ITO,Ward-37(3), Kolkata, Kolkata V. M/s Chandana Creation, Howrah

ITA 537/KOL/2012

• Counselvise Citation: 53723514 RSA 2012
• Duration Of Justice: 1 year(s) 7 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-11-2013
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2006-2007
• Appeal Filed On: 09-04-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P K CHAKRABORTY
• Assessee Lawyers: SANJAY JAIN

Judgement Text

I.T.A. NO.: 537/KOL./2012 ASSESSMENT YEAR : 2006-07 PAGE 1 OF 3 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA A BENCH, KOLKATA CORAM : SHRI R.S. SYAL, (ACCOUNTANT MEMBER) AND SH. GEORGE MATHAN (JUDICIAL MEMBER) I.T.A. NO.: 537/KOL./ 2012 ASSESSMENT YEAR : 2006-2007 INCOME TAX OFFICER, .............................. .........APPELLANT WARD-37(3), KOLKATA, 18, RABINDRA SARANI, 8 TH FLOOR, PODDAR COURT, KOLKATA-700 001 -VS.- M/S. CHANDANA CREATION,......,..................... ................RESPONDENT 66/1, ARVIND ROAD, SALKIA, HOWRAH-711 106 [PAN : AAEFC 5064 G] APPEARANCES BY: SHRI P.K. CHAKRABORTY SR. D.R., FOR THE DEPARTMENT SHRI SANJAY JAIN, A.R., FOR THE ASSESSEE DATE OF CONCLUDING THE HEARING : NOVEMBER 12, 2013 DATE OF PRONOUNCING THE ORDER : NOVEMBER 13, 2013 O R D E R PER R.S. SYAL : 1. THIS APPEAL BY THE REVENUE IS ARISING OUT OF THE ORDER PASSED BY LD. COMMISSIONER OF INCOME TAX (APPEALS)-XXIV, KOLKATA DATED 17 TH FEBRUARY, 2012 IN RELATION TO ASSESSMENT YEAR 2006- 07. 2. THE ONLY GROUND TAKEN IN THIS APPEAL IS AGAINST DELETION OF ADDITION OF RS.25,05,000/-. 3. FACTS APROPOS THIS GROUND ARE THAT ASSESSING OFF ICER OBSERVED FROM THE BALANCE-SHEET FILED BY THE ASSESSEE THAT THE BA NK ACCOUNT MAINTAINED I.T.A. NO.: 537/KOL./2012 ASSESSMENT YEAR : 2006-07 PAGE 1 OF 3 WITH HDFC BANK WAS NOT DISCLOSED. THE AMOUNT DEPOSI TED IN THE SAID BANK A/C. AMOUNTING TO RS.25,05,000/- WAS TREATED A S UNDISCLOSED INCOME OF ASSESSEE. THE CIT(APPEALS), ON REQUEST FR OM THE ASSESSEES SIDE, REMANDED THE MATTER TO ASSESSING OFFICER, WHO VIDE HIS REPORT DATED 18.01.2012 STATED THAT THE ASSESSEE DID MAINTAIN IT S BANK A/C. WITH HDFC BANK FOR THE BUSINESS PURPOSE AND CASH OF RS.29.65 LAKHS WAS DEPOSITED DURING THE FINANCIAL YEAR 2005-06. THE LD. CIT(A) D ELETED THE ADDITION ON THE BASIS OF SUCH REPORT. 4. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL AVAILABLE ON RECORD. IT IS NOTICED THAT THE ASSESSI NG OFFICER EXTRACTED THE FIGURES OF VARIOUS ASSETS FROM THE ASSESSEES BALAN CE-SHEET, WHICH ALSO INCLUDED A SUM OF RS.3,999/- (SIC RS.3990/-) TOWARD S `CASH AT BANK. THE CONTENTION OF ASSESSEE IS THAT THIS AMOUNT OF RS.3, 999/- CONTAINED BALANCE IN HDFC BANK AT THE END OF YEAR AMOUNTING T O RS.1,999/- AND BALANCE IN ICICI BANK AT RS.2,000/-. WE HAVE ALSO P ERUSED THE COPY OF THE ASSESSEES BALANCE-SHEET WHICH IS DULY AUDITED AND REFLECTS THE AMOUNT OF CASH AT BANK AT THE STATED FIGURE. THUS, IT IS CRYS TAL CLEAR THAT THE BALANCE IN HDFC BANK WAS PROMPTLY DISCLOSED BY ASSESSEE IN ITS BALANCE-SHEET BY CLUBBING IT WITH THE BALANCE OF ICICI BANK. IT IS O BVIOUS THAT WHEN A PARTICULAR ACCOUNT IS APPEARING IN THE BALANCE-SHEE T, IT IMPLIES THAT THE SAME EMANATED FROM THE LEDGER A/C. AND THUS THE TRA NSACTIONS OF THAT ACCOUNT ARE DULY RECORDED. THE POSITION BEFORE US I S SIMILAR. THE BALANCE IN THE HDFC BANK ACCOUNT WAS REFLECTED IN THE BALAN CE SHEET, ALBEIT BY CLUBBING IT WITH THE BALANCE IN THE OTHER BANK ACCO UNT. THE ASSESSING OFFICER HAS NOWHERE CONTROVERTED THIS FACT IN THE R EMAND REPORT. SINCE THE SAID BANK A/C. WITH HDFC WAS PROMPTLY DISCLOSED IN THE BOOKS OF ACCOUNTS, THERE IS NO LOGIC IN SUSTAINING ANY ADDIT ION ON THE GROUND THAT THE DEPOSITS MADE IN THIS BANK A/C. WERE UNDISCLOSE D. THE POSITION WOULD HAVE BEEN DIFFERENT, IF THE AO HAD MADE OUT A CASE THAT DESPITE THE HDFC ACCOUNT APPEARING IN THE BOOKS OF ACCOUNT, CERTAIN DEPOSITS WERE NOT RECORDED. IN THAT CASE, THE ADDITION TO THAT EXTENT WOULD HAVE BEEN I.T.A. NO.: 537/KOL./2012 ASSESSMENT YEAR : 2006-07 PAGE 1 OF 3 WARRANTED. AS IT IS NOT THE CASE OF THE AO, WE FIN D NO DIFFICULT IN UPHOLDING THE IMPUGNED ORDER ON THIS ISSUE. 5. IN THE RESULT, THE APPEAL FILED BY THE REVENUE S TANDS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 13 TH DAY OF NOVEMBER, 2013. SD/- SD/- GEORGE MATHAN R.S. SYAL (JUDICIAL MEMBER) (ACC OUNTANT MEMBER) KOLKATA, THE 13 TH DAY OF NOVEMBER, 2013 COPIES TO : (1) THE APPELLANT (2) THE RESPONDENT (3) CIT (4) CIT(A) (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ETC ASSISTANT REGISTRAR INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.