SHRI ASHISH KACHOLA, Indore V. THE ITO 4(1), Indore

ITA 583/IND/2016

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 5773 (ITAT-INDORE)
• Duration Of Justice: 3 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-09-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2010-2011
• Appeal Filed On: 30-05-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MOHD JAVED
• Assessee Lawyers: SHRIRAM GILDA
• Keywords: Opportunity of being heard

Judgement Text

ASHISH KACHHOLA ITA NO. 583/IND/2016 1 IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE SHRI D.T. GARASIA, JM & SHRI O.P. MEENA, AM ITA NO. 583/IND/2016 A.Y. 2010-11 ASHISH KACHOLA INDORE PAN ANRPK 3857H ::: APPELLANT VS INCOME TAX OFFICER 4(1) INDORE ::: RESPONDENT APPELLANT BY SHRI SHRI RAM GILDA RESPONDENT BY SHRI MOHD.JAVED DATE OF HEARING 18.8.2016 DATE OF PRONOUNCEMENT 8 . 9 .2016 O R D E R THIS IS AN APPEAL PREFERRED BY THE ASSESSEE AGAINST THE ORDER OF THE LEARNED CIT(A)-II, INDORE, DATED 31.12. 2015. 2. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE HAS FILED THE RETURN OF INCOME ON 3.3.2011. ON EXAMINATIO N OF ASHISH KACHHOLA ITA NO. 583/IND/2016 2 DETAILS IT WAS FOUND THAT THE ASSESSEE MAINTAINED CREDITS IN BANK ACCOUNTS WITH STATE BANK OF INDORE AND AXIS BANK IN WHICH THE AMOUNTS OF RS.18,02,000/- AND RS.28,42,720/ -, RESPECTIVELY, WERE APPEARING BY WAY OF CASH. THE ASSESS EE WAS ASKED TO EXPLAIN THE SAME. THE ASSESSEE SUBMITTED THAT THIS CASH IS FROM THE ASSESSEES PARENTS, SHRI MADHUSUDAN KHACHOLA AND SMT. SHAKUNTALADEVI KACHOLA AND THE ASSESSING OFFICER WAS OF THE VIEW THAT HIS FATH ER AND OTHER HAD NO CAPACITY TO GIVE THE CASH TO THE ASSESS EE. THEREFORE, THE CASH DEPOSITED OF RS.14,50,000/- WAS TREATED AS UNDISCLOSED INCOME OF THE ASSESSEE. ON APPEAL , THE DISALLOWANCE WAS CONFIRMED BY THE LEARNED CIT(A). NOW THE ASSESSEE IS IN APPEAL BEFORE THE TRIBUNAL. 3. THE LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE ASSESSEE HAS WITHDRAWN CASH OF RS. 3 LACS ON 23.2.2008 AND THE ASSESSEES MOTHER HAS GIVEN RS. 5 LAC S AND THE FATHER HAS GIVEN RS. 10 LACS. THE ASSESSEE HAS ASHISH KACHHOLA ITA NO. 583/IND/2016 3 GIVEN THE DETAILS OF LOAN TO THE ASSESSING OFFICER. THE FATHER AND MOTHER HAD ALSO GIVEN THE NAMES OF THE PERSON S FROM WHOM THEY HAVE GIVEN LOAN AND FROM WHOM THEY HAVE EARNED THE MONEY WHICH IS AT PAGE 12 OF THE PAPER BOOK . THE ASSESSING OFFICER HAS NOT CALLED THEM AND WITHOUT CALLING THEM THE ASSESSING OFFICER CAME TO THE CONCLU SION THAT THE PARENTS HAD NO CAPACITY TO ADVANCE THE LOAN. 4. THE LD. DR RELIED UPON RELIED UPON THE ORDERS OF THE AUTHORITIES BELOW. 5. AFTER HEARING BOTH THE PARTIES, WE ARE OF THE VIEW THAT THAT THE MATTER REQUIRES VERIFICATION OF THE LOAN GIVEN BY THE PARENTS OF THE ASSESSEE. WE, THEREFORE, IN THE INTERE ST OF JUSTICE AND FAIR PLAY, SET ASIDE THE ORDERS OF THE AUTH ORITIES BELOW AND RESTORE THIS ISSUE TO THE FILE OF THE ASSE SSING OFFICER TO EXAMINE THE PARENTS OF THE ASSESSEE WITH RE GARD TO THE LOAN GIVEN BY THEM TO THE ASSESSEE AND IF THE ASSESSING OFFICER IS SATISFIED ABOUT THE CREDIT WORTH INESS OF ASHISH KACHHOLA ITA NO. 583/IND/2016 4 THE PARENTS OF THE ASSESSEE, ALLOW THE CLAIM OF THE ASSE SSEE, AFTER PROVIDING REASONABLE OPPORTUNITY OF BEING HEARD. 6. IN THE RESULT, THE APPEAL IS ALLOWED FOR STATISTICAL PURPOSES. PRONOUNCED IN OPEN COURT ON 8 SEPTEMBER, 2016 SD/- SD (O.P. MEENA) (D.T. G ARASIA) ACCOUNTANTMEMBER JUDICIAL MEMB ER 8 SEPTEMBER, 2016 DN/- ASHISH KACHHOLA ITA NO. 583/IND/2016 5