Pawan Kumar Dua, New Delhi V. ACIT, Central Circle- 28, New Delhi

ITA 6589/DEL/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 4442 (ITAT-DELHI)
• Duration Of Justice: 3 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-02-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: F
• Assessment Year: 2014-2015
• Appeal Filed On: 15-10-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: DR RAKESH GUPTA
• Keywords: Document seized; Application of stay; Documents seized
• Section: 143(3); 153A

Judgement Text

1 S.A NOS. 45, 46 & 47/DEL/2019 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: F NEW DELHI BEFORE SHRI R. K. PANDA, ACCOUNTANT MEMBE R AND MS SUCHITRA KAMBLE, JUDIC IAL MEMBER S. A NO. 45 /DEL/2019 IN (ITA NO. 6588/DEL/2018 ( A.Y 2013-14) S. A NO. 46/DEL/2019 IN (ITA NO. 6589/DEL/2018 ( A.Y 2014-15) S. A NO. 47/DEL/2019 IN (ITA NO. 6590/DEL/2018 ( A.Y 2015-16) PAWAN KUMAR DUA C/O. RRA TAX INDIA, D-28, SOUTH EXTENSION, PART-1 NEW DELHI AACPD2040F (APPLICANT) VS ACIT CENTRAL CIRCLE-28 NEW DELHI (RESPONDENT) APPLICANT BY DR. RAKESH GUPTA & SH. SOMIL AGGARWAL, ADVS RESPONDENT BY SH. SURENDRA PAL, SR. DR ORDER PER SUCHITRA KAMBLE, JM THESE THREE STAY APPLICATIONS HAVE BEEN FILED AGAIN ST OUTSTANDING DEMAND OF RS. 1,27,62,353/- FOR ASSESSMENT YEAR 201 3-14, RS. 2,25,63,203/- FOR ASSESSMENT YEAR 2014-15 & RS. 23,56,419/- FOR A SSESSMENT YEAR 2015-16. 2. THE LD. AR SUBMITTED THAT THE ASSESSEE HAS A PRI ME FACIE CASE FOR GRANTING STAY AND EARLY HEARING. THE LD. AR SUBMIT TED THAT THE ASSESSEE IS NOT DOING ANY BUSINESS RELATING TO METAL TRADING AS ALL EGED BY THE ASSESSING OFFICER IN THE ASSESSMENT ORDER. THE LD. AR FURTHER SUBMIT TED THAT ADDITION ON DATE OF HEARING 08.02.2019 DATE OF PRONOUNCEMENT 08.02.2019 2 S.A NOS. 45, 46 & 47/DEL/2019 ACCOUNT OF ALLEGED UNACCOUNTED TURNOVER WAS ONLY ON THE DOCUMENTS SEIZED FROM 3 RD PARTY AND THE STATEMENT OF THAT THIRD PARTY. BUT THE SEIZED DOCUMENTS WERE NOT FOUND FROM THE ASSESSEE AND THERE IS NO JU STIFICATION GIVEN BY THE ASSESSING OFFICER FOR MAKING THE IMPUGNED ADDITION IN THE HANDS OF ASSESSEE SOLELY BASED ON SUCH DOCUMENTS. THE LD. AR POINTED OUT THAT IF THOSE ALLEGED DOCUMENTS WERE USED AGAINST THE ASSESSEE, PROCEEDIN GS U/S 153C COULD ALONE HAVE BEEN TAKEN BY COMPLYING WITH REQUIRED STATUTOR Y/OBLIGATIONS WHICH HAS NOT BEEN DONE IN THE PRESENT CASE. THUS, THE ASSUM PTION OF JURISDICTION IN PASSING THE ASSESSMENT ORDER U/S 143(3) READ WITH S ECTION 153A IS NOT IN ACCORDANCE WITH LAW AND WITHOUT APPLYING THE VARIOU S MANDATORY CONDITIONS OF SECTION UNDER THE ACT. THE LD. AR SUBMITTED THAT A PPROXIMATELY RS. 73 LACS HAS ALREADY BEEN PAID AGAINST THE OUTSTANDING DEMAN D IN ALL THE THREE ASSESSMENT YEARS. THUS, THE LD. AR SUBMITTED THAT STAY AND EARLY HEARING MAY BE GRANTED IN THIS APPEAL. 3. THE LD. DR OPPOSED THE STAY APPLICATIONS IN ALL THE THREE APPEALS VEHEMENTLY. 4. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE M ATERIAL AVAILABLE ON RECORD. PRIMA FACIE, THE LEGAL ASPECT SUBMITTED BY THE LD. AR RELATING TO THE ASSUMPTION OF JURISDICTION IN PASSING THE ASSESSMEN T ORDER U/S 143(3) READ WITH SECTION 153A HAS TO BE CONTESTED FIRST AND THE LD. AR MADE OUT A CASE FOR GRANTING STAY AND EARLY HEARING. THEREFORE, WE ARE GRANTING STAY FOR SIX MONTHS OR TILL THE DISPOSAL OF THE APPEALS WHICHEVER IS EA RLIER WITH THE DIRECTION THAT THE ASSESSEE WILL PAY RS. 40 LACS IN TWO INSTALLMENTS. WE DIRECT THE ASSESSEE THAT FIRST INSTALLMENT OF RS. 20 LACS TO BE PAID ON OR B EFORE 28/2/2019 AND SECOND INSTALLMENT OF RS.20 LACS TO BE PAID ON OR BEFORE 1 5 TH MARCH 2019. IF THE ASSESSEE FAILED TO COMPLY WITH THIS DIRECTION THE S TAY WILL GET AUTOMATICALLY VACATED. THE LD. AR ALSO MADE OUT A GOOD CASE FOR E ARLY HEARING. THEREFORE, WE ARE DIRECTING THE REGISTRY TO PLACE THE MAIN THREE APPEALS FOR HEARING ON 3/4/2019. REGISTRY IS DIRECTED ACCORDINGLY. DASTI. 3 S.A NOS. 45, 46 & 47/DEL/2019 5. IN RESULT, ALL THE THREE STAY APPLICATIONS ARE A LLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 08 TH FEBRUARY, 2019 SD/- SD/- (R. K. PANDA) (SUCHITRA KAMBLE) ACCOUNTANT MEMBER JUDICIAL MEM BER DATED: 08/02/2019 R. NAHEED COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI 4 S.A NOS. 45, 46 & 47/DEL/2019 DATE OF DICTATION 08.02.2019 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 08.02.2019 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. PS/PS DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. PS/PS 08.02.2019 DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT 08.02.2019 DATE ON WHICH THE FILE GOES TO THE BENCH CLERK 08.02.2019 DATE ON WHICH THE FILE GOES TO THE HEAD CLERK THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER 5 S.A NOS. 45, 46 & 47/DEL/2019