SHRI RAKESH KUMAR BAKLIWAL, Ujjain V. THE ITO 1(2), Ujjain

ITA 94/IND/2015

• Counselvise Citation: 9422714 RSA 2015
• Duration Of Justice: 10 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-12-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2005-2006
• Appeal Filed On: 13-02-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R A VERMA
• Assessee Lawyers: S K AGRAWAL
• Keywords: Unexplained investment
• Section: 40A(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, INDORE BENCH, INDORE (SINGLE MEMBER CASE) BEFORE SHRI D.T. GARASIA, JUDICIAL MEMBER I.T.A.NO.94/IND/2015 A.Y. : 2005-06 SHRI RAKESH KUMAR BAKLIWAL, ITO, 1(2), UJJAIN VS. UJJAIN APPELLANT RESPONDENT PAN NO. AURPB0406C A PPELLANT S BY : SHRI S.K.AGRAWAL, C. A. RESPONDENT BY : SHRI R. A. VERMA, DR O R D E R THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF CIT(A), UJJAIN, DATED 27.11.2014 FOR THE ASSESSM ENT YEAR 2005-06. 2. THE BRIEF FACTS OF THE CASE ARE AS UNDER. DATE OF HEARING : 15 .12. 2015 . DATE OF PRONOUNCEMENT : 15 . 1 2 .2015 SHRI RAKESH KUMAR BAKLIWAL, UJJAIN VS. ITO, 1(2), U JJAIN I.T.A.NO. 94/IND/2015 A.Y.2005-06. 2 2 3. THE ASSESSEE IS ENGAGED IN THE RETAIL BUSINESS OF SUGAR, EDIBLE OIL, GHEE AND OTHER KIRANA ITEMS. THE ASSESSEE IS DOING THE BUSINESS IN THE NAME AND STYLE OF M/S. M. R. BAKLIWAL TRADERS. THE RETURN OF INCOME DECLARING TO TAL INCOME OF RS. 46,010/- HAS BEEN FILED ON 17.04.2009. THE A O MADE THE ADDITION OF RS. 1,21,230/- ON ACCOUNT OF UNEXPL AINED INVESTMENT U/S 69B OF THE INCOME-TAX ACT, 1961, RS. 2,08,494/- ON ACCOUNT OF CASH PURCHASES U/S 40A(3) OF THE INCOME-TAX ACT, 1961., RS. 54,867/- ON ACCOUNT OF G ROSS PROFIT AND RS. 2,555/- ON ACCOUNT OF CASH DIFFERENCE. 4. THE MATTER CARRIED TO THE LD. CIT(A) AND THE LD. C IT(A) HAS PARTLY ALLOWED THE APPEAL. THEREFORE, THE ASSES SEE IS IN APPEAL BEFORE ME. 5. I HAVE HEARD THE RIVAL CONTENTIONS OF BOTH THE PART IES. I FIND THAT THE LD. CIT(A) HAS CONFIRMED THE ADDITI ON OF RS. 1,21,230/- ON ACCOUNT OF UNEXPLAINED INVESTMENT U/ S 69B OF THE ACT. I ALSO FIND THAT THE MAIN CONTENTION OF TH E ASSESSEE THAT THE AO HAS CALCULATED THE PEAK INVESTMENT ON T HE BASIS OF INFORMATION RECEIVED FROM M/S. VIPPY INDUSTRIES LIM ITED, DEWAS AND WHILE COLLECTING THE INFORMATION FROM M/S .VIPPY SHRI RAKESH KUMAR BAKLIWAL, UJJAIN VS. ITO, 1(2), U JJAIN I.T.A.NO. 94/IND/2015 A.Y.2005-06. 3 3 INDUSTRIES LIMITED, THE STATEMENT WAS RECORDED BY T HE ASSESSING OFFICER. THEREFORE, THE STATEMENT OF BROK ERS WERE RECORDED AND THE BROKERS HAVE DENIED THAT THEY HAVE NOT RECEIVED ANY PAYMENT OF DALALI FROM THE ASSESSEE EV EN RAISING THE BILL FROM HIM. THEREFORE, THE AO HAS MADE THE A DDITION. 6. THE ASSESSEES CONTENTION IS THAT BEFORE MAKING THE ADDITION, THE AO SHOULD HAVE GIVEN THE OPPORTUNITY OF CROSS- EXAMINING THE BROKERS, WHICH WAS NOT ALLOWED BY THE ASSESSING OFFICER. THEREFORE, WE RESTORE THIS MATTE R BACK TO THE FILE OF AO. THE AO IS DIRECTED TO GIVE THE COPY OF THE STATEMENT, WHICH WAS RECORDED BEHIND THE BACK OF THE ASSESSEE AND DECIDE THE MATTER AFRESH AFTER GIVING DUE OPPORTUNI TY OF HEARING. AS I HAVE RESTORED THIS GROUND NO.1, I ALS O RESTORE GROUND NO. 2 TO THE AO WITH THE DIRECTION TO DECIDE THE MATTER AFRESH. 7. IN THE RESULT, THE APPEAL IS ALLOWED FOR STATISTICA L PURPOSES. SHRI RAKESH KUMAR BAKLIWAL, UJJAIN VS. ITO, 1(2), U JJAIN I.T.A.NO. 94/IND/2015 A.Y.2005-06. 4 4 THIS ORDER HAS BEEN PRONOUNCED IN THE OP EN COURT ON 15TH DECEMBER, 2015. SD/- ( D.T.GARASIA) JUDICIAL MEMBER DATED : 15 TH DECEMBER, 2015. CPU*