Smt Uma Gupta, Bhopal V. DCIT Central II, Bhopal

ITSSA 192/Ind/2017

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 2636 (ITAT-INDORE)
• Duration Of Justice: 1 year(s) 11 month(s) 2 day(s)
• Appeal Type: Income Tax (Search & Seizure) Appeal
• Pronouncement Date: 14-06-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB
• Assessment Year: 2007-2008
• Appeal Filed On: 12-07-2017
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: ASHIMA GUPTA
• Assessee Lawyers: N D PATWA A RS
• Keywords: Sale consideration of property below Jantri Value
• Section: 143(3); 50C; 153A; 132

Judgement Text

[IT(SS)A NO.192/IND/2017] [SMT. UMA GUPTA, BHOPAL] , , IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE SHRI KUL BHARAT, JUDICIAL MEMBER AND SHRI MANISH BORAD, ACCOUNTANT MEMBER IT(SS)A NO.192/IND/2017 ASSESSMENT YEAR: 2007-08 SMT. UMA GUPTA 31, A-SECTOR, BDA COLONY KOH-E-FIZA BHOPAL / VS. DCIT - II BHOPAL ( APPELLANT ) ( REVENUE ) P.A. NO. AJEPG6559M APPELLANT BY S/SHRI ASHISH GOYAL & N.D. PATWA, A.RS RESPONDENT BY SMT. ASHIMA GUPTA, DR DATE OF HEARING: 13.06.2019 DATE OF PRONOUNCEMENT: 14.06.2019 / O R D E R PER KUL BHARAT, J.M: THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST ORDER OF THE CIT(A)-3, BHOPAL DATED 9.6.2017 PERTAINING TO THE [IT(SS)A NO.192/IND/2017] [SMT. UMA GUPTA, BHOPAL] 2 ASSESSMENT YEAR 2007-08. THE ASSESSEE HAS RAISED FOLLOWING GROUNDS OF APPEAL: 1. THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE C ASE, THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.1,30, 425/- WITHOUT CONSIDERING THE FACT THAT THE SOURCE OF EXPENDITURE WAS WITHDRAWALS OF MONEY FROM BANK AND NECESSARY EVIDENCES IN THIS REGARD WERE FILED. 2. THAT ON THE FACTS AND IN THE CIRCUMSTANCES OF THE C ASE, THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.3,56, 300/- BEING UNDISCLOSED SHORT TERM CAPITAL GAIN WITHOUT CONSIDE RING THE EXPLANATION OFFERED BY THE APPELLANT AND WITHOUT CO NSIDERING THE FACT THAT IN THE PROVISIONS OF SECTION 50C, THE WOR D ASSESSABLE WAS INTRODUCED W.E.F. 01.10.2009 AND HENCE, NOT APPLICA BLE IN THE YEAR UNDER CONSIDERATION. 3. THAT THE APPELLANT CRAVES LEAVE TO ADD, TO URGE, TO ALTER OR TO AMEND ANY OF THE GROUND OF THE APPEAL ON OR BEFORE THE DA TE OF HEARING. 2. BRIEF STATED FACTS ARE THAT A SEARCH OPERATION U/S 132 OF THE INCOME TAX ACT, 1961 (HEREINAFTER CALLED AS TH E ACT) WAS CONDUCTED IN THE PREMISES OF FORTUNE GROUP. THE ASSESSEE IS MOTHER OF SHRI SAMIR GUPTA, PARTNER IN M/S. FORTUNE BUILDER. THE BANK LOCKER OF THE ASSESSEE WAS ALSO SEARCHED, THEREFORE, A NOTICE U/S 153A OF THE ACT WAS ISSUED AND THE ASSESSMENT U/S 153A R.W.S. 143(3) OF T HE ACT WAS FRAMED BY THE A.O. IN RESPECT OF THE ASSESSMEN T [IT(SS)A NO.192/IND/2017] [SMT. UMA GUPTA, BHOPAL] 3 YEAR UNDER APPEAL AND ADDITION WAS MADE IN RESPECT OF UNDISCLOSED CAPITAL GAIN OF RS.3,56,300/- AND UNDISCLOS ED INVESTMENT OF RS.1,30,425/-. 3. AGGRIEVED BY THIS, THE ASSESSEE PREFERRED AN APPEAL BEFORE LD. CIT(A), WHO AFTER CONSIDERING THE SUBMISS IONS PARTLY ALLOWED THE APPEAL. THEREBY BOTH THESE ADDITIONS WERE SUSTAINED. AGGRIEVED BY THIS, THE ASSESSEE IS I N PRESENT APPEAL. LD. COUNSEL FOR THE ASSESSEE REITERATED THE SUBMISSIONS AS MADE IN THE WRITTEN SYNOPSIS. THE SUBMISSIONS OF THE ASSESSEE ARE REPRODUCED AS UNDER: [IT(SS)A NO.192/IND/2017] [SMT. UMA GUPTA, BHOPAL] 4 [IT(SS)A NO.192/IND/2017] [SMT. UMA GUPTA, BHOPAL] 5 [IT(SS)A NO.192/IND/2017] [SMT. UMA GUPTA, BHOPAL] 6 [IT(SS)A NO.192/IND/2017] [SMT. UMA GUPTA, BHOPAL] 7 4. LD. D.R. OPPOSED THESE SUBMISSIONS AND SUPPORTED THE ORDER OF THE AUTHORITIES BELOW. 5. WE HAVE HEARD THE RIVAL SUBMISSIONS, PERUSED THE MATERIALS AVAILABLE ON RECORD AND GONE THROUGH THE ORDERS OF THE AUTHORITIES BELOW. THE ADDITION IN RESPECT OF UNDISCLOSED INVESTMENT OF RS.1,33,495/-. THE ASSESS EE HAS DEMONSTRATED THAT SHE HAD SUFFICIENT AMOUNT TO MAKE [IT(SS)A NO.192/IND/2017] [SMT. UMA GUPTA, BHOPAL] 8 INVESTMENT. THE SOURCE OF INVESTMENT WAS BANK WITHDRAWALS, THEREFORE, THE A.O. IS DIRECTED TO DELE TE THIS ADDITION. GROUND NO.1 OF THE ASSESSEES APPEAL IS ALLOW ED. 6. APROPOS TO GROUND NO.2, THE CONTENTION OF THE ASS ESSEE IS THAT ADDITION IS PURELY MADE BY INVOKING THE PROVIS IONS OF SECTION 50C OF THE ACT. IT IS CONTENDED THAT THE A.O. OUGHT TO HAVE REFERRED THE MATTER TO THE DEPARTMENTAL VALUATION OFFICER (IN SHORT DVO) FOR VALUATION OF THE PROPERTY. HE SUBMITTED THAT BEFORE CIT(A), THE ASSES SEE HAD MADE CATEGORICAL REQUEST TO REFER THIS ISSUE TO THE D.V.O. FOR VALUATION. ON A POINTED QUERY, THE LD. COUN SEL FOR THE ASSESSEE CONCEDED THE FACT THAT NO OBJECTION W AS RAISED BEFORE THE A.O. MOREOVER, NO REQUEST WAS MADE T O THE A.O. FOR REFERRING THE ISSUE TO THE VALUATION OFF ICER. AS PER PROVISIONS OF THE SECTION 50C OF THE ACT, IF TH E ASSESSEE HAS ANY OBJECTION AGAINST ADOPTING THE VALUE ASSESSED BY THE STAMP VALUATION AUTHORITY, IN THAT EVENT, ON THE REQU EST [IT(SS)A NO.192/IND/2017] [SMT. UMA GUPTA, BHOPAL] 9 OF ASSESSEE, MATTER IS REQUIRED TO BE REFERRED TO THE D.V.O. IN THE ABSENCE OF SUCH REQUEST, THE A.O. WOULD BE JUS TIFIED TO ADOPT THE VALUE OF THE STAMP VALUATION AUTHORITY, THEREFORE, IN OUR CONSIDERED VIEW, THERE IS NO INFI RMITY IN THE FINDING OF THE A.O. THIS GROUND OF THE ASSESSEE S APPEAL IS DISMISSED. 7. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS PARTLY ALLOWED. ORDER WAS PRONOUNCED IN THE OPEN COURT ON 14 . 06.2019. SD/- (MANISH BORAD) SD/- (KUL BHARAT) A CCOUNTANT MEMBER JUDICIALMEMBER INDORE; DATED : 14/06/2019 VG/SPS COPY TO: ASSESSEE/AO/PR. CIT/ CIT (A)/ITAT (DR)/GUAR D FILE. BY ORDER ASSISTANT REGISTRAR, INDORE