INCOME TAX OFFICER, WARD 26(2)(3), MUMBAI V. MUBARAK HUSSAIN SHAIKH, MUMBAI

ITA 527/MUM/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 6661 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-02-2020
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2011-2012
• Appeal Filed On: 01-02-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R K GUBGOTRA
• Assessee Lawyers: AWADHESH KUMAR
• Keywords: Bogus purchase
• Section: 143(3); 201

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC, BENCH MUMBAI BEFORE SHRI R.C.SHARMA, ACCOUNTANT MEMBER ITA NO. 527/MUM/2019 ( ASSESSMENT YEAR: 2011-12) I.T.O.-26(2)(3), BUILDING NO. C-11, 7 TH FLOOR, ROOM NO. 711, PRATYAKSHAKAR BHAVAN, BANDRA KURLA COMPLEX, BANDRA (EAST), MUMBAI- 400051. VS. SHRI MUBARAK HUSSAIN SHAIKH, PROP. OF M/S SABA ENGINEERING WORKS, C-2, SAKI MOHILI MUSLIM COMITI, BESIDE RAJU NAGAR, KHAIRANI ROAD, SAKINAKA, MUMBAI- 400072. PAN/GIR NO.AWGPS 3438 J (APPELLANT ) .. (RESPONDENT ) REVENUE BY SHRI R.K. GUBGOTRA (DR) ASSESSEE BY SHRI AWADHESH KUMAR (AR) DATE OF HEARING 03/02/2020 DATE OF PRONOUNCEMENT 04/02/2020 / O R D E R PER: R.C. SHARMA, A.M. THIS IS THE APPEAL FILED BY THE REVENUE AGAINST TH E ORDER OF THE LD. CIT(A)-38, MUMBAI DATED 13/08/2018 FOR THE A.Y. 201 1-12 IN THE MATTER OF ORDER PASSED U/S 143(3) R.W.S. 147 OF THE INCOME TAX ACT, 1961 (IN SHORT, THE ACT). 2. RIVAL CONTENTIONS HAVE BEEN HEARD AND RECORD PER USED. FACTS IN BRIEF ARE THAT THE ASSESSEE IS ENGAGED IN MANUFACTU RING OF WASHERS ETC.. THE A.O. GOT INFORMATION FROM SALES TAX DEPARTMENT REGARDING THE ASSESSEE TAKING BOGUS PURCHASE BILLS. AFTER REOPENI NG THE ASSESSMENT, ITA NO. 527/MUM/2019 ITO VS SHRI MUBARAK HUSSAIN SHAIKH 2 THE A.O. ESTIMATED PROFIT @ 25% ON THE ALLEGED BOGU S PURCHASES AND ADDED THE SAME IN ASSESSEES INCOME. BY THE IMPUGNE D ORDER, THE LD. CIT(A) HAS RESTRICTED THE ADDITION TO THE EXTENT OF 12.5%. 3. THE LD AR OF THE ASSESSEE PLACED ON RECORD THE O RDER OF THE TRIBUNAL IN ASSESSEES OWN CASE FOR THE IMMEDIATE P RECEDING YEAR 2010- 11 DATED 23/05/2018 WHEREIN THE TRIBUNAL HAVE RESTR ICTED THE ADDITION TO THE EXTENT OF 10%. IT WAS THE REQUEST OF THE LD AR THAT THE FACTS AND CIRCUMSTANCES DURING THE YEAR UNDER CONSIDERATION A RE SAME AS WAS DECIDED BY THE TRIBUNAL IN A.Y. 2010-11. HOWEVER, I N THIS CASE, THE ASSESSEE HAS NOT FILED ANY APPEAL AGAINST THE ORDER OF THE LD. CIT(A) RESTRICTING ADDITION TO THE EXTENT OF 12.5%, ACCORD INGLY, I CANNOT GIVE ANY FURTHER RELIEF BY REDUCING THE G.P. BELOW 12.5% . ACCORDINGLY, I UPHOLD THE ORDER PASSED BY THE LD. CIT(A). 4. IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSE D. ORDER PRONOUNCED IN THE OPEN COURT ON 04 TH FEBRUARY, 2020. SD/- (R.C.SHARMA) ACCOUNTANT MEMBER MUMBAI; DATED 04/02/2020 *RANJAN COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT. 3. THE CIT(A), MUMBAI. ITA NO. 527/MUM/2019 ITO VS SHRI MUBARAK HUSSAIN SHAIKH 3 BY ORDER, (ASSTT. REGISTRAR) ITAT, MUMBAI 4. CIT 5. DR, ITAT, MUMBAI 6. GUARD FILE. //TRUE COPY//