Satyanarayana Goud Dundigal, Hyderabad V. Income Tax Officer, Ward-11(1), Hyderabad

ITA 782/Hyd/2018

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 8453 (ITAT-HYDERABAD)
• Duration Of Justice: 2 year(s) 10 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-03-2021
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB-A
• Next Hearing Date: 22-02-2021
• Assessment Year: 2014-2015
• Appeal Filed On: 26-04-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES A : HYDERABAD (THROUGH VIDEO CONFERENCE) BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER AND SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER I.T.A. NO. 782/HYD/2018 ASSESSMENT YEAR: 2014-15 SATYANARAYANA GOUD DUNDIGAL, HYDERABAD [PAN: AHJPD7987K] VS INCOME TAX OFFICER, WARD-11(1), HYDERABAD (APPELLANT) (RESPONDENT) FOR ASSESSEE : SHRI K.C.DEVDAS, AR FOR REVENUE : SHRI SUNIL KUMAR PANDEY, DR DATE OF HEARING : 22-02-2021 DATE OF PRONOUNCEMENT : 24-03-2021 O R D E R PER S.S.GODARA, J.M. : THIS ASSESSEES APPEAL FOR AY.2014-15 ARISES FROM TH E CIT(A)-5, HYDERABADS ORDER DATED 24-01-2018 PASSED IN APPEAL NO.0528 / 2016-17 / CIT(A)-5 IN PROCEEDINGS U/S.143(3) OF THE INCOME TAX ACT, 1961 [IN SHORT, THE ACT]. HEARD BOTH PARTIES. CASE FILE PERUSED. 2. THE ASSESSEES SOLE SUBSTANTIVE GRIEVANCE CHALLEN GES CORRECTNESS OF BOTH THE LOWER AUTHORITIES ACTION ESTIMA TING AT RS.37,79,436/- @5% ON THE LIQUOR STOCK TO THE TUNE OF RS.7,55,88,734/-. ITS FIRST SUBSTANTIVE GROUND PLEADS TH AT ITA NO. 782/HYD/2018 :- 2 -: SUCH AN ESTIMATION OF INCOME IN RETAIL SALE ON LIQUOR DOES NOT EXCEED 2 TO 4% IN NORMAL COURSE AS PER VARIOUS JUDIC IAL PRONOUNCEMENTS. THE SAME IS FOUND TO BE WITHOUT ANY ME RIT SINCE THE ASSESSEE HAS ALSO BEEN RUNNING BAR/RESTAURA NT PERTINENT IN ADDITION TO THE LIQUOR SHOP. 3. LEARNED DEPARTMENTAL REPRESENTATIVE ALSO FAILS TO REB UT THE CLINCHING FACT THAT LEARNED LOWER AUTHORITIES HAVE ALSO NOT TAKEN INTO CONSIDERATION ANY COMPARABLE CASE OF THE VER Y LOCALITY AS WELL. WE THEREFORE DEEM IT APPROPRIATE IN THESE FACTS AND CIRCUMSTANCES THAT LUMPSUM PROFIT @4.5% WOULD MEET THE ENDS OF JUSTICE WITH A RIDER THAT THE SAME SHALL NOT BE TAKEN AS A PRECEDENT. NECESSARY COMPUTATION TO FOLLOW AS PER LAW. 4. THIS ASSESSEES APPEAL IS PARTLY ALLOWED IN ABOV E TERMS. ORDER PRONOUNCED IN THE OPEN COURT ON 24 TH MARCH, 2021 SD/- SD/- (LAXMI PRASAD SAHU) (S.S.G ODARA) ACCOUNTANT MEMBER JUDICIAL MEM BER HYDERABAD, DATED: 24-03-2021 TNMM ITA NO. 782/HYD/2018 :- 3 -: COPY TO : 1.SATYANARAYANA GOUD DUNDIGAL, C/O.B.NARSING RAO & CO., CHARTERED ACCOUNTANTS, PLOT NO.554, ROAD NO.92 , JUBILEE HILLS, HYDERABAD. 2.THE INCOME TAX OFFICER, WARD-11(1), HYDERABAD. 3.CIT(APPEALS)-5, HYDERABAD. 4.PR.CIT-5, HYDERABAD. 5.D.R. ITAT, HYDERABAD. 6.GUARD FILE.