BALDOTA VALVE AND FITTING CO. PVT. LTD., MUMBAI V. ITO 9(1)(2), MUMBAI

ITA 5005/MUM/2016

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 7755 (ITAT-MUMBAI)
• Duration Of Justice: 7 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-03-2017
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2009-2010
• Appeal Filed On: 05-08-2016
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Section: 142(1); 148

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL J BENCH, MUM BAI , , , , ' BEFORE SHRI D. KARUNAKARA RAO, AM AND SHRI AMARJIT SINGH, JM / I.T.A. NO.5005/MUM/2016 ( #$ %$ / ASSESSMENT YEAR:2009-10) BALDOTA VALVE AND FITTING CO. PVT. LTD. 86, UNIVERSAL INDUSTRIAL ESTATE, I. B. PATEL ROAD, GOREGAON (EAST) MUMBAI - 400063 / VS. INCOME TAX OFFICER TAX 9(1)(2) MUMBAI ./ ./PAN/GIR NO. : AAACB6584F ( /APPELLANT ) .. ( / RESPONDENT ) / DATE OF HEARING: 12.01.2017 /DATE OF PRONOUNCEMENT: 29.03.2017 / O R D E R PER AMARJIT SINGH, JM: THE ASSESSEE HAS FILED THE PRESENT APPEAL AGAINST T HE ORDER DATED 10.03.2016 PASSED BY THE COMMISSIONER OF INCOME TAX (APPEALS)-20, MUMBAI [HEREINAFTER REFERRED TO AS THE CIT(A)] R ELEVANT TO THE A.Y.2009-10. 2. THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS:- ASSESSEE BY : NONE REVENUE BY: SHRI TUFAIL AHMED KHAN ITA NO. 50 05/M/2016 A.Y.2009-10 2 1. ON THE FACTS AND UNDER THE CIRCUMSTANCES OF THE CASE THE LEARNED CIT(A) ERRED IN SUSTAINING ADDITION OF RS.1,58,465/ - MADE BY THE ASSESSING OFFICER ON ACCOUNT PURCHASES MADE BY THE ASSESSEE COMPANY AND THE LEARNED ITO HAS ALSO ERRED IN LEVYI NG INTEREST U/S.234B AND 234C REASONS ASSIGNED FOR DOING SO ARE WRONG AND CONTRARY TO THE FACTS AND THE PROVISIONS OF THE LAW . 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSE E FILED THE RETURN OF INCOME FOR A.Y.2009-10 ON 16.09.2009 DECLARING TOTA L INCOME OF LOSS TO THE TUNE OF RS.3,51,890/- THE RETURN OF INCOME WAS PROCESSED U/S.143(1) OF THE INCOME TAX ACT, 1961 ( IN SHORT THE ACT) ON 0 3.11.2010. THEREAFTER, THE CASE WAS REOPENED AFTER ISSUANCE OF NOTICE U/S. 148 OF THE ACT ON 13.03.2014 AFTER RECORDING REASONS FOR REOPENING. IN RESPONSE TO THE NOTICE U/S.148 OF THE ACT THE ASSESSEES REPRESENTATIVE SH RI KALPESH KAVERIA, VIDE LETTER DATED 15.04.2014 INFORMED TO CONSIDER THE OR IGINAL RETURN FILED ON 16.09.2009 AS RETURN FILED IN RESPONSE TO THE SAID NOTICE. THEREAFTER, THE NOTICES U/S.143(2) AND 142(1) OF THE ACT WERE ISSUE D AND SERVED UPON THE ASSESSEE. ON EXAMINATION OF THE RETURN, IT WAS FOU ND THAT THE ASSESSEE CLAIMED THE PURCHASES TO THE TUNE OF RS.2.90 CR. T HE ASSESSEE CLAIMED THE PURCHASES FROM M/S. KIRAN SALES CORPORATION TO THE TUNE OF RS.1,58,465/-. THE INVESTIGATION WING OF THE INCOME TAX DEPARTMENT INFORMED THAT THE APPELLANT HAD INDULGED IN THE BOGUS SALES AND PURCH ASES. THE NAME OF THE SAID FIRM I.E. M/S. KIRAN SALES AND CORPORATION HAS BEEN CITED BY THE SALES TAX DEPARTMENT ON ITS WEBSITE, WHO INDULGING INTO I SSUING OF BOGUS ACCOMMODATION BILL. HOWEVER, THE ASSESSEE IN REPLY TO THE NOTICE TOOK THE PLEA THAT THE PURCHASES WERE GENUINE AND ALSO FURNI SHED THE COPY OF PURCHASE BILLS, LEDGER ACCOUNT OF PURCHASE PARTY, D ELIVERY CHALLANS AND ITA NO. 50 05/M/2016 A.Y.2009-10 3 PAYMENTS MADE THROUGH BANK ACCOUNTS. THE ASSESSING OFFICER DID NOT FIND SUFFICIENT EVIDENCE THEREFORE THE ASSESSING OFFICER ADDED THE SAID AMOUNT INTO THE INCOME OF ASSESSEE. THE ASSESSE ALSO CHAL LENGED THE SAID ORDER BEFORE THE CIT(A) WHO CONFIRMED THE SAID ORDER, THE REFORE THE ASSESSEE HAS FILED THE PRESENT APPEAL BEFORE US. ISSUE NO.1:- 4. UNDER THIS ISSUE THE ASSESSEE HAS CHALLENGED THE DISALLOWANCE OF PURCHASES TO THE TUNE OF RS.1,58,465/- FROM M/S. KI RAN SALES CORPORATION. DESPITE REPEATED CALLS THE ASSESSEE N OWHERE APPEARED BEFORE US. NO MATERIAL OF ANY KIND WAS PRODUCED BE FORE US TO SUBSTANTIATE THE CLAIM RAISED BY THE ASSESSEE. SIN CE THE ASSESSEE FAILED TO APPEAR BEFORE US AND NO NEW MATERIAL OF ANY KIND WAS PRODUCED BEFORE US THEREFORE WE ARE NOT INCLINED TO INTER FE AR WITH THE ORDER PASSED BY THE CIT(A) IN QUESTION. ACCORDINGLY WE D ECIDED THIS ISSUE IN FAVOUR OF THE REVENUE AGAINST THE ASSESSEE AND W E CONFIRMED THE ORDER PASSED BY THE CIT(A) IN QUESTION ON THIS ISSU E. 5. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS HEREBY ORDERED TO BE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 29 TH MARCH, 2017 . SD/- SD/- (D.KARUNAKARA RAO) (AM ARJIT SINGH) / ACCOUNTANT MEMBER /JUDICIAL MEMBER MUMBAI; DATED : 29 TH '$ , 2017 MP