ITO 24(2)(4), MUMBAI V. YOGENDRA TEKRIWAL, MUMBAI

ITA 6029/MUM/2011

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 83915 (ITAT-MUMBAI)
• Duration Of Justice: 3 year(s) 1 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-10-2014
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 13-10-2014
• Assessment Year: 2007-2008
• Appeal Filed On: 30-08-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PAVAN KUMAR BEER LA
• Assessee Lawyers: G P MEHTA
• Section: 68

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL G BENCH, MUMBAI . . , , , BEFORE SHRI B.R. BASKARAN , ACCOUNTANT MEMBER AND SHRI AMIT SHUKLA , JUDICIAL MEMBER . / ITA NO. 602 9 /MUM./ 2011 ( / ASSESSMENT YEAR : 200 7 08 ) INCOME TAX OFFICER WARD 24(2)(4), PRATYAKSHAKAR BHAVAN BANDRA KURLA COMPLEX BANDRA (E), MUMBAI 400 051 . . / APPELLANT V/S S HRI YOGENDRA TEKRIWAL B 504, HARISHCHANDRA APARTMENT RAHEJA TOWNSHIP, MALAD ( E) MUMBAI 400 097 .. . . / RESPONDENT ./ PERMANENT ACCOUNT NUMBER ABPPT8519B / ASSESSEE BY : SHRI G.P. MEHTA / REVENUE BY : SHRI PAVAN KUMAR BEERLA / DATE OF HEARING 13 . 10 .2014 / DATE OF ORDE R - 21.10.2014 / ORDER , / PER AMIT SHUKLA , J.M. THE PRESENT APPEAL S HA VE BE EN PREFERRED BY THE REVENUE, CHALLENGING THE IMPUGNED ORDER DATED 2 9 TH JUNE 2011 , PASSED BY THE LEARNED COMMISSIONER (APPEALS) XX XIV, MUMBAI, FOR THE ASSESSMENT SHRI YOGENDRA TEKRIWAL 2 YEAR 200 7 08, IN THE MATTER OF PENALTY LEVIED BY THE ASSESSING OFFICER UNDER SECTION 271(1)(C) , WHICH WAS DELETED BY THE LEARNED COMMISSIONER (APPEALS). 2 . AT THE OUTSET, THE LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE SUBJECT MATTER OF LEVY OF PENALTY IS , ADDITION OF RS. 7.00 LAKHS MADE UNDER SECTION 68 ON ACCOUNT OF INTRODUCTION OF NEW CAP ITAL AND ADDITION OF RS. 2,96,000 BEING DIFFERENCE IN CLOSING BALANCE IN ACCOU NT OF CREDITOR, BHARAT BIJLI LTD . IN T HE QUANTUM PROCEEDINGS, HE SUBMITTED THAT THE LEARNED COMMISSIONER (APPEALS) HAS DELETED THIS ADDITION , AGAINST WHICH NO SECOND APPEAL HAS B EEN FILED BEFOR E THE TRIBUNAL . 3 . THE LEARNED DEPARTMENTAL REPRESENTATIVE ACCEPTED THE FACT THAT NO APPEAL HAS BEEN PREFERRED BY THE DEPARTMENT AGAINST THE ORDER OF THE LEARNED COMMISSIONER (APPEALS) IN THE QUANTUM PROCEEDINGS. 4 . AFTER CONSIDERING THE SUBMISS IONS OF THE PARTIES AND ALSO THE MATERIAL ON RECORD, WE FIND THAT THE LEARNED COMMISSIONER (APPEALS) VIDE ORDER DATED 28 TH JANUARY 2014, IN THE QUANTUM PROCEEDINGS HAS DELETED THE SAID ADDITION AFTER OBSERVING AND HOLDING AS UNDER: I HAVE GONE THROUGH THE SUBMISSIONS OF THE APPELLANT AND THE IMPUGNED ASSESSMENT ORDER ON THIS ISSUE. I FIND FORCE IN THE SUBMISSIONS OF THE APPELLANT. IT IS SEEN THAT THE ACCOUNTS OF THE APPELLANT WRONGLY SHOWS UNSECURED LOAN OF SHRI YOGENDRA TEKRIWAL 3 RS.7,00,000/ - FROM HIS SISTER - IN - LAW SMT.ANITA M.TEKRIWAL (PAN.ABPPT2565H) AS NEW CAPITAL INTRODUCED IN THE BALANCE SHEET. THE SAME HAS NOW BEEN SUBSTANTIATED WITH LOAN CONFIRMATION AND BANK ACCOUNT STATEMENT FROM ANITA TEKRIWAL. THE APPELLANT HAD RECEIVED A LOAN OF RS.7,00,000/ - FROM HIS SISTER IN LA W SMT.ANITA M.TEKRIWAL (PAN.ABPPT2565H) BY CHEQUE NO. 007364 DATED 01.08.2006 DRAWN ON NEW INDIA CO - OP. BANK LTD., MALAD (EAST) BRANCH, MUMBAI. DURING THE COURSE OF APPELLATE PROCEEDINGS, THE AUTHORIZED REPRESENTATIVE OF THE APPELLANT HAS PRODUCED COPY OF LOAN CONFIRMATION, PAN CARD & BANK ACCOUNT OF SMT.ANITA M.TEKRIWAL. SINCE THE APPELLANT HAS PROVED THE SOURCE OF RS.7,00,000/ - IN HIS BOOKS BEFORE ME DURING THE COURSE OF APPELLATE PROCEEDINGS, THE ASSESSING OFFICER IS HEREBY DIRECTED TO DELETE THE ADDITIO N OF RS.7,00,000/ - TO THE TOTAL INCOME OF THE ASSESSEE. THIS GROUND OF APPEAL IS ALLOWED. ***** ***** ***** ***** ***** **** I HAVE CAREFULLY CONSIDERED THE SUBMISSIONS MADE BY THE APPELLANT AND THE IMPUGNED ASSESSMENT ORDER ON THIS ISSUE. I FIND FO RCE IN THE SUBMISSIONS OF THE APPELLANT. DURING THE COURSE OF APPELLATE PROCEEDINGS, BEFORE ME, THE APPELLANT HAS RECONCILED THE DIFFERENCE OF RS.2,96,652/ - IN CLOSING BALANCE WITH M/S.BHARAT BIJLEE LTD. IT IS SEEN THAT THE DIFFERENCE IN CLOSING BALANCE IS ACCUMULATED DIFFERENCE FROM THE EARLIER YEAR S ACCOUNT AS IT IS EVIDENT FROM THE OPENING BALANCE ITSELF. THE APPELLANT HAS FURNISHED A COPY OF ACCOUNT OF M/S.BHARAT BIJLEE LTD. IN THE BOOKS OF THE APPELLANT AS WELL AS A COPY OF ACCOUNTS OF M/S.AMAN INTERN ATIONAL (ASSESSEE) IN THE BOOKS OF ACCOUNT OF M/S.BHARAT BIJILEE LTD. FOR MY PERUSAL. IN VIEW OF THE ABOVE FACTS AND MATERIAL AVAILABLE ON RECORD, I HEREBY DIRECT THE ASSESSING OFFICER TO DELETE THE ADDITION OF RS.2,96,652/ - . THIS GROUND OF APPEAL IS ALLOW ED. 5 . SINCE NO APPEAL HAS BEEN PREFERRED BY THE DEPARTMENT AGAINST THE SAID QUANTUM ORDER, THEREFORE, THE ORDER OF THE LEARNED SHRI YOGENDRA TEKRIWAL 4 COMMISSIONER (APPEALS) ON THE SAID ADDITION HAVE ATTAINED FINALITY AND, THEREFORE, PENALTY ON SUCH ADDITIONS WHICH STANDS DELETE D, HAVE NO LEGS TO STAND. WITHOUT GOING INTO MERITS, WE DELETE THE PENALTY ON THIS GROUND. THUS, THE GROUNDS RAISED BY THE DEPARTMENT ARE DISMISSED. 6 . 6 . IN THE RESULT, REVENUE S APPEAL IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT O N 21 ST OCTOBER, 2014. SD/ - SD/ - . . B.R. BASKARAN ACCOUNTANT MEMBER SD/ - SD / - AMIT SHUKLA JUDICIAL MEMBER MUMBAI, DATED : 21.10.2014. / COPY OF THE ORDER FORWARDED TO : ( 1 ) / THE ASSESSEE ; ( 2 ) / THE REVENUE; ( 3 ) ( ) / THE CIT(A ) ; ( 4 ) / THE CIT, MUMBAI CITY CONCERNED ; ( 5 ) , , / THE DR, ITAT, MUMBAI ; ( 6 ) / GUARD FILE . / TRUE COPY / BY ORDER . / PRADEEP J. CHOWDHURY / SR. PRIVATE SECRETARY / / (D Y./ASSTT. REGISTRAR) , / ITAT, MUMBAI