ACIT, Circle-1, Warangal V. Sri K. Balanarasimha Reddy, Warangal

ITA 551/HYD/2011

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 59093 (ITAT-HYDERABAD)
• Duration Of Justice: 9 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-01-2012
• Appeal Filed By: Department
• Order Result: Partly Allowed
• Bench Allotted: B
• Assessment Year: 2003-2004
• Appeal Filed On: 01-04-2011
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: K MYTHILI RANI
• Assessee Lawyers: G MANIKYA PRASAD
• Keywords: Gross profit estimation; Additional evidence; Corroborative evidences
• Section: 143(3); 263

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD B BENCH, HYDERABAD BEFORE SHRI CHANDRA POOJARI, A.M. & SMT. ASHA VIJAYARAGHAVAN, J.M. ITA NO.551/HYD/2011 ASSESSMENT YEAR 2003-04 THE JCIT, WARANGAL VS SHRI BALANARASIMHA REDDY, WARANGAL (ADOPK 6275 C) APPELLANT RESPONDENT APPELLANT BY : SMT. K. MYTHILI RANI RESPONDENT BY : SHRI G. MANIKYA PRASAD DATE OF HEARING : 19.10.2011 DATE OF PRONOUNCEMENT : ORDER PER ASHA VIJAYARAGHAVAN, JM: THIS APPEAL PREFERRED BY THE REVENUE IS DIRECTED A GAINST THE ORDER PASSED BY THE CIT(A) VI, HYDERABAD DATED 30.11.201 0 AND IT PERTAINS TO THE ASSESSMENT YEAR 2003-04. 2. THE FIRST GROUND OF APPEAL IN THE ASSESSEES AP PEAL IS AGAINST THE LEARNED CIT(A) ERRED IN DELETING THE ADDITION ON SA LES TAX DEBITED AT RS 95,273/- ON THIS POINT THE ASSESSEE COULD NOT PRODU CE ANY DOCUMENTARY EVIDENCE DURING THE COURSE OF ASSESSMENT PROCEEDING S. 3. THE FIRST OBJECTION RAISED IS IN RESPECT OF THE SALES TAX OF RS. 95,273/- THE COMMISSIONER OF INCOME TAX VIDE DIRECTIONS UNDE R 263, HAD DIRECTED THE AO TO DISALLOW THE CLAIM MADE, IN THE ABSENCE O F ANY EVIDENCE REGARDING RECOVERY OF THE SAME BY THE DEPARTMENT THE APPELLA NT IN RESPECT OF THE ADDITION HAD STATED THAT THE CLAIM OF SALES TAX IS AS PER RECOVERY IN BILLS AND THE ALLEGED DIFFERENCE IN THE BILLS IS NOT ESTABLIS HED BY THE AO AND EVEN AFTER ITA NO.551/HYD/2011 SHRI K. BALANARASIMA REDDY, WARANGAL 2 THE REPEATED REQUESTS THE AO HAD NOT CONSIDERED THE SAME AND PRAYED FOR DELETION OF THE SAME, THE CIT(A) DIRECTED THE ASSES SING OFFICER TO GO THROUGH THE SUPPORTING EVIDENCES SUBMITTED BY THE APPELLANT AND ALLOW THE CLAIM IF THE SAME IS FOUND GENUINE. 4. WE FIND THAT THE DIRECTIONS OF THE CIT(A) CANNO T BE FAULTED. THE AO CAN CONSIDER THE EVIDENCES FILED BY THE ASSESSEE AND AL LOW IN ACCORDANCE WITH THE LAW. THE APPEAL OF THE REVENUE ON THIS ISSUE IS DISMISSED. THE NEXT GROUND OF REVENUE IS AGAINST THE ORDER OF THE CIT(A) IN DELETING THE ADDITION ON OUTSTANDING LIABILITIES AT RS 134,4 4,265/- 5. THE NEXT ADDITION IS IN RESPECT OF OUTSTANDING LIABILITIES OF RS 1,34,44,265/- IN HIS ORDER U/S 263 THE CIT HAD DIR ECTED THE ASSESSING OFFICER AS UNDER: DURING THE ASSESSMENT PROCEEDINGS THE AO HAD CALLE D UPON THE ASSESSEE TO SUBMIT PARTICULARS OF OUTSTANDING LIABI LITIES. IN THE CORRESPONDING REPLY, THE ASSESSEE WHILE AVERRING TH AT THE LIST WAS BEING ENCLOSED, HAD ACTUALLY OMITTED TO ENCLOSE THE LIST. THE ASSESSMENT HAD BEEN COMPLETED IN DISREGARD OF SUCH OMISSION ON TH E PART OF THE ASSESSEE. WHEN THE AO HAD SPECIFICALLY RAISED THE ISSUE OF OUTSTANDING LIABILITIES HIS INTENTION OF THE ASSESS MENT WITHOUT ENFORCING THE SUBMISSION OF SUCH LIST IS A CLEAR INDICATION O F ABSENCE OF APPLICATION OF MIND ON HIS PART. THIS HAS CERTAINLY RENDERED TH E ASSESSMENT NOT ONLY ERRONEOUS BUT ALSO PREJUDICIAL TO THE INTEREST OF THE REVENUE. DURING THE PRESENT PROCEEDING THE ASSESSEE HAS SUBM ITTED THE LIST OF SUCH OUTSTANDING LIABILITIES. IT CONSISTS MOSTLY OF OUTSTANDING LABOUR PAYMENTS TO VARIOUS MESTRIES. IN VIEW OF THIS THE M ATTER NEEDS TO BE EXAMINED IN DEPTH. THE AO IS DIRECTED TO ENQUIRE IN TO THIS SUBSTANTIAL CLAIM OF OUTSTANDING LIABILITIES IN THE NAME OF MES TRY WAGES. 6. THE AO IN THE ASSESSMENT ORDER U/S 143(3) R.W .S.263 HAD STATED THAT THE BEFORE COMPLETING THE ASSESSMENT U/S 143(3) ON 24.1.2006. ITA NO.551/HYD/2011 SHRI K. BALANARASIMA REDDY, WARANGAL 3 THE ASSESSEE WAS REQUESTED TO FURNISH THE LIST OF O UTSTANDING LIABILITIES THROUGH THIS OFFICE LETTER DATED 22.9.2005. THE AS SESSEE HAS FAILED TO FURNISH THE LIST BEFORE COMPLETION OF ASSESSMENT ON 24.1.2006. MY PREDECESSOR IN THIS OFFICE LETTER DATED 22.4.2008 R EQUESTED THE ASSESSEE TO FURNISH COMPLETE DETAILS OF OUTSTANDING LIABILI TIES. SIMILAR INFORMATION WAS ALSO CALLED FOR IN MY PREDECESSORS LETTER DATE D 28.7.2008. THE ASSESSEE THROUGH HIS LETTER DATED 9.7.2008 FURNISHE D THE LIST OF OUTSTANDING LIABILITIES OF OVER RS 1 LAKH. SUCH LIS T CONTAINS 35 NAMES WITH POSTAL ADDRESSES. THE ITI HAS BEEN DEPUTED TO CONTACT SOME PERSONS. T HE ITI CAUSED ENQUIRIES ON 16.12.2008 AND 17.12.2008 AND SUBMITTE D HIS REPORT ON 18.12.2008. HE TRIES TO CONTACT THE FOLLOWING PERS ONS AT THEIR VILLAGES: 1. VITTAL RAO 2. SRISAILAM 3. BUTCHAIAH 4. RAMULU 5. SOMAIAH 6. SOMAIAH 7. SADANAND SINGH 8. DEVENDER SINCE HIS ENQUIRIES ABOUT THE WHEREABOUTS OF THE AB OVE PERSONS COULD NOT YIELD FRUITFUL RESULTS HE APPROACHED THE VILLAG E REVENUE OFFICIAL WHO CONFIRMED THAT THERE WERE NO SUCH PERSONS AT THAT P ARTICULAR VILLAGE. HAVING FAILED TO CONTACT THE ABOVE PERSONS THE ASSE SSEE WAS REQUESTED TO PRODUCE THE ABOVE FOR MY EXAMINATION. SINCE THE ASSESSEE EXPRESSED HIS INABILITY TO PROVE THE LIABILITIES TH E CLAIM IS DISALLOWED AND ADDED RS. 1,34,44,265/-. ITA NO.551/HYD/2011 SHRI K. BALANARASIMA REDDY, WARANGAL 4 7. DURING THE COURSE OF APPELLATE PROCEEDINGS THE AR O F THE APPELLANT SUBMITTED THAT THE OUTSTANDING LIABILITIES ARE NOTH ING BUT AMOUNTS DUE FOR WORK GOT DONE OR MATERIAL SUPPLIES OR VEHICLES AND MACHINERY HIRES. THAT THE AO HAD NOT DISPUTED THE NATURE OF EXPENDITURE T HE QUANTUM OF EXPENDITURE. HE HAD NOT EXPRESSED IOTA OF DOUBT OF THE EXPENDITURE INCURRED BY THE APPELLANT. THAT THE BOOKS OF ACCOUNTS PRODU CED HAVE BEEN EXAMINED AND ACCEPTED BY THE DEPARTMENT AND NOT A SINGLE ADV ERSE REMARK HAS BEEN MADE ON THE MAINTENANCE OF BOOKS OF ACCOUNTS. THE APPELLANT SUBMITTED THAT ONCE THE EXPENDITURE IS ACCEPTED AS GENUINE AN D REASONABLE BY THE DEPARTMENT THE NECESSARY COLLORY THAT FOLLOWS IN TH AT THE OUTSTANDING LIABILITIES WHICH ARE PAYMENTS DUE AS ON 31.3.2003 ARE TO BE ALLOWED DOUBT. FROM THE DETAILS OF OUTSTANDING LIABILITIES FILED B EFORE THE AO AND SUBMITTED IN THE PAPER BOOK NOW CAN BE SEEN THAT THE TOTAL EX PENDITURE IS RS 3,77,92,529/- AND OUTSTANDING IS RS 1,34,44,265/- A ND THE PAYMENTS ARE TO BE EXTENT OF RS 2,66,76,689/- INCLUDING THE OPENING BALANCE. THE OUTSTANDING LIABILITIES ARE CLEARED IN THE SUBSEQUE NT YEAR. IT WAS SUBMITTED THAT THE FULL DETAILS OF PAYMENTS MADE IN THE SUBSE QUENT YEAR WERE FILED BEFORE THE AO ALONG WITH LEDGER EXTRACTS WHICH ARE NOT REJECTED OR REBUTTED BY THE AO. AS THE SUBMISSIONS MADE IN RESPECT OF R EPAYMENTS WERE TO BE VERIFIED THE MATTER WAS REMANDED TO THE ASSESSING O FFICER VIDE CIT(A)S LETTER DATED 20.10.2009 CALLING FOR REPORT ON THE SAME. T HE ASSESSING OFFICER VIDE HIS REPORT DATED 3.5.2010 SUBMITTED THAT THE PAPER BOOK PAGES 1 TO 23 WERE ALREADY FILED BY THE ASSESSEE ARE DULY CONSIDERED D URING THE ASSESSMENT PROCEEDINGS, OUTSTANDING LIABILITIES MENTIONED AT P AGES 27 TO 33 ARE VERIFIED WITH REFERENCE TO THE BOOKS PRODUCED AND FOUND CORR ECT. BOOKS OF ACCOUNTS PRODUCED FOR AYS 2003-04 AND 2004-05 HAVE BEEN EXAM INED, OUTSTANDING LIABILITIES SHOWN AS ON 31,3,2003 WERE ALREADY CLEA RED DURING FY 2003-04 . THE OUTSTANDING LIABILITIES STATEMENT FILED SHOWED THE TOTAL WORK DONE OR MATERIAL SUPPLIED AND PAYMENTS MADE AGAINST SUCH LI ABILITY AND THE BALANCE OUTSTANDING REPRESENT AMOUNT DUE FOR THE WORK DONE OR MATERIAL SUPPLIED AS ON 31.3.2003. ON VERIFICATION OF THE BOOKS ETC., T HE STATEMENT IS FOUND ITA NO.551/HYD/2011 SHRI K. BALANARASIMA REDDY, WARANGAL 5 CORRECT. THE APPELLANT HAD FILED COMPARATIVE STAT EMENT OF OUTSTANDING LIABILITIES FOR THE AYS 1999-2000 TO 2004-05 AND TH EY ARE FOUND CORRECT WITH REFERENCE TO THE RETURNS FILED. 8. ON THE BASIS OF THE ABOVE THE CIT(A) ALLOWED TH E CLAIM OF THE ASSESSEE OBSERVING AS UNDER: CONSIDERING THE ABOVE REMAND REPORT OF THE ASSES SING OFFICER AS THE OUTSTANDING LIABILITIES ARE EXPRESSED AS GENUINE BY THE ASSESSING OFFICER AFTER VERIFICATION OF THE EVIDENCES FILED BY THE AP PELLANT, THE ADDITION MADE ON THIS COUNT OF RS.1,34,44,265/- IS HEREBY DELETED . 9. AGGRIEVED THE REVENUE IS ON APPEAL. ON THE BASI S OF THE REMAND REPORT OF THE AO IT WOULD BE APPARENT THAT THE EXPENDITURE INCURRED WERE FOR THE BUSINESS OF THE APPELLANT. NO PART OF THE EXPENDITU RE HAS BEEN QUESTIONED OR DOUBTED THAT IT WAS FOR THE PURPOSE OF ASSESSEES B USINESS. THERE IS ALSO NO AVERMENT THAT THE PAYMENT FOR THE SERVICES WERE UNR EASONABLE. THE LIABILITIES FOR THESE SERVICES WERE SETTLED. ONLY T HE PERSONS TO WHOM THE PAYMENT S WERE MADE COULD NOT BE VERIFIED. HOWEVER AS THE ASSESSEE SUBMITTED AS LONG AS THE SERVICES RENDERED OR GOODS PURCHASED IN RESPECT OF THESE EXPENDITURE ARE NOT DOUBTED TO BE FOR THE PUR POSE OF THE BUSINESS, THE EXPENSES CANNOT BE DISALLOWED MERELY BECAUSE THE PE RSONS TO WHOM THE AMOUNTS WERE PAID WERE NOT TRACEABLE. WE THEREFORE AGREE WITH THE CIT(A) IN DELETING THE ADDITION OF. RS.1,34,44,265/- AND DISM ISS THE APPEAL OF THE REVENUE ON THIS ISSUE. 10. THE NEXT ISSUE IS AGAINST THE ORDER OF THE CIT (A) IN DELETING THE ADDITION ON ACCOUNT OF MACHINERY HIRE CHARGES AT RS 82,51,972/-. 11. THE NEXT ADDITION IS IN RESPECT OF MACHINERY H IRE CHARGES. THE AO IN THE ASSESSMENT ORDER STATED THAT TO EXAMINE THE GEN UINENESS OF THE CLAIM ITI HAD BEEN DEPUTED TO CONTACT SOME PERSONS OF SOM E VILLAGES. THE ITI REPORTED THAT SOME OF THE PERSONS TO WHOM MACHINERY HIRES ARE CLAIMED TO HAVE BEEN PAID ARE NOT ALL AVAILABLE IN THE RESPECT IVE VILLAGES, HENCE THE ITA NO.551/HYD/2011 SHRI K. BALANARASIMA REDDY, WARANGAL 6 ASSESSEES CLAIM OF RS 82,51,972/- WAS DISALLOWED. DURING THE COURSE OF APPELLATE PROCEEDINGS THE AR OF THE APPELLANT SUBMI TTED THAT THE ASSESSING OFFICER HAD FAILED TO APPRECIATE THE NATURE OF EXPE NSES THE GENUINENESS OF THE EXPENDITURE AND THE NECESSITY OF THE APPELLANT TO I NCUR SUCH EXPENDITURE. IT WAS SUBMITTED THAT THE AO HAVING NO OBJECTION TO TH E GENUINENESS OF EXPENDITURE AND THE PAYMENTS MADE CANNOT SIMPLY DI SALLOW THE SAME ON THE GROUND THAT THE PERSONS ARE NOT PRODUCED. THE APPELLANT HAD FURTHER SUBMITTED THAT THE SALES TAX AUTHORITIES HAVE ACCEP TED THE EXPENDITURE AND TURN OVER ON MATERIAL AND LABOUR IN THE CASE OF OUT STANDING FOR MATERIAL SUPPLIED AS CAN BE SEEN FROM THE SAME DETAILS FILED THE MOSTLY RELATES TO SUPPLY OF GRAVEL SAND, METAL, WHICH HAD BEEN ACCEP TED BY THE SALES TAX DEPARTMENT THE APPELLANT ALSO PAID THE TAX @ 8% ON THE SAID MATERIALS PURCHASED. IN VIEW OF THE SUBMISSIONS MADE THE APP ELLANT PRAYED FOR DELETION OF THE ADDITION. IT WAS FURTHER SUBMITTED THAT IN THE OUTSTANDING LIABILITIES DISALLOWED AN AMOUNT OF RS. 8,44,070 RE PRESENTS MACHINERY HIRES OUTSTANDING, THIS TANTAMOUNT TO DOUBLE ADDITIONS AS THE AO HAD TOTALLY DISALLOWED THE MACHINERY HIRES. AS THE SUBMISSIONS ARE IN THE NATURE OF ADDITIONAL EVIDENCE I.E. SALES TAX ORDER THE SAME W ERE FORWARDED TO THE AO FOR VERIFICATION AND SUBMISSION OF REMAND REPORT. THE ASSESSING OFFICER VIDE FURTHER REMAND REPORT DATED 8.11.2010 HAD SUBMITTED THAT THE APPELLANT HAD DEBITED MACHINERY CHARGES OF RS.82,51,972/- THE BREAK UP IS AS UNDER: ACTUALLY PAID RS 74,07,902 OUTSTANDING RS 8,44,070 RS. 82,51,972 12. THE AO STATED THAT OUT OF THE AMOUNT ACTUALLY PAID A SUM OF RS 23,30,000 WAS PAID THROUGH CHEQUES. THE OUTSTANDIN G AMOUNT OF RS.8,44,070 HAD BEEN PAID DURING THE FY 2003-04 AND FOUND CORRECT W.R.T. VOUCHERS AND BOOKS. FOR THE AMOUNTS ACTUALLY PAID A LSO THE VOUCHERS PRODUCED HAVE BEEN CHECKED AT RANDOM AND FOUND CORR ECT. THE AO FURTHER ITA NO.551/HYD/2011 SHRI K. BALANARASIMA REDDY, WARANGAL 7 STATED THAT THE APPELLANT HAD PRODUCED SALES TAX AS SESSMENT ORDER AND ACCORDING TO WHICH THE APPELLANT HAD PAID MACHINERY HIRE CHARGES OF RS 82,51,970/- AND THE SALES TAX AUTHORITIES AFTER EXA MINATION, ALLOWED THE SAID EXPENDITURE AS EXEMPTED TURNOVER. UNDER THE CI RCUMSTANCES AS ONE GOVERNMENT DEPARTMENT HAD ALREADY CAUSED ENQUIRIES AND WAS SATISFIED WITH RESPECT TO THE EXPENDITURE INVOLVED, AND ALSO AS CE RTIFIED BY THE ASSESSING OFFICER THAT THE SAME IS CORRECT, THIS DISALLOWANCE OF RS. 82,51,070/- IS ALLOWED. 13. WE FIND THAT THE SALES TAX AUTHORITIES AFTER E XAMINATION OF MACHINERY HIRE CHARGES ALLOWED THE EXPENDITURE AS EXEMPTED TU RNOVER SINCE THE GENUINENESS OF THE EXPENDITURE HAS BEEN PROVED, PA YMENTS CANNOT BE DISALLOWED MERELY BECAUSE THE PERSONS TO WHOM IT WA S PAID WERE NOT PRODUCED. WE FIND NO INFIRMITY IN THE ORDER OF THE CIT(A) AND DISMISS THIS GROUND RAISED BY THE REVENUE. 14. THE NEXT ISSUE IS AGAINST CIT(A) ADOPTING A MI NIMUM OF 5% NET PROFIT. THE CIT-VI HAD OBSERVED AS UNDER IN THE PROCEEDINGS U/S 263. IT IS SEEN THAT THE TOTAL GROSS RECEIPTS REFLECTE D IN THE PROFIT AND LOSS ACCOUNT OF ORDER OF RS 8,24,43,152/- AND THE NET PR OFIT SHOWN IS RS 26,03,781/- WHICH WORKS OUT TO 3.15%. EVAN A MINIM UM OF 5% WOULD WORK OUT TO NET PROFIT OF AROUND RS 42,22,000/- IN OTHER WORDS, THE PROFIT SHOWN IS ABNORMALLY LOW AND THE ASSESSING OF FICER OUGHT TO HAVE EXAMINED THIS MATTER IN DEPTH. BUT HE SIMPLY COMPL ETED THE ASSESSMENT BY MAKING A ROUND SUM ADDITION OF RS.3,5 0,000/-. 15. IN RESPECT OF THE ABOVE OBSERVATIONS, THE ASSE SSING OFFICER IN THE NOTE NOT TO THE ASSESSEE OF THE ASSESSMENT ORDER HAD M ENTIONED AS UNDER: LOW GROSS PROFIT: ASSESSEES EXPLANATION IN HIS LE TTER DATED 24..12.2008 IS CONSIDERED. IF THE MAIN TWO ITEMS OF ADDITIONS ARE ITA NO.551/HYD/2011 SHRI K. BALANARASIMA REDDY, WARANGAL 8 UPHELD BY APPELLATE AUTHORITIES IN CASE OF APPEAL, THE NET PROFIT WILL BE 29.55. 16. TAKING THE ABOVE STAND, THE OBSERVATION OF THE CIT-VI, WAS NOT CONSIDERED AT THE TIME OF ASSESSMENT PROCEEDINGS. HOWEVER, AS THE TWO MAJOR ADDITIONS MENTIONED IN THE NOTE NOT TO THE AS SESSEE BEING THE DISALLOWANCE OF OUTSTANDING LIABILITIES OF RS. 1,34 ,44,265/- AND MACHINERY HIRE CHARGES OF RS 82,51,972/- HAVE BEEN ALLOWED IN FAVOUR OF THE APPELLANT, KEEPING IN VIEW THE REMAND REPORT OF THE ASSESSING OFFICER, CIT(A) FELT IT NECESSARY TO CONSIDER THE ESTIMATION OF INCOME @ 5% AS OBSERVED BY THE CIT-VI IN HIS PROCEEDINGS U/S 263. AS THIS LEADS TO ENHANCEMENT OF INCOME, THE APPELLANT WAS PROVIDED AN OPPORTUNITY. THE AR O F THE APPELLANT SHRI. MANIKYA PRASAD, WAS PRESENT ON 29.11.2010, HAD AGRE ED FOR THE ENHANCEMENT OF NET PROFIT FROM 3.15% TO 5% OF THE GROSS RECEIPTS, AS OBSERVED BY THE CIT-VI. AN ORDER SHEET ENDORSEMENT DATED 29.11.2010 WAS TAKEN AND THE SAME WAS SIGNED BY THE AR OF THE APPE LLANT. THE CIT(A) THEREFORE DIRECTED THE ASSESSING OFFICER TO ESTIMAT E THE INCOME OF THE APPELLANT AT 5% OF THE GROSS RECEIPT CLEAR OF ALL D EDUCTIONS AND BRING THE SAME TO TAX. 17. AGGRIEVED THE REVENUE IS ON APPEAL. 18. WE HEARD BOTH THE PARTIES AND PERUSED THE MATE RIALS AVAILABLE ON RECORD. THE CIT(A) HAS MERELY TAKEN THE CONSENT O F THE ASSESSEE FOR DETERMINING THE PROFIT MARGIN AT 5%. THE CIT U/S 26 3 HAS POINTED THAT THE PROFIT SHOWN IS ABNORMALLY LOW AND THE ASSESSING OF FICER OUGHT TO HAVE EXAMINED THE MATTER IN DEPTH. IN THE CIRCUMSTANCES AS WE HAVE BEEN CONSISTENTLY HOLDING IN CASE OF SOME OTHER ASSESSES IN CONSTRUCTION WORK THAT THE PROFITS HAVE TO BE ESTIMATED AT 8%. THERE FORE, ASSESSEES PROFIT SHOULD ALSO BE ASSESSED AT 8%. IN THE CIRCUMSTANCES , WE ALLOW THE REVENUES APPEAL ON THIS ISSUE AND FIX THE PROFIT MARGIN OF T HE ASSESSEE AT 8%. ITA NO.551/HYD/2011 SHRI K. BALANARASIMA REDDY, WARANGAL 9 19. IN THE RESULT, THE REVENUES APPEAL IS PARTLY ALLOWED. ORDER PRONOUNCED IN THE OPEN COUR T: 6 .1.2012 SD/- SD/- (CHANDRA POOJARI) ( (ASHA VIJAYA RAGHAVAN) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED THE 6 TH JANUARY, 2012 COPY FORWARDED TO: 1. THE JCIT, WARANGAL 2. SHRI K. BALANARASIMHA REDDY, 2-1-677, VIDYARANYAPUR I, HANAMKONDA, WARANGAL 3. THE CIT(A)-VI 4. THE CIT, HYDERABAD 5. THE DR, ITAT, HYDERABAD NP/