Sh. Shri Krishan, Rohtak V. ITO, Rohtak

ITA 449/DEL/2013

• Counselvise Citation: [2013] 140 COUNSELVISE.COM (IT) 69251 (ITAT-DELHI)
• Duration Of Justice: 7 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-08-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Next Hearing Date: 25-07-2013
• Assessment Year: 2009-2010
• Appeal Filed On: 24-01-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SATPAL SINGH
• Keywords: Unexplained cash credit; Gift; Opportunity of being heard
• Section: 68

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH :G: NEW DELHI BEFORE SHRI G.D. AGRAWAL, VICE PRESIDENT AND SHRI I. C. SUDHIR, JUDICIAL MEMBER ITA NO. 449/DEL/2013 ASSESSMENT YEAR: 2009- 2010 SHRI KRISHAN, VS. ITO H.NO. 798/10, WARD -1, RAM GOPAL COLONY, ROHTAK. ROHTAK. (PAN ARHPK2222J) (APPELLANT) (RESPONDEN T) APPELLANT BY : SHRI R.S. SING HVI, ADVOCATE RESPONDENT BY : SHRI SATPAL SING H, SR. DR ORDER PER I.C. SUDHIR, JUDICIAL MEMBER THE ASSESSEE HAS QUESTIONED FIRST APPE LLATE ORDER ON THE GROUND THAT THE LD. CIT(A) WAS NOT JUSTIFIED IN SUSTAINING ADDITION OF RS. 8,88,772/- AS UNEXPLAINED CREDIT U/S 68 OF THE ACT . 2. THE CONTENTION OF THE LD. AR REMAINED T HAT AGAINST THE ADDITION OF RS. 8,88,772/- BY THE AO THE ASSESSEE HAD FURNISHED SUFFICIENT EXPLANATION BEFORE THE LD. CIT(A) REITERATING THOSE MADE BEFORE THE AO REGARDING THE SOURCE OF THE AMOUNT. LD. CIT(A) WITHOUT AFFORDING OPPORTUNITY TO THE ASSESSEE TO CLEAR FURTHER DOUBT IN HIS MIND, HAS U PHELD THE ADDITION OF RS. 8,88,772/- WHICH HAS CAUSED INJUSTICE TO THE ASSESS EE. LD. AR SUBMITTED ITA NO. 449/DEL/2013 2 THAT ASSESSEE IS A TEACHER IN A GOVERNMENT SCHOOL W HO HAD DECLARED INCOME OF RS. 1,39,626/- AFTER CLAIMING DEDUCTION U NDER CHAPTER VI OF RS. 87,088/-. LD AR SUBMITTED THAT THE LD. CIT(A) HAS F AILED TO APPRECIATE THAT THE ASSESSEE WAS HAVING RS. 1,25,800/- OPENING CASH IN HAND AND HAS HELD THAT THE ASSESSEE WOULD HAVE TAKEN LOAN FROM HARYAN A GRAMIN BANK FOR A SPECIFIC PURPOSE AND NO CREDIT ON THIS ACCOUNT COUL D BE GIVEN. THE SUBMISSION OF THE ASSESSEE IN THIS REGARD REMAINED THAT HE IS AN EMPLOYEE SINCE JULY 2004 AND HAD TAKEN A LOAN OF RS. 3 LAC F ROM HARYANA GRAMIN BANK ON 4.4.2007 AND THERE WAS A OPENING CASH IN HA ND OF RS. 25,800/-. LIKEWISE EXPLANATION REGARDING GIFT FROM MOTHER OF RS. 10,000/-, FROM SHRI HIRA SINGH, HIS UNCLE OF RS. 50,000/- AND EXPLANATI ON REGARDING CASH WITHDRAWAL ON VARIOUS DATES AMOUNTING TO RS. 3,23,0 00/- BEING THE SOURCES FOR CASH DEPOSITS HAD BEEN IGNORED WITH THIS FINDIN G THAT THE ASSESSEE HAS FAILED TO EXPLAIN THE SAME AND THAT NO DETAILS ABOU T THE GIFTS EXPLAINING THE OCCASION WERE FURNISHED. 3. LD. DR ON THE OTHER HAND TRIED TO JUSTIFY THE ORDERS OF THE AUTHORITIES BELOW . 4. CONSIDERING THE ABOVE SUBMISSION WE FIND TH AT THE WHOLE GRIEVANCE OF THE ASSESSEE BEFORE THE TRIBUNAL IS THAT THE EXPLAN ATION AND EVIDENCE FURNISHED BY THE ASSESSEE ABOUT THE SOURCES OF REMA INING CASH DEPOSIT OF RS. 8,88,772/- HAVE NOT BEEN CONSIDERED BY THE LD. CIT(A) WHILE UPHOLDING THE ADDITION. HAVING GONE THROUGH THE ORDERS OF THE AUTHORITIES BELOW, WE ITA NO. 449/DEL/2013 3 PRIME FACIE FIND SUBSTANCE IN THE ABOVE CONTENTION OF THE ASSESSEE MADE IN SUPPORT OF THIS GRIEVANCE. WE THUS IN THE INTEREST OF JUSTICE SET ASIDE THE MATTER TO THE FILE OF THE AO TO VERIFY THE CORRECTN ESS OF THE EXPLANATION OF THE ASSESSEE REGARDING THE SOURCE OF RS. 8,88,772/- CASH DEPOSITS AND DECIDE THE ISSUE AFRESH AFTER AFFORDING OPPORTUNITY OF BEING HEARD TO THE ASSESSEE AND CONSIDERING THE MATERIAL AVAILABLE ON RECORD. THE GROUND IS THUS ALLOWED FOR STATISTICAL PURPOSES. 5. CONSEQUENTLY APPEAL IS ALLOWED FOR STATIST ICAL PURPOSES. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 30 TH AUGUST, 2013. SD/ - SD/- (G.D. AGRAWAL) ( I.C. SUDHIR ) VICE PRESIDENT JUDICIAL MEMBER DATED 30 TH AUGUST, 2013 VEENA COPY OF ORDER FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT(A) 4. CIT 5. DR BY ORDER DEPUTY REGISTRAR, ITAT