Prabhakar Raghunandan, CHENNAI V. ACIT, CHENNAI

ITA 822/CHNY/2017

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 4272 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-06-2017
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: B
• Assessment Year: 2012-2013
• Appeal Filed On: 04-04-2017
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: V SREENIVASAN JICIT D R
• Assessee Lawyers: T BANUSEKARC A
• Keywords: Opportunity of being heard

Judgement Text

, B/ SMC , IN THE INCOME TAX APPELLATE TRIBUNAL B/SMC BENCH, CHENNAI . , BEFORE SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER I.T.A.NO.822 /MDS./2017 ( ASSESSMENT YEAR : 2012-13) MR.PRABHAKAR RAGHUNANDAN , NO.52/51, 3RD MAIN ROAD, GANDHI NAGAR, ADYAR, CHENNAI 600 020. VS. THE ACIT, NON CORPORATE CIRCLE 15(1), CHENNAI. PAN AAJPR 3830 Q ( / APPELLANT ) ( / RESPONDENT ) / APPELLANT BY : MR.T.BANUSEKAR,C.A / RESPONDENT BY : MR.V.SREENIVASAN, JICIT, D.R ! ' / DATE OF HEARING : 22.06.2017 #$%& ! ' /DATE OF PRONOUNCEMENT : 22.06.2017 / O R D E R PER CHANDRA POOJARI, ACCOUNTANT MEMBER: THIS APPEAL IS FILED BY THE ASSESSEE, AGGRIEVED BY THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX(A)-15, CHENN AI DATED 25.01.2017 PERTAINING TO ASSESSMENT YEAR 2012-13. ITA NO. 822/MDS/2017 2 2. AS FAR AS THE GROUND NOS.1 & 2 REGARDING NON-PR OVIDING OF SUFFICIENT OPPORTUNITY OF BEING HEARD BY THE LD.CIT (A) IS CONCERNED, THE COUNSEL FOR THE ASSESSEE SUBMITS THAT THESE TWO GROUNDS ARE NOT PRESSED. THUS THESE GROUNDS ARE DISMISSED AS NOT PR ESSED. 3. THE NEXT GROUND IS THAT THE LD.CIT(A) ERRED IN UPHOLDING THE ADDITION TO THE EXTENT OF ` 17,97,490/- TOWARDS EXPENDITURE INCURRED BY THE ASSESSEE FOR EARNING INCOME FROM OTHER SOURC ES. 4. IN THIS CASE, THE ASSESSEE DECLARED INCOME FOR RUNNING THE GUEST HOUSE AT ` 5,94,000/- AND CLAIMED THE EXORBITANT EXPENDITURE OF ` 20,97,490/- COMPRISING OF SALARY & BONUS, TRAVELLIN G EXPENSES, REPAIRS, AND GENERAL EXPENSES. THE MAIN GRIEVANCE OF ASSESSEE IN HIS APPEAL IS WITH REGARD TO THE ABOVE ADDITIONS MA DE BY THE LD. ASSESSING OFFICER ON ACCOUNT OF NON PRODUCTION OF B ILLS/VOUCHERS FOR INCURRING OF EXPENDITURE AND PAYMENT OF THE SAME. A GGRIEVED, THE ASSESSEE CARRIED THE APPEAL BEFORE THE LD.CIT(A). O N APPEAL, THE LD.CIT(A) HAD GIVEN A RELIEF OF ` 3 LAKHS TOWARDS PAYMENT OF SALARY TO ONE PERSON, SH. M.BHASKAR AND CONFIRMED THE DISALLO WANCE OF ` 17,97,490/-. AGAINST THIS THE ASSESSEE IS IN APPEA L BEFORE US. ITA NO. 822/MDS/2017 3 5. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE MATERIAL ON RECORD. BEFORE US, LD.A.R PLEADED THAT ONE MORE O PPORTUNITY TO BE GIVEN TO THE ASSESSEE TO PRODUCE NECESSARY DETAILS BEFORE THE A.O. SO AS TO SUPPORT THE CLAIM OF ASSESSEE. WE ACCEDE THE REQUESTS OF LD.A.R . ACCORDINGLY, WE SET ASIDE THE ORDER OF LO WER AUTHORITIES AND DIRECT THE AO TO GIVE ONE MORE OPPORTUNITY TO THE ASSESSEE TO PRODUCE NECESSARY DETAILS IN SUPPORT OF THE CLAIM OF THE ASSESSEE, THEREAFTER TO PASS FRESH ORDER IN ACCORDA NCE WITH LAW. 6. IN THE RESULT, THE APPEAL OF ASSESSEE IS PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 22 ND JUNE, 2017. SD/- ( ) ( CHANDRA POOJARI ) /ACC OUNTANT MEMBER CHENNAI, DATED THE 22 ND JUNE, 2017 . K S SUNDARAM. ' ( )!*+ ,+%! / COPY TO: 1 . / APPELLANT 3. ' ' -! () / CIT(A) 5. +0 1 )!)23 / DR 2. / RESPONDENT 4. ' ' -! / CIT 6. 1 45 6 / GF