AMIT TYAGI, GURGAON V. ITO, WARD - 1(1), GURGAON

ITA 6164/DEL/2017

• Counselvise Citation: [2022] 105 COUNSELVISE.COM (IT) 5363 (ITAT-DELHI)
• Duration Of Justice: 4 year(s) 6 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-04-2022
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2013-2014
• Appeal Filed On: 03-10-2017
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SUMAN MALIK
• Section: 43

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “A” DELHI BEFORE SHRI SAKTIJIT DEY, JUDICIAL MEMBER & SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER I.T.A. No.6164/DEL/2017 Assessment Year 2013-14 Shri Amit Tyagi, S/o Shri Kacheru Ram, Village Maidavas Bashahpur, Gurgaon. v. ITO, Ward-1(1), Gurgaon. TAN/PAN: ADNPT3665N (Appellant) (Respondent) Appellant by: None Respondent by: Mrs. Suman Malik, Sr.D.R. Date of hearing: 28 03 2022 Date of pronouncement: 04 04 2022 O R D E R PER PRADIP KUMAR KEDIA, A.M.: The c apt io ne d ap p eal ha s be en f i le d at th e i ns ta nc e o f the ass es se e a ga in st t he or der of t he Co mmi s si on er of Inc o me Ta x (Ap pe al s) -I, Gu rg a on [ ‘C IT (A )’ i n s h ort ], dat ed 28 .0 7. 2 01 7 ar is in g f ro m the o rde r of th e A ss es si ng Of f icer da te d 2 2. 03. 20 16 pa ss ed un der S ect io n 14 4 of th e I nc o me T ax Act , 19 61 (t he Ac t) co nc ern in g AY 2 01 3- 14. 2. The g ro un ds of a pp eal r ais ed b y t h e Re ven ue r ea d a s un de r : “ 1 . T h e o r d e r p a s s e d w a s b a d i n l a w a g a i n s t t h e f a c ts o f t h e ... . . 2 . T h a t h a v i n g r e g a r d t o t h e f a c t s a n d c i r c u m s t a n c es o f t h e c a s e , L d . C I T [ A] h a s e r r e d , i n l a w a n d o n f a c t s i n s u s t ai n i n g f r a m e d i m p u g n e d o r d e r u / s . 1 4 4 o f t h e i n c o m e t a x a c t , 1 9 6 1 , t h e r e f o r e , t h e o r d e r b e s e t a s i d e t o t h e f i l e o f A O f o r d e n o v o a ct i o n . I.T.A. No.6164/DEL/2017 2 3 . T h a t h a v i n g r e g a r d t o t h e f a c t s a n d c i r c u m s t a n c es o f t h e c a s e t h e L d . C I T [ A] h a s e r r e d i n l a w a n d o n f a c t s t o s u st a i n A O o r d e r t h a t u n d e r w h i c h h e a d o f i n c o m e t h e i n c o m e h a s b e e n a s s e s s e d . 4 . T h a t h a v i n g r e g a r d t o t h e f a c t s a n d c i r c u m s t a n c es o f t h e c a s e , t h e L d . C I T [ A] h a s e r r e d i n l a w a n d o n f a c t s i n F R AM I N G T H E A P P E A L O R D E R i n v i o l a t i o n o f p r i n c i p l e s o f n a t u r a l j u s t i c e i n a s m u c h a s p a s s i n g t h e i m p u g n e d o r d e r b y r e c o r d i n g i n co r r e c t f a c t s a n d f i n d i n g s , s p e c i a l l y w h e n t i m e w a s s o u g h t t o f i le f u r t h e r s u b m i s s i o n s . 5 . T h a t i n a n y c a s e a n d i n a n y v i e w o f t h e m a t t e r , i m p u g n e d a d d i t i o n o f R s . 3 4 7 5 5 5 3 / - a n d R s . 1 4 2 5 0 0 0 i s b a d i n l a w , i l l e g a l , u n j u s t i f i e d , c o n t r a r y t o f a c t s & l a w a n d b a s e d o n co n j e c t u r e s a n d s u r m i s e s a n d i n c o r r e c t f i n d i n g s , w i t h o u t g i v i n g a d eq u a t e o p p o r t u n i t y a n d t h e r e f o r e d e s e r v e s t o b e q u a s h e d . 6 . T h e A O a n d C I T [ A] b o t h d i d n o t c o n s i d e r t h e p r o vi s i o n o f s e c t i o n 2 4 o f t h e I n c o m e T a x a c t . ” 3. W h en the matt er was ca ll ed f o r h e ari ng , n on e a ppea r ed on beh alf of th e as se ss ee. 4. It is s ee n f ro m t he r eco rd t ha t mu lt ip le op por tuni ti es h av e bee n giv en t o th e as se s see t o at te nd t he app el la te pr oc ee di ng s on t he app oi nt ed d at es a n d can va ss t he s ta nc e of the as se ss ee . Ho we ver , no mit ig at in g cir cu m sta nc es ar e on r eco rd f or su ch conti nu ou s dis re ga rd to t he n oti ce s i ss ue d f or hea ri ng th e ma tte r . R ep eat ed adj ou rn me nt s f rus tr ate p ro pe r in ve sti g ati on a t a bela ted s tag e on t he iss ue s in vo lv ed . The i no rd in at e d ela y ca us ed o wi n g to su ch adj ou rn me nt s, at t i me s, re su lts i n tot a l l os s of evid en ce. In vi ew of suc h su pi ne a nd al ar min g in dif f ere nc e, we a re co ns tr ai n t t o pr oc eed wit h th e cap ti on ed app ea l ex pa rt e in t he ab se nc e of th e a sse ss ee . I.T.A. No.6164/DEL/2017 3 5. Ld. D R f or t he R eve nu e a t th e o ut s et p oi nt ed out th a t th e ass es s men t wa s a l so f ra me d as be st ju dg me nt as se ss me nt un de r Sec ti on 1 44 of th e Act d ue t o f ail ure of the as se ssee to c o mpl y wi th the r eq ui re me nt s of Sect io ns 14 3(2 ) a nd 1 43 (1) of the A ct. T he L d. DR n ex t su b mit te d tha t he r el ie s up on the or de rs of th e CI T( A) an d As ses si ng Of f ic er o n mer it s. 6. W e ha ve p er us ed t he as se ss me nt o rd er an d th e order o f the CI T( A). W e hav e con si de re d th e r ep res en ta tio n mad e o n be ha lf of the R ev en ue . 6.1 A p er usa l of the gro un d r ev ea ls th a t w hi le Gr ound N o.1 i s gen er al as we ll a s i nc o mpl ete . Gr o un d N o. 2, Gr ou nd No .3 an d Gro u nd N o. 4 ar e g ene ra l an d va gu e. I t is n ot k no wn a s t o ho w th e CI T( A) h as co mm itt ed err or in f r a mi ng t he ap pe ll at e or de r i n vio la ti on of pr in ci p les of nat ura l ju st i ce an d s us tai ni ng t he o rde r of the A ss es si ng Of f ic er. 6.2 Gro u nd s No . 1 t o 4 are dis mi ss ed in t he a bs en ce of an y adv er se mate ri al p o int in g ou t err or c o mmi t ted b y C IT( A) , if an y. 7. Gro u nd N o. 5 c o nce rn s a ddi ti on of Rs. 34 ,7 5, 55 3/ - and Rs .1 4,2 5, 00 0/ - b y th e As se ss in g O f f icer a nd s us tai ned b y t he CI T( A). T he C IT (A ) h as d eal t wi th t he is su e in f ollow in g ter ms . “ 4 . 4 I h a v e c a r e f u l l y c o n s i d e r e d t h e a p p e l l a n t ’ s su b m i s s i o n s . I t i s a f a c t o n r e c o r d t h a t a s p e r 2 6 A S , t h e a p p e l l a n t h a d r e c e i v e d r e n t f r o m M / s E m a a r M G F a m o u n t i n g t o R s . 3 7 , 7 7 , 7 5 4 / - d u ri n g t h e y e a r . T h i s f a c t h a s a l s o b e e n c o n f i r m e d b y M / s E m a a r M G F v i d e i t s l e t t e r d a t e d 0 9 / 0 3 / 2 0 1 6 . I t i s a l s o a f a c t o n r e c o r d t h a t T D S h a d b e e n d e d u c t e d o n t h i s p a y m e n t o f r e n t @ 1 0 % . F u r t h e r , a s p e r t h e a g r e e m e n t b e t w e e n t h e a p p e l l a n t a n d M / s E m a a r M G F th e s a i d c o m p a n y w a s l i a b l e t o p a y m o n t h l y r e n t o f R s . 4 l a kh s t o t h e I.T.A. No.6164/DEL/2017 4 a p p e l l a n t . T h e a p p e l l a n t h a s n o t b e e n a b l e t o c o n t ro v e r t a n y o f t h e f a c t s p o i n t e d o u t a b o v e b y t h e A s s e s s i n g O f f i c e r . Th e a p p e l l a n t h a s m e r e l y c o n t e n d e d t h a t t h e a r e a o f l a n d m e n t i o n e d b y t h e A s s e s s i n g O f f i c e r p e r t a i n i n g t o t h e r e n t a g r e e m e n t w a s n o t c or r e c t . E v e n i f t h i s c o n t e n t i o n o f t h e a p p e l l a n t i s a c c e p t e d , i t d oe s n o t i m p l y t h a t t h e a m o u n t r e c e i v e d b y t h e a p p e l l a n t f r o m M / s E m a a r M G F w a s n o t o n a c c o u n t o f r e n t . T h e c o n t e n t i o n o f t h e a p p e l l a n t t h a t t h e a m o u n t r e c e i v e d f r o m M / s E m a a r M G F w a s o n a c c o u n t o f p r o v id i n g t h e s e r v i c e s o f b o u n c e s i s m e r e l y a s e l f s e r v i n g s t a t e me n t w i t h o u t a n y s u p p o r t i n g e v i d e n c e . M / s E m a a r M G F h a v i n g c o n f i r m e d t h r o u g h l e t t e r d a t e d 0 9 / 0 3 / 2 0 1 6 t h a t t h e a m o u n t p a i d t o a p pe l l a n t w a s o n a c c o u n t o f r e n t , t h e c o n t e n t i o n o f t h e a p p e l l a n t t o t h e c o n t r a i y i s n o t t e n a b l e . T h e a d d i t i o n m a d e b y t h e A s s e s s i n g O f f i c e r i s a c c o r d i n g l y c o n f i r m e d . T h i s g r o u n d o f a p p e a l i s d i s m i s s e d . 5 . 3 I h a v e c a r e f u l l y c o n s i d e r e d t h e f a c t s o f t h e c as e . I t i s a f a c t o n r e c o r d t h a t t h e a p p e l l a n t h a d d e p o s i t e d R s . 1 4 . 2 5 la k h s i n h i s b a n k a c c o u n t . T h e o n u s l i e s o n t h e a p p e l l a n t t o e x p l a i n t h e s o u r c e s o f c a s h d e p o s i t s i n t h e b a n k a c c o u n t . T h e a p p e l l a n t h ad m e r e l y c o n t e n d e d b e f o r e t h e A s s e s s i n g O f f i c e r t h a t t h e c a sh d e p o s i t s w a s o u t o f c a s h w i t h d r a w n a n d a m o u n t r e c e i v e d f r o m v a r io u s c l u b s f o r p r o v i d i n g t h e b o u n c e r s s e r v i c e s . H o w e v e r , n o e v i d e nc e i n t h i s r e g a r d w a s f u r n i s h e d . T h e a p p e l l a n t h a s a c c o r d i n g l y f a i l e d t o d i s c h a r g e h i s o n u s . T h e a d d i t i o n m a d e b y t h e A s s e s si n g O f f i c e r i s c o n f i r m e d . T h i s g r o u n d o f a p p e a l i s d i s m i s s e d . 8. On p er us al of the ord er of the CI T( A), it sh ow s t hat cer ta in ren ta l in co me t o t h e tu ne of R s.3 7, 77 , 75 4/- as p er A IR i nf or mat io n co mmo n l y ca ll ed 2 6A S sta te me nt a va i lab le t o the D epar t me nt. T he CI T( A) to ok not e o f the sub mi ss io ns ma de o n be half of the as se ss ee . In t he f ir st a pp el l ate pr oce ed in gs , it was ob ser ve d b y the CI T( A) tha t t he as ses se e h a s f ail ed to r eb ut th e ev id en ce s av ai la b le w it h t he dep ar t men t an d t h e co nt ent io ns of the a ss es see are c ont ra r y t o I.T.A. No.6164/DEL/2017 5 rec or d. I n th e ab se nce of an y s ub st an t iat io n to the gr ie va nce s ra is ed , we se e no re as on t o in te rf ere w it h the f ind in g of the CI T( A). 8.1 An a ddi ti on of Rs . 14. 25 l ak h to wa rd s cash d ep osit s ha s bee n f ound t o b e su st ai nab le b y t he C IT( A). A s per A IR in f or ma ti on , i t was f o un d b y th e R eve nu e t hat as se sse e ha s de po si ted R s. 14. 25 la kh in hi s ba nk acc ou nt in c as h. I t wa s f oun d b y t he C IT( A) t ha t ass es se e ha s f aile d to di sch ar ge t he o nu s of sou rce of ca sh d ep osi t. In t he a bse nc e of a n y e xp lan at io n of f ered b y t he A ss es se e bef ore t he Tri bu na l, we ar e u nab le to f ind a n y e rro r i n t he reas on in g g iv en b y the C IT (A ). T he ref ore , Gr ou nd n o. 5 o f the ass es see ’s a p pea l is a ls o dis mi ss ed o n bo th c ou nts . 9. Gro u nd no .6 c ha lle ngi ng t he a pp lic ab i lit y of S ect io n 24 o f the Inc o me Ta x Act i s ge ne ral i n nat ur e. It is n ow he re sp el t o ut as t o ho w S ec ti on 24 o f the Act i s n ot app li ca bl e a nd ho w t he f ac ts per ce iv ed b y t he Re ven ue are in co r rec t. I n t he a bs en ce of an y doc u men ta r y ev id e nce s ava il ab le on r eco rd t o s up po rt th e c lai m of ass es se e, w e d ec li n e t o in terf e re w ith t he or de r of th e CI T (A) . 10. Gro u nd N o.6 of th e as se ss ee is a cc or di ngl y d i s mis se d. 11. In th e res ul t, t he ap pea l of th e as se ss ee is d is mi ss ed ex p ar te. Order was pronounced in the open Court on 04/04/2022. Sd/- Sd/- [SAKTIJIT DEY] [PRADIP KUMAR KEDIA] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 04/04/2022 Prabhat