ITO, New Delhi V. Neeru Kumar Gupta, Delhi

ITA 5394/DEL/2011

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 74057 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 1 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-01-2014
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Next Hearing Date: 06-01-2014
• Assessment Year: 2004-2005
• Appeal Filed On: 02-12-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: N K GUPTA
• Keywords: Additional evidence
• Section: 148

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH E: NEW DELHI) BEFORE SHRI J. S. REDDY, ACCOUNTANT MEMBER AND SHRI A. T. VARKEY, JUDICIAL MEMBER ITA NO.5394/DEL/ 2011 (ASSESSMENT YEAR :2004-05) ITO VS. NEERU KUMAR GUPTA WARD-37 (3), ROOM NO.403 G-2/78, SECTOR-16 N-BLOCK, VIKASH BHAWAN ROHINI NEW DELHI. DELHI. PAN:AEBPG0970J (APPELLANT) (RESPONDENT) CROSS OBJECTION NO. 229/DEL/ 2012 IN ITA NO. 5394/DEL/2011 (ASSESSMENT YEAR:2004-05) NEERU HUMAR GUPTA VS. ITO G-2/78, SECTOR-16 WARD-37 (3), ROOM NO. 403 ROHINI N-BLOCK, VIKASH BHAWAN DELHI NEW DELHI. PAN:AEBPG0970J (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI N. K. GUPTA, ADV. REVENUE BY : SHRI KEYUR PATEL, SR. DR. ORDER PER J. S. REDDY, AM: THIS IS AN APPEAL FILED BY THE REVENUE DIRECTED AG AINST THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS)-XXVIII, NEW DE LHI VIDE DATED 12.09.2011 FOR THE ASSESSMENT YEAR 2004-05. ON THE FOLLOWING GROUNDS: CO-229/DEL/2012 & ITA NO.5394/DEL/2011 2 ON THE FACTS AND CIRCUMSTANCES OF THE CASE, 1. THE LD. CIT (A) HAS ERRED IN DELETING THE ADDITI ON OF RS.25,14,500/- MADE BY THE ASSESSING OFFICER U/S.68 OF IT ACT AS INCOME FROM UNDISCLOSED SOURCE DESPITE THE FACT THAT THE ASSESSEE FAILED TO PRODUCE ANY DOCUMENTARY EVIDENCE TO PROVE THE SOURCE OF CASH DEPOSITS IN THE BANK ACCOUNT. 2. THE APPELLANT CRAVES TO ADD, AMEND OR MODIFY THE GROUNDS OF APPEAL AT ANY TIME. 3. WE HAVE HEARD MR. N. K. GUPTA, LD. COUNSEL FOR T HE ASSESSEE AND MR. KEYUR PATEL LD. SR. DEPARTMENTAL REPRESENTATIVE ON BEHALF OF THE REVENUE. THIS IS A CASE WHERE PERETEDLY PASSED AN ORDER U/S 147/ 148 OF THE ACT. THE ASSESSEE DECLARING AN INCOME OF RS.1,36,480/-. THE ASSESSING OFFICER ADDED AN AMOUNT OF RS.25,14,500/- U/S 62 OF THE ACT BEING CASH DEPOSITS. ON APPEAL THE FIRST APPELLATE AUTHORITY AFTER ADMITTIN G ADDITIONAL EVIDENCE DELETED THE ADDITION MADE. 4. AGGRIEVED THE REVENUE IS IN APPEAL, WE HAVE HEAR D MR. N. K. GUPTA. THE ASSESSEE IS A PRACTICING LAWYER, IS CASES THAT HE ENTERED INTO AN AGREEMENT WITH HIS CLIENT M/S JINDAL BROS. ON 01.08 .2003 FOR DOING A JOB FOR THEM IN NCR REASON. THE ASSESSEE WAS ASSIGNED THE W ORK OF COORDINATION AND COLLECTION OF PAYMENT AGAINST DELIVERY OF GR AN D INVOICES, WHICH WERE DRAWN DIRECTLY IN FAVOUR OF THE RETAILER. THE JOB O F THE APPELLANT WAS TO DELIVER THE TRANSPORT GOODS RECEIPTS AND INVOICES T O THE RETAILERS THROUGH SELLING AND COLLECTING AGENTS AGAINST CASH PAYMENT. THE ASSESSEE GOT 2% OF CO-229/DEL/2012 & ITA NO.5394/DEL/2011 3 THE TOTAL TURN OVER AND HAD ALSO INCURRED CERTAIN E XPENSES TOWARD SALARY, TELEPHONE, CONVENIENCE ETC. 5. DURING THE YEAR THE ASSESSEE COLLECTED A SUM OF RS.25,92,000/- IN CASH AND A SUM OF RS.7,701.40 THROUGH CHEQUES ON BEHALF OF M/S JINDAL BROS, DEPOSIT THE SAME IN HIS BANK ACCOUNT AND THEREAFTER REMITTED THE MONEY TO M/S JINDAL BROS. THE ASSESSING OFFICER ADDED THE TO TAL DEPOSITS IN THE BANK ACCOUNT. 6. THE LD. CIT (A) CONSIDERED THE FOLLOWING DOCUMEN TS: (A) AGREEMENT DATED 01.08.2008 BETWEEN THE ASSESSEE AND M/S JINDA L BROS. (B) COPY OF ACCOUNT OF THE ASSESSEE IN THE BOOKS OF M/S JINDAL BROS. (C) CONTRACTOR CONFIRMATION COPY OF M/S JINDAL BROS. (D) MONTH WIS E FUND FLOW STATEMENT. (E) CONSOLIDATED INVOICES WISE DETAILS ETC. AND DEL ETED THE ADDITION. 7. THE REVENUE HAS NOT CHALLENGED THE ADMISSION OF ADDITIONAL EVIDENCE UNDER THE CIRCUMSTANCES. THE LD. DEPARTMENTAL REPRE SENTATIVE COULD NOT CONTROVERT THE FACTUAL FINDINGS OF THE FIRST APPELL ATE AUTHORITY. IN VIEW OF THE EVIDENCE ON RECORD, WE SEE NO REASON TO INTERFERE I N THE ORDER OF THE FIRST APPELLATE AUTHORITY. IN THE RESULT, WE UPHOLD THE S AME AND DISMISS THE APPEAL OF THE REVENUE. CO-229/DEL/2012 & ITA NO.5394/DEL/2011 4 8. COMING TO THE CROSS OBJECTION, THE ASSESSEE DISP UTES THE REOPENING OF THE CASE. IN VIEW OF OUR DECISION ON MERITS, WE DO NOT ADJUDICATE THE ISSUE OF REOPENING AS IT WOULD BE AN ACADEMIC EXERCISE. ORDER PRONOUNCED IN THE OPEN COURT ON24 .01.2014 AF TER CONCLUSION OF THE HEARING. SD/- SD/- (A. T. VARKEY) (J. S. REDDY) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED THE 24 TH DAY OF JANUARY, 2014 S.SINHA COPY FORWARDED TO 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT (A) 5. CIT(ITAT), NEW DELHI. AR,ITAT NEW DELHI.