Parshotam Dass (Deceased), Pehowa V. ITO, Kurukshetra

ITA 424/CHANDI/2013

• Counselvise Citation: [2013] 140 COUNSELVISE.COM (IT) 68492 (ITAT-CHANDIGARH)
• Duration Of Justice: 5 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-09-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2007-2008
• Appeal Filed On: 16-04-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AHKILESH GUPTA
• Keywords: Additional evidence
• Section: 147; 148; 144

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL CHANDIGARH BENCHES B CHANDIGARH BEFORE SHRI T.R.SOOD, ACCOUNTANT MEMBER AND MS SUSHMA CHOWLA, JUDICIAL MEMBER ITA NO. 424/CHD/2013 ASSESSMENT YEAR:2007-08 SHRI PARSHOTAM DASS (DECEASED), VS THE INCOME TAX OFFICER, THROUGH L/H PROP. M/S SHARDA RAM SATPAL, WARD 1, SHOP NO. 5, KURUKSHETRA. ANAJ MANDI, PEHOWA PAN NO. AANPD-8214E (APPELLANT) (RESPONDENT) APPELLANT BY: NONE RESPONDENT BY : SHRI AHKILESH GUPTA DATE OF HEARING : 02.09.2013 DATE OF PRONOUNCEMENT : 20.09.2013 O R D E R PER SUSHMA CHOWLA, J.M. THE ASSESSEE HAS FILED THE APPEAL AGAINST THE ORDER OF THE CIT(APPEALS), KARNAL DATED 15.02.2013 RELATING TO A SSESSMENT YEAR 2007-08 AGAINST THE ORDER PASSED UNDER SECTION 144/ 147 OF THE INCOME-TAX ACT, 1961 ( 'THE ACT' FOR SHORT). 2. THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL: 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) HAS ERRED IN ALLOWING APPEAL OF THE ASSESSEE WITHOUT APPRECIATING THE FACTS OF THE CASE. 2. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE A ND, IN LAW THE LD. CIT(A) HAS ERRED IN ADMITTING ADDITIONAL EVIDENCE IN THIS CASE WHEN THE ASSESSEE DID NOT HAVE A SATISFACTORY EXPLANATION FOR NOT SUBMITTING THEM DURING THE ASSESSMENT PROCEEDIN GS. 3. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE A ND, IN LAW THE LD. CIT(A) HAS ERRED IN RELYING ON THE CASH F LOW PREPARED BY THE ASSESSEE WHEN THE ASSESSEE DID NOT MAINTAIN ANY REG ULAR CASH BOOK. 4. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE A ND, IN LAW 2 THE LD. CIT(A) HAS ERRED IN NOT TREATING RS.29 ,70,000/- RECEIVED THROUGH CHEQUES AS INCOME OF THE ASSESSEE. 5. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE A ND, IN LAW THE LD. CIT(A) HAS ERRED IN ACCEPTING WITHOUT ANY V ERIFICATION THAT THE SOURCE OF ALL THE CASH DEPOSITS WAS THE RS.29,7 0,000/- DEPOSITED THROUGH CHEQUES. 3. DESPITE SERVICE OF NOTICE, NONE APPEARED ON BEHA LF OF THE ASSESSEE AND WE PROCEED TO DISPOSE OF THE APPEAL AF TER HEARING THE LD. DR FOR THE REVENUE. 4. THE ONLY ISSUE RAISED IN THE PRESENT APPEAL IS T HE ADDITION OF RS. 79,667/-. THE ASSESSEE IS AGGRIEVED BY THE NON -ADMISSION OF ADDITIONAL EVIDENCE PRODUCED BEFORE THE CIT(APPEALS ). 5. AFTER PERUSING THE RECORD AND HEARING THE LD. DR FOR THE REVENUE, WE FIND THAT THE RE-ASSESSMENT PROCEEDINGS WERE INITIATED IN THE HANDS OF THE ASSESSEE AFTER HIS DEMISE. THE LE GAL HEIR OF THE ASSESSEE INTIMATED THAT THE RETURN OF INCOME ORIGIN ALLY FILED MAY BE TREATED AS FILED UNDER SECTION 148 OF THE ACT. THE RE WAS NON- COMPLIANCE BEFORE THE ASSESSING OFFICER AND CONSEQU ENTLY, THE ASSESSMENT WAS COMPLETED UNDER SECTION 144 READ WIT H SECTION 147 OF THE ACT. THE FIRST ADDITION MADE BY THE ASSESSING OFFICER WAS ON ACCOUNT OF HOUSE PROPERTY AT RS. 57,400/- AND ANOTH ER ADDITION WAS MADE ON ACCOUNT OF THE EXCESS LIABILITY SHOWN AT RS . 22,267/- IN CC LIMIT WITH CENTRAL BANK OF INDIA. 6. BEFORE THE CIT(APPEALS), VARIOUS GROUNDS OF APPE AL WERE RAISED AGAINST THE ASSUMPTION OF JURISDICTION UNDER SECTIO N 147/148 OF THE ACT. THE ASSESSEE ALSO FILED WRITTEN SUBMISSIONS B EFORE THE CIT(APPEALS) WHO IN PARA 8 ADMITS THE ASSESSEE TO H AVE FURNISHED ADDITIONAL EVIDENCE IN RESPECT OF ADDITIONS OF RS. 57,400/- ON ACCOUNT OF INCOME FROM PROPERTY AND RS. 22,267/- ON ACCOUNT OF THE EXCESS LIABILITY SHOWN IN THE CC ACCOUNT HELD WITH CENTRAL BANK OF INDIA. 3 THE SAID ADDITIONAL EVIDENCE WAS NOT ADMITTED BY TH E CIT(APPEALS) AND THE ADDITIONS WERE CONFIRMED. 7. THE NATURE OF ADDITIONAL EVIDENCE IS NOT CLEAR F ROM THE ORDER OF CIT(APPEALS) AND SINCE THE ASSESSEE IS DECEASED, WE ARE OF THE VIEW THAT THE SAID ADDITIONAL EVIDENCE WHICH IS AVAILABL E WITH THE ASSESSEE, NEEDS TO BE CONSIDERED BEFORE ADJUDICATIN G THE ISSUE RAISED IN THE PRESENT APPEAL. IN THE INTEREST OF JUSTICE, WE DEEM IT FIT TO RESTORE THE MATTER BACK TO THE FILE OF ASSESSING OF FICER WHO SHALL CONSIDER THE ADDITIONAL EVIDENCE AVAILABLE WITH THE ASSESSEE AND ADJUDICATE THE ISSUE IN ACCORDANCE WITH LAW. THE G ROUNDS OF APPEAL RAISED BY THE ASSESSEE ARE, THUS ALLOWED FOR STATIS TICAL PURPOSES. 8. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 20 TH DAY OF SEPTEMBER, 2013. SD/- SD/- (T.R.SOOD) (SUSHMA CHOWLA) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED 20 TH SEPTEMBER,2013 POONAM COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT 4. THE CIT(A) 5. THE DR BY ORDER ASSISTANT REGISTRAR, ITAT, CHANDIGARH