Ashok Kumar Verma, V. Income Tax Officer 1,

ITA 75/JAB/2014

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 5727 (ITAT-JABALPUR)
• Duration Of Justice: 1 year(s) 11 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-04-2016
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2007-2008
• Appeal Filed On: 09-04-2014
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: D R LATHORIYA
• Assessee Lawyers: SANJAY MISHRA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL JABALPUR BENCH, JABALPUR BEFORE SHRI N.S. SAINI , HONBLE ACCOUNTANT MEMBER AND SHRI N.K. CHOUDHRY , HONBLE JUDICIAL MEMBER ITA NO. 7 5 / J AB /201 4 (ASST. YEAR : 200 7 - 0 8 ) ASHOK KUMAR VERMA, PROP. M/S. KHANDWA TRANSPORT , VERMA COLONY, OLD ITARSI, ITARSI VS. ITO, WARD - 1, ITARSI. PAN NO. ACWPV 0033 E (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI SANJAY MISHRA ADV. DEPARTMENT BY : S HRI D.R. LATHORIYA - DR DATE OF HEARING : 05 / 0 4 /201 6 . DATE OF PRONOUNCEMENT : 0 5 / 04 /201 6 . O R D E R PER N.S. SAINI , ACCOUNTANT MEMBER THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS) , BHILASPUR , CAMP AT BHOPAL , DATED 16 /0 9 /201 3 . 2. THE SOLE ISSUE INVOLVED IN THIS APPEAL IS THAT THE COMMISSIONER OF INCOME TAX (APPEALS) ERRED IN CONFIRMING THE ADDITION OF RS. 3,93,893/ - 3 . BRIEF FACTS OF THE CASE ARE THAT THE ASSESSING OFFICER OBSERVED THAT THE GROSS RECEIPTS OF THE YEAR AS PER TDS WAS RS. 1,41,69,364/ - WHEREAS IN THE PROFIT & LOSS ACCOUNT FILED WITH THE RETURN OF INCOME , THE ASSESSEE HAS SHOWN THE RECEIPTS AT RS. 1,34,84,477/ - AND THE ENTIRE SHORT RECEIPTS SHO WN BY THE ASSESSEE AT RS. 6,84,917/ - WAS TREATED AS INCOME OF THE ASSESSEE AND ADDED TO THE INCOME OF THE ASSESSEE. 2 ITA NO. 75 / JAB /201 4 4 . ON APPEAL, COMMISSIONER OF INCOME TAX (APPEALS) CONFIRMED THE ACTION OF THE ASSESSING OFFICER . 5. BEFORE US, THE AUTHORIZED REPRESENTATIVE OF THE ASSESSEE SUBMITTED THAT THE ENTIRE SHORT RECEIPTS SHOWN BY THE ASSESSEE AT RS. 6,84,917/ - CANNOT BE THE INCOME OF THE ASSESSEE AND THAT ONLY THE PROFIT EMBEDDED IN RS. 6,84,917/ - SHOULD BE TAKEN AS INCOME OF THE ASSESSEE. HE SUBMITTED THAT SUCH PROFIT SHOULD BE ESTIMATED AT 8%. 6 . ON THE OTHER HAND, DEPARTMENTAL REPRESENTATIVE SUPPORTED THE ORDERS OF THE LOWER AUTHORITIES AND SUBMITTED THAT THE ENTIRE EXPENDITURE HAS B EEN CLAIMED AS DEDUCTION TO THE PROFIT & LOSS ACCOUNT BY THE ASSESSEE AND THEREFORE, THE SHORT RECEIPTS SHOULD BE ADDED IN ENTIRETY. 7. HAVING HEARD RIVAL SUBMISSIONS AND PERUSED THE ORDERS OF THE LOWER AUTHORITIES AND THE MATERIAL AVAILABLE ON RECORD. WE FIND THAT THE ADDITION OF RS. 6,84,917/ - WAS MADE TO THE INCOME OF THE ASSESSEE BY THE ASSESSING OFFICER AS HE FOUND THAT THE TOTAL RECEIPTS AS PER TDS CERTIFICATE WAS RS. 1,41,69,364/ - AND THE ASSESSEE IN THE PROFIT & LOSS ACCOUNT HAS SHOWN RECEIPTS AT RS. 1,34,84,477/ - . ON APPEAL, COMMISSIONER OF INCOME TAX (APPEALS) CONFIRMED THE SAME . THE ONLY ARGUMENT OF THE AUTHORIZED REPRESENTATIVE OF THE ASSESSEE IS THAT THE ENTIRE RECEIPTS OF RS. 6,84,917/ - SHOULD NOT BE TREATED AS INCOME OF THE ASSESSEE AND ONLY PROFIT EMBEDDED IN RS. 6,84,917/ - SHOULD BE TAKEN AS INCOME OF THE ASSESSEE. ON THE OTHER HAND, DEPARTMENTAL REPRESENTATIVE SUBMITTED THAT THE ASSESSEE HAS CL A IMED THE ENTIRE EXPENDITURE OF TRANSPORTATION BUSIN ESS AS DEDUCTION IN ITS PROFIT & LOSS ACCOUNT AND THEREFORE, THE SHORT RECEIPTS O N TRANSPORT OF RS. 6,84,917/ - SHOULD BE ADDED TO THE INCOME OF THE ASSESSEE. THE AUTHORIZED REPRESENTATIVE OF THE ASSESSEE HAS NOT BROUGHT ANY MATERIAL TO SHOW THAT THE EXPENSES WITH RELATION TO THE SHORT RECEIPTS OF RS. 6,84,917/ - 3 ITA NO. 75 / JAB /201 4 WAS NOT DEBITED TO THE PROFIT & LOSS ACCOUNT BY THE ASSESSEE. IN ABSENCE OF ANY SUCH MATERIAL BEING BROUGHT ON RECORD, WE FIND NO INFIRMITY IN THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPE ALS) WHICH IS CONFIRMED AND THE GR O UND OF A P PEAL OF THE ASSESSEE IS DISMISSED. 8. IN THE RESULT, APPEAL OF THE ASSESSEE IS DISMISSED. ORDER PRONOUNCED IN THE COURT AT THE CLOSE OF THE HEARING ON TUESDAY , THE 0 5 TH DAY OF APRIL , 201 6 AT JABALPUR . SD/ - SD/ - ( N.K. CHOUDHRY ) (N.S.SAINI) JUDICIAL MEMBER ACCOUNTANT MEMBER D ATED : 0 5 TH APRIL , 201 6 . VR/ - COPY TO: 1. THE ASSESS E E. 2. THE REVENUE. 3. THE CIT 4. THE CIT(A) 5. THE D.R . 6. GUARD FILE. BY ORDER SR. PRIVATE SECRETARY, ITAT, JABALPUR.