Somnath Bhar, Kolkata V. ITO, Wd.39(3), Kolkata, Kolkata

ITA 54/KOL/2014

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 92060 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 6 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-07-2015
• Appeal Filed By: Assessee
• Bench Allotted: A
• Assessment Year: 2006-2007
• Appeal Filed On: 13-01-2014
• Court: TRIBUNAL
• Department Lawyers: RANU BISWAS
• Assessee Lawyers: SOMNATH BHAR SELF
• Keywords: Opportunity of being heard
• Section: 133(6); 154

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, BENCH SMC KOLKATA [BEFORE HON BLE S HRI MAHAVIR SINGH, JM ] ITA NO . 54 /KOL/2014 ASSESSMENT YEAR : 2006 - 07 ( A PPELLANT ) (RESPONDENT) SOMNATH BHAR - VERSUS - I.T.O., WARD - 39(3 ) , KOLKATA KOLK ATA (PAN: AEBPB 9282 L) FOR THE APPELLANT: SHRI SOMNATH BHAR(ASSESSEE) SELF FOR THE RESPONDENT: S MT.RAN U BISWAS, JCIT DATE OF HEARING : 21 .07.2015 . DATE OF PRONOUNCEMENT : 21.07. 2015. ORDER THIS APPEAL OF ASSESSEE ARISES FROM T HE ORDER OF LD. CIT(A) - IV , KOLKATA IN APPEAL NO . 219/CIT(A) - IV / 2008 - 09 DATED 18.12. 2013 U/S 154 OF THE INCOME TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT ) FOR A.YR. 2006 - 07. 2. THE ONLY ISSUE TO BE DECIDED IN THIS APPEAL IS AS TO WHETHER THE LD. CIT(A) IS RIGHT IN CONFIRMING THE ADDITION MADE IN THE SUM OF RS.2,50,085/ - TOWARDS DIFFERENCE IN SUNDRY CREDITOR MADE BY THE LD. AO. 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE HAD SHOWN IN HIS BALANCE SHEET A SUM OF RS.19,589/ - AS SUNDRY CREDI TOR AMOUNT PAYABLE TO M/S.EASTERN TRADERS. DURING THE COURSE OF ASSESSMENT PROCEEDINGS, THE LD. AO ISSUED NOTICE U/S 133(6) TO M/S.EASTERN T RADERS TO CONFIRM THE BALANCE AND THE CONCERNED CREDITOR CONFIRMED AT RS.2,69,674/ - THEREBY LEADING TO A DIFFERENCE OF RS.2,50,085/ - . WHEN THIS WAS CONFRONTED BY THE LD. AO ON THE ASSESSEE , THE ASSESSEE SIMPLY STATED THAT IT WAS A MISTAKE COMMITTED BY HIS ACCOUNTANT. THE LD. AO ADDED THE SAME AS INCOME OF THE ASSESSEE WHICH WAS ALSO CONFIRMED BY THE LD. CIT(A) IGNORING THE FACT THAT THE SUNDRY CREDITOR HAS BEEN DULY DISCHARGED BY THE ASSESSEE IN THE SUBSEQUENT FINANCIAL YEAR RELEVANT TO A.Y.2007 - 08. AGGRIEVED BY THIS ORDER, THE ASSESSEE PREFERRED AN APPEAL BEFORE THIS TRIBUNAL ON THE FOLLOWING GROUND : - 1. IN THE FACT S AND CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) HAS GROSSLY ERRED IN CONFIRMING AN ADDITION OF RS.2,50,085/ - TO THE INCOME OF THE APPELLANT ON ACCOUNT OF DIFFERENCE IN THE ACCOUNT OF SUNDRY CREDITORS. ITA NO. 54/KOL/2014 SOMNATH BHAR A.YR. . 2006 - 07 2 4. SHRI SOMNATH BHAR, ASSESSEE , APPEARED BEFORE ME AN D SMT. RANU BISWAS, JCIT, LD. DR APPEARED ON BEHALF OF THE REVENUE. THE ASSESSEE PLEADED THAT THE SUNDRY CREDITOR HAD BEEN DULY PAID BY HIM IN THE SUBSEQUENT FINANCIAL YEAR, WHICH FACT CAN BE VERIFIED BY THE LD.AO, AND PRAYED FOR SETTING ASIDE TO THE FILE OF THE LD. AO IN THIS REGARD. 5. I N RESPONSE TO THIS, THE LD. DR VEHEMENTLY SUPPORTED THE ORDERS OF THE LOWER AUTHORITIES. 6. I HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIALS AVAILABLE ON RECORD. FROM THE FACTS AND CIRCUMSTANCES OF THIS CASE, I DEEM IT FIT AND APPROPRIATE, IN THE INTEREST OF JUSTICE AND FAIR PLAY, TO SET ASIDE THIS ISSUE TO THE FILE OF THE LD. AO WITH A DIRECTION TO VERIFY THE SUBSEQUENT DATE OF PAYMENTS OF SUNDRY CREDITOR BALANCE PAYABLE TO M/S. EASTERN TRADERS AND IF THE SAI D LIABILITY IS FULLY DISCHARGED NO ADDITION NEED S TO BE MADE IN THE HANDS OF THE ASSESSEE FOR A.Y.2006 - 07. NEEDLESS TO MENTION, THE ASSESSEE BE GIVEN A REASONABLE OPPORTUNITY OF BEING HEARD. 7 . IN THE RESULT THE APPEAL OF THE ASSESSEE IS ALLOWED FO R STATISTICAL PURPOSES. ORDER PRONOUNC ED IN TH E COURT . SD/ - [MAHAVIR SINGH] JUDICIAL MEMBER DATE: 21.07 .2015. R.G.(.P.S.) COPY OF THE ORDER FORWARDED TO : 1 . SOMNATH BHAR, 169, N.S.C.BOSE ROAD, SHERWOOD ESTATE, BL - B, FLAT - 3N, NARENDRAPUR, KOLKATA - 700 103. 2 I.T.O., WARD - 39(3 ), KOLKATA. 3 . THE CIT - XIII , KOLKATA 4. THE CIT(A) - IV, KOLKATA. 5 . DR, KOLKATA BENCHES, KOLKATA TRUE COPY , BY ORDER, DEPUTY /ASST. REGISTRAR , ITAT, KOLKATA BENCHES ITA NO. 54/KOL/2014 SOMNATH BHAR A.YR. . 2006 - 07 3