Appeal details
Counselvise Citation
[2016] 132 COUNSELVISE.COM (IT) 1171 (ITAT-VISAKHAPATNAM)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
2 year(s) 10 month(s) 18 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
22-04-2016
Appeal Filed By
Department
Order Result
Allowed
Bench Allotted
DB
Assessment Year
2009-2010
Appeal Filed On
03-06-2013
Judgement Text
ITA NO.435/VIZAG/2013 SHRI KATARI SESHU BABU, VIJAYAWADA 1 , , IN THE INCOME TAX APPELLATE TRIBUNAL, VISAKHAPATNAM BENCH, VISAKHAPATNAM . , . , $ BEFORE SHRI V. DURGA RAO, JUDICIAL MEMBER & SHRI G. MANJUNATHA, ACCOUNTANT MEMBER ./I.T.A.NO.435/VIZAG/2013 ( / ASSESSMENT YEAR: 2009-10) ITO WARD - 2(3) VIJAYAWADA VS. SHRI KATARI SESHU BABU VIJAYAWADA [PAN: APMPK0799 P ] ( % / APPELLANT) ( &'% / RESPONDENT) / APPELLANT BY : SHRI P. SRINIVASA MURTHY, DR / RESPONDENT BY : SHRI S. RAMA RAO, AR / DATE OF HEARING : 21.04.2016 / DATE OF PRONOUNCEMENT : 22.04.2016 / O R D E R PER V. DURGA RAO, JUDICIAL MEMBER: THIS APPEAL IS FILED BY THE REVENUE AGAINST THE OR DER OF CIT(A), VIJAYAWADA DATED 27.3.2013 FOR THE ASSESSMENT YEAR 2009-10. 2. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSE E IS ENGAGED IN THE BUSINESS OF TRADING IN RICE UNDER THE NAME AND STYL E OF M/S. RAJENDRA ITA NO.435/VIZAG/2013 SHRI KATARI SESHU BABU, VIJAYAWADA 2 RICE TRADERS. THE ASSESSEE HAS FILED A RETURN OF I NCOME BY ADMITTING TOTAL INCOME OF ` 1,52,250/-. THE RETURN FILED BY THE ASSESSEE WAS PROCESSED U/S 143(1) OF THE INCOME TAX ACT, 1961 (H EREINAFTER CALLED AS 'THE ACT'). SUBSEQUENTLY, THE CASE WAS SELECTED FO R SCRUTINY AND AFTER DUE PROCESS, ASSESSMENT WAS COMPLETED. IN THE COUR SE OF THE ASSESSMENT PROCEEDINGS, THE A.O. HAS CALLED THE ASS ESSEE TO EXPLAIN THE SOURCE OF THE CASH DEPOSITS MADE IN THE SAVING BANK ACCOUNT WITH ICICI AND HDFC BANKS DURING THE FINANCIAL YEAR 2008-09 AN D ALSO INVESTMENTS MADE IN TATA TELE SERVICES AND SWIFT LABORATORIES. THE ASSESSEE HAS FAILED TO EXPLAIN SOURCES OF INVESTMENTS. ACCORDIN GLY, THE A.O. COMPLETED ASSESSMENT U/S 144 OF THE ACT BY TREATING THE TOTAL DEPOSITS MADE WITH HDFC AND ICICI BANK AMOUNTING TO ` 1,82,39,671/- AND INVESTMENTS MADE IN M/S. SWIFT LABORATORIES AND TA TA TELESERVICES TO THE EXTENT OF ` 32,69,409/- AS UNEXPLAINED INVESTMENT IN THE HANDS OF THE ASSESSEE. 3. THE ASSESSEE CARRIED THE MATTER IN APPEAL BEFORE THE CIT(A) AND HE HAS FILED THE DETAILS IN RESPECT OF CASH DEPOSIT S IN HDFC BANK AND ICICI BANK AND ALSO INVESTMENTS MADE IN M/S. SWIFT LABORATORIES, M/S. TATA TELESERVICES. THE LD. CIT(A) AFTER CONSIDERIN G THE DETAILS WITHOUT CALLING REMAND REPORT, ALLOWED THE APPEAL FILED BY THE ASSESSEE. ITA NO.435/VIZAG/2013 SHRI KATARI SESHU BABU, VIJAYAWADA 3 ON APPEAL BEFORE US, THE LD. D.R. RAISED AN ISSUE T HAT WHEN THE ASSESSEE FILED AN ADDITIONAL INFORMATION BEFORE THE CIT(A), HE OUGHT TO HAVE BEEN CALLED THE REMAND REPORT FROM THE A.O., T HE CIT(A) FAILED TO CALL THE REMAND REPORT AMOUNTING TO VIOLATION OF RU LE 46A OF THE INCOME TAX RULES, 1962. 4. ON THE OTHER HAND, THE LD. COUNSEL FOR THE ASSES SEE HAS SUBMITTED THAT THE ISSUE MAY BE REMITTED BACK TO THE A.O. TO CONSIDER THE SAME AFRESH. 5. KEEPING IN VIEW OF THE SUBMISSIONS MADE BY BOTH THE PARTIES, WE SET ASIDE THE ORDER PASSED BY THE CIT(A) AND REMIT THE MATTER BACK TO THE FILE OF THE A.O. CONSIDERING ALL THE DETAILS TO PASS FRESH ORDERS IN ACCORDANCE WITH LAW AFTER BEING GIVEN A REASONABLE OPPORTUNITY OF HEARING TO THE ASSESSEE. 6. IN THE RESULT, THE APPEAL RAISED BY THE REVENUE IS ALLOWED FOR STATISTICAL PURPOSE. THE ABOVE ORDER WAS PRONOUNCED IN THE OPEN COURT ON 22 ND APR16. SD/- SD/- ( . ) ( . ) (G. MANJUNATHA) (V. DURGA RAO) /ACCOUNTANT MEMBER /JUDICIAL MEMBER ! /VISAKHAPATNAM: % /DATED : 22.04.2016 ITA NO.435/VIZAG/2013 SHRI KATARI SESHU BABU, VIJAYAWADA 4 VG/SPS '! (! /COPY OF THE ORDER FORWARDED TO:- 1. / THE APPELLANT THE ITO WARD-2(3), VIJAYAWADA 2. / THE RESPONDENT SHRI KATARI SESHU BABU, PROP: R AJENDRA RICE TRADERS, D.NO.59-6-25, KANCHUKOTAVARI STREET, RAMACHANDRA NA GAR, VIJAYAWADA 3. ) / THE CIT, VIJAYAWADA 4. ) ( ) / THE CIT(A), VIJAYAWADA 5. ! , , , , ! / DR, ITAT, VISAKHAPATNAM 6 . / GUARD FILE / BY ORDER // TRUE COPY // /0 , (SR.PRIVATE SECRETARY) , , ! / ITAT, VISAKHAPATNAM
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