DCIT 22(3), NAVI MUMBAI V. CHANDRAKANAT M. BHANSALI, NAVI MUMBAI

ITA 4493/MUM/2011

• Counselvise Citation: 449319914 RSA 2011
• Duration Of Justice: 2 year(s) 2 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-08-2013
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 12-08-2013
• Assessment Year: 2007-2008
• Appeal Filed On: 03-06-2011
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: C TRIPURA SUNDARIDR
• Assessee Lawyers: SNEHA SARBHUSHAN
• Keywords: Additional evidence
• Section: 144

Judgement Text

, INCOME TAX APPELLATE TRIBUNAL,MUMBAI - C BENCH. . . , , BEFORE S/SH. B.R. MITTAL, JUDICIAL MEMBER & RA JENDRA, ACCOUNTANT MEMBER ./ ITA NO.4493/MUM/2011, ! ! ! ! ' ' ' ' / ASSESSMENT YEAR-2007-08 DCIT 22(3) 3 RD FLOOR, TOWER NO.6, VASHI RLY STATION COMPLEX, VASHI. NAVI MUMBAI. VS. CHANDRAKANT M. BHANSALI, F-142, APMC FRUIT MARKET, TURBHE, NAVI MUMBAI- 400706. PAN: AAPPB8052N ( #$ / APPELLANT ) ( %&#$ / RESPONDENT ) #$ #$ #$ #$ ' ' ' ' / APPELLANT BY : MS. C. TRIPURA SUNDARI,DR %&#$ ( ' / RESPONDENT BY : MS. SNEHA SARBHUSHAN ! ! ! ! ( (( ( )* )* )* )* / DATE OF HEARING : 12-08-2013 +,' ( )* / DATE OF PRONOUNCEMENT : 12-08-2013 ! ! ! ! , 1961 ( (( ( 254(1) )-) )-) )-) )-) . . . . ORDER U/S.254(1)OF THE INCOME-TAX ACT,1961(ACT) PER RAJENDRA, A.M. FOLLOWING GROUNDS OF APPEAL HAVE BEEN FILED BY THE ASSESSING OFFICER (AO) AGAINST THE ORDER DATED 25.03.2011 OF THE CIT(A)-33, MUMBAI: (1)ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND I N LAW, THE LD.CIT(A) ERRED IN DELETING THE ABOVE ADDITION ON THE BASIS OF SUBMISSION FILED BEFORE TH E LD CIT(A) WHEREIN IT WAS STATED THAT RS.30 LACS W AS AN ADVANCE RECEIVED FOR SALE OF SHOP WHICH WAS CONTRAD ICTORY TO THE FINDINGS OF LD.CIT(A) THEREBY ESTABLISHING THAT THE AMOUNT OF RS.30 LAC IS ACCOMM ODATION ENTRY AND UNDISCLOSED INCOME OF THE ASSESSE E. (2)WITHOUT PREJUDICE TO THE ABOVE, THE LD.CIT(A) ER RED IN DELETING THE ADDITION OF RS.30 LAKHS BEING L OAN TAKEN FROM SISTER CONCERN MIS WELL WISHER CONSTRUCT ION & FINANCE PVT.LTD WITHOUT APPRECIATING THE FACT THAT ASSESSMENT WAS COMPLETED U/S.144 AND APPLICABI LITY OF PROVISION OF SEC.2(22)(E) COULD NOT BE ASCERTAINED. (3)ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND I N LAW, THE LD.CIT(A) ERRED IN DELETING THE ADDITION MADE ON ACCOUNT OF PURCHASES AMOUNTING TO RS. 39,56 ,186/- AND FREIGHT CHARGES AMOUNTING TO RS. 12,96, 878/- DISALLOWANCE BEING WORKED OUT 5% OF PURCHASES AND FREIGHT CHARGES CLAIMED, ON THE BASIS OF SALE PATTI PRODUCED AND CONCLUDING THAT THESE EXPENSES W ERE PAID TO FARMERS AND THE ASSESSEE WAS ENTITLED T O COMMISSION INCOME WITHOUT APPRECIATING THE FACT THA T ASSESSEE HAD NEVER DURING THE ASSESSMENT PROCEEDINGS PRODUCED ANY SUPPORTING DOCUMENTARY EVI DENCES TO PROVE THE FINDINGS MADE BY THE LD. CIT(A). (4)THE APPELLANT PRAYS THAT THE ORDER OF THE CIT(A) ON THE ABOVE GROUNDS BE REVERSED AND THAT OF THE ASSESSING OFFICER BE RESTORED. (5)THE APPELLANT CRAVES LEAVE TO AMEND OR ALTER ANY GROUNDS OR ADD A NEW GROUND WHICH MAY BE NECESSARY. 2 ITA NO.4493/MUM/2011,(AY-2007-08) CHANDRAKANT M. BH ANSALI. VIDE HIS LETTER DATED 05.08.13 AO HAS FILED FOLLOWI NG ADDITIONAL GROUNDS OF APPEAL:- (I)WHETHER ON THE FACTS, CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD.CIT(A)IS JUSTIFIED IN ADMITTING ADDITIONAL EVIDENCE WHICH WERE NOT SUBMITTED BEFORE THE ASSESSING OFFICER WITHOUT ANY SUFFICIENT CAUSE IN VIOLATION OF PROVISIONS OF RULE 46A. (II)WITHOUT PREJUDICE TO THE ABOVE GROUNDS, THE AP PELLANT PRAYS THAT THE ORDER OF THE CIT(A) ON THE A BOVE GROUNDS BE SET ASIDE SINCE THE ASSESSEE DID NOT PRO DUCE ANY DOCUMENTARY EVIDENCES AND AS DECIDED BY TH E HONBLE ITAT1N ASSESSEE 7 S OWN CASE IN A SIMILAR ISSUE FOR SAID A.Y. IN ITA NO. 3784/MUM/201 1 DT. 07.03.2012. THE APPELLANT PRAYS THAT THE ORDER OF THE LD.CIT(A) BE SET ASIDE AND THE ORDER OF THE A.O. BE RESTORED . THE APPELLANT CRAVES LEAVE TO AMEND OR ALTER ANY GR OUND OR ADD ANY OTHER GROUNDS WHICH MAY BE NECESSARY. FACTS OF THE CASE: 2. ASSESSEE, AN INDIVIDUAL FILED HIS RETURN OF INCOME ON 16.08.2007 DECLARING THE TOTAL INCOME OF RS. 21.06 LACS. ASSESSMENT WAS FINALISED ON 30.12.2 009 U/S.144 OF THE ACT DETERMINING THE TOTAL INCOME OF THE ASSESSEE AT RS. 1.42 CRORES. DURING T HE ASSESSMENT PROCEEDINGS, AO MADE CERTAIN ADDITIONS/DISALLOWANCES THAT WERE CHALLENGED BY THE ASSESSEE BEFORE THE FIRST APPELLATE AUTHORITY (FAA) AFTER CONSIDERING THE SUBMISSIONS OF THE ASSE SSEE, FAA CALLED FOR A REMAND REPORT FROM THE AO AND PARTLY ALLOWED THE APPEAL OF THE ASSESSE E. AO AS WELL AS ASSESSEE HAD CHALLENGED THE ORDER OF THE FAA. 2.1 .WE FIND THAT C BENCH OF MUMBAI TRIBUNAL VIDE ITS ORDER DATED 07.03.2012 (ITA NO. 3784/ MUM/2011) HAS RESTORED THE MATTER TO THE FILE OF TH E AO TO DECIDE THE ISSUE AFRESH AFTER GIVING OPPORTUNITY TO THE ASSESSEE AND VERIFY THE BILLS AN D VOUCHERS. WE FIND THAT ASSESSMENT ORDER WAS PASSED U/S 144 OF THE ACT BY THE AO. FROM THE CERTI FICATE OF THE PAPER BOOK, FILED BY THE ASSESSEE, IT APPEARS THAT PAGES NO. 52 TO 57 (EXHIBIT NO. A(4 )) WERE PRODUCED BEFORE THE FAA FOR THE FIRST TIME.PAPERS SUBMITTED BY THE ASSESSEE WILL HAVE EFF ECT ON THE OUTCOME OF THE HEARING BY THE AO.IN THESE CIRCUMSTANCES, WE ARE OF THE OPINION THAT IN THE INTEREST OF JUSTICE, MATTER SHOULD BE RESTORED BACK TO THE FILE OF THE AO FOR FRESH ADJUDICATION. AO IS DIRECTED TO AFFORD A REASONABLE OPPORTUNITY OF HEARING TO THE ASSESSEE. AS A RESULT,APPEAL FILED BY THE AO I S ALLOWED FOR STATISTICAL PURPOSES. / )0 / )0 / )0 / )0 !/) !/) !/) !/) 1 1 1 1 2 2 2 2 ( (( ( - -- - 3( 567 8) 3( 567 8) 3( 567 8) 3( 567 8) ( (( ( ) ) ) ) 9: 9:9: 9: . ORDER PRONOUNCED IN THE OPEN COURT AT T HE TIME OF HEARING ON 12 TH AUGUST,2013 . . ( +,' ; > > > . . B.R.MITTAL ) ( / RAJENDRA ) / JUDICIAL MEMBER /ACCOUNTANT MEMBER / MUMBAI,