Neralla Venkata Rajesh, , Narsipatnam V. The Income Tax officer, Ward-1, , Anakapalle

ITA 466/VIZ/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 7780 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 4 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-01-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2011-2012
• Appeal Filed On: 14-09-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: V APPALA RAJU
• Assessee Lawyers: K S S SARMA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH, VISAKHAPATNAM BEFORE SHRI V. DURGA RAO , HONBLE JUDICIAL MEMBER & SHRI D.S. SUNDER SINGH , HONBLE ACCOUNTANT MEMBER ITA NO. 466 / VIZ /201 8 (ASST. YEAR : 20 11 - 12 ) NERELLA VENKATA RAJESH, D.NO. 26 - 7 - 56/3, NEAR GANGADHARA THEATRE, NARSIPATNAM , VISAKHAPATNAM DISTRICT . V S . IT O , WARD - 1 , ANAKAPALLE . PAN NO. ADXPN 12 3 6 H (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI K.S.S. SARMA C A. DEPARTMENT BY : SHRI V. APPALA RAJU SR. DR DATE OF HEARING : 03 / 0 1 /201 9 . DATE OF PRONOUNCEMENT : 18 / 0 1 /201 9 . O R D E R PER V. DURGA RAO, JUDICIAL MEMBER TH IS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS) - 2 , VISAKHAPATNAM , DATED 20 /0 6 /201 8 FOR THE ASSESSMENT YEAR 2011 - 12 . 2. THE ONLY ISSUE RAISED BY THE ASSESSEE IN THIS APPEAL IS WITH REGARD TO ADDITION OF RS. 8, 36 ,9 00 / - . IN THE ASSESSMENT ORDER, THE ASSESSING OFFICER HAS NOTED THAT ON EXAMINATION OF THE BALANCE 2 ITA NO. 466/VIZ/2018 ( NERELLA VENKATA RAJESH ) SHEET, IT IS NOTICED TH A T THE ASSESSEE HAS ACQUIRED AN IMMOVABLE PROPERTY (RESIDENTIAL BUILDING) FOR A CONSIDERATION OF RS. 18,45,000/ - . TO VERIFY THE SAME, THE ASSESSING OFFICER ASKED THE ASSESSEE TO SUBMIT THE RELEVANT DOCUMENTS. ON PERUSAL OF THE SAID DOCUMENT, IT IS NOTICED THAT COST OF THE PROPERTY IS RS. 24,49,000/ - , ON WHICH THE ASSESSEE HAS PAID A STAMP DUTY OF RS. 2,32,900/ - , TOTAL OF WHICH COMES TO RS. 26,81,900/ - . WHEN ASSESSING OFFICER ASKED THE SOURCE OF DIFFEREN CE AMOUNT OF RS. 8,36,900/ - (RS. 26,81,900 RS. 18,45,000) , THE ASSESSEE FAILED TO FURNISH ANY EVIDENCE, THEREFORE THE ASSESSING OFFICER HAS MADE THE ADDITION OF RS. 8,36,900/ - , THE SAME IS C ONFIRMED BY THE LD. CIT(A). 3 . BEING AGGRIEVED BY THE ORDER OF THE LD. CIT(A), THE ASSESSEE IS IN APPEAL BEFORE THE TRIBUNAL. 4 . BEFORE US, LD. AUTHORIZED REPRESENTATIVE FOR THE ASSESSEE HAS SUBMITTED THAT THE ASSESSEE HAS FILED A DOCUMENT DATED 16/02/2009 AND SUBMITTED THAT THE TRANSACTION RELATES TO FINANCIAL YEAR 2009 - 10 RELEVANT TO ASSESSMENT YEAR 2010 - 11 AND ADDITION CANNOT BE MADE IN THE ASSESSMENT YEAR 2011 - 12 . 5. ON THE OTHER HAND, LD. DEPARTMENTAL REPRESENTATIVE STRONGLY SUPPORTED THE ORDERS PASSED BY THE AUTHORITIES BELOW. 3 ITA NO. 466/VIZ/2018 ( NERELLA VENKATA RAJESH ) 6 . IN THIS CASE ADDITION IS MADE BY THE ASSESSING OFFICER IN RESPECT OF PURCHASE OF PROPERTY ON THE GROUND OF NON - FURNISHING THE SOURCE OF THE DIFFERENTIAL AMOUNT OF RS. 8,36,900/ - . T HE ASSESSEE NEITHER EX PLAINED NOR APPEARED BEFORE THE LD. CIT(A) . BEFORE US HE SUBMITTED THAT PROPERTY WAS PURCHASED ON 16/02/2009 I.E. FINANCIAL YEAR 2009 - 10 RELEVANT TO THE ASSESSMENT YEAR 2010 - 11 AND THE ADDITION CANNOT BE MADE IN THE SUBSEQUENT ASSESSMENT YEAR I.E. 2011 - 12 . WHEN WE POINT ED OUT LD.AR THAT HAVE YOU FILED THIS DOCUMENT BEFORE THE ASSESSING OFFICER, HE IS NOT SURE ABOUT FILING OF THE DOCUMENT . HE FURTHER SUBMITTED THAT TO EXAMINE THE ISSUE WHETHER TRANSACTION COMES WITHIN THE PURVIEW OF ASSESSMENT YEAR 2010 - 11 OR 2011 - 12 , HE REQUESTED TO REMIT THE MATTER BACK TO THE ASSESSING OFFICER . ON THE OTHER HAND, LD. DEPARTMENTAL REPRESENTATIVE HAS NO T RAISED ANY OBJECTION. UNDER THESE FACTS AND CIRCUMSTANCES OF THE CASE , WE ARE OF THE OPINION THAT THE ISSUE HAS TO BE REMITTED BACK TO THE FILE OF THE ASSESSING OFFICER. WE, THEREFORE, SET ASIDE THE ORDER PASSED BY THE LD. CIT(A) AND DIRECT THE ASSESSI NG OFFICER TO EXAMINE THE DOCUMENT RELATES TO PURCHASE OF THE PROPERTY AND DECIDE WHETHER TRANS A CTION COMES WITHIN THE PURVIEW OF ASSESSMENT YEAR 2010 - 11 OR 2011 - 12 IN ACCORDANCE WITH LAW. 4 ITA NO. 466/VIZ/2018 ( NERELLA VENKATA RAJESH ) 7 . IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSE . ORDER PRONOUNCED IN OPEN COURT ON TH IS 1 8 T H DAY OF JAN . , 201 9 . S D / - S D / - ( D.S. SUNDER SINGH ) ( V. DURGA RAO ) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 1 8 T H JAN . , 201 9 . VR/ - COPY TO: 1. THE ASSESSEE - NERELLA VENKATA RAJESH, D.NO. 26 - 7 - 56/3, NEAR GANGADHARA THEATRE, NARSIPATNAM, VISAKHAPATNAM DISTRICT. 2. THE REVENUE - ITO, WARD - 1, ANAKAPALLE. 3. THE PR. CIT - 2, VISAKHAPATNAM. 4. THE CIT(A) - 2, VISAKHAPATNAM. 5. THE D.R . , VISAKHAPATNAM. 6. GUARD FILE. BY ORDER (VUKKEM RAMBABU) SR. PRIVATE SECRETARY, ITAT, VISAKHAPATNAM.