DCIT, CIRCLE-2, PATNA V. M/S TARAN DEVELOPERS PVT LTD, PATNA

ITA 433/PAT/2007

• Counselvise Citation: [2022] 105 COUNSELVISE.COM (IT) 8865 (ITAT-PATNA)
• Duration Of Justice: 14 year(s) 6 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-02-2022
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2003-2004
• Appeal Filed On: 19-07-2007
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

ITA No. 433/PAT/2007 A.Y. 2003-2004 M/s. Taran Developers Pvt. Ltd., Patna 1 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA-PATNA ‘E-COURT’, KOLKATA [Virtual Court Hearing] Before Shri Rajpal Yadav, Vice-President & Shri Rajesh Kumar, Accountant Member I.T.A. No. 433/PAT/2007 Assessment Year: 2003-2004 Deputy Commissioner of Income Tax,..........................................Appellant Circle-2, Patna -Vs.- M/s. Taran Developers Pvt. Ltd.,.................................................Respondent 1 st Floor, Basudham, Rajendra Path, Kadamkuan, Patna-800003 [PAN:AABCT3431E] Appearances by: Shri Sanjay Mukherjee, CIT(D.R.) , appeared on behalf of the Revenue Shri A.K. Rastogi, Sr. Advocate, appeared on behalf of the assesseee D a t e o f c o n c l u d i n g t h e h e a r i n g : F e b r u a r y 1 4 , 2 0 2 2 D a t e o f p r o n o u n c i n g t h e o r d e r : F e b r u a r y 1 5 , 2 0 2 2 O R D E R Per Shri Rajpal Yadav, Vice-President (KZ):- T h e p r e s e n t a p p e a l i s d i r e c t e d a t t h e i n s t a n c e o f Re v e n u e a g a i n s t t h e o r d e r o f l d . C o m m i s s i o n e r o f I n c o m e T a x ( A p p e al s ) - I I , P a t n a d a t e d 2 5 . 0 4 . 2 0 0 7 p a s s e d i n a s s e s s m e n t y e a r 2 0 0 3 - 0 4 . B e f o re t a k i n g c o g n i z a n c e o f a s p e c i f i c g r o u n d o f a p p e a l , w e d e e m i t a p p r o p r ia t e t o t a k e n o t e o f t h e b r i e f b a c k g r o u n d o f p r o c e e d i n g s i n t h i s a p p e a l . 2 . T h e a s s e s s e e i s a P r i v a t e L i m i t e d C o m p a n y a n d e ng a g e d i n t h e b u s i n e s s o f C i v i l C o n s t r u c t i o n . I t h a s f i l e d i t s r et u r n o f i n c o m e o n 3 0 . 1 1 . 2 0 0 3 d e c l a r i n g t o t a l i n c o m e a t R s . 4 , 4 9 , 1 3 0 / - a n d t h e c a s e o f t h e a s s e s s e e w a s s e l e c t e d f o r s c r u t i n y a s s e s s m e n t a n d an a s s e s s m e n t o r d e r w a s p a s s e d u n d e r s e c t i o n 1 4 4 o f t h e I n c o m e T a x A c t o n 3 0 . 0 3 . 2 0 0 6 . I n ITA No. 433/PAT/2007 A.Y. 2003-2004 M/s. Taran Developers Pvt. Ltd., Patna 2 o t h e r w o r d s , i t w a s a n e x - p a r t e a s s e s s m e n t o r d e r o n t h e b a s i s o f b e s t j u d g m e n t o f t h e A s s e s s i n g O f f i c e r . T h e l d . A s s e s s i ng O f f i c e r h a s c o m p u t e d t h e i n c o m e o f t h e a s s e s s e e a s u n d e r : - S r . N o . D e s c r i p t i o n A m o u n t ( R s . ) 1 . I n c o m e f r o m B u s i n e s s a n d P r o f e s s i o n ( a s d i s c u s s e d i n p a r a 4 ) 8 , 3 7 , 4 9 7 2 . I n c o m e f r o m O t h e r S o u r c e s ( a s d i s c l o s e d i n p a r a 5 ) 7 , 0 0 , 0 0 0 3 . T o t a l I n c o m e 1 5 , 3 7 , 4 9 7 4 . T o t a l i n c o m e r o u n d e d o f f t o 1 5 , 3 7 , 4 9 7 3 . D i s s a t i s f i e d w i t h t h e a s s e s s m e n t o r d e r , t h e a s s es s e e c a r r i e d t h e m a t t e r i n a p p e a l b e f o r e t h e l d . C I T ( A p p e a l s ) . T h e ld . 1 s t a p p e l l a t e a u t h o r i t y h a s a l l o w e d t h e a p p e a l o f t h e a s s e s s e e b y w a y o f t h e i m p u g n e d o r d e r . T h e l d . C I T ( A p p e a l s ) h a s d e l e t e d b o t h t h e a dd i t i o n s m a d e b y t h e A s s e s s i n g O f f i c e r . 4 . D i s s a t i s f i e d w i t h t h e o r d e r o f t h e l d . C I T ( A p p e al s ) , t h e R e v e n u e c a m e i n a p p e a l b e f o r e t h e T r i b u n a l . T h i s a p p e a l w a s d e c i d e d b y t h e T r i b u n a l v i d e i t s o r d e r d a t e d 1 6 . 0 5 . 2 0 0 8 . T h e T r i b un a l h a s c o n c u r r e d w i t h t h e l d . C I T ( A p p e a l s ) w i t h r e g a r d t o d e l e t i o n of a d d i t i o n o f R s . 7 , 0 0 , 0 0 0 / - , w h i c h w a s a d d e d b y t h e A s s e s s i n g O f fi c e r w i t h t h e a i d o f s e c t i o n 6 8 . H o w e v e r , w i t h r e g a r d t o t h e f i r s t a d d i ti o n , t h e T r i b u n a l d i d n o t c o n c u r w i t h t h e l d . C I T ( A p p e a l s ) a n d r e v e r s e i ts f i n d i n g . T h e T r i b u n a l h a s r e s t o r e d t h e f i n d i n g o f t h e A s s e s s i n g O f f i c e r qua d e t e r m i n a t i o n o f i n c o m e f r o m b u s i n e s s a n d p r o f e s s i o n a t R s . 8 , 3 7 , 4 9 7 /- a s a g a i n s t R s . 4 , 4 9 , 1 3 9 / - d i s c l o s e d b y t h e a s s e s s e e . 5 . D i s s a t i s f i e d w i t h t h i s T r i b u n a l o r d e r , t h e a s s e ss e e w e n t i n a p p e a l b e f o r e t h e H o n ’ b l e H i g h C o u r t v i d e M i s c e l l a n e o u s A pp e a l N o . 5 7 0 o f 2 0 0 8 . T h i s a p p e a l o f t h e a s s e s s e e h a s b e e n a l l o w e d b y t h e H o n ’ b l e H i g h C o u r t ITA No. 433/PAT/2007 A.Y. 2003-2004 M/s. Taran Developers Pvt. Ltd., Patna 3 v i d e j u d g m e n t d a t e d 1 7 t h M a r c h , 2 0 1 6 . T h e o p e r a t i v e p a r t o f t h e H o n ’ b l e H i g h C o u r t ’ s d e c i s i o n r e a d s a s u n d e r : - “8. In view of the said facts, the order dated 16.05.2008 passed by the Income Tax Appellate Tribunal, Patna Bench, Patna in ITA No. 433/PAT/2007 is set aside and the matter is remitted back to the Tribunal for fresh decision in accordance with law”. 6 . T h e R e v e n u e h a s f i l e d a n a p p l i c a t i o n f o r a d j o u r nm e n t o n t h e g r o u n d t h a t t h i s c a s e i s t o b e r e p r e s e n t e d b y t h e ld . S r . D . R . , w h o i s o n E l e c t i o n D u t y . S i m i l a r l y t h e a s s e s s e e h a s a l s o f i l ed a n a d j o u r n m e n t . H o w e v e r , d u r i n g t h e c o u r s e o f h e a r i n g o n p e r u s a l o f t h e r e c o r d , w e a r e o f t h e v i e w t h a t t h e p r e s e n t a p p e a l i s n o t m a i n t a i n a b le i n v i e w o f t h e l a t e s t C i r c u l a r o f t h e C B D T , w h e r e b y i t h a s p r o h i b i t e d i t s s u b o r d i n a t e a u t h o r i t i e s t o f i l e a p p e a l b e f o r e t h e T r i b u n a l i n ca s e t a x e f f e c t i s l e s s t h a n R s . 5 0 l a k h s b y v i r t u e o f r e l i e f g r a n t e d b y t h e l d . C I T ( A p p e a l s ) . P r o b a b l y i n 2 0 0 8 , T r i b u n a l h a s d e c i d e d t h e a p p e a l o n m e r i t be c a u s e t o t a l a d d i t i o n o f R s . 1 5 l a k h s w a s m a d e a n d t a x e f f e c t m u s t b e m o r e t h a n t h e m o n e t a r y l i m i t p r e s c r i b e d f o r c h a l l e n g i n g t h e o r d e r o f t h e ld . C I T ( A p p e a l s ) . B u t t o d a y i n 2 0 2 2 , e v e n i f w e t a k e n o t e o f t h e t o t a l a dd i t i o n o f R s . 1 5 l a k h s , e v e n t h a n t h i s a p p e a l i s n o t m a i n t a i n a b l e t h o u g h t he o r d e r o f t h e T r i b u n a l q u a c o n f i r m a t i o n o f d e l e t i o n o f R s . 7 , 0 0 , 0 00 / - h a s a t t a i n e d f i n a l i t y . T h e r e f o r e , w e d i d n o t a d j o u r n t h e h e a r i n g i n t h i s a p p e a l a n d i t i s d i s m i s s e d b y f o l l o w i n g t h e C B D T C i r c u l a r N o . 1 7 / 2 0 1 9 d a t e d 8 t h A u g u s t , 2 0 1 9 , w h i c h i s a p p l i c a b l e o n a l l p e n d i n g a p p e a l s . 7. In the result, the appeal of the Revenue is dismissed. O r d e r p r o n o u n c e d i n t h e o p e n C o u r t o n F e b r u a r y 1 5 , 2 0 2 2 . Sd/- Sd/- (Rajesh Kumar) (Rajpal Yadav) Accountant Member Vice-President (KZ) Kolkata, the 15 th day of February, 2022 Copies to : (1) Deputy Commissioner of Income Tax, Circle-2, Patna ITA No. 433/PAT/2007 A.Y. 2003-2004 M/s. Taran Developers Pvt. Ltd., Patna 4 (2) M/s. Taran Developers Pvt. Ltd. 1 st Floor, Basudham, Rajendra Path, Kadamkuan, Patna-800003 (3) Commissioner of Income Tax (Appeals)-II, Patna (4) Commissioner of Income Tax , (5) The Departmental Representative (6) Guard File TRUE COPY By order Assistant Registrar Income Tax Appellate Tribunal, Kolkata Benches, Kolkata Laha/Sr. P.S.