ITO, Jaipur V. M/S JAIPUR HOUSE PVT. LIMITED, Jaipur

ITA 571/JPR/2012

• Counselvise Citation: [2013] 120 COUNSELVISE.COM (IT) 1580 (ITAT-JAIPUR)
• Duration Of Justice: 7 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-01-2013
• Appeal Filed By: Department
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2008-2009
• Appeal Filed On: 07-06-2012
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: D C SHARMA
• Keywords: Additional evidence

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL JAIPUR BENCH A JAIPUR (BEFORE SHRI B.R. MITTAL AND SHRI B.R. JAIN) ITA NO. 571/JP/2012 ASSESSMENT YEAR : 2008-09 PAN: AABCJ 3882 B THE ITO VS. M/S. JAIPUR HOUSE (P) LTD. WARD- 6 (2) K-21, SUNNY HOUSE, MALVIYA NAGAR JAIPUR C- SCHEME, JAIPUR (APPELLANT) (RESPONDENT) DEPARTMENT BY: SHRI D.C. SHARMA ASSESSEE BY : SHRI P.C. PARWAL ORDER PER B.R. MITTAL, JM:- THE DEPARTMENT HAS FILED THIS APPEAL FOR THE ASSES SMENT YEAR 2008-09 AGAINST THE ORDER OF THE LD. CIT(A)-II, JAIPUR DATED 16-03-2012 WHEREIN FOLLOWING GROUNDS HAVE BEEN RAISED. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E, THE LD. CIT(A)- II, JAIPUR HAS ERRED IN:- (I) RESTRICTING THE ADDITION OF RS. 52,51,355/- TO RS. 40,14,765/- MADE ON ACCOUNT OF DISALLOWANCE OF INTEREST U/S 24 (B)BY STATING THAT INVESTMENT FROM INTEREST FREE UNSECURED LOANS OF RS . 98 LACS WAS USED IN MAKING INVESTMENT IN SHARES OF M/S. ADHINATH BUILDC ON (P) LTD. WITHOUT APPRECIATING THAT INVESTMENT IN BUILDING AS ON 31-0 3-2006 WAS OF RS. 2.28 CRORES AND UNSECURED LOAN WAS ALSO OF RS. 2.28 CROR ES. THE REDUCTION IN AMOUNT OF UNSECURED LOAN AS ON 31-03-08 TO RS. 98 L ACS WAS ON ACCOUNT OF REPAYMENT OUT OF SECURED LOANS. (II) ADMITTING ADDITIONAL EVIDENCE WITHOUT GIVING O PPORTUNITY TO THE A.O AS REQUIRED U/S 46A IN RESPECT OF THE CLAI M THAT THE ASSESSEE MADE INVESTMENT IN SHARES OF M/S. ADINATH BUILDCON (P) L TD. OUT OF UNSECURED LOANS ON 21-04-06. 2 2.1 AT THE TIME OF HEARING, THE LD. AR SUBMITTED TH AT THE ASSESSEE ALSO FILED AN APPEAL AGAINST THE IMPUGNED ORDER OF THE LD. CIT(A) IN CON FIRMING THE DISALLOWANCE OUT OF INTEREST EXPENSES OF RS. 40,14,765/- BEING ITA NO. 488/JP/2012. HE SUBMITTED THAT THE ASSESSEE WAS NOT AWARE OF THE FILING OF THE CROSS A PPEAL BY THE DEPARTMENT. HE SUBMITTED THAT THE TRIBUNAL HEARD THE ASSESSEE'S APPEAL AND V IDE ORDER DATED 31-08-2012 RESTORED THE MATTER TO THE FILE OF THE A.O RELATING TO THE I NTEREST OF RS. 40,14,765/- CLAIMED BY THE ASSESSEE ON ACCOUNT OF EXPENDITURE RELATING TO PAY MENT OF INTEREST. 2.2 THE LD. DR SUBMITTED THAT HE WAS NOT AWARE OF T HE ABOVE FACT AND SUBMITTED THAT THE ISSUE IN APPEAL IS CONNECTED WITH THE ISSUE IN ASSESSEE'S APPEAL AND THE MATTER BE RESTORED TO THE A.O FOR HIS FRESH CONSIDERATION AS THE TRIBUNAL HAS ALREADY RESTORED THE PART OF THE INTEREST TO THE A.O FOR HIS FRESH CONSI DERATION. 2.3 THE LD. AR SUBMITTED THAT HE HAS NO OBJECTION T O RESTORE THE ISSUE TO THE FILE OF THE A.O. 2.4 IN VIEW OF THE ABOVE SUBMISSIONS OF LD REPRESEN TATIVES OF BOTH THE PARTIES AND FACTS OF THE CASE THAT PART OF THE DISALLOWANCE CON FIRMED BY THE LD. CIT(A) HAS ALREADY BEEN RESTORED TO THE FILE OF THE A.O FOR HIS FRESH CONSIDERATION IN THE APPEAL FILED BY THE ASSESSEE, WE CONSIDER IT PRUDENT TO RESTORE THE ISS UES IN THE APPEAL FILED BY THE DEPARTMENT TO THE A.O FOR HIS FRESH CONSIDERATION IN ACCORDANC E WITH LAW AFTER GIVING DUE OPPORTUNITY OF HEARING TO THE ASSESSEE. HENCE, THE GROUNDS OF A PPEAL TAKEN BY THE DEPARTMENT ARE ALLOWED FOR STATISTICAL PURPOSES. 3 3. IN THE RESULT, THE APPEAL OF THE DEPARTMENT IS A LLOWED FOR STATISTICAL PURPOSES. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 15-01 -2013. SD/- SD/- (B.R. JAIN) (B.R. MITTAL) ACCOUNTANT MEMBER JUDICIAL MEMBER JAIPUR DATED: 15 TH JAN 2013 *MISHRA COPY FORWARDED TO:- BY ORDER 1. THE ITO, WARD- 6 (2), JAIPUR 2. M/S. JAIPUR HOUSE (P) LTD. , JAIPUR 3.THE LD. CIT 4.THE LD. CIT(A) 5.THE LD. DR 6.THE GUARD FILE (IT NO.571/JP/12) A.R. ITAT: JA IPUR 4 5