Lalchand B. Vasani, Ahmedabad V. The Asstt. Commissioner of Income Tax, Circel-12, Ahmedabad

ITA 409/AHD/2017

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 7835 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 11 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-01-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 20-01-2020
• Assessment Year: 2011-2012
• Appeal Filed On: 17-02-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: A C SHAH; BHADRESH GANDHAKWALA A RS
• Keywords: Income from undisclosed sources; Assessment record
• Section: 143(3); 68

Judgement Text

, B IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, AHMEDABAD BEFORE SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER & SHRI MAHAVIR PRASAD, JUDICIAL MEMBER ./ I.T.A. NO. 409/AHD/2017 ( ASSESSMENT YEAR : 2011-12) LALCHAND B. VASVANI PROP. GOPAL EMPORIUM, 107-108, GOPAL TOWER, MANINAGAR, AHMEDABAD - 380008 / VS. THE ACIT CIRCLE- 12, 1 ST FLOOR, NARAYAN CHAMBERS, ASHRAM ROAD, AHMEDABAD ./ ./ PAN/GIR NO. : AAMPV7549R ( APPELLANT ) .. ( / RESPONDENT ) / APPELLANT BY : SHRI A. C. SHAH & SHRI BHADRESH GANDHAKWALA, A.RS. / RESPONDENT BY : SHRI VIDHYUT TRIVEDI, SR. D.R. DATE OF HEARING 20/01/2020 !'# / DATE OF PRONOUNCEMENT 27/01/2020 / O R D E R PER PRADIP KUMAR KEDIA - AM: THE CAPTIONED APPEAL HAS BEEN FILED AT THE INSTANCE OF THE ASSESSEE AGAINST THE ORDER OF THE COMMISSIONER OF I NCOME TAX (APPEALS)-6, AHMEDABAD (CIT(A) IN SHORT), DATED 30 .12.2016 ARISING IN THE ASSESSMENT ORDER DATED 27.02.2014 PA SSED BY THE ITA NO. 409/AHD/17 [LALCHAND B. VASVANI VS. ACIT] A.Y. 2011-12 - 2 - ASSESSING OFFICER (AO) UNDER S. 143(3) OF THE INCOM E TAX ACT, 1961 (THE ACT) CONCERNING AY 2011-12. 2. AS PER GROUNDS OF APPEAL, THE ASSESSEE HAS CHALL ENGED THE ACTION OF THE CIT(A) IN CONFIRMING THE ADDITION OF RS.10 LAKHS UNDER S.68 OF THE ACT BEING DEPOSIT RECEIVED FROM O NE FAHRANHET INFRASTRUCTURE P. LTD. 3. WHEN THE MATTER WAS CALLED FOR HEARING, THE LE ARNED AR FOR THE ASSESSEE STRAIGHTWAY REFERRED TO THE BANK STATE MENT OF THE LENDER AND SUBMITTED THAT THE ASSESSEE HAS RECEIVED RS.10 LAKHS FROM THE LENDER FAHRANHET INFRASTRUCTURE P. LTD. ON 19 TH MARCH, 2011 FOR WHICH THE CONFIRMATION FROM THE PARTY WAS PLACED ON RECORD. THE AFORESAID AMOUNT HAS BEEN ALSO RETURNED BY THE ASSE SSEE AT A VERY SHORT DURATION ON 21.03.2011. THEREFORE, THE ASSES SEE CANNOT BE SAID TO BE INTRODUCED ANY UNACCOUNTED INCOME IN ITS BOOKS. 4. THE LEARNED DR FOR THE REVENUE RELIED UPON THE O RDER OF THE LOWER AUTHORITIES. 5. WE HAVE CAREFULLY CONSIDERED THE RIVAL SUBMISSIO NS AND PERUSED THE ASSESSMENT RECORDS. WE FIND THAT THE C ONFIRMATION OF THE LENDER WAS FILED. THE AO HAS RESORTED THE PROV ISIONS OF SECTION 68 OF THE ACT ON CREDIT RECEIVED FROM THE LENDER ON THE GROUND THAT SUMMONS ISSUED TO THE LENDERS HAVE NOT BEEN PROPERL Y RESPONDED AND THE LENDER HAS NOT FILED RETURN OF INCOME. WE D O NOT SEE THE ACTION OF THE REVENUE TO BE SUSTAINABLE IN LAW. TH E ASSESSEE IN THE INSTANT CASE HAS DEMONSTRATED THAT THE MONEY HAS TR AVELLED TO THE ASSESSEE THROUGH BANKING CHANNEL AND THEREAFTER RET URNED PROMPTLY THROUGH BANKING CHANNEL. THE BANK STATEMENT OF THE LENDER IS TESTIMONY TO THIS FACT. NO CASH IS ALLEGED TO HAVE BEEN DEPOSITED IN ITA NO. 409/AHD/17 [LALCHAND B. VASVANI VS. ACIT] A.Y. 2011-12 - 3 - THE BANK OF THE LENDER PRIOR TO THE ACT OF LENDING TO THE ASSESSEE. THEREFORE, A BENIGN VIEW IS REQUIRED TO BE TAKEN HA VING REGARD TO THE TOTALITY OF THE CIRCUMSTANCES. WE THUS ANSWER THE ISSUE IN AFFIRMATIVE AND IN FAVOUR OF THE ASSESSEE. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED. SD/- SD/- (MAHAVIR PRASAD) (PRADIP KUMAR KE DIA) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD: DATED 27/01/2020 TRUE COPY S. K. SINHA !'#' / COPY OF ORDER FORWARDED TO:- &. / REVENUE 2. / ASSESSEE (. )*+ , / CONCERNED CIT 4. ,- / CIT (A) /. 012 33*+4 *+#4 56) / DR, ITAT, AHMEDABAD 7. 289 : / GUARD FILE. BY ORDER / 4 /5 *+#4 56) THIS ORDER PRONOUNCED IN OPEN COURT ON 27/0 1/2020