Shri Vikas Gupta (HUF), Lucknow V. Income Tax Officer 2(3), Lucknow

ITA 764/LKW/2013

• Counselvise Citation: 76423714 RSA 2013
• Duration Of Justice: 7 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-07-2014
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 03-07-2014
• Assessment Year: 2010-2011
• Appeal Filed On: 03-12-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Unexplained investment

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL LUCKNOW BENCH A , LUCKNOW BEFORE SHRI S UNIL KUMAR YADAV , JUDICIAL MEMBER AND SHRI. A. K. GARODIA , ACCOUNTANT MEMBER ITA NO. 764/LKW/2013 ASSESSMENT YEAR: 2010 - 11 SHRI. VIKAS GUPTA (HUF) 35/5, GOKHLE MARG LUCKNO W V. INCOME TAX OFFICER 2(3) LUCKNOW PAN: AABHYV2801B (APP ELL ANT) (RESPONDENT) APP ELL ANT BY: SHRI. ABHINAV MEHROTRA, ADVOCATE RESPONDENT BY: SHRI. AJAY KUMAR, D.R. DATE OF HEARING: 03 0 7 2014 DATE OF PRONOUNCEMENT: 10 0 7 2014 O R D E R PER SUNI L KUMAR YADAV: THIS APPEAL IS PREFERRED BY THE ASSESSEE AGAINST THE ORDER OF THE LD. CIT(A) ON A SOLITARY GROUND THAT THE LD. CIT(A) HAS ERRED IN FACTS AND IN LAW IN CONFIRMING THE ADDITION OF RS.60,000/ - ON ACCOUNT OF UNEXPLAINED INVESTMENT TOWARDS INSU RANCE P REMIUM. 2 . THE FACTS IN BRIEF BORNE OUT FROM THE ORDERS OF THE LOWER AUTHORITIES ARE THAT DURING THE COURSE OF ASSESSMENT PROCEEDINGS, THE ASSESSING OFFICER HAS NOTED THAT ASSESSEE HAS PAID LIFE INSURANCE PREMIUM OF RS.60,000/ - IN CASH TO M/S BAJAJ ALL IANZ LIFE INSURANCE COMPANY LTD. REGARDING THE SOURCE OF CASH PAYMENTS, ASSESSEE HAS STATED THAT THE PREMIUM HAS BEEN PAID OUT OF CASH IN HAND AND IN SUPPORT OF HIS CONTENTION, HE SUBMITTED TH E STATEMENT OF TAXABLE WEALTH AS ON 31.3.2009 SHOWING CASH IN H AND OF RS.63,000/ - . AFTER CLAIMING EXEMPTION OF RS.50,000/ - UNDER SECTION 2(EA)(VI) OF THE WEALTH TAX ACT, THE NET TAXABLE WEALTH HAS BEEN SHOWN AT RS.13,000/ - WHICH WAS BELOW THE EXEMPTION LIMIT OF RS.30 LAKHS. THE ASSESSING OFFICER DID NOT ACCEPT THE E XPLANATIONS PRINT TO PDF WITHOUT THIS MESSAGE BY PURCHASING NOVAPDF ( HTTP://WWW.NOVAPDF.COM/ ) : - 2 - : OF THE ASSESSEE AND HE MADE AN ADDITION OF RS.60,000/ - ON ACCOUNT OF UNEXPLAINED INVESTMENT TOWARDS PREMIUM OF LIFE INSURANCE. 3 . AGGRIEVED, ASSESSEE PREFERRED AN APPEAL BEFORE THE LD. CIT(A), BUT DID NOT FIND FAVOUR WITH HIM. 4 . NOW THE ASSESSEE I S BEFORE THE TRIBUNAL WITH THE SUBMISSION THAT HE HAS PROPERLY EXPLAINED THE AVAILABILITY OF AMOUNT OF RS.60,000/ - PAID IN CASH TOWARDS LIFE INSURANCE PREMIUM. THE LD. COUNSEL FOR THE ASSESSEE HAS CONTENDED THAT SINCE THE ASSESSEE IS AN INCOME - TAX ASSESSE E, AVAILABILITY OF RS.60,000/ - IS NOT THAT MUCH WHICH COULD NOT BE EXPLAINED. THE ASSESSEE, HOWEVER, PLACED EVIDENCE ABOUT AVAILABILITY OF CASH WHICH WAS NOT ACCEPTED BY THE ASSESSING OFFICER. 5 . THE LD. D.R., ON THE OTHER HAND, HAS PLACED RELIANCE UPON THE ORDER O F THE LD. CIT(A). 6 . HAVING GIVEN A THOUGHTFUL CONSIDERATION TO THE RIVAL SUBMISSIONS AND FROM A CAREFUL PERUSAL OF THE ORDERS OF THE AUTHORITIES BELOW, WE FIND THAT THE ASSESSEE HAS PLACED RELEVANT EVIDENCE TO PROVE AVAILABILITY OF CASH OF RS.60,000/ - . ONCE ASSESSEE HAS PLACED RELEVANT EVIDENCE, THE ASSESSING OFFICER IS REQUIRED TO BRING SOME COGENT MATERIAL ON RECORD TO DEMOLISH THE STAND OF THE ASSESSEE. WE, THEREFORE, FIND NO MERIT IN THE ADDITION OF RS.60,000/ - MADE BY THE ASSESSING OFFICER AND C ONFIRMED BY THE LD. CIT(A) . ACCORDINGLY, WE SET ASIDE THE ORDER OF THE LD. CIT(A) AND DELETE THE ADDITION. 7 . IN THE RESULT, APPEAL OF THE ASSESSEE STANDS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 10.7.2014. SD/ - SD/ - [ A. K. GARODIA ] [ S UNIL KUMAR Y ADAV ] ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 10 TH JU LY , 2014 JJ: 0407 PRINT TO PDF WITHOUT THIS MESSAGE BY PURCHASING NOVAPDF ( HTTP://WWW.NOVAPDF.COM/ ) : - 3 - : COPY FORWARDED TO: 1 . APPELLANT 2 . RESPONDENT 3 . CIT(A) 4 . CIT 5 . DR ASSISTANT REGISTRAR PRINT TO PDF WITHOUT THIS MESSAGE BY PURCHASING NOVAPDF ( HTTP://WWW.NOVAPDF.COM/ )