Manchukonda Vamsi Krishna, Visakhapatnam V. The Assistant Commissioner of Income Tax, Central Circle-1, Visakhapatnam

ITA 564/VIZ/2019

• Counselvise Citation: [2019] 112 COUNSELVISE.COM (IT) 8876 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 1 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-11-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2016-2017
• Appeal Filed On: 30-09-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: T.S.N. MURTHY
• Keywords: Application of stay
• Section: 250; 201; 69A; 64; 43; 22; 20

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH, VISAKHAPATNAM BEFORE SHRI V. DURGA RAO , HONBLE JUDICIAL MEMBER & SHRI D.S. SUNDER SINGH , HONBLE ACCOUNTANT MEMBER S.A.NO. 62 /VIZ/2019 AND ITA NO. 564 / VIZ /201 9 (ASST. YEAR : 20 1 6 - 1 7 ) MANCHUKONDA VAMSI KRISHNA, FLAT NO.104, B BLOCK, MAJESTIC TOWER, NEAR KALI MATHA TEMPLE, BEACH ROAD, VISAKHAPATNAM. V S . A CIT, CENTRAL CIRCLE - 1 , VISAKHAPATNAM. PAN NO. ADVPV 4882 H (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI G.V.N. HARI ADV OCATE . DEPARTMENT BY : SHRI T.S.N. MURTHY SR. DR SMT. SUMAN MALIK SR.DR DATE OF HEARING : 18 / 1 1 /201 9 . DATE OF PRONOUNCEMENT : 22 / 1 1 /201 9 . O R D E R PER V. DURGA RAO , JUDICIAL MEMBER BY FILING THIS STAY APPLICATION, ASSESSEE SEEKS STAY ON THE OUTSTANDING DEMAND OF RS. 11,34,536/ - . TH E ASSESSEE ALSO FILED THIS APPEAL AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS) - 3 , VISAKHAPATNAM , DATED 1 4 /0 7 /201 9 FOR THE A . Y . 201 6 - 1 7 . 2 ITA NO. 5 64 /VIZ/2019 S.A.NO. 62 /VIZ/2019 ( MANCHUKONDA VAMSI KRISHNA ) 2. GROUND NOS. 1 & 4 ARE GENERAL IN NATURE, NO ADJUDICATION IS REQUIRED, THEREFORE SAME ARE DISMISSED. GROUND NO. 3 IS CONSEQUENTIAL IN NATURE , NO SEPARATE ADJUDICATION IS REQUIRED, THEREFORE SAME IS DISMISSED . THE ONLY GROUND FOR ADJUDICATION BEFORE US IS GROUND NO.2, WHICH IS AS FOLLOWS: - 2. THE LD. CIT(A) IS NOT JUSTIFIED IN PARTLY SUSTAINING THE ADDITION OF RS. 39,14,378/ - MADE BY THE ASSESSING OFFICER TOWARDS ALLEGED UNDISCLOSED INVESTMENT IN GOLD ORNAMENTS AND SILVER ARTICLES. RS. 1 2, 09 , 5 43 / - 3 . IN THE ASSESSMENT ORDER, THE ASSESSING OFFICER HAS NOTED THAT DURING THE COURSE OF SURVEY, GOLD JEWELLERY WORTH RS. 39,14,378/ - WAS FOUND AND TREATED AS UNEXPLAINED MONEY U/SEC. 69A OF THE ACT AND ADDED BACK TO THE INCOME RETURNED. 4 . ON APPEAL , THE LD. CIT(A) CONFIRMED THE ORDER OF THE ASSESSING OFFICER . 5. AGGRIEVED BY THE ORDER OF THE LD. CIT(A), THE ASSESSEE IS IN APPEAL BEFORE THIS TRIBUNAL. 6 . BEFORE US, LD. COUNSEL FOR THE ASSESSEE HAS SUBMITTED THAT DURING THE COURSE OF SEARCH , 1489.250 GRAMS OF GOLD JEWELLERY WAS FOUND AND SUBMITTED THAT THE ASSESSEE FAMILY CONSISTING OF MOTHER, FATHER, WIFE, SON AND ONE DAUGHTER . ACCORDING TO THE 3 ITA NO. 5 64 /VIZ/2019 S.A.NO. 62 /VIZ/2019 ( MANCHUKONDA VAMSI KRISHNA ) ASSESSEE , WIFE & MOTHER SHOULD BE GIVEN 500 GRAMS EACH , FATHER SHOULD BE GIVEN 100 GRAMS, SON SHOULD BE GIVEN 100 GRAMS , DAUGHTER SHOULD BE GIVEN 250 GRAMS AND ASSESSEE SHOULD BE GIVEN 100 GRAMS , TOTALLING TO 1550 GRAMS. AS THE ASSESSEE IS NOT HAVING MORE THAN THE GOLD ORNAMENTS AS PROVIDED IN CBDT INSTRUCTION NO. 1916 , DATED 11.05.1994 , T HE ADDITION CANNOT BE SURVIVED . 7 . LD.DR STRONGLY SUPPORTED THE ORDERS OF THE AUTHORITIES BELOW. 8 . WE HAVE HEARD BOTH THE SIDES AND PERUSED THE MATERIAL AVAILABLE ON RECORD. WE FIND THA T AS PER CBDT INSTRUCTION NO. 1916 , DATED 11.05.1994 AND TAKING INTO CONSIDERATION OF THE STRENGTH OF THE FAMILY, WEIGHTAGE SHOULD BE GIVEN TO THE ASSESSEE . IN THIS CASE TOTAL JEWELLERY OF 1489.250 GRAMS WAS SEIZED AND WEIGHTAGE AS PER FAMILY MEMBERS COMES TO 1550 GRAMS . THEREFORE, ENTIRE ADDITION HAS TO BE DELETED, ACCORDINGLY DELETED. THUS, THIS APPEAL FILED BY THE ASSESSEE IS ALLOWED. 9 . SO FAR AS STAY APPLICATION FILED BY THE ASSESSEE IS CONCERNED, AS WE HAVE DISPOSED OF THE ASSESSEES APPEAL (SUPRA) , THE STAY APPLICATION FILED BY THE ASSESSEE HAS BECOME INFRUCTUOUS AND IS DISMISSED ACCORDINGLY. 4 ITA NO. 5 64 /VIZ/2019 S.A.NO. 62 /VIZ/2019 ( MANCHUKONDA VAMSI KRISHNA ) 1 0 . IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS PARTLY ALLOWED AND THE S.A. IS DISMISSED. ORDER PRONOUNCED IN OPEN COURT ON TH IS 2 2 N D DAY OF NOV . , 201 9 . S D / - S D / - (D.S. SUNDER SINGH) (V. DURGA RAO) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 2 2 N D NOVEMBER , 201 9 . VR/ - COPY TO: 1. THE ASSESSEE MANCHUKONDA VAMSI KRISHNA, FLAT NO.104, B BLOCK, MAJESTIC TOWER, NEAR KALI MATHA TEMPLE, BEACH ROAD, VISAKHAPATNAM. 2. THE REVENUE ACIT, CENTRAL CIRCLE - 1, VISAKHAPATNAM. 3. THE PR. CIT (CENTRAL), VISAKHAPATNAM. 4. THE CIT(A) - 3, VISAKHAPATNAM . 5. THE D.R . , VISAKHAPATNAM. 6. GUARD FILE. BY ORDER (VUKKEM RAMBABU) SR. PRIVATE SECRETARY, ITAT, VISAKHAPATNAM.