The ACIT, Circle-3, Surat V. Shri Bharatbhai S.Naik, Surat

ITSSA 131/AHD/2010

• Counselvise Citation: [2012] 121 COUNSELVISE.COM (IT) 8352 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 7 month(s) 10 day(s)
• Appeal Type: Income Tax (Search & Seizure) Appeal
• Pronouncement Date: 21-09-2012
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 27-08-2012
• Assessment Year: misc
• Appeal Filed On: 11-02-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: T SHANKAR
• Assessee Lawyers: M K PATEL
• Keywords: Block assessment

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, D BENCH, AHMEDABAD BEFORE SHRI A. K. GARODIA, ACCOUNTANT MEMBER AND SHRI KUL BHARAT, JUDICIAL MEMBER I.T.(SS). NO.131 / AHD/2010 (BLOCK ASSESSMENT PERIOD 1990-91 TO 1999-2000) ACIT, CIRCLE 3, SURAT VS. SHRI BHARATBHAI S NAIK, B-504, YOGI COMPLEX, NEW RANDER ROAD, SURAT - 395009 PAN/GIR NO. : ABNPN6311K C.O.NO.88/AHD/2010 IN I.T.A. NO.131 / AHD/2010 (BLOCK ASSESSMENT PERIOD 1990-91 TO 1999-2000) SHRI BHARATBHAI S NAIK, VS. ACIT, CIRCLE- 3, B-504, YOGI COMPLEX, SURAT NEW RANDER ROAD, SURAT - 395009 (APPELLANT) .. (RESPONDENT) DEPARTMENT BY: SHRI T. SHANKAR, SR. DR ASSESSEE BY: SHRI M K PATEL, AR DATE OF HEARING: 27.08.2012 DATE OF PRONOUNCEMENT: 21.09.2012 O R D E R PER SHRI A. K. GARODIA, AM:- THIS APPEAL BY THE REVENUE AND THE C.O. BY THE ASS ESSEE ARE DIRECTED AGAINST THE ORDER OF LD. CIT(A) II, SURAT DATED 12.11.2009 FOR THE BLOCK PERIOD 1990-91 TO 1999-2000. 2. FIRST, WE TAKE UP THE APPEAL OF THE REVENUE. TH E GROUNDS RAISED BY THE REVENUE ARE AS UNDER: I.T.A.NO. 131 /AHD/2010 C.O.NO.88/AHD/2010 2 1) ON THE FACTS AND CIRCUMSTANCE OF THE CAS E AND IN LAW, THE LD. CIT(A) HAS ERRED IN DELETING THE ADDITION MADE BY THE A.O. OF RS. 6,99,050 ON ACCOUNT OF UNACCOUNTED ON-MONEY PAI D BY THE ASSESSEE FOR PURCHASE OF FLAT AT YOGI COMPLEX FROM OHM ORGANIZERS AND OHM DEVELOPERS HOLDING THAT THERE WA S INORDINATE DELAY IN INITIATION OF ACTION U/S. 158BD AND THEREB Y THE PROCEEDINGS INITIATED U/S. 158BD IS INVALID. 2) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LEARNED CIT (A) OUGHT TO HAVE UPHELD THE ORDER OF T HE ASSESSING OFFICER. 3) IT IS, THEREFORE, PRAYED THAT THE ORDER O F THE CIT (A) MAY BE SET-ASIDE AND THAT OF ASSESSING OFFICER MAY BE REST ORED TO THE ABOVE EXTENT. 3. LD. D.R. SUPPORTED THE ASSESSMENT ORDER WHEREAS THE LD. A.R. SUPPORTED THE ORDER OF LD. CIT(A). HE ALSO SUBMITT ED THAT SEARCH WAS CARRIED OUT IN THE CASE OF M/S. OM DEVELOPERS ON 29 .10.1999 AND NOTICE U/S 158BD READ WITH SECTION 158BC OF THE INCOME TAX ACT, 1961 WAS ISSUED BY THE A.O. ON 22.01.2007 I.E. AFTER MORE TH AN 7 YEARS FORM THE DATE OF SEARCH. HE ALSO SUBMITTED THAT THE BLOCK A SSESSMENT IN THE CASE OF SEARCHED PARTY WAS COMPLETED ON 30.11.2001. HE ALS O SUBMITTED THAT UNDER THESE FACTS, THE ISSUE IS SQUARELY COVERED IN FAVOUR OF THE ASSESSEE BY THE DECISION OF SPECIAL BENCH OF THE TRIBUNAL RE NDERED IN THE CASE OF MANOJ AGRAWAL AS REPORTED IN 113 ITD 377 (DEL.) (SB ). 4. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS, PERUSE D THE MATERIAL ON RECORD AND HAVE GONE THROUGH THE ORDERS OF AUTHORIT IES BELOW. REGARDING VARIOUS DATES, I.E. DATE OF SEARCH, DATE OF COMPLET ION OF BLOCK ASSESSMENT IN THE CASE OF SEARCHED PERSON AND THE DATE OF ISSU ING NOTICE U/S 158BD IN THE PRESENT CASE, THE FACTS ARE NOT DISPUTED. UND ER THESE FACTS, THE DECISION OF SPECIAL BENCH OF THE TRIBUNAL RENDERED IN THE CASE OF MANOJ AGRAWAL (SUPRA) IS SQUARELY APPLICABLE AND RESPECTF ULLY FOLLOWING THE SAME, WE DECLINE TO INTERFERE IN THE ORDER OF LD. C IT(A). 5. IN THE RESULT, THE APPEAL OF THE REVENUE IS DISM ISSED. I.T.A.NO. 131 /AHD/2010 C.O.NO.88/AHD/2010 3 6. NOW, WE TAKE UP THE C.O. FILED BY THE ASSESSEE. 7. LD. A.R. SUBMITTED THAT THE C.O. OF THE ASSESSEE IS NOT PRESSED AND ACCORDINGLY DISMISSED AS NOT PRESSED. 8. IN THE RESULT, APPEAL OF THE REVENUE AS WELL AS C.O. OF THE ASSESSEE ARE DISMISSED. 9. ORDER PRONOUNCED IN THE OPEN COURT ON THE DATE M ENTIONED HEREINABOVE. SD./- SD./- (KUL BHARAT) (A. K. GARODIA) JUDICIAL MEMBER ACCOUNTANT MEMBER SP COPY OF THE ORDER FORWARDED TO: 1. THE APPLICANT 2. THE RESPONDENT 3. THE CIT CONCERNED 4. THE LD. CIT (APPEALS) 5. THE DR, AHMEDABAD BY ORDER 6. THE GUARD FILE AR,ITAT,AHMEDABAD 1. DATE OF DICTATION 13/09/12 2. DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 14/09/2012. OTHER MEMBER 3. DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. P .S./P.S. 4. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE D ICTATING MEMBER FOR PRONOUNCEMENT 21.09.2012 5. DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. P.S./P.S.21/9/12 6. DATE ON WHICH THE FILE GOES TO THE BENCH CLERK 21/09/2012 7. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK .. 8. THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT RE GISTRAR FOR SIGNATURE ON THE ORDER . 9. DATE OF DESPATCH OF THE ORDER.