Mahadeo Nivruti Navale (Smaller HUF), Solapur V. Assistant Commissioner of Income-tax, Circle - 1, Solapur

ITA 835/PUN/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 6710 (ITAT-PUNE)
• Duration Of Justice: 1 year(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-05-2019
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 29-04-2019
• Assessment Year: 2013-2014
• Appeal Filed On: 07-05-2018
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: ARISES OUT OF PASSED

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH A, PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT AND SHRI VIKAS AWASTHY, JUDICIAL MEMBER . / ITA NO.835/PUN/18 / ASSESSMENT YEAR : 2013-14 MAHADEO NIVRUTI NAVALE (SMALLER HUF), A/P. EKTAPUR, TAL. SANGOLA, DIST. SOLAPUR 413 307 PAN : AAHHN1090C VS. ACIT, CIRCLE-1, SOLAPUR (APPELLANT) (RESPONDENT) / ORDER PER R.S.SYAL, VP : THIS APPEAL BY THE ASSESSEE ARISES OUT OF THE ORDER PASSE D BY THE CIT(A)-7, DATED 27-12-2017, PUNE IN RELATION TO THE ASSESSMENT YEAR 2013-14. 2. THIS APPEAL IS TIME-BARRED BY 38 DAYS. AN AFFIDAVIT HA S BEEN FILED IN SUPPORT OF THE REASONS OF DELAY, WITH WHICH WE ARE SATISFIED. THE APPEAL IS, THEREFORE, ADMITTED FOR DISPOSAL ON MERITS. APPELLANT BY WRITTEN SUBMISSIONS FILED BY SHRI SUHAS BORA RESPONDENT BY SHRI N.ASHOK BABU DATE OF HEARING 06-05-2019 DATE OF PRONOUNCEMENT 07-05-2019 ITA NO.835/PUN/2018 MAHADEO N. NAVALE (SMALLER HUF) 2 3. THE ONLY ISSUE RAISED IN THE APPEAL IS AGAINST THE CONFIRMATION OF ADDITION OF RS.70,34,750/- (RS.75,00,000 RS. 4,65,250). 4. BRIEFLY STATED, THE FACTS OF THE CASE ARE THAT THE ASSES SEE FILED RETURN DECLARING TOTAL INCOME OF RS.4,46,35,614/-. DU RING THE COURSE OF ASSESSMENT PROCEEDINGS, IT TRANSPIRED THAT THE ASSESSEE HAD INCURRED EXPENSES TO THE TUNE OF RS.73.00 LAKH. ON BEING CALLED UPON TO GIVE THE SOURCE OF SUCH EXPENSES, THE ASSESSEE CAME OUT WITH A REPLY THAT HE EARNED AGRICULTURAL INCOME OF RS.75.00 LAKH. ADMITTEDLY, THE SAME WAS NOT SHO WN IN THE RETURN OF INCOME. THE ASSESSEE WAS REQUIRED TO P ROVE THE EXISTENCE OF AGRICULTURAL INCOME BY MEANS OF 7/12 EXTRACTS, PROOF OF OWNERSHIP OF AGRICULTURAL LAND IN THE NAME OF COPARCENERS OF THE ASSESSEE HUF, CROP PATTERN AND SALE B ILLS PERTAINING TO SALE OF AGRICULTURAL COMMODITIES. THE ASSESSEE FILED 7/12 EXTRACTS BUT COULD NOT FURNISH ANY SALE BILLS ETC. OR DETAILS OF PURCHASERS OF AGRICULTURAL PRODUCE. THE ASSESSIN G OFFICER (AO) PERUSED 7/12 EXTRACTS AND OBSERVED THAT OUT OF TOTAL LAND HOLDING OF 24.2698 HECTARES, LAND OF ONLY 9.305 HECTARES WAS CULTIVATABLE AND THE REMAINING LAND WAS UNCULTIVABLE. THE AO FURTHER OBSERVED THAT ONLY CROP OF JO WAR ITA NO.835/PUN/2018 MAHADEO N. NAVALE (SMALLER HUF) 3 AND GRAM ETC. WAS SHOWN IN 7/12 EXTRACTS IN RESPECT OF CULTIVABLE LAND. IN THE ABSENCE OF ASSESSEE FURNISHING ANY EVIDENCE OF THE SALE OF AGRICULTURAL INCOME, THE AO ESTIMATED THE NET YIELD FROM JOWAR AT RS.50,000/- PER HECTARE AND ACCEPTED THE AGRICULTURAL INCOME TO THE TUNE OF RS.4,65,250/- . THE REMAINING AMOUNT OF RS.70,34,750/- (RS.75,00,000 RS. 4,65,250) WAS TREATED AS INCOME FROM OTHER SOURCES, FOR WHICH ADDITION WAS MADE. NO RELIEF WAS ALLOWED IN THE FIRST APPEAL. AGGRIEVED BY THE ORDER OF THE LD. CIT(A), THE AS SESSEE HAS COME UP IN APPEAL BEFORE THE TRIBUNAL. 5. WE HAVE HEARD BOTH THE SIDES AND GONE THROUGH THE RELEVANT MATERIAL ON RECORD. IT IS SEEN THAT THE ASSESSEE CLA IMED TO HAVE EARNED AGRICULTURAL INCOME OF RS.75.00 LAKH TO SHOW THE SOURCE OF EXPENSES INCURRED AT RS.73.00 LAKH. SUCH INCO ME WAS NOT SHOWN IN THE RETURN OF INCOME. ON PERUSAL OF 7/12 E XTRACTS, THE AO OBSERVED THAT OUT OF TOTAL AGRICULTURAL LAND ADMEASURIN G 24.2698 HECTARE, ONLY 9.305 HECTARE WAS CULTIVABLE AND THE REMAINING LAND WAS UNCULTIVABLE. THE ASSESSEE COULD NOT FURNISH ANY EVIDENCE OF THE AGRICULTURAL INCOME. WHEN THE A O REQUIRED THE ASSESSEE TO PLACE ON RECORD SALE BILLS FOR THE CLAIMED AGRICULTURAL PRODUCE, THE ASSESSEE COULD NOT FURN ISH THE ITA NO.835/PUN/2018 MAHADEO N. NAVALE (SMALLER HUF) 4 SAME. IN THE WRITTEN SUBMISSIONS FILED ON BEHALF OF THE ASSESSEE, THERE IS NO FURTHER SUBSTANTIATION OF THE AGRICULTURA L INCOME EXCEPT THE BALD ARGUMENTS. CONSIDERING THE ENTIRETY OF THE INSTANT CASE, WE ARE SATISFIED THAT THE AUTHORITIES BELOW WERE JUSTIFIED IN ESTIMATING THE AGRICULTURAL INCOME AT RS.4,65,250/- OUT OF THE CULTIVABLE AGRICULTURAL LAND AND TREATING THE REMAININ G SUM OF RS.70,34,750/- AS INCOME FROM OTHER SOURCES . 6. IN THE RESULT, THE APPEAL IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 07 TH MAY, 2019. SD/- SD/- (VIKAS AWASTHY) (R.S.SYAL ) JUDICIAL MEMBER VICE PRESIDENT PUNE; DATED : 07 TH MAY, 2019. / COPY OF THE ORDER IS FORWARDED TO : 1. / THE APPELLANT; 2. / THE RESPONDENT; 3. ( ) / THE CIT (APPEALS)-7, PUNE 4. 5. THE PR. CIT-6, PUNE , , / DR A, ITAT, PUNE; 6. / GUARD FILE. // TRUE COPY // / BY ORDER, TRUE COPY // SENIOR PRIVATE SECRETARY , / ITAT, PUNE ITA NO.835/PUN/2018 MAHADEO N. NAVALE (SMALLER HUF) 5 DATE 1. DRAFT DICTATED ON 06-05-2019 SR.PS 2. DRAFT PLACED BEFORE AUTHOR 06-05-2019 SR.PS 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. JM 5. APPROVED DRAFT COMES TO THE SR.PS/PS SR.PS 6. KEPT FOR PRONOUNCEMENT ON SR.PS 7. DATE OF UPLOADING ORDER SR.PS 8. FILE SENT TO THE BENCH CLERK SR.PS 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK 10. DATE ON WHICH FILE GOES TO THE A.R. 11. DATE OF DISPATCH OF ORDER. *