONOUNCED IN OPEN COURT AT THE CLOSE OF HEA RING ON WEDNESDAY, 4 TH MARCH, 2020 SD/- ( #) (S.S. GODARA) JUDICIAL MEM BER *DKP/SR.PS % - 04/03/2020 / COPY OF ORDER FORWARDED TO:- 1. /APPELLANT-SHYAM SUNDER BHAGAT, BHAGAT PARA, PAKUR- 816107 2. /RESPONDENT-ITO WD-3(4), ST XAVIERS ROAD, SAKROGARH , SAHIBGANJ-816109 3. ) , / CONCERNED CIT 4. , - / CIT (A) 5. - ) , ) / DR, ITAT, RANCHI 6. 1 / GUARD FILE. BY ORDER/ , /TRUE COPY/ SR. PRIVATE SECRETARY/P.S (ON TOUR) ),
