Shakeel Ahmad, Barabanki V. Income Tax Officer, Barabanki

ITA 592/LKW/2014

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 83280 (ITAT-LUCKNOW)
• Duration Of Justice: 1 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-08-2014
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2009-2010
• Appeal Filed On: 04-07-2014
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: O N PATHAK
• Assessee Lawyers: YOGESH AGRAWAL
• Keywords: Reopening of assessment; Income from undisclosed sources; Opportunity of being heard; Additional evidence; Corroborative evidences; Reassessment proceedings
• Section: 148

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL LUCKNOW BENCH A , LUCKNOW BEFORE SHRI S UNIL KUMAR YADAV , JUDICIAL MEMBER AND SHRI. A. K. GARODIA , ACCOUNTANT MEMBER ITA NO. 592/LKW/2014 ASSESSMENT YEAR: 2009 - 10 SHAKEEL AHMAD DP - 615, RAFI NAGAR GHOSIYANA, NAWA BGANJ BARABANKI V. INCOME TAX OFFICER BARABANKI PAN: ADMPA1163F (APP ELL ANT) (RESPONDENT) APP ELL ANT BY: SHRI. YOGESH AGRAWAL, ADVOCATE RESPONDENT BY: SHRI. O.N. PATHAK, D.R. DATE OF HEARING: 25 0 8 2014 DATE OF PRONOUNCEMENT: 28 0 8 2014 O R D E R PER SUNIL KUMAR YADAV: THIS APPEAL IS PREFERRED BY THE ASSESSEE AGAINST THE ORDER OF THE LD. CIT(A), INTER ALIA, ON VARIOUS GROUNDS, WHICH ARE AS UNDER: - 1 . THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) - II, LUCKNOW (HERE IN - AFTER REFERRED TO AS THE LD. CIT (A)'S] GROSSLY ERRED ON FACTS AND IN LAW IN CONFIRMING THE ORDER OF THE ASSESSING OFFICER PASSED U/S 148 OF THE I.T. ACT, 1961 IN THE PRESENT CASE AS THE ENTIRE FACTS HAD BEEN DISCLOSED IN THE RETURN OF INCOME AND NO NEW FACTS HAD COME INTO THE KNOWLE DGE OF THE DEPARTMENT TO VALIDLY INITIATE THE REASSESSMENT PROCEEDINGS. 2 . THE REASONS RECORDED FOR REOPENING THE CASE ARE NOT RELEVANT OR GERMANE ENOUGH TO VALIDLY INITIATE REASSESSMENT PRINT TO PDF WITHOUT THIS MESSAGE BY PURCHASING NOVAPDF ( HTTP://WWW.NOVAPDF.COM/ ) : - 2 - : PROCEEDINGS AND THUS AS THE REOPENING IS BASED ON SUCH REASONS MAY KINDL Y BE ORDERED TO BE QUASHED. 3 . THE INITIATION OF PROCEEDINGS U/S 148 FOR THE PRESENT YEAR IS BEYOND THE INTENT PURPOSE AND SCOPE OF THE PROVISIONS AS CONTAINED IN THE I.T. ACT, 1961 AND CONSEQUENTLY THE ENTIRE PROCEEDINGS OF ASSESSMENT FOR THE PRESENT YEAR AR E VOID - AB - INITIO AND AS SUCH THE ORDER OF ASSESSMENT MAY KINDLY BE ORDERED TO BE ANNULLED. 4 . THE LD. CIT (A)'S FURTHER ERRED ON FACTS AND IN LAW IN CONFIRMING THE ORDER OF THE LD. A.O. AND IN NOT PROVIDING ANY PROPER AND SUFFICIENT OPPORTUNITY TO THE APPELLA NT TO HAVE ITS SAY OR MAKE NECESSARY COMPLIANCE OF THE REASONS RELIED UPON BY HIM WHILE PASSING THE PRESENT ORDER. WITHOUT PREJUDICE TO GROUNDS NO. I TO IV TAKEN ABOVE: - 5 . THE LD. CIT (A)'S ERRED ON FACTS AND IN LAW IN CONFORMING THE ADDITION OF RS.6,01,014 / - AS ALLEGED INCOME FROM UNDISCLOSED SOURCES INVESTED IN IMMOVABLE PROPERTY DURING THE YEAR UNDER CONSIDERATION WITHOUT APPRECIATING THE CONTENTION OF THE APPELLANT AND THUS AS THE ADDITION SO CONFIRMED IS NOT BASED ON ANY COGENT MATERIAL ON RECORD THE SAM E MAY KINDLY BE ORDERED TO BE DELETED. 6 . IN CONFORMING THE ORDER OF THE ASSESSING OFFICER THE LD. CIT (A)'S FURTHER FAILED TO APPRECIATE THAT THE COMPLETE DETAILS REGARDING THE SOURCE OF INVESTMENT IN THE SAID PROPERTY ALONG WITH SUPPORTING EVIDENCES IN THE FORM OF BANK ACCOUNT ETC. HAD ALREADY BEEN FILED DURING THE COURSE OF ORIGINAL ASSESSMENT PROCEEDINGS ITSELF AND HENCE THE ADDITION MADE ON NOTIONS, CONJECTURES AND SURMISES IS LIABLE TO BE DELETED AND ASSESSMENT ITSELF IS LIABLE TO BE QUASHED. PRINT TO PDF WITHOUT THIS MESSAGE BY PURCHASING NOVAPDF ( HTTP://WWW.NOVAPDF.COM/ ) : - 3 - : 2 . DURING THE COURSE OF HEARING, THE LD. COUNSEL FOR THE ASSESSEE HAS NOT ADVANCED ANY ARGUMENT ON THE VALIDITY OF THE REOPENING OF ASSESSMENT, THEREFORE, WE FIND NO MERIT IN GROUNDS NO.1 TO 4 OF THE APPEAL RELATING TO VALIDITY OF REOPENING OF ASSESSMENT AND ACCORDINGL Y WE DISMISS THE SAME. 3 . WITH REGARD TO GROUNDS NO.5 AND 6 RELATING TO ADDITION OF RS.6,01,014/ - MADE ON ACCOUNT OF UNDISCLOSED INVESTMENT IN PROPERTY FROM UNDISCLOSED SOURCES, THE LD. COUNSEL FOR THE ASSESSEE HAS MOVED AN APPLICATION FOR ADMISSION OF THE AD DITIONAL EVIDENCE, WITH THE SUBMISSION THAT THE ASSESSEE HAS WITHDRAWN A SUBSTANTIAL AMOUNT EITHER FROM HIS S.B. ACCOUNT OR FROM THE ATMS AT RS.12.19 LAKHS ; WHEREAS HE MADE INVESTMENT IN THE PROPERTY AT RS.9,75,500/ - . THEREFORE, ASSESSEE HAD SUFFICIENT CA SH BALANCE FOR MAKING INVESTMENT IN THE PROPERTY. THE LD. COUNSEL FOR THE ASSESSEE HAS ALSO FILED A COPY OF THE STATEMENT DETAILING THE WITHDRAWALS MADE BY THE ASSESSEE. 4 . THE LD. D.R., THOUGH OBJECTED FOR ADMISSION OF THE ADDITIONAL EVIDENCE, BUT FINALLY A GREED THAT LET THE MATTER BE SENT TO THE ASSESSING OFFICER FOR VERIFICATION. 5 . HAVING CAREFULLY EXAMINED THE DETAILED EVIDENCE, WE FIND THAT THE ADDITIONAL EVIDENCE IS RELEVANT IN ORDER TO ADJUDICATE THE CONTROVERSY BEFORE US. WE, THEREFORE, ADMIT THE SAME AND S INCE THE DETAILS FURNISHED BY THE ASSESSEE BEFORE US REQUIRE PROPER VERIFICATION, WE ARE OF THE VIEW THAT LET THE MATTER BE EXAMINED BY THE ASSESSING OFFICER BY MAKING NECESSARY VERIFICATION. ACCORDINGLY WE SET ASIDE THE ORDER OF THE LD. CIT(A) IN TH IS REGARD AND RESTORE THE MATTER TO THE FILE OF THE ASSESSING OFFICER WITH A DIRECTION TO RE - ADJUDICATE THE ISSUE AFRESH IN THE LIGHT OF ADDITIONAL EVIDENCE FILED BEFORE US AFTER AFFORDING AN OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. PRINT TO PDF WITHOUT THIS MESSAGE BY PURCHASING NOVAPDF ( HTTP://WWW.NOVAPDF.COM/ ) : - 4 - : 6 . IN THE RESULT, APPEA L OF THE ASSESSEE IS PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER WAS PRONOUNCED IN THE OPEN COURT ON THE DATE MENT I ONED ON THE CAPTION PAGE. [ A. K. GARODIA ] [ S UNIL KUMAR Y ADAV ] ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 28 TH AUGUST , 2014 JJ: 2508 COPY FORWARDED TO: 1 . APPELLANT 2 . RESPONDENT 3 . CIT(A) 4 . CIT 5 . DR ASSISTANT REGISTRAR PRINT TO PDF WITHOUT THIS MESSAGE BY PURCHASING NOVAPDF ( HTTP://WWW.NOVAPDF.COM/ )