ASST CIT 24 (1), MUMBAI V. SHRI. DEEPAK NAVIN SHAH, MUMBAI

ITA 6879/MUM/2019

• Counselvise Citation: [2021] 104 COUNSELVISE.COM (IT) 9415 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 10 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-09-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2010-2011
• Appeal Filed On: 07-11-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: RESTRICTING NET PROFIT AT AFTER CONSIDERING
• Section: 147; 143(3)

Judgement Text

आयकर अपीलीय अिधकरण मुंबई पीठ “एस एम सी”, मुंबई Įी ǒवकास अवèथी, Ûयाियक सदèय के सम¢ IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH “SMC”, MUMBAI BEFORE SHRI VIKAS AWASTHY, JUDICIAL MEMBER आअसं. 6879/मुं/2019 (िन.व.2010-11) ITA NO.6879/MUM/2019 (A.Y.2010-11) ACIT- 24(1), Room No. 601, Piramal Chambers, Jeejeebhoy Lane, Lalbaug, Parel, Mumbai-400012. ...... अपीलाथȸ /Appellant बनाम Vs. Deepak Navin Shah A/103, Sanjay Building No.5, Mittal Estate, Andheri Kurla Road, Andheri (East), Mumbai-400059 PAN: AAKPS9564M ..... Ĥितवादȣ/Respondent अपीलाथȸ Ʈारा/ Appellant by : Sh. Sanjay J. Sethi Ĥितवादȣ Ʈारा/Respondent by : None सुनवाई कȧ ितिथ/ Date of hearing : 24/06/2021 घोषणा कȧ ितिथ/ Date of pronouncement : 17/09/2021 आदेश/ ORDER PER VIKAS AWASTHY, J.M: This appeal by the Revenue is directed against the order of Commissioner of Income Tax (Appeals)-36, Mumbai [hereinafter referred to as ‘the CIT(A)’] dated 29.08.2019 for the Assessment Year (AY) 2010-11. 2 आअसं. 5887/मुं/2019 (िन.व.2009-10) ITA NO.5887/MUM/2019 (A.Y.2009-10) 2. The brief facts of the case as emanating from records are: The assessee is engaged in manufacturing and sale of furniture. On the basis of information received from the Deputy Director, Central Excise DGCEI, Zonal Unit, Mumbai, assessment for AY 2010-11 in the case of assessee was re-opened. The Central Excise Department carried out search action on the premises of Amardeep Design, a sister concern of the assessee. As per the information received, the assessee had suppressed sales to the tune of Rs. 1,17,18,211/-, the Assessing Officer (AO) estimated Net Profit at the rate of 7% on undisclosed sales and made addition of Rs. 8,35,724/-. Aggrieved by the assessment order dated 28.12.2016 passed under section 143(3) read with section 147 of the Income Tax Act, 1961 [hereinafter referred to as ‘the Act’], the assessee filed appeal before the CIT(A). The CIT(A) after examining the facts of case and documents on record modified the assessment order by restricting Net Profit to 5% instead of 7% estimated by the AO. Against the relief granted by the CIT(A), the Revenue is in appeal before the Tribunal. 3. Sh. Sanjay J. Sethi representing the Department vehemently defended the assessment order and prayed for restoring the Net Profit estimated by the AO. 4. Submissions made by ld. DR heard, orders of the authorities below examined. A perusal of the impugned order reveals that the CIT(A) has granted part relief to the assessee by restricting Net Profit at 5% after considering average Net Profit ratio of the assessee for the last five preceding years and the average net profit of the industry. I find the impugned order well- reasoned, hence, the same warrants no interference. 3 आअसं. 5887/मुं/2019 (िन.व.2009-10) ITA NO.5887/MUM/2019 (A.Y.2009-10) 5. In the result, appeal of the Revenue is dismissed, sans merit. Order pronounced in the open court on Friday, the 17 th day of September, 2021. Sd/- (VIKAS AWASTHY) Ûयाियक सदèय / JUDICIAL MEMBER मुंबई/Mumbai,Ǒदनांक/Dated: 17/09/2021 SK, PS Ĥितिलǒप अĒेǒषतCopy of the Order forwarded to : 1. अपीलाथȸ/The Appellant , 2. Ĥितवादȣ/ The Respondent. 3. आयकर आयुƠ(अ)/ The CIT(A)- 4. आयकर आयुƠ CIT 5. ǒवभागीय Ĥितिनिध, आय.अपी.अिध., मुबंई/DR, ITAT, Mumbai 6. गाड[ फाइल/Guard file. BY ORDER, //True Copy// (Dy./Asstt. Registrar) ITAT, Mumbai