SUSHANT SECURITIES & TRADING CO. P. LTD, MUMBAI V. DCIT CEN CIR-33, MUMBAI

ITA 6200/MUM/2009

• Counselvise Citation: 620019914 RSA 2009
• Duration Of Justice: 5 year(s) 1 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-12-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 16-12-2014
• Assessment Year: 2002-2003
• Appeal Filed On: 30-11-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A K ATRI
• Assessee Lawyers: MANISH SANGHAVI
• Section: 143(3)

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL E , BENCH MUMBAI BEFORE SHRI JOGINDER SINGH, JM & SHRI R.C.SHARMA, AM ITA NO. 6200 / MUM /20 09 ( ASSESSMENT YEAR : 200 2 - 20 0 3 ) M/S SUSHANT SECURITIES & TRADING CO. PVT. LTD. B - 806, JEEVAN VIHAR SOCIETY, M.M.ROAD, WALKESHWAR, MUMBAI - 400 006 VS. DCIT, CC - 33, MUMBAI - 20 PAN/GIR NO. : A A D CS 4934 M ( APPELLANT ) .. ( RESPONDENT ) /ASSESSEE BY : SHRI MANISH SANGHAVI /REVENUE BY : SHRI A.K.ATRI DATE OF HEARING : 1 6 TH DECEMBER , 201 4 DATE OF PRONOUNCEMENT 31/12 / 2014 O R D E R PER R.C.SHARMA (A.M) : TH IS IS AN APPEAL FILED BY ASSESSEE AGAINST THE ORDER OF CIT(A) DATED 25 - 9 - 2009 , FOR THE ASSESSMENT YEAR 200 2 - 200 3 , IN THE MATTER OF ORDER PASSED UNDER SECTION 143(3) R.W.S.153A OF THE I.T. ACT . 2 . THE ONLY GRIEVANCE OF THE ASSESSEE RELATES TO ADDITION OF RS.5 LAKHS U/S.68 OF THE ACT IN RESPECT OF SHARE APPLICATION MONEY RECEIPT. 3 . DURING THE COURSE OF HEARING THE ASSESSEE HAS TAKEN ADDITION AL GROUND TO THE EFFECT THAT THE AO WAS NOT JUSTIFIED IN INITIATING PROCEEDINGS U/S.153A OF THE IT ACT. IT WAS ARGUED BY LD. AR THAT THERE WAS NO ITA NO. 6200 / 09 2 AUTHORIZATION IN THE NAME OF THE ASSESSEE. ACCORDINGLY, THE PROCEEDINGS INITIATED U/S.153A IS NOT SUSTAINABLE IN LAW. 4 . THE GROUND SO RAI SED IS PURELY LEGAL IN NATURE WHICH DEALS WITH THE JURISDICTION TO INITIATE PROCEEDINGS U/S.153A. ACCORDINGLY, WE ACCEPT THE ADDITIONAL GROUND RAISED BEFORE US, WHICH IS PURELY LEGAL IN NATURE. 5 . WE HAVE GONE THROUGH THE RECORD AND FOUND THAT AS PER PANC HNAMA DATED 10 - 11 - 2006 PLACED ON RECORD, THE NAME OF THE ASSESSEE WAS NOT APPEAR ING . HOWEVER, THE PANCHNAMA DATED 8 - 1 - 2007 VACATING THE PROHIBITORY ORDER, THERE WAS NAME OF THE ASSESSEE. HOWEVER, THE DEPARTMENT COULD NOT PLACE ON RECORD ANY DOCUMENT IN SUP PORT OF THE CONTENTION THAT WARRANT WAS ALSO ISSUED IN THE NAME OF THE ASSESSEE M/S SUSHANT SECURITIES & TRADING CO. PVT. LTD.. AS THE LEGAL ISSUE RAISED BY THE ASSESSEE GOES TO THE ROOT OF THE ISSUE, IN THE INTEREST OF JUSTICE, WE RESTORE THIS APPEAL TO T HE FILE OF CIT(A) FOR DECIDING THE LEGAL ISSUE AFTER VERIFYING THE RECORDS TO FIND OUT WHETHER ANY WARRANT WAS ISSUED IN NAME OF ASSESSEE AND TO DECIDE THE SAME AFRESH AS PER LAW. 6 . ON MERITS OF THE ADDITION, THE CONTENTION OF THE LD. AR WAS THAT THE ASSE SSEE WAS IN RECEIPT OF RS. 5 LAKHS ON ACCOUNT SHARE CAPITAL MONEY THROUGH ACCOUNT PAYEE CHEQUE, COMPLETE DETAILS OF TH E SHARE APPLICANT WAS FURNISHED, HOWEVER, THE AO ADDED THE AMOUNT ON THE PLEA THAT ASSESSEE COULD NOT PRODUCE THE SHARE APPLICANT BEFORE TH E AO FOR EXAMINATION . I N THE INTEREST OF JUSTICE, GROUND RAISED ON MERITS IS ALSO RESTORED BACK TO THE FILE OF CIT(A) FOR GIVING ONE MORE OPPORTUNITY TO THE ASSESSEE TO ESTABLISH THE GENUINENESS OF THE SHARE APPLICA TION MONEY SO ITA NO. 6200 / 09 3 RECEIVED. THE AO IS TO DECI DE AFRESH AFTER GIVING DUE OPPORTUNITY TO THE ASSESSEE. 7 . IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES . ORDER PRONOUNCED IN THE OPEN COURT ON THIS 31 /12 / 201 4 . 31 /12 / 2014 SD/ - SD/ - ( ) ( JOGINDER SINGH ) ( ) ( R.C.SHARMA ) / JUDICIAL MEMBER / ACCOUNTANT MEMBER MUMBAI ; DATED 31 /12 /2014 /PKM , PS COPY OF THE ORDER FORWARDED TO : / BY ORDER, ( ASSTT. REGISTRAR) / ITAT, MUMBAI 1. / THE APPELLANT 2. / THE RESPONDENT. 3. / THE CIT(A), MUMBAI. 4. / CIT 5. / DR, ITAT, MUMBAI 6. GUARD FILE. //TRUE COPY//