STAYA NARAYAN MAHESHWARI, Jaipur V. ITO, BUNDI

ITA 872/JPR/2014

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 4951 (ITAT-JAIPUR)
• Duration Of Justice: 1 year(s) 9 month(s) 30 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-10-2016
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2004-2005
• Appeal Filed On: 22-12-2014
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: R A VERMA CIT DR DHK
• Assessee Lawyers: B V MAHESHWARI
• Keywords: Valuation report
• Section: 144

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES (SMC), JAIPUR JH HKKXPUN] YS[KK LNL; DS LE{K BEFORE: SHRI BHAGCHAND, ACCOUNTANT MEMBER VK;DJ VIHY LA-@ ITA NO. 872/JP/2014 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : 2004-05 SHRI SATYA NARAYAN MAHESHWARI C/O SHREE SHANKAR UDYOG, BUNDI CUKE VS. THE ITO BUNDI LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO .: AARPN 4255 F VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY: SHRI B.V. MAHESHWARI , CA JKTLO DH VKSJ LS@ REVENUE BY :SHRI R.A. VERMA, ADDL CIT-. DR LQUOKBZ DH RKJH[K@ DATE OF HEARING : 05/10/2016 ?KKS'K .KK DH RKJH[K@ DATE OF PRONOUNCEMENT : 21/10/2016 VKNS'K@ ORDER PER BHAGCHAND, AM THE ASSESSEE HAS FILED AN APPEAL AGAINST THE ORDER OF THE LD. CIT(A), KOTA DATED 20-10-2014 FOR THE ASSESSMENT YEAR 2004-05 RAISING THEREIN FOLLOWING GROUNDS:- 1. THAT THE AO GROSSLY ERRED IN TAKING ACTION U/S 144/148 OF I.T. ACT, 1961 AND THE LD. CIT(A) ALSO E RRED IN UPHOLDING THE SAME. 2. THAT THE AO GROSSLY ERRED IN COMPLETING ASSESSMENT U/S 144 OF I.T. ACT, 1961. THE LD. CIT(A ) AGREED THAT THE ORDER IS WRONGLY PASSED U/S 144 BUT HE STA TED THAT THIS MISTAKE WOULDNT MAKE THE ORDER INVALID AS SUC H LD. CIT(A) UPHELD THE ORDER OF AO. ITA NO. 872/JP/2014 SHRI SATYA NARAYAN MAHESHWARI VS. ITO, BUNDI . 2 3. THAT THE LD. CIT(A) GROSSLY ERRED IN SUSTAINING THE ADDITION OF RS. 3,15,253/- IN RELATION TO KATUN ARA PROPERTY OF THE ASSESSEE. THE AO MADE THE ADDITION OF RS. 1,82,672/-. THE LD. CIT(A) ALLOWED PART RELIEF OF R S. 8,67,419/- AND SUSTAINED THE ADDITION OF RS. 3,15,2 53/-. 2.1 AS REGARDS GROUND NO. 1 AND 2, THE LD. AR OF T HE ASSESSEE HAS NOT ADVANCED ANY SPECIFIC ARGUMENTS EXCEPT REPEATING TH E SAME ARGUMENTS AS MADE BEFORE THE LD. CIT(A). I HAVE HEARD BOTH SIDES AND ALSO PERUSED THE FACTUAL ASPECTS OF THE ISSUE. AFTER CONSIDERING THE ARGUMENT BY THE LD. AR OF THE ASSESSEE AND LD. DR ON GROUND NO. 1 AND 2, I CONFIRM THE ACTION OF THE LD. CIT(A) AS THERE WAS NO MERIT IN THE ARGUMEN TS ADVANCED BY THE LD. AR . THUS GROUND NO. 1 AND 2 OF THE ASSESSEE ARE DI SMISSED. 2.2 THE GROUND NO. 3 OF THE ASSESSEES APPEAL IS REGARDING SUSTAINING THE ADDITION OF RS. 3,15,253/-IN RELATION TO KATHUR NARA PROPERTY . IT IS NOTED FROM THE RECORDS THAT THE VALUATION OFFICER H AS GIVEN DEDUCTION OF 7.5% FOR SELF SUPERVISION CHARGES WHICH IS EVIDENT FROM PAGE 47 OF THE ASSESSEE'S PAPER BOOK. HOWEVER, THE ASSESSEE OBJEC TED AND CLAIMED FOR 12% SELF SUPERVISION CHARGES. THE ASSESSEE HAS REL IED ON VARIOUS CASE LAWS INCLUDING THE CASE DECIDED BY ITAT JAIPUR BENC H IN THE MATTER OF SHRI RAVI MATHUR & OTHERS VS. ACIT (ITSSA NO. 2316/ JP/1996 WHEREIN THE ITAT JAIPUR BENCH OBSERVED AS UNDER:- AFTER CONSIDERING THE FACTS, WE FIND THAT THERE I S SOME WEIGHT IN THE CONTENTION OF THE LD. AR. THE CONSIST ENT VIEW OF THE BENCH IS THAT THE LOCAL PWD RATES SHOULD BE ADOPTED AND ITA NO. 872/JP/2014 SHRI SATYA NARAYAN MAHESHWARI VS. ITO, BUNDI . 3 ACCORDINGLY THE VALUATION REPORT SHOULD BE SCALED D OWN BY 20%. FURTHER, OWING TO PARTICULAR FACTS EXPLAINED, 12% S UPERVISION ALLOWANCE WOULD BE REASONABLE. THE AO IS DIRECTED A CCORDINGLY AND RECALCULATE ADDITIONS IF ANY. WE HOLD ACCORDING LY. CONSIDERING ALL THE ASPECTS AND PECULIAR FACTS & CI RCUMSTANCES OF THE CASE AND IN VIEW OF ITAT JAIPUR BENCH JUDGEMENT (SUPRA) , I ACCEPT THE CLAIM OF THE ASSESSEE REGARDING DEDUCTION 12% FOR SELF S UPERVISION. THUS GROUND NO. 3 OF THE ASSESSEE IS ALLOWED. 3.0 IN THE RESULT, THE APPEAL OF THE ASSESSEE IS PA RTLY ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 21/10/20 16 SD/- HKKXPUN ( BHAGCHAND) YS[KK LNL;@ ACCOUNTANT MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 21 /10/ 2016 *MISHRA VKNS'K DH IZFRFYFI VXZSF'KR@ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ@ THE APPELLANT- SHRI SATYA NARAYAN MAHESHWARI, BUNDI 2. IZR;FKHZ@ THE RESPONDENT- THE ITO, WARD-BUNDI 3. VK;DJ VK;QDRVIHY@ CIT(A). 4. VK;DJ VK;QDR@ CIT, 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; VF/KDJ.K] T;IQJ@ DR, ITAT, JAIPUR 6. XKMZ QKBZY@ GUARD FILE (ITA NO. 872/JP/2014) VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ @ ASSISTANT. REGISTRAR