Kurian Abraham, Kodaikanal V. ITO, Dindigul

ITA 750/CHNY/2014

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 86309 (ITAT-CHENNAI)
• Duration Of Justice: 10 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-02-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 14-01-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 27-03-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S DASGUPTA
• Assessee Lawyers: T VASUDEVAN
• Keywords: Unexplained cash credit
• Section: 68

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL , B B ENCH, CHENNAI . , ' $ % , & ' BEFORE SHRI A.MOHAN ALANKAMONY ACCOUNTANT MEMBER AND SHRI CHALLA NAGENDRA PRASAD, JUDICIAL MEMBER ./I.T.A.NO. 750/MDS/2014 ( / ASSESSMENT YEAR: 2008-09) MR.KURIAN ABRAHAM, MANOR, LAKE ROAD, KODAIKANAL-624 101. VS INCOME TAX OFFICER, WARD-I(1), DINDIGUL. PAN: ALMPK7313B ( /APPELLANT) ( /RESPONDENT) / APPELLANT BY : MR. T.VASUDEVAN, ADVOCATE /RESPONDENT BY : MR. S. DAS GUPTA, JCIT /DATE OF HEARING : 14 TH JANUARY, 2015 /DATE OF PRONOUNCEMENT : 13 TH FEBRUARY, 2015 / O R D E R PER CHALLA NAGENDRA PRASAD, JM: THIS APPEAL IS FILED BY THE ASSESSEE AGAINST THE OR DER OF THE COMMISSIONER OF INCOME TAX (APPEALS)-II, MADURA I DATED 31.01.2014 FOR THE ASSESSMENT YEAR 2008-09. THE ON LY GRIEVANCE OF THE ASSESSEE IN THIS APPEAL IS THAT COMMISSIONER OF INCOME TAX (APPEALS) ERRED IN CONFI RMING ` 16,84,987 AS UNEXPLAINED CREDITS UNDER SECTION 68 OF THE ACT. 2. BRIEF FACTS ARE THAT ASSESSING OFFICER WHILE COM PLETING THE ASSESSMENT MADE ADDITION OF ` 16,84,987/- AS 2 ITA NO.750/MDS/2014 UNEXPLAINED CREDITS UNDER SECTION 68 OF THE ACT FOR THE REASON THAT ASSESSEE HAS NOT FILED ANY DETAILS. ON APPEAL , COMMISSIONER OF INCOME TAX (APPEALS) SUSTAINED THE ADDITION HOLDING THAT THE ASSESSEE HAS NOT PROVED F ULL IDENTITY OF THE PERSONS WHO HAVE ADVANCED MONIES, REASON FOR ADVANCE AND CAPACITY OF THE PERSONS TO MAKE ADVANCE S. THE ASSESSEE IS IN APPEAL BEFORE US. 3. COUNSEL FOR THE ASSESSEE SUBMITS THAT OUT OF ` 16,84,987/-, AN AMOUNT OF ` 8,84,987 WAS RECEIVED BY CHEQUE FROM SPSK CHINNAKAMAN OF POOLATHUR ON THREE DATES AND THIS WAS DULY ACCOUNTED FOR IN THE BOOKS OF ACCOUNT ON THE RELEVANT DATES, THEREFORE ADDITION A S UNEXPLAINED CREDIT IS NOT JUSTIFIED. IN RESPECT OF ` 8,00,000/- COUNSEL FOR THE ASSESSEE SUBMITS THAT THESE ARE FIE LD CREDITS AND FULLY EXPLAINED BY THE ASSESSEE. 4. DEPARTMENTAL REPRESENTATIVE SUPPORTS THE ORDER O F THE LOWER AUTHORITIES IN MAKING ADDITION AS UNEXPLAINED CREDIT. 5. HEARD BOTH SIDES. PERUSED ORDERS OF LOWER AUTHOR ITIES AND THE MATERIAL RECORD PLACED BEFORE US. THE ASSES SING 3 ITA NO.750/MDS/2014 OFFICER MADE ADDITION OF ` 16,84,987/- UNDER SECTION 68 OF THE ACT FOR THE REASON THAT ASSESSEE HAS NOT PROVIDED A NY DETAILS NOR EXPLAINED THE TRANSACTIONS AS GENUINE. IN THE ABSENCE OF MATERIALS, THE ASSESSING OFFICER MADE ADDITION. THE COMMISSIONER OF INCOME TAX (APPEALS) CONFIRMED THE SAID ADDITION STATING THAT IT IS A FAILURE ON THE PART OF THE ASSESSEE TO PRODUCE PROPER EVIDENCE IN SUPPORT OF HIS CLAIM . BEFORE US, COUNSEL FOR THE ASSESSEE FILED PAPER BOOK CONTA INING PAGES 1 TO 15 WHICH ARE COPIES OF LEDGER, CONFIRMAT ION FROM CHINNAKAMAN AND LEDGER COPY OF VARIOUS PARTIES IN T HE BOOKS OF THE ASSESSEE AND THEIR CONFIRMATION LETTERS TO S HOW THAT THE TRANSACTIONS ARE GENUINE. SINCE ALL THESE INFORMAT ION, CONFIRMATION LETTERS AND LEDGER EXTRACTS WERE NOT P LACED BEFORE THE LOWER AUTHORITIES, IN THE INTEREST OF JU STICE, WE RESTORE THIS MATTER TO THE FILE OF THE ASSESSING OF FICER TO EXAMINE THIS ISSUE AFRESH IN ACCORDANCE WITH LAW A ND IN THE LIGHT OF THE EVIDENCES PRODUCED BY THE ASSESSEE BEF ORE US FOR THE FIRST TIME. THE ASSESSING OFFICER SHALL GIVE AD EQUATE OPPORTUNITY OF HEARING TO THE ASSESSEE. 4 ITA NO.750/MDS/2014 6. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON FRIDAY, THE 13 TH DAY OF FEBRUARY, 2015 AT CHENNAI. SD/- SD/- ( . ) ( ( *+ ) ( A.MOHAN ALANKAMONY ) ( CHALLA NAGENDRA PRASAD ) - / ACCOUNTANT MEMBER * - / JUDICIAL MEMBER * /CHENNAI, / /DATED 13 TH FEBRUARY, 2015 SOMU 12 32 / COPY TO: 1. APPELLANT 2. RESPONDENT 3. 4 () /CIT(A) 4. 4 /CIT 5. 2 7 /DR 6. /GF .