ACIT, Coimbatore V. Ponthiagarajan, Coimbatore

ITA 487/CHNY/2013

• Counselvise Citation: 48721714 RSA 2013
• Duration Of Justice: 2 year(s) 3 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-07-2015
• Appeal Filed By: Department
• Bench Allotted: B
• Next Hearing Date: 19-05-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 25-03-2013
• Court: TRIBUNAL
• Department Lawyers: N MADHAVANJCIT
• Assessee Lawyers: V S JAYAKUMARJCIT D R
• Section: 143(3)

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, CHENNAI ... , . , , BEFORE SHRI N.R.S.GANESAN, JUDICIAL MEMBER AND SHRI A.MOHAN ALANKAMONY, ACCOUNTANT MEMBER ./ I.T.A.NOS.486 & 487 /MDS./2013 ( !' #' / ASSESSMENT YEAR :2008-09) ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE II, COIMBATORE. VS. SHRI PONTHIAGARAJAN , M/S.SRI GOMUKI ENTERPRISES, 10/B,GANESAN NAGAR, CIVIL AERODROME PO, COIMBATORE 641 014. PAN ADAPT 6727 C ( / APPELLANT ) ( / RESPONDENT ) $% & ' / APPELLANT BY : MR. N.MADHAVAN,JCIT, D.R ()$% & ' /RESPONDENT BY : MR.V.S.JAYAKUMAR,JCIT, D.R * + & ,- / DATE OF HEARING : 19.05.2015 .# & ,- /DATE OF PRONOUNCEMENT : 15.07.2015 / O R D E R ITA NOS.486 & 487/MDS/2013 2 PER A.MOHAN ALANKAMONY , ACCOUNTANT MEMBER: THESE TWO APPEALS ARE FILED BY THE REVENUE, AGGRI EVED BY THE SEPARATE ORDER OF THE LEARNED COMMISSIONER OF INCOM E TAX(A)-I, COIMBATORE BOTH ORDER DATED 18.12.2012 FOR THE ASS ESSMENT YEAR 2008-09 IN ITA NO.39/11-12 PASSED UNDER SECTION-14 3(3) READ WITH SECTION- 250 OF THE ACT AND IN ITA NO.50/11-12 PASS ED UNDER SECTION 271(1)(C) R.W.S 250 OF THE ACT. 2.1 ITA NO.486/MDS./2013 THE REVENUE HAS RAISED FIVE ELABORATE GROUNDS IN IT S QUANTUM APPEAL; HOWEVER THE CRUX OF THE ISSUE IS THAT THE R EVENUE IS AGGRIEVED BY THE ORDER OF THE LD. CIT (A) WHO HAD D ELETED THE ADDITION MADE TOWARDS THE DIFFERENCE IN SUNDRY CRED ITORS BALANCE AND ALSO THE ADDITION MADE TOWARDS UNACCOUNTED CASH DEP OSITED IN THE BANK. ITA NO.487/MDS./2013 2.2 THE REVENUE HAS RAISED THREE GROUNDS IN ITS AP PEAL, HOWEVER THE CRUX OF THE ISSUE IS THAT THE REVENUE IS AGGRI EVED BY THE ORDER OF ITA NOS.486 & 487/MDS/2013 3 THE LD. CIT (A) WHO HAD DELETED THE PENALTY LEVIED U/S.271(1)(C) OF THE ACT. 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESS EE IS AN INDIVIDUAL, ENGAGED IN THE BUSINESS AS DEALER IN ST ARCH AND CHEMICALS FILED ITS RETURN OF INCOME ON 30.09.2008 ADMITTING ITS INCOME AS ` 8,96,601/-. SUBSEQUENTLY THE CASE WAS TAKEN UP FOR SCRUTINY THROUGH CASS AND THE ASSESSMENT WAS COMPLETED U/S. 143(3) O F THE ACT ON 27.12.2010 WHEREIN THE LD.A.O MADE ADDITIONS OF ` 11,96,704/- TOWARDS UNPROVED SUNDRY CREDITORS, AND ADDITION OF ` 4,60,500/- U/S.68 OF THE ACT. THEREAFTER, THE PENALTY PROCEEDINGS U/ S.271(1)(C) OF THE ACT WAS INITIATED BY THE LD. ASSESSING OFFICER. CON SEQUENTLY ON 30.06.2011 THE LD. ASSESSING OFFICER LEVIED MINIMUM PENALTY OF ` 4,97,161/-. 4. AT THE OUTSET, LD. A.R SUBMITTED BEFORE US THA T IN THE ASSESSEES QUANTUM APPEAL FOR THE RELEVANT ASSESSME NT YEAR ON THIS ISSUE HAS BEEN DECIDED BY THIS TRIBUNAL IN ITA NO.1 934/MDS./2013 VIDE ORDER DATED 28.02.2014 IN FAVOUR OF THE ASSESS EE. THE COPY OF ITA NOS.486 & 487/MDS/2013 4 THE ORDER IS ALSO PLACED ON RECORD BEFORE US. LD. D .R COULD NOT CONTROVERT THE SUBMISSIONS OF THE LD. A.R. 5.1 AFTER HEARING BOTH SIDES AND PERUSING THE ORDE R OF THE TRIBUNAL CITED BY THE LD. A.R, IT IS EVIDENT THAT THE TRIBUN AL HAS DECIDED THE ISSUE RAISED BY THE REVENUE IN THIS APPEAL IN FAVOU R OF THE ASSESSEE WHILE DECIDING THE ASSESSEES QUANTUM APPEAL FOR TH E RELEVANT ASSESSMENT YEAR. THIS APPEAL OF THE REVENUE PENDING BEFORE THE TRIBUNAL WAS NOT BROUGHT TO THE NOTICE OF THE BENCH AT THE TIME OF HEARING THE ASSESSEES QUANTUM APPEAL IN ITA NO.193 4/MDS/13. HOWEVER SINCE THE ASSESSEES QUANTUM APPEAL IS ALLO WED IN FAVOUR OF THE ASSESSEE BY DELETING THE ADDITION OF ` 8,37,975 MADE TOWARDS DIFFERENCE IN SUNDRY CREDITORS BALANCE VIDE THE TR IBUNALS ORDER FOR THE RELEVANT ASSESSMENT YEAR IN ITA NO.1934/MDS./20 13, WE HEREBY DISMISS THE QUANTUM APPEAL FILED BY THE REVENUE IN ITA- 486/CHEN/2013 WHICH IS ON THE SAME ISSUE. 5.2 FURTHER, SINCE THE QUANTUM APPEAL OF THE ASSESS EE IS HELD IN FAVOUR OF THE ASSESSEE, THE IMPOSITION OF PENALTY U /S.271(1)(C) IS NOT ITA NOS.486 & 487/MDS/2013 5 SUSTAINABLE, ACCORDINGLY THE APPEAL OF THE REVENUE IN ITA- 487/CHEN/2013 ALSO STANDS TO BE DISMISSED. 6. IN THE RESULT, BOTH THE APPEALS OF REVENUE ARE D ISMISSED. ORDER PRONOUNCED ON 15 TH JULY,2015 AT CHENNAI. SD/- SD/- ( . . . ) ( N.R.S.GANESAN ) ( . '#$ %' ) (A.MOHAN ALANKAMONY) JUDICIAL MEMBER ACCOUNTANT MEMBER CHENNAI, DATED THE 15 TH JULY, 2015. K S SUNDARAM. & (,/0 1 0#, /COPY TO: 1. $% /APPELLANT 2. ()$% /RESPONDENT 3. * 2, ( ) /CIT(A) 4. * 2, /CIT 5. 05 (,6! /DR 6. 7' 8+ /GF