Natraj Pvt Ltd, Kolkata V. D.C.I.T Cir - 1,kolkata, Kolkata

ITA 895/KOL/2013

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 4479 (ITAT-KOLKATA)
• Duration Of Justice: 3 year(s) 5 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-09-2016
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 27-09-2016
• Assessment Year: 2006-2007
• Appeal Filed On: 22-04-2013
• Result in Favour of: Revenue
• Court: TRIBUNAL

Judgement Text

ITA NO. 895/KOL/13 M/S. NATRAJ PVT.LTD 1 IN THE INCOME TAX APPELLATE TRIBUNAL,BBENCH, KOLKATA BEFORE SHRI WASEEM AHMED, ACCOUNTANT MEMBER , AND SHRI S.S.VISWANETHRA RAVI, JUDICIAL MEMBER I.T.A. NO. 895/KOL/ 2013 A.Y: 2006-07 M/S. NATRAJ PVT. LTD VS. DY. COMMISSIONER OF PAN:AAACN 8670Q INCOME-TAX, CIR-1, KOLKATA (APPELLANT) (RESPONDENT) APPEARANCES BY : SHRI ANIL KOCHAR, ADVOCATE, LD.AR FOR THE ASSES SEE SHRI MD. GHAYAS UDDIN, JCIT, SR. D.R FOR THE RE VENUE DATE OF HEARING : 27-09-20 16 DATE OF PRONOUNCEMENT : 28 -09-20 16 O R D E R SHRI S.S. VISWANETHRA RAVI, JM :- THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAIN ST THE ORDER OF THE COMMISSIONER OF INCOME TAX(APPEALS ), XXIV, KOLKATA DATED 25-02-2013 FOR THE ASSESSMENT YEAR 2006-07. 2. AT THE TIME OF HEARING BEFORE US THE LD.AR OF TH E ASSESSEE HAS SUBMITTED THAT INADVERTENTLY BY A MIST AKE THE SHORT TERM CAPITAL GAIN OF RS.12,26,876/- AND RS.3,00,000/- WERE WRONGLY SHOWN IN THE ASSESSEES RETURN FILED ON 30-11-06. ACCORDINGLY, THE ASSESSEE PAID T HE TAXES ITA NO. 895/KOL/13 M/S. NATRAJ PVT.LTD 2 THEREON AS ESTIMATED BY THE AO IN HIS ORDER U/S. 14 3(3) OF THE ACT DATED 12-02-2008 FOR THE ASSESSMENT YEAR UN DER CONSIDERATION. BEFORE THE CIT-A THE ASSESSEE CONTEN DED THAT THE WORKINGS AS MADE BY THE AO IS RELATING TO THE SAID AMOUNTS OF RS.12,26,876/- AND RS.3,00,000/-, WHICH ARE INCORRECT BEING THE BALANCES OF ASSESSEES BANK AC COUNT. THE SAME AMOUNT HAVE BEEN INADVERTENTLY ENTERED BY THE ASSESSEE UNDER THE HEAD SHORT TERM CAPITAL GAIN. IN SUPPORT OF HIS CONTENTION, THE LD.AR OF THE ASSESSE E BEFORE THE CIT-A FILED A BANK STATEMENT ISSUED BY ICICI BA NK TO SHOW THAT THIS AMOUNT BEING BALANCE OF SAVING BANK ACCOUNT. THE LD.AR OF THE ASSESSEE FURTHER SUBMITTE D BEFORE THE CIT-A THAT SINCE THE ASSESSEE DID NOT OFFER ANY EXPLANATION REGARDING THE SOURCE OF SUCH AMOUNT, W HICH IS LYING IN THE BANK ACCOUNT, THE CIT-A HAS CONFIRMED THIS ACTION OF THE AO ON THE ISSUE OF SHORT TERM CAPITAL GAIN. THUS, THE LD.AR OF THE ASSESSEE BEFORE US SUBMITS T HAT IN VIEW OF SUCH MISTAKE, WHICH HAS BEEN INADVERTENTLY ENTERED AS SHORT TERM CAPITAL GAIN THE IMPUGNED MATTER MAY BE REMANDED TO THE FILE OF THE AO FOR FURTHER VERIFICA TION AT HIS END. 3. IN REPLY, THE LD.DR APPEARING ON BEHALF OF THE R EVENUE HAS OBJECTED TO THE ABOVE PROPOSITION OF THE LD.AR OF ASSESSEE. HE FURTHER SUBMITTED BEFORE US THAT THE CIT-A HAS GIVEN AMPLE OPPORTUNITY TO EXPLAIN THE SOURCE O F INCOME RELATING TO BANK BALANCE FOR A PERIOD OF 3 Y EARS AND ITA NO. 895/KOL/13 M/S. NATRAJ PVT.LTD 3 THE ASSESSEE HAS FAILED TO OFFER ANY EXPLANATION IN THIS REGARD. IN SUPPORT OF HIS CONTENTION, HE RELIED ON THE IMPUGNED ORDERS OF THE AUTHORITIES BELOW. 4. HEARD RIVAL SUBMISSIONS AND PERUSED THE MATERIAL AVAILABLE ON RECORD INCLUDING THE PAPER BOOK FILED BY THE ASSESSEE BEFORE US. WE FIND THAT BEFORE THE CIT-A T HE ASSESSEE SUBMITTED THE AMOUNT OF RS.12,26,876/- BY A MISTAKE ENTERED IN HIS BOOKS AS SHORT TERM CAPITAL GAIN. BEFORE US THE ASSESSEE HAS ALSO DREW OUR ATTENTION TO PAGES OF THE PAPER BOOK CONSISTING OF 4 ITEMS, WHER EIN THE BANK STATEMENT RELATING TO ASSESSEE IS CLEARLY SHOW N AS ON 11-02-2005 AN AMOUNT STANDING BALANCE OF RS.12,33,455.72. THEREFORE, WE ARE OF THE VIEW THAT THE ISSUE NEEDS FURTHER EXAMINATION AND VERIFICATION BY THE AO. WITH REGARD TO THE ADDITION OF RS. 3 LACS, THE LD.A R DID NOT ADVANCE ANY ARGUMENT. THEREFORE, WE ARE CONFIRMING THE SAME. HOWEVER, FOR THE ADDITION OF RS.12,26,876/- W E ARE INCLINED, IN THE INTEREST OF JUSTICE TO REMAND BACK THE FILE TO THE AO FOR FURTHER VERIFICATION. THE ASSESSEE IS D IRECTED TO CO-OPERATE WITH THE AO IN ASSESSMENT PROCEEDINGS WI THOUT SEEKING ANY FURTHER ADJOURNMENT AND TO PRODUCE REQU ISITE EVIDENCE, IF ANY, RELATING TO THE SUBMISSIONS OF TH E ASSESSEE. ACCORDINGLY, THE AO IS DIRECTED TO PASS A N ORDER IN ACCORDANCE WITH LAW. ITA NO. 895/KOL/13 M/S. NATRAJ PVT.LTD 4 5. IN THE RESULT, THE APPEAL OF ASSESSEE IS ALLO WED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN OPEN COURT ON 28/09/2016 SD/- SD/- WASEEM AHMED S.S.VI SWANETHRA RAVI ACCOUNTANT MEMBER JUDICIAL MEMBER 1 . THE APPELLANT/ASSESSEE : M/S. NATRAJ PVT. LTD C/O S.L KOCHAR, ADVOCATE, 86, CANNING STREET, KOL-1. 2 THE RESPONDENT/DEPARTMENT - DY. COMMISSIONER OF INCOME TAX CIRCLE-1, AAYKAR BHAWAN, P-7 CHOWRINGEE SQUARE, KOL -69. 3 4. / THE CIT(A) THE CIT 5 . DR, KOLKATA BENCH 6 . GUARD FILE . TRUE COPY, BY ORDER, ASSTT REGISTRAR ** PRADIP SPS DATE 28/09/2016 COPY OF THE ORDER FORWARDED TO: