Geetanjali Banka, Ranchi V. ITO,Ward-1(3), Ranchi

ITA 45/RAN/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 2500 (ITAT-RANCHI)
• Duration Of Justice: 1 year(s) 1 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-03-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2010-2011
• Appeal Filed On: 30-01-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NISHA ORAON SINGHMARR J
• Assessee Lawyers: VINAY GOENKA
• Keywords: Unexplained cash credit
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL RANCHI BENCH SMC RANCHI BEFORE SHRI S.S, GODARA, JUDICIAL MEMBER ITA NO.44 & 45/RAN/2019 ASSESSMENT YEAR:2010-11 KUNAL BANKA 1 ST FLOOR, PRATEEK COMPLEX, S.S.GANGULY ROAD, BESIDE CANARA BANK, RANCHI-834001 [ PAN NO.AKXPB 4643 F ] GEETANJALI BANKA 20, ANNAPURNA ENCLAVE, BARIATU HOUSING COLONY, MAITRI MARG, RANCHI- 834009 [ PAN NO.ADWPB 2537 N ] / V/S . INCOME TAX OFFICER WARD-2(3), CENTRAL REVENUE BUILDING, MAIN ROAD, RANCHI- 834001 INCOME TAX OFFICER WARD-1(3), CENTRAL REVENUE BUILDING, MAIN ROAD, RANCHI- 834001 /APPELLANT .. /RESPONDENT /BY ASSESSEE SHRI VINAY GOENKA, CA /BY RESPONDENT SMT. NISHA ORAON SINGHMARR, JCIT-DR /DATE OF HEARING 04-03-2020 /DATE OF PRONOUNCEMENT 04-03-2020 /O R D E R (ORAL) THESE TWO ASSESSEES APPEALS FOR ASSESSMENT YEAR 2 010-11, ARISE AGAINST THE COMMISSIONER OF INCOME-TAX (APPEALS) RANCHIS SEPAR ATE ORDERS DATED 19.11.2018 AND 26.11.2018 PASSED IN CASE NOS. CIT(A)/RANCHI/10 475, 10474/2016-17 INVOLVING PROCEEDINGS U/S. 143(3) OF THE INCOME TAX ACT, 1961 ; IN SHORT THE ACT; RESPECTIVELY. HEARD BOTH THE PARTIES. CASE FILE(S) PERUSED. ITA NO.44-45/RAN/2019 A.Y. 2010-11 KUNAL BANKA & GEETANJALI BANKA VS. ITO WD2(3)/1( 3) RAN PAGE 2 2. THESE TWO ASSESSEES IDENTICAL SOLE SUBSTANTIVE GRIEVANCE CANVASSED IN THE INSTANT LIS CHALLENGE CORRECTNESS OF BOTH THE LOWER AUTHORITIE S ACTION TREATING THE ALLEGED PROFITS DERIVED FROM SALE OF SHARES AMOUNTI NG TO RS.7,29,000/- & RS.17,01,000/- BOGUS UNEXPLAINED CASH CREDITS DURIN G THE COURSE OF ASSESSMENT AS UPHELD IN THE LOWER APPELLATE PROCEEDINGS. BOTH THE LEARNED LOWER AUTHORITIES HOLD THAT KEEPING IN MIND THE CORRESPONDING SCRIPS UPWARD / D OWNWARD ABNORMAL PRICE MOVEMENT COUPLED WITH THE SUSPICIOUS CIRCUMSTANCES INDICATE THAT THE ASSESSEES HAVE DERIVED THE IMPUGNED PROFITS IN COLLUSION WITH ENTR Y OPERATORS. THEY HAVE ALSO APPLIED HONBLE APEX COURTS DECISION(S) IN SUMATI DAYAL VS. COMMISSIONER OF INCOME TAX (1995) 80 TAXMANN. 89 (SC) AND COMMISSIONER OF INCOME TAX VS. DURGA PRASAD MORE (1971) 82 ITR 540 (SC). LEARNED COUNSELS ONLY PLEA DURING THE COURSE OF HEARING IS THAT THE CBDT HAS RECENTLY ISSUED STANDA RD OPERATING PROCEDURE (SOP) TO THE FIELD AUTHORITIES FOR EXAMINING SUCH BOGUS SHAR E TRANSACTIONS TO BE EXAMINED ON MULTIPLE ASPECTS. LEARNED DEPARTMENTAL REPRESENTATI VES CASE ON THE OTHER HAND IS THAT THE ASSESSEE HAS ADMITTEDLY FAILED TO PROVE IDENTIT Y, GENUINENESS AND CREDITWORTHINESS OF THE IMPUGNED SHARE TRANSACTIONS. FACED WITH THIS , SITUATION AND MORE PARTICULARLY KEEPING IN MIND THE FACT THAT THE CBDT HAS NOW DIRE CTED AN EXTENSIVE EXERCISE TO THE FIELD AUTHORITIES AS WELL WHILST DEALING WITH THE A CASE OF ALLEGED BOGUS SHARE TRANSACTIONS, I DEEM IT APPROPRIATE TO RESTORE THE INSTANT ISSUE BACK TO CIT(A) FOR AFRESH ADJUDICATION AS PER LAW WITHIN THREE EFFECTI VE OPPORTUNITIES OF HEARING. 3. THE ASSESSEES APPEAL(S) ARE ACCEPTED FOR STATIST ICAL PURPOSES. A COPY OF INSTANT COMMON ORDER BE PLACED IN THE RESPECTIVE CASE FILE( S) ORDER PRONOUNCED IN OPEN COURT AT THE CLOSE OF HEARING ON WEDNESDAY , 4 TH MARCH, 2020 SD/- ( #$ ) (S.S. GODARA) JUDICIAL MEM BER *DKP/SR.PS ' - 04/03/2020 ITA NO.44-45/RAN/2019 A.Y. 2010-11 KUNAL BANKA & GEETANJALI BANKA VS. ITO WD2(3)/1( 3) RAN PAGE 3 / COPY OF ORDER FORWARDED TO:- 1. /ASSESSEE- KUNAL BANKA 1 ST FL, PRATEEK COMPLEX, S.N..GANGULY ROAD, BESIDE CANARA BANK, RANCHI-834001/GEETANJALI BANKA 20, ANNAPURNA ENCLAVE, B ARIATU HOUSING COLONY, MAITRI MARG, RANCHI-834009 2. /REVENUE-ITO WARD-2(3)/1(3), CENTRAL REVENUE BUILDI NG, MAIN ROAD, RANCHI 3. + - / CONCERNED CIT 4. - - / CIT (A) 5. . $$+ , + / DR, ITAT, RANCHI 6. 2 / GUARD FILE. BY ORDER/ , /TRUE COPY/ SR. PRIVATE SECRETARY/P.S (ON TOUR) +,