N. Vishnuvardhan Reddy, Hyd, Hyderabad V. ITO, W-9(3), Hyderabad

ITA 545/HYD/2011

• Counselvise Citation: [2011] 140 COUNSELVISE.COM (IT) 53709 (ITAT-HYDERABAD)
• Duration Of Justice: 6 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-10-2011
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: B
• Assessment Year: 2007-2008
• Appeal Filed On: 31-03-2011
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: VENKATESWARA RAO
• Assessee Lawyers: D SATYANARAYANA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH B', HYDERABAD BEFORE SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER AND SMT. ASHA VIJAYARAGHAVAN, JUDICIAL MEMBER I .T.A. NO. 545/HYD/2011 ASSESSMENT YEAR : 2007-08 SHRI N. VISHNUVARDHAN REDDY HYDERABAD PAN: ACRPN9074E VS. INCOME-TAX OFFICER WARD-9(3) HYDERABAD APPELLANT RESPONDENT APPELLANT BY: SHRI D. SATYANARAYANA RESPONDENT BY: SHRI VENKATESWARA RAO DATE OF HEARING: 19.10.2011 DATE OF PRONOUNCEMENT: 19.10.2011 O R D E R PER CHANDRA POOJARI, AM: THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF THE CIT(A), VIJAYAWADA DATED 31/01/2011 FOR THE ASSESSM ENT YEAR 2007-08. 2. THE GRIEVANCE OF THE ASSESSEE IN THIS APPEAL IS THAT THE CIT(A) ERRED IN CONFIRMING THE ADDITION MADE BY THE ASSESSING OF FICER ON ACCOUNT OF DEPOSITS IN BANK ACCOUNT THOUGH THE ASSESSING OFFIC ER HAS PASSED THE ASSESSMENT ORDER U/S. 144 OF THE INCOME-TAX ACT, 19 61 WITHOUT PROVIDING PROPER OPPORTUNITY TO THE ASSESSEE. 3. BRIEF FACTS OF THE ISSUE ARE THAT THERE WAS A DEPO SIT OF RS. 46 LAKHS IN THE BANK ACCOUNT OF THE ASSESSEE WITH ING VYSYA BANK. THE ADDITION WAS MADE BY THE LOWER AUTHORITIES AS THE A SSESSEE COULD NOT EXPLAIN THE SOURCE OF DEPOSIT IN HIS BANK ACCOUNT E FFECTIVELY BEFORE THE LOWER AUTHORITIES. 4. THE LEARNED AR CONTENDED BEFORE US THAT THE ASSESS EE HAD NOT GOT PROPER OPPORTUNITY TO EXPLAIN THE DEPOSITS BEFO RE THE LOWER AUTHORITIES AND PRAYED FOR A FRESH OPPORTUNITY. AL TERNATIVELY, HE SUBMITTED THAT AT THE WORST THE PEAK AMOUNT OF CASH DEPOSIT IN THE BANK ACCOUNT MAY BE CONSIDERED FOR ADDITION INSTEAD OF AGGREGATE OF THE CASH DEPOSITS. I.T.A. NO. 545/HYD/2011 SHRI N. VISHNUVARDHAN REDDY ====================== 2 5. THE LEARNED DR RELIED ON THE ORDERS OF THE LOWER AUTHORITIES. 6. WE HAVE HEARD BOTH THE PARTIES AND ALSO PERUSED THE MATERIAL AVAILABLE ON RECORD. ADMITTEDLY IN THIS CASE, ASS ESSMENT ORDER WAS PASSED U/S. 144 OF THE ACT. IT SEEMS THAT THE ASSESSEE WA S NOT GIVEN ADEQUATE OPPORTUNITY OF HEARING TO PROVE ITS CASE. IN THE I NTEREST OF JUSTICE, WE SET ASIDE THE ORDERS OF THE LOWER AUTHORITIES AND THE ENTIRE ISSUE IS REMITTED BACK TO THE FILE OF THE ASSESSING OFFICER FOR FRESH CONSIDERATI ON. NEEDLESS TO SAY, THE ASSESSING OFFICER SHALL GIVE ADEQUATE OPPORTUNITY T O THE ASSESSEE TO PUT FORTH HIS CASE. 7. IN THE RESULT, APPEAL OF THE ASSESSEE IS PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 19 TH OCTOBER, 2011. SD/ - (ASHA VIJAYARAGHAVAN) JUDICIAL MEMBER SD/ - (CHANDRA POOJARI) ACCOUNTANT MEMBER HYDERABAD, DATED THE 19 TH OCTOBER, 2011 TPRAO COPY FORWARDED TO: 1. SHRI N. VISHNUVARDHAN REDDY, C/O. SHRI S. RAMA R AO, ADVOCATE, FLAT NO. 102, DOOR NO. 3-6-643, SRIYA'S ELEGANCE, ST. NO. 9, HIMAYATHNAGAR, HYDERABAD-500 0 29. 2. THE INCOME-TAX OFFICER, WARD-9(3), HYDERABAD. 3. THE CIT(A), VIJAYAWADA 4. THE CIT-VI, HYDERABAD. 5. THE DR B BENCH, ITAT, HYDERABAD