Shri Ismailbhai Savadibhai Hira, Ahmedabad V. The Income tax Officer,Ward-11(1), Ahmedabad

ITA 472/AHD/2012

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 5784 (ITAT-AHMEDABAD)
• Duration Of Justice: 5 year(s) 3 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-05-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 09-03-2017
• Assessment Year: 2008-2009
• Appeal Filed On: 22-02-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P S CHOUDHARY
• Keywords: Unexplained investment; Corroborative evidences
• Section: 131; 69

Judgement Text

, ,L ,L,L ,L- -- -,E ,E,E ,E- -- -LH LHLH LH , IN THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH, AHMEDABAD BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER AND SHRI MAHAVIR PRASAD, JUDICIAL MEMBER !# I.T.A. NO.472/AHD/2012 ( / ASSESSMENT YEAR :2008-09) ISMAILBHAI SAVADIBHAI HIRA, C-6, AKAR APPARTMENTS, RAJNAGAR ROAD, PALDI, AHMEDABAD-380007 # VS. INCOME TAX OFFICER WARD-11(1), AHMEDABAD. $ # % & # PAN/GIR NO. : ABGPH 0488 J ( !$' / APPELLANT ) .. ( ($' # RESPONDENT ) !$') # APPELLANT BY : SHRI PRITESH SHAH, A.R. ($'*) / RESPONDENT BY : SHRI P.S. CHOUDHARY, SR.D.R. + ,*-. / DATE OF HEARING 09/03/2017 /012*-. / DATE OF PRONOUNCEMENT 29/05/2017 3# O R D E R PER SHRI MAHAVIR PRASAD, JUDICIAL MEMBER : THIS IS AN APPEAL BY THE ASSESSEE DIRECTED AGAIN ST THE ORDER OF THE COMMISSIONER OF INCOME TAX(APPEALS)-XVI, AHMEDABAD, DATED 15/12/2011 FOR THE ASSESSMENT YEAR (AY) 2008-09. 2. ASSESSEE HAS TAKEN THE FOLLOWING GROUND OF APPEA L: THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION MADE BY AO OF RS.29,13,897/- AS AN UNEXPLAINED INVESTMENT UNDER S ECTION 69 OF THE IT ACT, 1961, WHICH IS REQUESTED TO BE DELETED. ITA NO.472/AHD/ 2012 ISMAILBHAI SAVADIBHAI HIRA VS. ITO ASST.YEAR 2008-09 - 2 - 3. THE RELEVANT FACTS AS CULLED OUT FROM THE MATERI ALS ON RECORD ARE AS UNDER:- IT WAS NOTICED BY THE ASSESSING OFFICER THAT THE A SSESSEE HAD DEPOSITED HUGE CASH OF RS.29,13,897/- IN HIS ACCOUN T MAINTAINED IN THE MEMON CO. OPERATIVE BANK LTD, AHMEDABAD. THE APPELL ANT WAS ASKED TO EXPLAIN THE SOURCE OF CASH OF DEPOSITS OF RS.29, 13,897/- (RS.8,87,621/- + RS. 20,00,000/- + RS. 25,000/-) MADE IN THE AFORE SAID BANK ACCOUNT. THE APPELLANT HAD CONTENDED BEFORE THE ASSESSING OF FICER THAT THE AMOUNTS WERE RECEIVED IN CASH FOR VARIOUS RELATIVES WHO ARE AGRICULTURISTS AND ARE RESIDING AT MEHSANA DISTRICTS. HE HAD STATE D TO BE RECEIVED 3,00,000/- EACH IN CASH ON 05/04/2007 FROM NINE SUC H RELATIVES TOTALING TO RS.27,00,000/-, WHO PAID IT TO THE ASSESSEE I.E. TH EIR UNCLE SHRI ISMAILBHAI SAVADIBHAI HIRA. THE ASSESSING OFFICER HAD ISSUED S UMMONS U/S. 131 OF THE ACT TO THE SAID NINE PERSONS OUT OF WHICH ONLY TWO PERSONS HAD ATTENDED AND STATEMENTS OF WHOM WERE RECORDED U/S. 131 OF THE ACT ON 29/11/2010. ON VERIFICATION OF THE STATEMENTS RECORDED, IT W AS NOTICED BY THE ASSESSING OFFICER THAT THE CONCERNED PERSONS COULD NOT FURNISH ANY EVIDENCE TO ESTABLISH THAT CROPS WERE CULTIVATED THE LAND AND THE SAME WERE SOLD IN THE MARKET. THEY HAD ONLY FILED THE 7 /12 EXTRACTS. THEY HAVE NOT FILED ANY EVIDENCE REGARDING PURCHASE OF S EEDS, SALE OF AGRICULTURE PRODUCE, AMOUNT RECEIVED IN CASH AND EX PENDITURE INCURRED. THEY HAVE CONTENDED THAT THEY ARE NOT MAINTAINING A NY BANK ACCOUNT IN ITA NO.472/AHD/ 2012 ISMAILBHAI SAVADIBHAI HIRA VS. ITO ASST.YEAR 2008-09 - 3 - THEIR NAMES. IT WAS STATED THAT THE AMOUNT OF RS.3, 00,000/- WAS SAVED BY THEM OVER A PERIOD OF TIME AND GIVEN TO SHRI ISMAIL HIRA IN CASH DURING THE YEAR UNDER CONSIDERATION. THE ASSESSEE HAD NOT FURNISHED THE BOOKS OF ACCOUNTS INCLUDING CASH BOOK WHEREIN THE TRANSACTIO NS WERE RECORDED. UNDER THE CIRCUMSTANCES, THE CASH DEPOSIT IN THE BA NK ACCOUNT WAS CONSIDERED AS UNEXPLAINED INCOME U/S.69 OF THE ACT. EVEN NONE APPEARED IN RESPONSE TO THE SHOW CAUSE NOTICE ISSUED TO BE H EARD ON 16/12/2010. KEEPING IN VIEW THE AFORESAID FACTS AND CONSIDERING THE INABILITY OF THE ASSESSEE TO PROVE THE SOURCE OF CASH DEPOSITS MADE IN THE BANK ACCOUNT WITH SATISFACTORY AND SUPPORTING EVIDENCE, THE AMOU NT OF CASH DEPOSITS TO THE EXTENT OF RS.29,13,897/- WAS TREATED AS UNEXPLA INED INVESTMENT U/S.69 OF THE ACT AND THE SAME WAS ADDED TO THE TOTAL INCO ME OF THE ASSESSEE. 4. AGAINST THE SAID ORDER ASSESSEE PREFERRED FIRST STATUTORY APPEAL BEFORE THE LEARNED CIT(A) BUT TO NO AVAIL AND LEARN ED CIT(A) DISMISSED THE APPEAL OF THE ASSESSEE. 5. NOW ASSESSEE HAS FILED APPEAL BEFORE US. 6. IN THIS CASE, LEARNED AR SUBMITTED THAT LAND REV ENUE RECORD SHOWING OWNERSHIP OF LAND WHICH WAS FURNISHED BEFOR E THE LOWER AUTHORITY AND AGRICULTURE PRODUCTS SALES BILLS WERE ALSO SUBMITTED AND STAMP PAPER WERE PURCHASED AT THE TIME OF MAKING AF FIDAVIT BUT SAME WERE NOT CONSIDERED BY THE AUTHORITIES BELOW. IN TH E INTEREST OF THE JUSTICE ITA NO.472/AHD/ 2012 ISMAILBHAI SAVADIBHAI HIRA VS. ITO ASST.YEAR 2008-09 - 4 - WE REMIT THIS MATTER BACK TO THE FILE OF THE CIT(A) WHO WILL VERIFY THE DOCUMENTS WHICH HAS BEEN FILED BEFORE THE AUTHORITI ES BELOW AND WILL DECIDE THE MATTER AFRESH AFTER GIVING OPPORTUNITY O F BEING HEARD TO THE ASSESSEE. IN THE LIGHT OF THE ABOVE DISCUSSIONS WE ALLOW THE APPEAL FOR STATISTICAL PURPOSE. 7. IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS A LLOWED FOR STATISTICAL PURPOSE. THIS ORDER PRONOUNCED IN OPEN COURT ON 29/05/2017 SD/- SD/- ( ) 4 5 ( N.K. BILLAIYA ) ( MAHAVIR PRASAD ) ACCOUNTANT MEMBER JUDICIAL MEMBER AHMEDABAD; DATED 29/05/2017 PRITI YADAV, SR. PS !'# $#! # COPY OF THE ORDER FORWARDED TO : 1. !$' / THE APPELLANT 2. ($' / THE RESPONDENT. 3. 67- + 8- / CONCERNED CIT 4. + 8- 4!5 / THE CIT(A)-XVI, AHMEABAD 5. 9:;-67 !.!672 ! / DR, ITAT, AHMEDABAD 6. ;<=, # GUARD FILE. % & / BY ORDER, (9-- //TRUE COPY// '/& () ( DY./ASSTT.REGISTRAR) , / ITAT, AHMEDABAD TRUE COPY