World Trade Impex Ltd., Baroda V. The ACIT.,Circle-4(2), Baroda

ITA 61/AHD/2009

• Counselvise Citation: 6120514 RSA 2009
• Duration Of Justice: 2 year(s) 10 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-11-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Next Hearing Date: 27-09-2011
• Assessment Year: 2002-2003
• Appeal Filed On: 06-01-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A K PATEL
• Assessee Lawyers: M K PATEL
• Keywords: Bad and doubtful debts
• Section: 143(3)

Judgement Text

ITA NO.61/AHD/200 9 A.Y. 2002-03 1 IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH, AHM EDABAD. (BEFORE SHRI MUKUL KR. SHRAWAT & SHRI A. MOHAN ALAN KAMONY) I.T .A. NO. 61/AHD/2009 (ASSESSMENT YEAR: 2002 -2003) WORLD TRADEIMPEX LIMITED, 2 ND FLOOR, STERLING CENTER NO.204, R.C. DUTT ROAD, BARODA-390 007. (APPELLANT) VS. THE ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 4(2), 4 TH FLOOR, AAYAKAR BHAVAN, RACE COURSE, BAERODA-390 007. (RESPONDENT) PAN: AAACW 2072 K APPELLANT BY : SHRI M. K. PATEL RESPONDENT BY : SHRI A.K. PATEL DATE OF HEARING : 27-9-2001 . DATE OF PRONOUNCEMENT. : 18-11-2011 ( (( ( )/ )/)/ )/ ORDER PER: SHRI A. MOHAN ALANKAMONY,A.M. THIS APPEAL IS FILED BY THE ASSESSEE AGGRIEVED BY T HE ORDER OF LD. CIT (A)-III, BARODA IN APPEAL NO.CAB-III-16/07-08 DATED 17-10-2008 FOR THE ASSESSMENT YEAR 2002-03 PASSED U/S. 250 R.W.S. 271( 1)( C) OF THE I. T. ACT. 2. THE ASSESSEE HAS FILED ITS RETURN OF INCOME ON 3 1-10-2002 SHOWING TOTAL INCOME OF RS.3,35,370/- HOWEVER, THE ASSESSME NT WAS COMPLETED U/S. 143(3) OF THE I.T. ACT ON 24-3-2005 DETERMINING TOT AL INCOME OF RS. ITA NO.61/AHD/200 9 A.Y. 2002-03 2 39,71,300/-. PENALTY PROCEEDINGS WERE INITIATED BY THE A.O. AND THE PENALTY WAS LEVIED AT RS.12,20,213/- WITH RESPECT TO :- DISALLOWANCE OUT OF PURCHASES MADE FROM RAJ PETRO PRODUCTS PVT. LTD. 14,500 ADDITION ON ACCOUNT OF SUPPRESSION OF SALES. 12,11,000/- ADDITION MADE BY DISALLOWANCE OF PURCHASE. 20,99,048/- ADDITION ON DISALLOWANCE OF BAD DEBTS. 93,417//- 3. THE LD. CIT (A) CONFIRMED THE ADDITION MADE BY T HE ASSESSING OFFICER. AGGRIEVED BY IT THE APPELLANT HAS FILED AP PEAL BEFORE US. 4. AT THE BEGINNING OF THE HEARING THE LD. AR SUBMI TTED BEFORE US THE ORDER OF THE TRIBUNAL IN ITA NO.1154/AHD/2006 FOR A SSESSMENT YEAR 2002- 03 DATED 24-12-2010 RELATING TO THE QUANTUM APPEAL OF THE ASSESSEE WHEREIN THE TRIBUNAL HAS DELETED THE ADDITION WITH RESPECT TO (1) DISALLOWANCE OUT OF PURCHASES MADE FROM RAJ PETRO PRODUCTS PVT. LTD. RS . 14,500/- AND REMITTED BACK THE MATTER TO THE FILE OF LD. AO (1) WITH RESP ECT TO THE ADDITION ON ACCOUNT OF SUPPRESSION OF SALES RS. 12,11,000/- (2) ADDITION ON ACCOUNT OF DISALLOWANCE OF PURCHASE RS. 20,99,048/- ETC. 5. IT IS WELL SETTLED PRINCIPLE THAT PENALTY CANNOT BE SUSTAINED WHEN THE ISSUES ARE EITHER DELETED OR REMITTED BACK TO THE F ILE OF A.O. FOR FRESH CONSIDERATION. WE THEREFORE, REMIT BACK THE CASE T O THE FILE OF THE LD. AO TO PASS AN APPROPRIATE ORDER AFTER DECIDING THE ISSUES REMITTED BACK WITH RESPECT TO THE QUANTUM APPEAL. ITA NO.61/AHD/200 9 A.Y. 2002-03 3 6. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN OPEN COURT ON 18-11- 2011. SD/- SD/- (MUKUL KR. SHRAWAT ) ( A. MOHAN ALANKAMONY) JUDICIAL MEMBER ACOUNT ANT MEMBER AHMEDABAD. S.A.PATKI. COPY OF THE ORDER FORWARDED TO: - 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT (APPEALS)-III, BARODA. 4. THE CIT CONCERNED. 5. THE DR., ITAT, AHMEDABAD. 6. GUARD FILE. BY ORDER DEPUTY/ASSTT.REGISTRAR ITAT,AHMEDABAD. 1.DATE OF DICTATION 14- 11-2011 2.DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE TH E DICTATING 15 / 11 / 2011 MEMBER.OTHER MEMBER. 3.DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. P.S./P.S 15 - 11 -2011. 4.DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE TH E DICTATING MEMBER FOR PRONOUNCEMENT 18 - 11 -2011 5.DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR .P.S./P.S 18 -11 -2011 6.DATE ON WHICH THE FILE GOES TO THE BENCH CLERK - -2011. 7.DATE ON WHICH THE FILE GOES TO THE HEAD CLERK . 8.THE DATE ON WHICH THE FILE GOES TO THE ASSTT. REG ISTRAR FOR SIGNATURE ON THE ORDER 9.DATE OF DESPATCH OF THE ORDER