Assistant Commissioner of Income Tax, Circle-2, Jalandhar V. Anthony F.R. Madasser, Jalandhar

ITA 513/ASR/2017

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 9321 (ITAT-AMRITSAR)
• Duration Of Justice: 1 year(s) 10 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-06-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 20-05-2019
• Assessment Year: 2013-2014
• Appeal Filed On: 04-08-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR DEVENDER SING H LD
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR BEFORE SH. N.S.SAINI, ACCOUNTANT MEMBER AND SH. N.K.CHOUDHRY, JUDICIAL MEMBER ITA NO.513(ASR)/2017 ASSESSMENT YEAR:2013-14 THE ASST. CIT, CIRCLE-2, JALANDHAR. VS. SH. ANTHONY F.R. MADASSAR PROP. M/S. NAVJEEVAN ENTERPRISES, G-12, GURU GOBIND SINGH AVENUE, JALANDHAR. [PAN:APQPM 9874B] (APPELLANT) (RESPONDENT) APPELLANT BY: DR. DEVENDER SINGH (LD. CIT- DR) RESPONDENT BY: SH. SUDHIR SEHGAL DATE OF HEARING: 20.05.2019 DATE OF PRONOUNCEMENT: 21.06.2019 ORDER PER N.K.CHOUDHRY, JM: THIS IS AN APPEAL PREFERRED BY THE REVENUE DEPARTME NT AGAINST THE ORDER DATED 03/05/2017 IMPUGNED HEREIN, PASSED BY THE LD. CIT(A)-1, JALANDHAR U/S 250(6) OF THE I.T. ACT, 19 61 (HEREINAFTER CALLED AS THE ACT) WHEREBY THE LD. CIT(A) DELETED THE ADDITION OF RS.3,64,92,610/- MADE BY THE ASSESSING OFFICER IN T HE ASSESSMENT ORDER FRAMED U/S 143(3) OF THE ACT. 2. THE RELEVANT FACTS ARE THAT THE ASSESSING OFFICER A PPLIED THE GROSS PROFIT MARGIN @ 36.63% TO THE COSTS OF SALES TO WOR K OUT THE GROSS PROFIT EARNED BY THE ASSESSEE ON THE GOODS WHICH HA VE BEEN SOLD DURING THE YEAR. FURTHER, WORKED OUT THE AVERAGE PR OFIT MARGIN @ 16.5% AND RESULTANTLY MADE AN ADDITION OF RS.3,64, 92,610/-. ITA NO.513 /ASR/2017 (A.Y.2013-14) ACIT VS. SH. ANTHONY F.R. MADASSAR 2 THE ACTION OF THE ASSESSING OFFICER WAS CHALLENGED BEFORE THE LD. CIT(A) WHO VIDE ORDER DATED 03/05/2017 DELETED THE SAID ADDITION, WHILE FOLLOWING THE ORDERS PASSED BY JURISDICTIONAL BENCH OF ITAT IN THE ASSESSEE'S OWN CASES FOR ASST. YEARS: 2008-09, 2010 -11, 2011-12 & 2012-13. AT THE TIME OF HEARING, THE LD. CIT-DR SUB MITTED THAT THE LD. CIT(A) DID NOT PASS THE REASONED ORDER AS HE MUST H AVE PASSED THE ORDER WHILE CONSIDERING THE ORDER OF ITAT IN ITS RI GHT SPIRIT . IT WAS FURTHER SUBMITTED THAT FOR THE NEXT ASSESSMENT YEAR I.E. 2014-15, THE CIT(A) ACCEPTED THE METHOD OF ACCOUNTING APPROVED B Y THE ITAT AND REASONED THE ORDER ON DIFFERENT FOOTING THEREFORE I T CAN NOT BE SAID THAT CONSISTENCY IS TO BE FOLLOWED BECAUSE EACH AND EVERY CASE/YEAR IS DISTINCT AND UNIQUE. 3. HAVING HEARD THE PARTIES AND PERUSED THE MATERIAL A VAILABLE ON RECORD. WE HAVE REALIZED FROM THE IMPUGNED ORDER TH AT THE LD. CIT(A) NOT ONLY CONSIDERED AND RESPECTFULLY FOLLOWED THE J UDGMENT OF JURISDICTIONAL BENCH OF ITAT IN THE ASSESSEES OWN CASE FOR ASST.YEAR:2008-09 BUT ALSO CONSIDERED THE OTHER THR EE ORDERS PASSED QUA ASSESSMENT YEARS I.E. 2010-11, 2011-12, & 2012- 12, FOR COMING TO RIGHT AND LOGICAL CONCLUSIONS, THEREFORE, IN OUR CONSIDERED VIEW ONCE THERE ARE JUDGMENTS OF THE JURISDICTIONAL BENCH ON THE IDENTICAL ISSUES THEN THE LD. CIT(A) IS NOT UNDER OBLIGATION TO FOLL OW THE DIFFERENT REASONING AND THE ORDER CONTRARY PASSED BY OTHER CI T(A) IF ANY AS RELIED UPON BY THE LD. CIT-DR FOR THE ASST. YEAR 20 14-15. THE LD. CIT(A) HAS FOLLOWED THE JUDGMENTS OF THE JURISDICTI ONAL BENCH, HENCE THE ORDER UNDER CHALLENGE DOES NOT REQUIRES ANY IN FERENCE AS THE SAME DOES NOT SUFFERS FROM PERVERSITY, IMPROPRIETY AND ILLEGALITY AND THEREFORE LIABLE TO BE SUSTAINED AND RESULTANTLY TH E APPEAL OF THE REVENUE DEPARTMENT DESERVES DISMISSAL. ITA NO.513 /ASR/2017 (A.Y.2013-14) ACIT VS. SH. ANTHONY F.R. MADASSAR 3 4. IN THE RESULT, THE APPEAL FILED BY THE REVENUE DEP ARTMENT STANDS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 21.06.2019. SD/- SD/- (N.S.SAINI) (N.K.CHOUDHRY) ACCOUNTANT MEMBER JU DICIAL MEMBER DATED: 21.06.2019 /PK/ PS. COPY OF THE ORDER FORWARDED TO: (1) SH. ANTHONY F.R. MADASSER, PROP. M/S NAVJEEVAN ENTERPRISES, G-12, GURU GOBIND SINGH AVENUE, JALANDHAR. (2) THE ASST. CIT, CENTRAL CIRCLE-2, JALANDHAR. (3) THE CIT(A)-1, JALANDHAR (4) THE CIT CONCERNED (5) THE SR DR, I.T.A.T., AMRITSAR TRUE COPY BY ORDER ITA NO.513 /ASR/2017 (A.Y.2013-14) ACIT VS. SH. ANTHONY F.R. MADASSAR 4 DATE INITIAL 1 . DRAFT DICTATED ON PS/SR. PS 2. DRAFT PLACED BEFORE AUTHOR PS/SR. PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. JM/AM 5. APPROVED DRAFT COMES TO THE SR. PS/PS PS/SR. PS 6. KEPT FOR PRONOUNCEMENT ON PS/SR. PS 7. FILE SENT TO THE BENCH CLERK PS/SR. PS 8. DATE ON WHICH FILE GOES TO THE HEAD CLERK. 9. DATE ON WHICH FILE GOES TO THE AR 10. DATE OF DISPATCH OF ORDER