AASHISH TIWARI, Jaipur V. ITO, Jaipur

ITA 621/JPR/2013

• Counselvise Citation: 62123114 RSA 2013
• Duration Of Justice: 2 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-08-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 16-07-2013
• Assessment Year: 2008-2009
• Appeal Filed On: 12-06-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: D C SHARMA
• Assessee Lawyers: MANISH AGARWAL
• Keywords: Income from undisclosed sources

Judgement Text

1 ITA 621-13 IN THE INCOME TAX APPELLATE TRIBUNAL JAIPUR BENCH SMC JAIPUR BEFORE SHRI B.R. JAIN, ACCOUNTANT MEMBER ITA NO. 621/JP/2013 ASSTT. YEAR : 2008-09. SHRI AASHISH TIWARI, VS. THE ACIT, E-183-184, RAM PATH, SHYAM NAGAR, CIRCLE-3, JAIPUR. JAIPUR. (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI MANISH AGARWAL RESPONDENT BY : SHRI D.C. SHARMA DATE OF HEARING : 12.08.2013. DATE OF PRONOUNCEMENT : 14.08.2013 ORDER THIS APPEAL BY ASSESSEE AGAINST THE ORDER DATED 07 .03.2013 OF LD. CIT (APPEALS), BIKANER, CAMP AT JAIPUR ASSAILS THE DECISION TO TRE AT AN AMOUNT OF RS. 1,64,217/- OUT OF ASSESSEES AGRICULTURAL INCOME AS INCOME UNDISCLOSE D SOURCES WITHOUT LAYING ANY BASIS OR JUSTIFIABLE REASONS ON RECORD. 2. BRIEFLY THE FACTS ARE THAT THE ASSESSEE RETURNED INCOME OF RS. 1,48,660/- FROM SALARY AND INTEREST AND ALSO DECLARED AGRICULTURAL INCOME OF RS. 10,64,217/- FOR RATE PURPOSES. DURING THE COURSE OF ASSESSMENT PROCEEDI NGS, THE ASSESSING OFFICER MADE DISCRETE ENQUIRIES FROM THE ASSESSEE AND OPINED THA T CORRECT QUANTUM OF AGRICULTURAL RECEIPTS ARE NOT VERIFIABLE. THE EXACT SALE PROCEED S AND EXPENDITURE IS ALSO NOT FULLY VERIFIABLE. THE ASSESSEE DID NOT FURNISH HIS SHARE OF RIGHT IN THE TOTAL LAND HOLDING OF THE 2 FAMILY. HE, HOWEVER, WAS SATISFIED THAT THE ASSESSE E ENJOYS INCOME FROM AGRICULTURAL OPERATIONS. SINCE ACTUAL INCOME FROM AGRICULTURAL OPERATIONS IS NOT VERIFIABLE, HE PROCEEDED TO ESTIMATE THE INCOME FROM AGRICULTURE A T RS. 9,00,000/- AS AGAINST THE DISCLOSED INCOME OF RS. 10,64,217/- AND THUS TREATE D THE BALANCE OF RS. 1,64,217/- AS ASSESSEES INCOME FROM UNDISCLOSED SOURCES AND MADE THE ADDITION ACCORDINGLY. 3. THE LD. CIT (A) DISMISSED ASSESSEES APPEAL AS T HE GIRDHWARI RECORD DID NOT CONTAIN ANY INFORMATION ABOUT PRODUCTION OF VEGETAB LES, FLOWERS, LEAVES AND WOOD ETC. AND AS SUCH THERE WAS NO DOCUMENTARY EVIDENCE TO VE RIFY THE RECEIPTS OF SALE OF ABOVE ITEMS. HE CONSIDERED SUCH AN ESTIMATION MADE BY TH E ASSESSING OFFICER TO BE FAIR AND REASONABLE. 4. HEARD PARTIES WITH REFERENCE TO MATERIAL ON RECO RD. THE ADMITTED FACT IS THAT THE INCOME DISCLOSED AS AGRICULTURAL INCOME AT RS. 10,6 4,217/- IS NOT THE INCOME FROM FARM HOUSE. THE ASSESSING OFFICER HIMSELF HAS ADMITTED T HAT THE ASSESSEE DERIVED INCOME FROM AGRICULTURAL OPERATIONS. THE ASSESSMENT OF ASSESSE ES BROTHER SHRI AKHILESH TEWARI, A JOINT HOLDER OF THE LAND WAS COMPLETED UNDER SCRUTI NY FOR ASSESSMENT YEAR 2006-07 WHEREIN THE SPOT INSPECTION WAS GOT DONE BY THE ASS ESSING AUTHORITY. THE ITO WARD-3, SIKAR HAS ADMITTED THE FACT THAT THE FARMING IS DON E IN THE MECHANIZED WAY AND BOOKS OF ACCOUNT AND VOUCHERS WERE ALSO MAINTAINED AND VERIF IED. ON THE BASIS OF THE REPORT OF THE INSPECTOR AND CONSIDERING THE FACTS IN THAT CASE, T HE ASSESSING OFFICER ADMITTED DISCLOSURE OF AGRICULTURAL INCOME AT RS. 12,14,325/- IN THAT Y EAR. NO CHANGE IN THE AGRICULTURAL ACTIVITIES CARRIED BY THE JOINT HOLDERS HAS BEEN FO UND NOR REPORTED BY THE ASSESSING AUTHORITY. THE ASSESSING OFFICER ALSO HAS NOT LAID ANY BASIS ON RECORD TO ESTIMATE AGRICULTURAL INCOME AT RS. 9,00,000/- AS AGAINST TH E DECLARED AGRICULTURAL INCOME OF RS. 3 10,64,217/-. NO SPECIFIC INSTANCE OF RECEIPT OR EXP ENDITURE NOT VERIFIABLE HAS BEEN BROUGHT ON RECORD. THE APPELLANT IS NOT FOUND TO H AVE ANY SUCH SOURCE OF INCOME WHICH REQUIRED THE DIFFERENCE AS SUCH SOUGHT TO BE ASSESS ED AS HIS UNDISCLOSED INCOME. KEEPING IN VIEW THE OVER ALL FACTS AND CIRCUMSTANCES OF THE CASE AT HAND, I FIND NO JUSTIFICATION IN NOT ACCEPTING THE BONAFIDE DISCLOSURE OF AGRICULTUR AL INCOME MADE BY THE APPELLANT IN HIS RETURN OF INCOME FOR THE YEAR UNDER CONSIDERATION A ND ACCORDINGLY DELETE THE ADDITION OF RS. 1,64,217/- MADE BY THE ASSESSING OFFICER. BEFOR E I PART, IT IS CLARIFIED THAT THE ASSESSING OFFICER SHALL NOT BE INFLUENCED BY THE FI NDINGS AND CONCLUSION OF THIS APPEAL IN ANY OF THE ASSESSMENTS OF THE SUBSEQUENT YEARS. 5. IN THE RESULT, ASSESSEES APPEAL STANDS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 14.8.2013. SD/- ( B.R. JAIN ) ACCOUNTANT MEMBER JAIPUR, DATED : 14/08/2013. D/- COPY FORWARDED TO :- SHRI AASHISH TIWARI, JAIPUR. THE ACIT, CIRCLE-3, JAIPUR. THE CIT (A) THE CIT THE D/R GUARD FILE (ITA NO. 621/JP/2013) BY ORDER, AR ITAT JAIPUR. 4