SMT. SMTITI R AGRWAL, Mumbai V. DCIT CC 7(2), Mumbai

ITA 4828/MUM/2019

• Counselvise Citation: [2020] 110 COUNSELVISE.COM (IT) 6383 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 1 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-09-2020
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2014-2015
• Appeal Filed On: 18-07-2019
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: AKHTAR HANSARI
• Assessee Lawyers: JHUNJHUNWALA
• Keywords: Unexplained cash credit; Principle of natural justice; Reassessment proceedings
• Section: 143(3); 68

Judgement Text

THE INCOME TAX APPELLATE TRIBUNAL SMC-1 BENCH, MUMBAI SHRI SHAMIM YAHYA (AM) I.T.A. NO. 4828/MUM/2019 (ASSESSMENT YEAR 2014-15 ) SMT. SMRITI R. AGRWAL 98, GOVT. IND. ESTATE CHARKOP IND. AREA HINDUSTAN NAKA KANDIVALI WEST MUMBAI-400 067. PAN : AEIPA6749N VS . DCIT CC-7(2) ROOM NO. 653 6 TH FLOOR AAYAKAR BHAVAN M.K. ROAD CHURCHGATE MUMBAI-400 020. (APPELLANT) (RESPONDENT) ASSESSEE BY SHRI JHUNJHUNWALA DEPARTMENT BY SHRI AKHTAR H. ANSARI DATE OF HEARING 16.09.2020 DATE OF PRONOUNCEMENT 16.09.2020 O R D E R THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF LEARNED CIT(A) DATED 24.5.2019 AND PERTAINS TO A.Y. 2014-15 . 2. THE GROUNDS OF APPEAL READ AS UNDER :- BEING AGGRIEVED BY THE ORDER DATED 30.11.2018 PASS ED BY THE LEARNED DCIT, CENTRAL CIRCLE 7(2), MUMBAI ('A.O.') U/S 143(3) R.W.S 147 OF THE INCOME TAX ACT, 196F ('THE ACT'), THIS APPEAL IS BEING SUBMITTED O N THE FOLLOWING GROUNDS OF APPEAL WHICH, IT IS PRAYED, MAY BE CONSIDERED WIT HOUT PREJUDICE TO ONE ANOTHER: 1.0 RE : INVALIDITY OF REASSESSMENT PROCEEDINGS ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND I N LAW, THE-JURISDICTION ASSUMED BY THE A.O. UNDER SECTION 147 OF THE ACT WAS INCORRECT AND INVALID FOR THE EACH OF THE FOLLOWING INDEPENDENT REASONS: 1.01 THE APPELLANT SUBMITS THAT THE REASONS AS RECO RDED FOR REOPENING THE ASSESSMENT CANNOT GIVE HIM ANY BELIEF THAT INCOME OF T HE APPELLANT HAS ESCAPED ASSESSMENT. 1.02 THE IMPUGNED REOPENING WAS MADE BY A.O. MEC HANICALLY MERELY ON THE BASIS OF COMMUNICATION RECEIVED FROM UNIT 7(4), I NVESTIGATION WING, MUMBAI, AND WITHOUT ANY INDEPENDENT APPLICATION OF MI ND. 2 2.0 ON THE FACTS AND IN THE CIRCUMSTANCE OF THE CASE AND IN LAW, THE IMPUGNED ASSESSMENT ORDER IS BAD IN LAW BEING CONTR ARY TO THE PRINCIPLES OF NATURAL JUSTICE AS THE A.O., BEFORE RELYING ON SAID IN VESTIGATION REPORT AND OTHER MATERIAL HAS NOT CONFRONTED THE SAME TO THE APPELL ANT. 3.0 ON THE FACTS AND IN THE CIRCUMSTANCES OF THE C ASE AND IN LAW, THE LEARNED A.O. HAS ERRED IN MAKING AN ADDITION OF RS. 7,62,600/- AS UNEXPLAINED CASH CREDITS U/S 68 OF THE ACT. 4.0 ON THE FACTS AND IN THE CIRCUMSTANCES OF THE C ASE AND IN LAW, THE ADDITION OF RS. 7,62,600/- HAS BEEN MADE BY THE A.O. ON THE BASIS OF THE ALLEGED TRANSACTIONS WHICH HAVE NOT BEEN ENTERED INTO BY THE APPELLANT. 5.0 THE LEARNED AO HAS ERRED IN TOTALLY IGNORING A ND GOING AGAINST SECTION 188 OF THE FINANCE ACT, 2016 WHICH PROVIDES THAT THE AM OUNT OF UNDISCLOSED INCOME DECLARED IN ACCORDANCE WITH SECTION 183 SHALL NOT BE INCLUDED IN THE TOTAL INCOME OF THE DECLARANT FOR ANY ASSESSMENT YEAR U NDER THE ACT, IF THE DECLARANT MAKES THE PAYMENT OF TAX AND SURCHARGE REFERR ED TO IN SECTION 184 AND THE PENALTY REFERRED TO IN SECTION 185, BY THE DATE SPECIFIED UNDER SUB- SECTION (1) OF SECTION 187. 3. AT THE OUTSET IN THIS CASE LEARNED COUNSEL OF TH E ASSESSEE SUBMITTED THAT ASSESSEE HAS FILED APPLICATION UNDER VIVAD SE VISHW AS TAK SCHEME. THE NECESSARY APPROVAL FOR THE SAME HAS BEEN RECEIVED. HENCE LEARNED COUNSEL SUBMITTED THAT ASSESSEE NOW WANTS TO WITHDRAW THE A PPEAL. 4. UPON HEARING LEARNED DEPARTMENTAL REPRESENTATIVE , I PERMIT THE WITHDRAWAL OF THIS APPEAL. ORDER PRONOUNCE ON 16.9.2020. SD/- (SHAMIM YAHYA) ACCOUNTANT MEMBER MUMBAI; DATED : 16/09/2020 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) 4. CIT 5. DR, ITAT, MUMBAI 3 6. GUARD FILE. BY ORDER, //TRUE COPY// ( ASSISTANT REGISTRAR) PS ITAT, MUMBAI