Harmahender Singh Bagga, Hyderabad V. DCIT, Hyderabad

ITSSA 74/HYD/2005

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 2142 (ITAT-HYDERABAD)
• Duration Of Justice: 16 year(s) 2 month(s) 22 day(s)
• Appeal Type: Income Tax (Search & Seizure) Appeal
• Pronouncement Date: 28-06-2021
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB-B
• Next Hearing Date: 12-05-2021
• Assessment Year: misc
• Appeal Filed On: 06-04-2005
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: NARAYAN MURTHY NAIK
• Assessee Lawyers: P MURALI MOHANA RAO
• Keywords: Unexplained cash credit; Block assessment
• Section: 158BC; 43; 48; 13

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES B : HYDERABAD (THROUGH VIDEO CONFERENCE) BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER AND SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER IT(SS)A NO. BLOCK PERIOD APPELLANT RESPONDENT 69/HYD/05 AYS.96-97 TO 2001-2002 AND FROM 1.4.2001 TO 3.1.2002 ASSISTANT COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-1, HYDERABAD SRI HARMAHENDER SINGH BAGGA, HYDERABAD [PAN: ABXPB9316L] 74/HYD/05 INDERJEET KAUR BAGGA, L/R. OF LATE HARMAHENDER SINGH BAGGA HYDERABAD DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-1, HYDERABAD FOR REVENUE : SHRI NARAYAN MURTHY NAIK , DR FOR ASSESSEE : SHRI P.MURALI MOHANA RAO , AR DATE OF HEARING : 1 2 - 0 5 - 20 2 1 DATE OF PRONOUNCEMENT : 28 - 0 6 - 2021 O R D E R PER S.S.GODARA, J.M. : THESE REVENUES AND ASSESSEES CROSS APPEALS FOR BL OCK PERIOD AYS.1996-97 TO 2001-02 AND 01-04-2001 TO 03-01 - 2002, ARISE AGAINST THE CIT(A)-1, HYDERABADS ORDER D ATED 11-01-2005 PASSED IN ITA NO.029/CC-1, HYD/CIT(A)-1/ 03-04 INVOLVING PROCEEDINGS U/S.158BC OF THE INCOME TAX AC T, 1961 [IN SHORT, THE ACT]. HEARD BOTH THE PARTIES. CASE FILES PERUSED. IT(SS)A NOS. 69 & 74/HYD/2005 :- 2 -: 2. WE NOTICE AT THE OUTSET THAT THIS IS THE SECOND ROUND OF PROCEEDINGS BETWEEN DEPARTMENT AND THE ASSESSEE IN THE INSTANT CROSS APPEALS. LEARNED CO-ORDINATE BENCHS EAR LIER COMMON ORDER DT.03-08-2012 HAD DISPOSED-OF A BATCH OF 35 CASES ARISING OUT OF THE VERY SEARCH DT.03-01-2002 AT TH E OFFICE AND FACTORY PREMISES OF M/S.GEMINI DISTILLERIES (HYD) PVT. LTD. AS WELL AS ASSESSEE HEREIN SRI HARMAHENDER SINGH BA GGA AND GROUP CONCERNS AND INDIVIDUALS OF BAGGA GROUP ; C ULMINATING IN INITIATION OF SECTION 158BC PROCEEDINGS AGAINST TH EM. 3. THIS ASSESSEE THEN MOVED HIS MISCELLANEOUS APPLIC ATIONS 109 AND 110/HYD/2013 WHICH STOOD ACCEPTED BY YET ANOTHE R CO-ORDINATE BENCH IN ITS ORDER DT.30-10-2015 READING AS UNDER: SHRI HARMAHENDER SINGH BAGGA FILED THESE TWO MISCE LLANEOUS APPLICATIONS AGAINST THE ORDER OF THE ITAT IN IT(SS)A NOS. 69/HY D/2005 AND 74/HYD/2005 FOR THE BLOCK PERIOD 1996-97 TO 2001-02 AND FROM 01-04- 2001 TO 03-01-2002 DECIDED BY THE COMMON ORDER IN THE GROUP OF APPEALS DT. 03- 08-2012. 2. IT IS THE GRIEVANCE OF ASSESSEE THAT IT HAS BEEN ARGUED AT THE TIME OF HEARING THE APPEAL THE FACT THAT TRANSACTIONS ENTER ED IN REGULAR BOOKS OF ACCOUNT OF ASSESSEE AND WHICH IS REFLECTED IN THE BOOKS CAN NOT BE SUBJECT MATTER FOR ADDITION IN BLOCK PERIOD ASSESSMENTS. IT WAS CONTE NDED THAT ITAT HAS NOT CONSIDERED THE ESTABLISHED LAW THAT THE TRANSACTION S ENTERED IN THE REGULAR BOOKS OF ACCOUNT HAVE TO BE ENQUIRED INTO ONLY IN THE REG ULAR ASSESSMENT BUT NOT IN THE BLOCK ASSESSMENT, UNLESS THERE IS SOMETHING INCRIMI NATING MATERIAL FOUND AND SEIZED DURING THE SEARCH WHICH HAS A BEARING ON THE DISCLOSED TRANSACTIONS. ASSESSEE FILED MISCELLANEOUS APPLICATIONS CONTENDIN G THAT THE JUDGMENT OF DELHI HIGH COURT IN THE CASE OF CIT VS. RAVIKUMAR JAIN [2 50 ITR 141] HAS NOT BEEN CONSIDERED EVEN THOUGH RELIED UPON. 3. LD. COUNSEL SUBMITTED A CHART IN IT(SS)A NO. 69 /HYD/2005 GROUND NOS. 8 TO 13 CONTAINING THE ISSUES ON WHICH ADDITIONS ARE MAD E AND ADJUDICATED BY THE ITAT. FURTHER, IN IT(SS)A NO. 74/HYD/2005, THE GROUND NOS . 4 TO 10 ARE THE ISSUES IN WHICH VARIOUS AMOUNTS HAVE BEEN ADJUDICATED BY THE ITAT. IN IT(SS)A NO. 74/HYD/2005, BEING ASSESSEES APPEAL, DETAILED OBJE CTIONS WITH REFERENCE TO EACH OF THE ISSUE ARE SUBMITTED AS UNDER: IT(SS)A NOS. 69 & 74/HYD/2005 :- 3 -: 1. IN RESPECT OF ADDITION OF RS. 22,04,746/-, IN A SSESSEE'S APPEAL IN IT(SS)A NO. 74/H/05, THE ORDER MENTIONS AS UNDER AT PARA NO 36 OF PAGE 23 OF THE ORDER: 'OUT OF THE ABOVE FUNDS WITHDRAWN, THE ASSESSEE PUR CHASED DRAFTS IN FAVOUR OF MIS. SREE BALAJI ENTERPRISES, BANGALORE W HEREIN HE HIMSELF IS A PARTNER AND THESE DRAFTS WERE CREDITED IN HIS CAPIT AL ACCOUNT IN THE BOOKS OF THE FIRM ' IT IS OBSERVED IN PAGE NO. 24 PARA NO. 39 OF THE IT AT ORDER THAT 'IN THIS CASE THE IMPUGNED AMOUNT WAS DEPOSITED IN THE BOOKS OF A CCOUNT OF M/S. SREE BALAJI ENTERPRISES AND THE SAID AMOUNT HAD CAME FRO M M/S. GOLDEN AGENCIES. IT IS AN ADMITTED FACT THAT M/S. GOLDEN A GENCIES WAS NOT FILING THE RETURN OF INCOME OTHER THAN DISCLOSING INCOME UNDER VDIS FOR AYS 1993-94 AND 1994-95. BEING SO, WE ARE INCLINED TO HOLD THAT THE CAPACITY OF MIS. GOLDEN AGENCIES FOR GIVING THIS AMOUNT TO THE ASSES SEE IS NOT EXPLAINED. HENCE THE ADDITION IS MADE IN THE HANDS OF THE ASSE SSEE ON THIS COUNT IS JUSTIFIED. THIS GROUND OF THE ASSESSEE IS DISMISSED .' THE HON'BLE ITAT OUGHT TO HAVE APPRECIATED THAT ONC E IT IS ESTABLISHED THAT THE ENTRIES ARE REFLECTED IN THE BOOKS OF ACCOUNT, THE SAME CANNOT BE ADDED UNDER BLOCK PERIOD AND DELETED THE ADDITION. 2. SIMILARLY, IN IT(SS)A NO.74/H/05, IN RESPECT OF ADDITION OF RS. 21,11,000/THE ORDER MENTIONS AS UNDER AT PARA NO 14 OF PAGE 12 OF THE ORDER: ' ... BRIEF FACTS OF THE ISSUE ARE THAT IN THE CAPI TAL ACCOUNT FOR THE ASSESSMENT YEAR 199798, FOLLOWING CREDIT ENTRIES ARE APPEARING WHICH HAVE BEEN TREATED AS UNEXPLAINED DEPOSITS, THEREBY TREATING T HE SUM OF RS. 37,13,100/- AS UNDISCLOSED INCOME OF THE B LOCK PER IOD: .... ' IT IS OBSERVED IN PAGE NO. 11 PARA NO. 13 OF THE IT AT ORDER THAT 'THE ASSESSEE ALSO RAISED A GROUND IN IT(SS)A NO. 74/H/0 5 WITH REGARD TO ADDITION OF RS. 21,11,000 OUT OF RS. 37,13,400 MADE TOWARDS UNEXPLAINED CREDIT IN ASSESSMENT YEAR 1997-98. THE CIT(A) DELET ED THE ADDITION OF RS. 16,02,400 ON THE REASON THAT THE CREDIT IS EXPLAINE D AND SUSTAINED RS. 21,11,000 OUT OF RS. 37,13,400. BEFORE THE CIT(A) T HE ASSESSEE ALSO NOT PRESSED THE ADDITION MADE IN RESPECT OF CREDIT IN H IS BANK ACCOUNT NO. 13953 WITH UNION BANK OF INDIA. SIMILARLY, THE ASSE SSEE NOT PRESSED THE DEPOSIT OF RS. 14,000 THROUGH SB A/C NO 624 WITH SY NDICATE BANK. THE ASSESSEE HAS NOT FURNISHED THE SATISFACTORY EXPLANA TION TO THE BALANCE SUSTAINED AMOUNT. BEING SO, THE CIT (A) SUSTAINED T HE SAME. BEFORE US THE ASSESSEE HAS NOT FURNISHED ANY FURTHER DETAILS SUBS TANTIATING THE CREDIT. ACCORDINGLY, THE ADDITION IS SUSTAINED. THE HON'BLE ITAT OUGHT TO HAVE APPRECIATED THAT ONC E IT IS ESTABLISHED THAT THE ENTRIES ARE REFLECTED IN THE BOOKS OF ACCOUNT, THE SAME CANNOT BE ADDED UNDER BLOCK PERIOD AND DELETED THE ADDITION. 3. SIMILARLY, IN IT(SS)A NO. 74/H/05, IN RESPECT OF ADDITION OF RS. 11,29,453/THE ORDER MENTIONS AS UNDER AT PARA NO 40 OF PAGE 25 OF THE ORDER: IT(SS)A NOS. 69 & 74/HYD/2005 :- 4 -: ' ... BRIEF FACTS OF THE ISSUE ARE THAT IN THE CAPI TAL ACCOUNT OF THE ASSESSEE FOR A. Y. 199899, THE FOLLOWING CREDIT ENTRIES HAVE BEE N TREATED AS UNEXPLAINED THEREBY TREATING THEM AS UNDISCLOSED INCOME OF THE ASSESSEE FOR THE BLOCK PERIOD: .... ' THE CIT(A) SUSTAINED THE ADDITION OF RS. 11,29,453 OBSERVING THAT THE ASSESSEE HAS NOT PRESSED FOR THE ADDITION OF RS 11, 29,453 (50,153 + 40,000 + 10,39,300). IT IS OBSERVED IN PAGE NO. 25 PARA NO. 42 OF THE IT AT ORDER THAT 'EVEN BEFORE US THE ASSESSEE HAS NOT BEEN ABLE TO LEAD AN Y MATERIAL EVIDENCE TO EXPLAIN THE SOURCE. BEING SO, WE ARE INCLINED TO CO NFIRM THE ORDER OF THE CIT (A) ON THIS ISSUE.' THE HON'BLE ITAT OUGHT TO HAVE APPRECIATED THAT ONC E IT IS ESTABLISHED THAT THE ENTRIES ARE REFLECTED IN THE BOOKS OF ACCOUNT, THE SAME CANNOT BE ADDED UNDER BLOCK PERIOD AND DELETED THE ADDITION. 4. SIMILARLY, IN IT(SS)A NO. 74/H/05, IN RESPECT OF ADDITION OF RS. 1,59,792/ - THE SAME AMOUNT IS REFLECTED IN BOOKS OF ACCOUNT AS CAN BE SEEN FROM PARA 43 AT PAGE 26 OF ORDER AND CANNOT BE ADDED IN BLOCK ASSESSMENT. IT IS OBSERVED IN PAGE NO. 26 PARA NO. 43 OF THE IT AT ORDER THAT 'EVEN BEFORE US NO MATERIAL WAS PRODUCED IN ORDER TO SUBS TANTIATE THE CREDIT. ACCORDINGLY, WE CONFIRM THE ADDITION.' THE HON'BLE ITAT OUGHT TO HAVE APPRECIATED THAT ONC E IT IS ESTABLISHED THAT THE ENTRIES ARE REFLECTED IN THE BOOKS OF ACCOUNT, THE SAME CANNOT BE ADDED UNDER BLOCK PERIOD AND DELETED THE ADDITION. 5. SIMILARLY, IN IT(SS)A NO. 74/H/05, IN RESPECT OF ADDITION OF RS. 7,43,750/- THE SAME AMOUNT IS REFLECTED IN BOOKS O F ACCOUNT AS CAN BE SEEN FROM PARA 44-46 AT PAGE 26 OF ORDER AND CANNOT BE ADDED IN BLOCK ASSESSMENT. IT IS OBSERVED IN PAGE NO. 27 PARA NO. 46 OF THE IT AT ORDER THAT 'NO MATERIAL WAS PLACED BEFORE US TO SUBSTANTIATE THE CREDITS RE LATING TO RS. 3,00,000. BEING SO, WE ARE INCLINED TO CONFIRM THE ORDER OF C IT(A) ON THIS ISSUE. REGARDING THE ADDITION OF RS. 4,43,750, AS THIS ISS UE WAS NOT PRESSED BEFORE THE CIT(A), BEFORE US THE ASSESSEE CANNOT HA VE GRIEVANCE. ACCORDINGLY, THE GROUND RELATING TO SUSTAINING ADDI TION OF RS. 7,43,750 BY THE ASSESSEE IS DISMISSED.' THE HON'BLE ITAT OUGHT TO HAVE APPRECIATED THAT ONC E IT IS ESTABLISHED THAT THE ENTRIES ARE REFLECTED IN THE BOOKS OF ACCOUNT, THE SAME CANNOT BE ADDED UNDER BLOCK PERIOD AND DELETED THE ADDITION. 6. SIMILARLY, IN IT(SS)A NO. 74/H/05, IN RESPECT OF ADDITION OF RS. 14,00,000/THE SAME AMOUNT IS REFLECTED IN BOOKS OF ACCOUNT AS CAN BE SEEN FROM PARA 48 AND 49 AT PAGE 28 OF ORDER AND CANNOT BE ADDED IN BLOCK ASSESSMENT. IT(SS)A NOS. 69 & 74/HYD/2005 :- 5 -: IT IS OBSERVED IN PAGE NO. 28 PARA NO. 48 OF THE IT AT ORDER THAT 'THE ADDITION RELATING TO RS. 1 LAKH IN THE NAME OF 1\1, IS. KULDEEP CHIT WAS NOT PRESSED BEFORE THE CIT(A). HENCE THE ASSESSEE CANNO T RAISE THIS GROUND BEFORE US. THIS GROUND IS DISMISSED.' IT IS OBSERVED IN PAGE NO. 28 PARA NO. 49 OF THE IT AT ORDER THAT 'THE ADDITION RELATING TO RS. 13 LAKHS IN THE NAME OF 1\ 1,IS. AJIT ENTERPRISES, AS THE PROFITS OF THE PROPRIETARY CONCERN 1\1,IS AJIT ENTERPRISES WAS NOT BEING SHOWN IN THE REGULAR RETURN OF INCOME SRI SATPAL SI NGH BAGGA, BEING SO THE EXPLANATION OFFERED BY THE ASSESSEE IS NOT ACCEPTAB LE. THIS GROUND IS DISMISSED.' THE HON'BLE ITAT OUGHT TO HAVE APPRECIATED THAT ONC E IT IS ESTABLISHED THAT THE ENTRIES ARE REFLECTED IN THE BOOKS OF ACCOUNT, THE SAME CANNOT BE ADDED UNDER BLOCK PERIOD AND DELETED THE ADDITION. 7. SIMILARLY, IN IT(SS)A NO. 74/H/05, IN RESPECT OF ADDITION OF RS. 20,00,000/THE SAME AMOUNT IS REFLECTED IN BOOKS OF ACCOUNT AS CAN BE SEEN FROM PARA 51 AT PAGE 29 OF ORDER AND CANNOT BE ADDE D IN BLOCK ASSESSMENT. IT IS OBSERVED IN PAGE NO. 29 PARA NO. 52 OF THE IT AT ORDER THAT AS SEEN FROM THE ABOVE, THE ASSESSEE HAS NOT PRESSED THE AB OVE ISSUE BEFORE THE CIT(A). BEING SO, THE ASSESSEE CANNOT HAVE ANY GRIE VANCE BEFORE US. ACCORDINGLY THIS GROUND IS DISMISSED.' THE HON'BLE ITAT OUGHT TO HAVE APPRECIATED THAT ONC E IT IS ESTABLISHED THAT THE ENTRIES ARE REFLECTED IN THE BOOKS OF ACCOUNT, THE SAME CANNOT BE ADDED UNDER BLOCK PERIOD AND DELETED THE ADDITION. 4. LD. DR HOWEVER, SUBMITTED THAT THESE ISSUES WERE CONSIDERED BY THE ITAT IN THE CONSOLIDATED ORDER IN THE GROUP AND SINCE THEY WERE ADJUDICATED AFTER DUE DELIBERATIONS, THERE IS NO NEED TO ENTERTAIN THE MI SCELLANEOUS APPLICATIONS. 5. LD. COUNSEL IN REPLY SUBMITTED THAT ON SIMILAR F ACTS, MISCELLANEOUS APPLICATIONS IN THE GROUP CASES NUMBERED 111, 112, 113, 60, 114/HYD/2013 ARISING IN THE CASES OF SHRI BALWINDER SINGH BAGGA, SMT IND ERJEET KAUR BAGGA AND SHRI SATPAL SINGH BAGGA WERE ALLOWED VIDE ORDER DT. 30- 07-2015. 6. WE HAVE CONSIDERED THE CONTENTIONS OF THE RIVAL PARTIES. NEITHER OF US ARE PARTY TO THE HEARINGS IN THE ORIGINAL APPEALS AND T O THE ORDER PASSED ON 03-08- 12 AND WE ARE NOT IN A POSITION TO CONSIDER WHETHER THE CONTENTIONS WERE RAISED AT THAT POINT OF TIME. HOWEVER, CONSIDERING THE DETAILED SUBMISSIONS MADE IN MA IN IT(SS)A NO. 74/HYD/2005 ABOVE AND THE ORD ER OF COORDINATE BENCH DT 30- 07-2015 IN OTHER GROUP CASES WHEREIN ON SIMILAR APP LICATIONS SOME OF THE GROUNDS WERE RECALLED, WE IN THE INTEREST OF JUSTICE, RECA LL THESE TWO APPEALS TO CONSIDER AFRESH THOSE GROUNDS AS STATED ABOVE. WE MAKE IT C LEAR THAT WE ARE NOT ADJUDICATING THE MERITS OF THE CONTENTIONS RAISED B Y ASSESSEE. IT IS ONLY FOR THE PURPOSE OF RE-EXAMINATION ON THE BASIS OF THE DOCUM ENTS PLACED ON RECORD AND THE PROVISIONS OF LAW AND TO GIVE AN OPPORTUNITY TO ASS ESSEE, WE ARE INCLINED TO RECALL THE ORDERS FOR THE LIMITED PURPOSE OF CONSIDERING T HE CONTENTIONS. REGISTRY IS DIRECTED TO POST THESE TWO APPEALS IN COURSE OF TIM E. IT(SS)A NOS. 69 & 74/HYD/2005 :- 6 -: 7. IN THE RESULT, BOTH THE MISCELLANEOUS APPLICATIO NS ARE CONSIDERED ALLOWED. IT IS IN THIS BACKDROP OF FACTS THAT WE ARE TAKING UP TH E INSTANT TWIN APPEALS FOR ADJUDICATING THE REVENUES 8 TH TO 13 TH AND ASSESSEES 4 TH TO 10 TH SUBSTANTIVE GROUNDS IN IT(SS)A NOS. 69 & 74/HYD/2005; RESPECTIVELY. 4. WE FIRST COME TO THE REVENUES 8 TO 13 SUBSTANTIVE GROUNDS SEEKING TO REVIVE THE ASSESSING OFFICERS AC TION ADDING DEPOSITS OF RS.16,02,400/- (IN M/S.AJANTHA CHEMICAL S INVOLVING TWIN COMPONENTS OF RS.9,01,300/- AND 7,01 ,050/- IN AY.1997-98), UN-EXPLAINED CASH CREDITS ADDITION IN A Y.1999- 2000 OF RS.10.50 LAKHS IN CASE OF SHRI AVINASH AMAR LAL, UN- EXPLAINED CASH CREDITS FOR AY.2000-01 OF RS.13,45,21 1/-, UN- EXPLAINED CASH CREDITS OF RS.12,89,895/- IN CASES OF M/S.C.D. REROLLING MILLS AND SYNNY ENTERPRISES OF RS.6.32 LAK HS AND RS.6,57,895/-, UNEXPLAINED CASH CREDITS IN THE NAME OF M/S.TIRUPATHI ENTERPRISES OF RS.35,92,205/-, UN-EX PLAINED CASH CREDITS IN AY.1999-2000 OF RS.1,85,000/- (INVOL VING M/S.GEMINI CONSTRUCTIONS); RESPECTIVELY. 5. THE ASSESSEES 4 TO 10 SUBSTANTIVE GROUNDS IN HIS APPEAL ITA NO.74/HYD/2005 PLEAD THAT BOTH THE LEARNED LOWER AUTHORITIES HAVE ERRED IN LAW AND ON FACTS IN MAKING UN- EXPLAINED CASH CREDITS ADDITION IN CAPITAL ACCOUNT IN AY.1996- 97 INVOLVING TWIN CAPITAL CONTRIBUTIONS (IN CASE OF M/ S.BALAJI ENTERPRISES TO THE TUNE OF RS.4 LAKHS AND RS.8,15,000/- ), SYNDICATE BANK-624 OF RS.8,532/-, PEARL POLYMERS OF RS.4 LAKHS, AAREM ENGINEERING RS.82,160/- HALDYN GLASS INDUSTIRES OF RS.4,51,152/-, PLASTIC INTERNATIONAL A/C. RS.47,902/-, TOTALLING TO RS.22,04,746/- UN-EXPLAINED CREDITS IT(SS)A NOS. 69 & 74/HYD/2005 :- 7 -: IN CAPITAL ACCOUNT FOR AY.1997-98 OF RS.21.11 LAKHS I NVOLVING M/S.UNION BANK OF INDIA OF RS.10.47 LAKHS, PAL FINA NCIERS FOR RS.5.5 LAKHS AND 5 LAKHS AND SYNDICATE BANK RS.14,00 0/-. UN-EXPLAINED CREDITS IN CAPITAL ACCOUNT FOR AY.1998-99 IN CASES OF M/S.SYNDICATE BANK-624 OF RS.50,153 AND RS.40,000/-, SREE BALAJI ENTERPRISES RS.10,39,300/-, UN- EXPLAINED CREDITS ADDITION IN CAPITAL ACCOUNT FOR AY.19 99-2000 IN CASE OF M/S.OLD PAL WINES OF RS.79,896/- (TWICE) UN- EXPLAINED CREDITS ADDITION IN AY.1996-97 OF RS.7,43,7 50/- IN CASES OF M/S.GOLDEN AGENCIES AND GURVINDERPAL SINGH OF RS.3 LAKHS AND RS.4,43,750/-, UN-EXPLAINED CASH CREDITS I N AY.1997-98 OF RS.14 LAKHS IN CASE OF KULDEEP CHITS A ND AJIT ENTERPRISES INVOLVING RS.1 LAKH AND RS.13 LAKHS AND UN- EXPLAINED CASH CREDITS ADDITION IN 1999-2000 OF RS.2 0 LAKHS INVOLVING M/S.SESHADRI CHIT FUNDS, SONU WINES AND WI NE JUNCTION HAVING RESPECTIVE SUMS OF RS.5 LAKHS, 3 LAKH S AND RS.12 LAKHS; RESPECTIVELY. 5.1. CASE RECORDS FURTHER INDICATE THAT A REMAND REPORT DT.02- 05-2018 HAS BEEN SUBMITTED FROM ASSESSING OFFICERS END BEFORE US INTER ALIA ACCEPTING THE ASSESSEES CASE (EXCEPT) SINDICATE BANK-624, INVOLVING RS.8,532/- IN ITA NO.74/HYD/2005 AND THEREFORE, ALL THESE ADDITIONS ARE BASED ON THE ENTRIES MADE IN THE REGULAR BOOKS OF ACCOUNT ONL Y. THIS GIVES RISE TO THE VERY PRECISE SOLE QUESTION BEFORE U S AS TO WHETHER THE IMPUGNED ADDITIONS IN SEC.158BC PROCEEDI NGS BASED ON THE ENTRIES MADE IN ASSESSEES REGULAR BOOK S OF ACCOUNT COULD BE MADE. IT(SS)A NOS. 69 & 74/HYD/2005 :- 8 -: 5.2. WE NOTICE IN THIS FACTUAL BACKDROP THAT THE FOREGOI NG ISSUE IS NO MORE RESJUDICATA . IT IS NOT IN DISPUTE THAT THE IMPUGNED SEARCH HAD ALSO COVERED THE CASE OF ASSESSE ES FAMILY/MEMBER SHRI KULDIP SINGH BAGGA. THIS TRIBUNAL S CO- ORDINATE BENCHS EARLIER ORDER DT.14-10-2011 FOR THE V ERY BLOCK PERIOD AND SEARCH HAD HELD THAT THE CREDITS IN ISSUE CANNOT BE GONE INTO IN BLOCK ASSESSMENT PROCEEDINGS AS THE SAME WOULD ONLY FORM SUBJECT MATTER OF REGULAR ASSESSMENT PROCEEDI NGS. THE REVENUE APPEARS TO HAVE FILED ITTA NO.693/HYD/20 14. HON'BLE JURISDICTIONAL HIGH COURTS JUDGMENT DT.20-11-2 014 HAS DECLINED ITS ARGUMENTS THEREBY AFFIRMING THE TRIB UNALS ABOVE ORDER. 5.3. THE FACTUAL POSITION IS NO DIFFERENT IN THE INSTA NT REMAINING ISSUES AS WELL SINCE THE ASSESSING OFFICER S REMAND REPORT DT.02-05-2018 (SUPRA) ITSELF VERIFIED THAT ASS ESSEES CREDITS WHICH ARE RECORDED IN ALREADY MAINTAINED BOO KS OF ACCOUNT WHICH COULD FORM SUBJECT MATTER OF REGULAR AND NOT BLOCK ASSESSMENTS AS PER HON'BLE JURISDICTIONAL HIGH COURTS DECISION IN THE VERY GROUP OF CASES. WE ALSO WISH TO QUOTE CASE LAW: I. B.JAYALAKSHMI VS. ACIT (2018) [96 TAXMANN.COM 486] (MAD); II. CIT VS. DM PURNESH (2020) (426 ITR 169) (KARNATAKA); HOLDING THAT THE REVENUE CANNOT BE TREATED AS AN AGGRIEVE D PARTY WHEN THE ASSESSING OFFICERS REMAND REPORT AGRE ES WITH AN ASSESSEES CONTENTIONS. WE THUS GO BY THE FOREGO ING REASONING AND HOLD THAT THE REVENUES SUBSTANTIVE GROUND NOS.8 TO 13 SEEKING TO REVIVE THE CORRESPONDING ADDITI ON(S) IT(SS)A NOS. 69 & 74/HYD/2005 :- 9 -: DESERVE TO BE DECLINED AND ASSESSEES GROUND NOS.4 TO 10 (SUPRA) SUCCEED (EXCEPT THE AMOUNT OF RS.8,532/- PERTA INING TO SYNDICATE BANK-624) IN ABOVE TERMS. ORDERED ACCORDING LY. THE REVENUES APPEAL NO.69/HYD/2005 FAILS WHERE AS THE ASSESSEES CROSS APPEAL NO.74/HYD/2005 IS PARTLY ACC EPTED. NECESSARY COMPUTATION SHALL FOLLOW AS PER LAW. 6. TO SUM-UP, REVENUES APPEAL NO.69/HYD/2005 IS DISMISSED AND THE ASSESSEES APPEAL NO.74/HYD/2005 I S PARTLY ALLOWED IN FOREGOING TERMS. A COPY OF THIS COMMON ORD ER BE PLACED IN THE RESPECTIVE CASE FILES. ORDER PRONOUNCED IN THE OPEN COURT ON 28 TH JUNE, 2021 SD/- SD/- (LAXMI PRASAD SAHU) (S.S.G ODARA) ACCOUNTANT MEMBER JUDICIAL ME MBER HYDERABAD, DATED: 28-06-2021 TNMM IT(SS)A NOS. 69 & 74/HYD/2005 :- 10 -: COPY TO : 1.INDERJEET KAUR BAGGA, L/R. OF LATE HARMAHENDER SI NGH BAGGA, C/O. P.MURALI & CO., CHARTERED ACCOUNTANTS, 6-3-655/2/3, 1 ST FLOOR, SOMAJIGUDA, HYDERABAD. 2.DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE -1, HYDERABAD. 3.ASST.COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE-1 , HYDERABAD. 4.CIT(APPEALS)-1, HYDERABAD. 5.CIT(CENTRAL)-HYDERABAD. 6.D.R. ITAT, HYDERABAD. 7.GUARD FILE.