Mukesh Kumar Gupta, Agra V. The ACIT, Agra

ITA 86/AGR/2009

• Counselvise Citation: [2010] 136 COUNSELVISE.COM (IT) 6718 (ITAT-AGRA)
• Duration Of Justice: 1 year(s) 4 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-07-2010
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB
• Next Hearing Date: 20-07-2010
• Assessment Year: 2002-2003
• Appeal Filed On: 05-03-2009
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Section: 10(14)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AGRA BENCH, AGRA BEFORE SHRI R.K. GUPTA, JUDICIAL MEMBER AND SHRI P.K. BANSAL, ACCOUNTANT MEMBER ITA NO.86/AGR/2009 ASST. YEAR: 2002-03 SHRI MUKESH KUMAR GUPTA, VS. THE A.C.I.T. 2 , D.O., LIC, NATRAJ PURAM, AGRA. KAMLA NAGAR, AGRA. (PAN : ABPPG 9494 C). (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI PANKAJ GARG, ADVOCATE RESPONDENT BY : SHRI VINOD KUMAR, JR. D.R. ORDER PER P.K. BANSAL, A.M.: THIS APPEAL HAS BEEN FILED AGAINST THE ORDER OF THE CIT(A) DATED 22.12.2008. 2. AT THE TIME OF HEARING, LD. A.R. CONTENDED THAT HE WISH TO TAKE UP ONLY GROUND NOS.5 & 6 AND REST OF THE GROUNDS WERE NOT PRESSED. THEREFOR E, THE SAME STAND DISMISSED AS NOT PRESSED. 3. IT WAS CONTENDED BY THE LD. A.R. THAT THIS BENCH OF THE TRIBUNAL CONSTANTLY DISALLOWING ONLY 20% OF THE FIXED CONVEYANCE ALLOWANCE AND ADDI TIONAL CONVEYANCE ALLOWANCE RECEIVED BY THE DEVELOPMENT OFFICERS. IN THIS REGARD, OUR ATTE NTION WAS DRAWN TOWARDS THE DECISION OF THIS TRIBUNALS IN THE CASE OF SHRI R.K. SHARMA IN ITA NO .213/AGR/2006 AND ALSO IN THE CASE OF SHRI MAHENDRA KUMAR AGARWAL IN ITA NO.208/AGR/2006 AND C ONTENDED THAT THE DISALLOWANCE SHOULD BE RESTRICTED TO ONLY 20%. 2 4. LD. D.R., ON THE OTHER HAND, RELIED ON THE ORDER S OF THE AUTHORITIES BELOW. 5. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL ON RECORD. WE NOTED THAT THE ASSESSEE IS AN EMPLOYEE WORKING AS DEVELOPMENT OFFICER IN LIFE INSURANCE CORPORATION OF INDIA. THE ASSESSEE CLAIMED CONVEYANCE ALLOWANCE A ND ADDITIONAL CONVEYANCE ALLOWANCE OF RS.24,120/- AND RS.4,50,523/- RESPECTIVELY AS EXEMP T UNDER SECTION 10(14) OF THE INCOME-TAX ACT, 1961 (THE ACT HEREINAFTER). THE A.O. DID NO T AGREE WITH THE ASSESSEE AND TREATED WHOLE OF THE AMOUNT OF RS.4,74,643/- TO BE THE INCOME OF THE ASSESSEE. THE ASSESSEE WENT IN APPEAL BEFORE THE CIT(A) AND THE CIT(A) CONFIRMED THE ORDE R OF THE A.O. ON THIS ISSUE. WE NOTED THAT THE ISSUE INVOLVED IS DULY COVERED BY THE DECISION OF THIS TRIBUNAL IN ITA NO.213/AGR/2006 IN THE CASE OF SHRI R.K. SHARMA VS. ACIT, ALIGARH IN W HICH THE TRIBUNAL VIDE ORDER DATED 28.08.2007 HAS HELD AS UNDER :- WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED TH E MATERIAL AVAILABLE ON RECORD AND TAKEN INTO CONSIDERATIONS THE JUDGEME NT RELIED UPON BEFORE THE BENCH. ON A CAREFUL CONSIDERATION OF THE SAME, WE ARE OF THE OPINION THAT IN THE PECULIAR FACTS OF THE CASE, THE LD. CIT(A) WAS NOT JUSTIFIED IN REJECTING OUT RIGHTLY THE PRAYER OF THE ASSESSEE IN REGARD TO TAKING INTO CONSIDERATION THE PAST HISTORY. WE ARE OF THE VIEW IN THE PECULIAR FACTS AND CIRCUM STANCES OF THE CASE IN TERMS OF THE JUDGEMENT OF M.P. HIGH COURT IN THE CASE OF A.K . GHOSH (SUPRA), THAT IT CANNOT BE DENIED THAT EXPENDITURE HAS BEEN INCURRED BY THE ASSESSEE IN DISCHARGE OF HIS DUTIES AND OBLIGATIONS. THE EXPENDITURE FOR WANT OF VOUCHERS HAS TO BE ESTIMATED. ACCORDINGLY, AFTER HEARING THE RIVAL SU BMISSIONS AND PERUSING THE MATERIAL AVAILABLE ON RECORD, WE HOLD THAT THE ASSE SSING OFFICER SHALL ALLOW FIXED CONVEYANCE ALLOWANCE OF RS.24,126/- IN TOTO AND OUT OF ADDITIONAL CONVEYANCE ALLOWANCE OF RS.3,54,800/-, A DISALLOWANCE OF 20% S HALL MEET THE ENDS OF JUSTICE AS THE SAME IS CONSIDERED REASONABLE. THE SAID ORD ER WAS PRONOUNCED AFTER HEARING BOTH THE PARTIES IN THE PRESENT CASE IN THE OPEN COURT ON 26.07.2007. THE GROUNDS RAISED BY ASSESSEE, AS SUCH, ARE PARTLY ALL OWED. 3 6. IN VIEW OF THE DECISION OF THE CO-ORDINATE BENCH OF THE TRIBUNAL, WE DIRECT THE A.O. TO ALLOW EXEMPTION TO THE ASSESSEE UNDER SECTION 10(14 ) AS PER THE DIRECTIONS CONTAINED IN THE AFORESAID ORDER OF THIS TRIBUNAL. 7. IN THE RESULT, APPEAL OF THE ASSESSEE IS PARTLY ALLOWED. (ORDER PRONOUNCED IN THE OPEN COURT ON 23.07.2010). SD/- SD/- (R.K. GUPTA) (P.K. BANSAL) JUDICIAL MEMBER ACCOUNTANT MEMBER PLACE: AGRA DATE: 23 RD JULY, 2010. PBN/* COPY OF THE ORDER FORWARDED TO: 1. APPELLANT 2. RESPONDENT BY ORDER 3. CIT CONCERNED 4. CIT (APPEALS) CONCERNED 5. DR, ITAT, AGRA BENCH, AGRA 6. GUARD FILE ASSIST ANT REGISTRAR INCOME-TAX APPELLATE TRIBUNAL, AGRA TRUE COPY