The ITO, Ward-6(5), Ahmedabad V. Shri Prashant N.Pandey, Ahmedabad

ITA 876/AHD/2013

• Counselvise Citation: 87620514 RSA 2013
• Duration Of Justice: 7 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-10-2013
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 23-09-2013
• Assessment Year: 2009-2010
• Appeal Filed On: 28-03-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: J P JHANGID SR D R
• Keywords: Unexplained investment; Unexplained expenditure

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD C BENCH AHMADABAD , , , , BEFORE SHRI D.K.TYAGI , JUDICIAL MEMBER AND .., SHRI T.R. MEENA, ACCOUNTANT MEMBER .. , ! ! ! ! ITA NO. 876/AHD/2013 ASSESSMENT YEAR :2009-10 THE INCOME-TAX OFFICER, WARD - 6(5) 508, PRATYASHA KAR BHAVAN PANJRAPOLE, AMBAWADI, AHMEDABAD. V/S . SHRI PRASHAN N. PANDEY D-44, TAKSHILA APPRT., OPP. NALANDA COMPLEX, VASTRAPUR, AHMADABAD 380015. PAN NO. A RHPP9499C (APPELLANT) .. (RESPONDENT) '# $ % BY APPELLANT SHRI J. P. JHANGID, SR. D.R. &'# $ % /BY RESPONDENT NONE '()* $ + /DATE OF HEARING 23.09.2013 ,- . $ + /DATE OF PRONOUNCEMENT 31.10.2013 O R D E R PER : SHRI T.R.MEENA, ACCOUNTANT MEMBER THIS IS AN APPEAL AT THE BEHEST OF REVENUE WHICH HA S EMANATED FROM THE ORDER OF CIT(A)-XI, AHMEDABAD, DATED 31.01.2013 FOR ASSESSMENT YEAR 2009-10. THE EFFECTIVE GROUND OF APPEAL IS AGAINST DELETING THE ADDITION OF RS.10,20,394/- BEING UNEXPLAINED EXPENDITURE. THE A.O. OBSERVED THAT THE ASSESSEE MADE FOLLOWING PAYMENTS THROUGH CREDIT CAR D: SR. NO. NAME OF CREDIT CARD AMOUNT(RS.) 1. CITY BANK NA 2,89,713/- 2. HDFC BANK LTD. 3,84,043/- ITA NO. 876/AHD/13 A.Y. 09-10 PAGE 2 3. ICICI BANK LTD. 3,46,638/- TOTAL 10,20,394/- THE A.O. CALLED FOR TO FURNISH THE DETAILS REGARDIN G TRANSACTION AND UTILIZATION OF CREDIT CARD OF THE ABOVE BANK AND ALSO REQUESTED TO GIVE FULL DETAILS REGARDING UTILIZATION OF CREDIT CARD, SOURCE OF REP AYMENT THEREOF AND UTILIZATION OF WITHDRAWAL SPECIFICALLY. THE ASSESSEE FAILED TO FURNISH DETAILS AS WELL AS FURNISH SATISFACTORY EXPLANATION OF RS.10,20,394/- BEING UNEXPLAINED TRANSACTION WITH ICICI BANK AND UTILIZATION OF CRED IT CARD AND PAYMENT THEREOF, CONSIDERING AN UNEXPLAINED INVESTMENT AS WELL AS EX PENDITURE, REQUIRED TO BE ADDED TO THE TOTAL INCOME OF THE ASSESSEE. 2. BEING AGGRIEVED BY THE ORDER OF THE A.O., THE AS SESSEE CARRIED THE MATTER BEFORE THE CIT(A). DURING THE APPELLATE PRO CEEDING, THE APPELLANT SUBMITTED THAT THESE EXPENSES HAD BEEN INCURRED TO MAKE VARIOUS EXPENSES INCURRED BY THE APPELLANT DURING THE CONDUCT OF BUS INESS. THIS CONTENTION OF THE APPELLANT WAS NOT ACCEPTED BY THE LD. CIT(A) AS THE APPELLANT HAD FAILED TO FILE COGENT EVIDENCES TO PROVE THE GENUINENESS OF T HESE EXPENSES. ALL THE EXPENSES WERE INCURRED BY THE APPELLANT THROUGH CRE DIT CARD AND THESE EXPENSES HAD BEEN MADE THROUGH BANKING CHANNEL. TH E LD. CIT(A) ALSO CONFIRMED THE ADDITION IN SAME ORDER ON ACCOUNT CAS H DEPOSITED IN THE BANK ACCOUNT AT RS.16,31,800/-. THEREFORE, HE GAVE THE TELESCOPIC EFFECT AGAINST THE ADDITION OF RS.16,31,800/- AND CURRENT YEARS I NCOME AT RS.4,69,064/- AND DELETED THE ADDITION OF RS.10,20,394/-. 3. NOW THE REVENUE IS BEFORE US. LD. SR. D.R. VEHE MENTLY RELIED UPON THE ORDER OF THE A.O. FROM THE SIDE OF ASSESSEE NO ONE APPEARED BUT AFTER ITA NO. 876/AHD/13 A.Y. 09-10 PAGE 3 CONSIDERING THE ORDER OF THE CIT(A) WHO HAD CONFIRM ED THE ADDITION OFRS.16,31,800/- ON ACCOUNT OF CASH DEPOSITED IN BA NK ACCOUNT. HE WAS FAIR ENOUGH TO GIVE THE TELESCOPIC EFFECT AGAINST THE AD DITION OF RS.16,31,800/- AND DELETED THE ADDITION OF RS.10,20,394/-, WHICH WAS I NCURRED BY THE APPELLANT THROUGH CREDIT CARDS. IT APPEARS THAT THE ASSESSEE HAS NOT CHALLENGED THE ORDER OF THE CIT(A) BEFORE THE ITAT. IF ANY CROSS APPEAL WOULD COME AGAINST THE ORDER OF THE CIT(A) THEN THE REVENUE IS FREE TO RAISE THIS ISSUE BEFORE THE BENCH AT THE TIME OF ANY HEARING IN CASE OF ASSESSE ES APPEAL IN FUTURE. 4. IN THE RESULT, THE REVENUES APPEAL IS DISMISSED . THIS ORDER PRONOUNCED IN OPEN COURT ON 3 1.10.2013 SD/- SD/- ( D.K.TYAGI ) (T.R. MEENA) JUDICIAL MEMBER ACCOUNTANT MEMBER TRUE COPY S.K.SINHA / / / / $ $$ $ &+0 &+0 &+0 &+0 10.+ 10.+ 10.+ 10.+ / COPY OF ORDER FORWARDED TO:- 1. '# / APPELLANT 2. &'# / RESPONDENT 3. 55 + '6 / CONCERNED CIT 4. '6- / CIT (A) 5. 0): &+( , , / DR, ITAT, AHMEDABAD 6. < => / GUARD FILE. BY ORDER/ / , ?/ 5A , !