Murali Krishna Mittapalli , Hyderabad V. Income Tax Officer, Ward-12(2), Hyderabad

ITA 507/Hyd/2019

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 8643 (ITAT-HYDERABAD)
• Duration Of Justice: 1 year(s) 11 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-03-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB-A
• Next Hearing Date: 18-03-2021
• Assessment Year: 2014-2015
• Appeal Filed On: 09-04-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: T CHAITANYA KUMAR
• Keywords: Gift; Additional evidence
• Section: 143(3); 68

Judgement Text

ITA NO 507 OF 2019 MURALI KRISHNA MITTAPALLI HYDE RABAD PAGE 1 OF 3 IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD A BENCH, HYDERABAD (THROUGH VIDEO CONFERENCING) BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER ITA NO.507/HYD/2019 ASSESSMENT YEAR: 2014-15 SRI MURALI KRISHNA MITTAPALLI, HYDERABAD PAN:APAPM1230P VS. ITO WARD 12(1) HYDERABAD (APPELLANT) (RESPONDENT) ASSESSEE BY: SRI T. CHAITANYA KUMAR REVENUE BY : SRI SUNIL KUMAR PANDEY, DR DATE OF HEARING: 18/03/2021 DATE OF PRONOUNCEMENT: 24/03/2021 ORDER PER SMT. P. MADHAVI DEVI, J.M. THIS IS ASSESSEES APPEAL FOR THE A.Y 2014-15 AGAIN ST THE ORDER OF THE CIT (A)-1, HYDERABAD, DATED 19.03. 2019. 2. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE IN DIVIDUAL FILED HIS RETURN OF INCOME FOR THE A.Y 2014-15 ON 3 1.07.2014 DECLARING A TOTAL INCOME OF RS.6,87,890/-. DURING T HE ASSESSMENT PROCEEDINGS U/S 143(3) OF THE ACT, THE ASSESSEE WAS ASKED TO EXPLAIN THE CASH DEPOSITS MADE INTO THE AXIS BANK, SBH & HDFC BANK. THE ASSESSEE COULD NOT FURNISH ANY SATISFACTO RY REPLY AND THEREFORE, THE CASH DEPOSITS AMOUNTING TO RS.43,75, 900/- (TOTAL CASH DEPOSITS OF RS.55,63,900/- (-) CASH WITHDRAWAL S OF RS.11,85,000/-) WAS BROUGHT TO TAX U/S 68 OF THE AC T AS UNEXPLAINED CASH DEPOSITS. AGGRIEVED, THE ASSESSEE FILED AN APPEAL ITA NO 507 OF 2019 MURALI KRISHNA MITTAPALLI HYDE RABAD PAGE 2 OF 3 BEFORE THE CIT (A) AND SUBMITTED THAT THE CASH DEPO SITS WERE DONE DURING THE FINANCIAL YEAR 2013-14 TO BUY AN IMMOVAB LE PROPERTY AT MANCHIREVULA, WHICH WAS NOT COMPLETED DUE TO LIT IGATIONS IN THE PROPERTY. IT WAS SUBMITTED SINCE THAT THE SELLE R WAS IN A HURRY TO DISPOSE THE PROPERTY, ALL HIS SAVINGS ACCRUED SI NCE THE STARTING OF HIS CAREER SINCE 2006-2014 FOR WHICH HE HAS ALRE ADY FILED I.T. RETURNS AND PAID TAXES, WERE DEPOSITED INTO THE BAN KS. HE ALSO CLAIMED TO HAVE RECEIVED GIFTS FROM HIS FATHER-IN-L AW AND OF HAVING HAD TAKEN LOANS FROM HIS FRIENDS AND RELATIVES TO B UY THE PROPERTY. THE CIT (A) HOWEVER, DID NOT ACCEPT THIS CONTENTION OF THE ASSESSEE AND CONFIRMED THE ASSESSMENT ORDER. 3. THE LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED T HAT THE ASSESSEE HAS FILED RELEVANT DETAILS WHICH ARE N OW FILED IN THE FORM OF PAPER BOOK. HE SUBMITTED THAT THE DOCUMENTS ONLY IN PAGES 1 TO 6 WERE FILED BEFORE THE CIT (A) AND THE OTHER DOCUMENTS ARE NOW FILED AS ADDITIONAL EVIDENCE BEFORE THE ITA T. HE HAS ALSO FILED AN APPLICATION FOR ADMISSION OF ADDITIONAL EV IDENCE. 4. THE LEARNED DR WAS ALSO HEARD. 5. HAVING REGARD TO THE RIVAL CONTENTIONS AND THE M ATERIAL ON RECORD, WE FIND THAT THE ADDITIONS MADE ARE OF C ASH DEPOSITS AND THE ASSESSEE IS REQUIRED TO EXPLAIN THE SOURCES FOR SUCH CASH DEPOSITS. THEREFORE, WE ARE INCLINED TO ADMIT THE A DDITIONAL EVIDENCE AND REMAND THE ISSUE TO THE FILE OF THE AO FOR DENOVO CONSIDERATION IN ACCORDANCE WITH LAW. THE ASSESSEE IS ALSO DIRECTED TO COOPERATE WITH THE AO FOR EARLY COMPLET ION OF THE ASSESSMENT. ITA NO 507 OF 2019 MURALI KRISHNA MITTAPALLI HYDE RABAD PAGE 3 OF 3 6. IN THE RESULT, ASSESSEES APPEAL IS TREATED AS A LLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 24 TH MARCH, 2021. SD/- SD/- (A. MOHAN ALANKAMONY) ACCOUNTANT MEMBER (P. MADHAVI DEVI) JUDICIAL MEMBER HYDERABAD, DATED 24 TH MARCH, 2021. VINODAN/SPS COPY TO: 1 T.CHAITANYA KUMAR, ADVOCATE, FLAT NO.102, GOWRI A PARTMENTS, URDU LANE, HIMAYATHNAGAR, HYDERABAD 2 ITO WARD 12(2) HYDERABAD 3 CIT (A)-1 HYDERABAD 4 PR. CIT 1 HYDERABAD 5 THE DR, ITAT HYDERABAD 6 GUARD FILE BY ORDER