M/s Vikas Traders, Sitapur V. Dy. Commissioner of Income Tax, Sitapur

ITA 397/LKW/2014

• Counselvise Citation: 39723714 RSA 2014
• Duration Of Justice: 1 year(s) 5 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-11-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 04-09-2014
• Assessment Year: 2008-2009
• Appeal Filed On: 19-05-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: P K DEY

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL LUCKNOW BENCH B, LUCKNOW BEFORE SHRI SUNIL KUMAR YADAV, JUDICIAL MEMBER AND SHRI A.K. GARODIA, ACCOUNTANT MEMBER ITA NO.397/LKW/2014 ASSESSMENT YEAR:2008 - 09 D.C.I.T., SITAPUR. VS. M/S VIKAS TRADERS, C/O AYYUBIS CHAMBER, NEAR EYE HOSPITAL, SITAPUR. PAN:AADFV3386M (RESPONDENT) (APPELLANT) NONE APPELLANT BY SHRI P. K. DEY, D.R. RESPONDENT BY 04/09/2014 DATE OF HEARING 11 /11/2014 DATE OF PRONOUNCEMENT O R D E R PER A. K. GARODIA, A.M. THIS IS AN ASSESSEES APPEAL DIRECTED AGAINST THE ORDER PASSED BY LEARNED CIT(A), BAREILLY DATED 21/02/2014 FOR THE ASSESSMENT YEAR 2008 - 2009. 2. THE GROUNDS RAISED BY THE ASSESSEE ARE AS UNDER: THAT THE LEARNED COURTS BELOW ARE NOT JUSTIFIED IN DISALLOWING RS.4,50,000/ - OUT OF LABOUR EXPENSES, RS.2,50,000/ - OUT OF MACHINE RUNNING AND MAINTENANCE EXPENSES, RS.1,50,000/ - OUT OF GENERAL EXPENSES, SITE EXPENSES, TRADE EXPENSES & HIRING CHARGES AND RS.1,50,000/ - OUT OF TRUCK RUNNING AND MAINTENANCE EX PENSES. THAT THE LEARNED COURTS BELOW ARE NOT JUSTIFIED IN NOT ALLOWING SALARY TO PARTNER ON THE ADDITIONS MADE ON PROPORTIONATE BASIS. 2 THAT THE FINDINGS OF THE LEARNED COURTS BELOW ARE CONTRARY TO LAW AND FACTS OF THE CASE. THAT THE CHARGING OF INTEREST IS ALSO NOT VALID, LEGAL AND PROPER. 3. NONE APPEARED ON BEHALF OF THE ASSESSEE ON THE DATE OF HEARING INSPITE OF NOTICE AND HENCE, WE PROCEED TO DECIDE THIS APPEAL OF THE ASSESSEE EX - PARTE QUA THE ASSESSEE. 4. LEARNED D.R. OF THE REVENUE SUPPO RTED THE ORDERS OF THE AUTHORITIES BELOW. 5. WE HAVE CONSIDERED THE SUBMISSIONS OF LEARNED D.R. OF THE REVENUE, PERUSED THE MATERIAL AVAILABLE ON RECORD AND GONE THROUGH THE ORDERS OF THE AUTHORITIES BELOW. WE FIND THAT IT IS NOTED BY THE ASSESSING OFFIC ER THAT THE ASSESSEE HAS NOT MAINTAINED PROPER LABOUR DEPLOYMENT REGISTER AND THE EXPENSES CLAIMED ARE ALSO NOT FULLY COVERED BY PROPER EVIDENCES. HE HAS ALSO NOTED THAT IN THE LIGHT OF THESE, THE ASSESSEE HAS WILLINGLY SURRENDERED THE EXPENSES OF RS.4,50 ,000/ - UNDER THE HEAD LABOUR EXPENSES OUT OF TOTAL EXPENSES OF RS.2,75,37,010/ - CLAIMED UNDER THIS HEAD. HE HAS FURTHER NOTED THAT THE ASSESSEE HAS WILLINGLY SURRENDERED RS.2,50,000/ - UNDER THE HEAD MACHINE RUNNING & MAINTENANCE EXPENSES OUT OF TOTAL C LAIM OF SUCH EXPENSES TO THE EXTENT OF RS.32,60,362/ - AND RS.15,59,760/ - RESPECTIVELY. THEREAFTER, HE HAS FURTHER NOTED THAT THE ASSESSEE WILLINGLY SURRENDERED RS.1,50,000/ - OUT OF TRUCK RUNNING AND MAINTENANCE EXPENSES OUT OF TOTAL CLAIM OF SUCH EXPENSES TO THE EXTENT OF RS.15,63,489/ - . THE ASSESSING OFFICER HAS FURTHER NOTED THAT THE ASSESSEE HAS SURRENDERED RS.1,50,000/ - OUT OF GENERAL EXPENSES, SITE EXPENSES, TRADE EXPENSES AND HIRING CHARGES. THE ASSESSING OFFICER HAS MADE ONLY THOSE ADDITIONS WHICH WERE SURRENDERED BY THE ASSESSEE BEFORE HIM TOTALING RS.10 LAC AND COMPUTED THE INCOME OF THE ASSESSEE AT RS.23,77,060/ - AS AGAINST RETURNED INCOME OF RS.13,77,060/ - . WHEN THE 3 ASSESSEE HAS WILLINGLY SURRENDERED THIS MUCH EXPENSES BEFORE THE ASSESSING OFF ICER, WHEN CONFRONTED WITH VARIOUS DEFECTS, THE GROUNDS RAISED BY THE ASSESSEE DO NOT SURVIVE AND HENCE, REJECTED. 6. IN THE RESULT, THE APPEAL OF THE ASSESSEE STANDS DISMISSED. (ORDER WAS PRONOUNCED IN THE OPEN COURT ON THE DATE MENTIONED ON THE CAPTIO N PAGE) SD/. SD/. (SUNIL KUMAR YADAV) ( A. K. GARODIA ) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 11 /11/2014. *C.L.SINGH COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT. 3. CONCERNED CIT 4. THE CIT(A) 5.D.R., I.T.A.T., LUCKNOW ASSTT. REGISTRAR