ITO, Gwalior V. Shri Kapil Bhalla S/o shri Manohar Lal Bhalla, Gwalior

ITA 421/AGR/2009

• Counselvise Citation: [2011] 134 COUNSELVISE.COM (IT) 7073 (ITAT-AGRA)
• Duration Of Justice: 1 year(s) 6 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-04-2011
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 05-04-2011
• Assessment Year: 2005-2006
• Appeal Filed On: 05-10-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Assessment record
• Section: 142(1); 144

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AGRA BENCH, AGRA BEFORE SHRI P.K. BANSAL, ACCOUNTANT MEMBER AND SHRI H.S. SIDHU, JUDICIAL MEMBER ITA NO.421/AGR/2009 ASST. YEAR: 2005-06 INCOME TAX OFFICER, ` VS. SHRI KAPIL BHALLA, WARD 1(1), GWALIOR. S/O. SHRI MANOHAR LAL BHALL A, FRUIT MARKET, LASHKAR, GWALIOR. (PAN: AIAPB 2470 P) (APPELLANT) (RESPONDENT) APPELLANT : SHRI A.K. SHARMA, JR. D.R. RESPONDENT : SHRI MANUJ SHARMA, ADVOCATE ORDER PER H.S. SIDHU, J.M. : THE REVENUE HAS FILED THE PRESENT APPEAL AGAINST TH E ORDER DATED 19.07.2009 PASSED BY THE CIT(A) ON THE FOLLOWING GROUND :- 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE THE CIT(A) HAS ERRED IN DELETING THE ADDITION OF ` 10,00,000/- ON ACCOUNT OF DISALLOWANCE U/S 69A. 2. THE FACTS RELATING TO THE ISSUE IN DISPUTE ARE T HAT THE ASSESSEE FILED ITS RETURN OF INCOME FOR THE ASSESSMENT YEAR IN DISPUTE ON 29.07. 2006 DECLARING TOTAL INCOME AT 2 ` 1,00,350/- WHICH WAS PROCESSED BY THE ASSESSING OFF ICER UNDER SECTION 143(1) OF THE INCOME TAX ACT, 1961 (THE ACT HEREINAFTER) ON 16.11.2006. THE ASSESSING OFFICER SELECTED THE CASE OF THE ASSESSEE FOR SCRUT INY AND ISSUED NOTICE UNDER SECTION 143(2) FIXING THE CASE FOR 20.07.2007. IN RESPONSE TO THE SAME, NEITHER THE ASSESSEE NOR HIS AUTHORISED REPRESENTATIVE APPEARED. THE AS SESSING OFFICER AGAIN ISSUED NOTICE UNDER SECTION 142(1) OF THE ACT ON 05.12.200 7 FIXING THE CASE ON 05.12.2007. IN RESPONSE TO THE SAME, THE LD. A.R. OF THE ASSESS EE ALONG WITH FATHER OF THE ASSESSEE APPEARED BEFORE THE ASSESSING OFFICER. TH EY DID NOT PRODUCE ANY DOCUMENTARY EVIDENCE AS REQUIRED BY THE ASSESSING O FFICER. AGAIN A NOTICE UNDER SECTION 142(1) DATED 18.04.2006 WAS SENT TO THE ASS ESSEE WHERE AS PER AIR INFORMATION THE ASSESSEE HAS MADE CASH DEPOSIT AGGR EGATING OVER ` 10,00,000/- IN THE BANK ACCOUNT DURING THE FINANCIAL YEAR 2004-05. BUT THE ASSESSEE HAS NOT GIVEN ANY RESPONSE TO THIS NOTICE AND FINALLY THE ASSESSI NG OFFICER COMPLETED THE ASSESSMENT IN DISPUTE UNDER SECTION 144 OF THE ACT AND, ON THE BASIS OF MATERIAL AVAILABLE ON RECORD, MADE THE ADDITION OF ` 10,00,000/- BY DISALLOWING THE SAME UNDER SECTION 69A OF THE ACT VIDE ORDER DATED 26.12 .2007. AGGRIEVED BY THE SAME, THE ASSESSEE WENT IN APPEAL BEFORE THE LD. FIRST AP PELLATE AUTHORITY WHO VIDE ORDER DATED 19.07.2009 PARTLY ALLOWED THE APPEAL OF THE A SSESSEE AND DELETED THE ADDITION IN DISPUTE BY PASSING THE IMPUGNED ORDER. NOW, THE REVENUE IS AGGRIEVED BY THE SAME AND FILED THE PRESENT APPEAL. 3 3. AT THE TIME OF HEARING, THE LD. D.R. RELIED UPON THE ORDER OF THE ASSESSING OFFICER. ON THE CONTRARY, THE LD. COUNSEL FOR THE ASSESSEE RELIED UPON THE ORDER PASSED BY THE LD. FIRST APPELLATE AUTHORITY. THE L D. COUNSEL FOR THE ASSESSEE ALSO CONTENDED THAT THE ASSESSING OFFICER HAD MADE THE A DDITION IN DISPUTE ONLY ON THE BASIS OF ONE INFORMATION WHICH HAS NOT BEEN PROVIDE D TO THE ASSESSEE. THEREFORE, THE ADDITION IN DISPUTE DESERVES TO BE CANCELLED. HE F URTHER STATED THAT THE LD. FIRST APPELLATE AUTHORITY HAS RIGHTLY APPRECIATED THE EVI DENCE PRODUCED BY THE ASSESSEE WITH THE RETURN OF INCOME AND DELETED THE ADDITION IN DISPUTE. HE REQUESTED THAT THE APPEAL FILED BY THE REVENUE MAY BE DISMISSED. 4. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE R ELEVANT RECORDS AVAILABLE ON RECORD, ESPECIALLY THE IMPUGNED ORDER PASSED BY THE LD. FIRST APPELLATE AUTHORITY IN WHICH THE LD. FIRST APPELLATE AUTHORITY HAS THOROUG HLY GONE THROUGH THE EVIDENCE FILED BY THE ASSESSEE ALONG WITH RETURN AND HE HAS ALSO APPRECIATED THE COPY OF BANK ACCOUNT WHICH IS A PART OF THE ASSESSMENT RECORD SH OWING SIMULTANEOUS WITHDRAWALS FROM IDBI BANK ACCOUNT. THE ASSESSEE HAS ALSO SHOW N INCOME FROM DIFFERENT SOURCES WHICH ARE REFLECTED IN THE BANK ACCOUNTS. THE ASSESSEE HAS ALSO SHOWN THE SOURCES OF DEPOSITS IN THE BANK AND ALSO SHOWN WITH DRAWALS FROM THE IDBI BANK ACCOUNT. AFTER CONSIDERING THE ENTIRE EVIDENCE PRO DUCED BY THE ASSESSEE WITH THE RETURN WHICH IS AVAILABLE ON RECORD WITH THE ASSESS ING OFFICER, THE LD. FIRST APPELLATE 4 AUTHORITY HAS RIGHTLY DELETED THE ADDITION IN DISPU TE AND WE ARE OF THE CONSIDERED OPINION THAT NO INTERFERENCE IS CALLED FOR IN THE W ELL REASONED ORDER PASSED BY THE LD. FIRST APPELLATE AUTHORITY. WE UPHOLD THE SAME BY D ISMISSING THE APPEAL FILED BY THE REVENUE. 5. IN THE RESULT, APPEAL FILED BY THE REVENUE IS DI SMISSED. (ORDER PRONOUNCED IN THE OPEN COURT ON 08.04.2011 ) SD/- SD/- (P.K. BANSAL) (H.S. SIDHU) ACCOUNTANT MEMBER JUDICIAL MEMBER PLACE: AGRA DATE: 8 TH APRIL, 2011 PBN/* COPY OF THE ORDER FORWARDED TO: 1. APPELLANT 2. RESPONDENT BY ORDER 3. CIT CONCERNED 4. CIT (APPEALS) CONCERNED 5. DR, ITAT, AGRA BENCH, AGRA 6. GUARD FILE ASSISTANT REGISTRAR INCOME-TAX APPELLATE TRI BUNAL, AGRA TRUE COPY