ITO, Ward - 35(1), , Kolkata V. Pawan Kumar Goenka , Kolkata

MA 243/KOL/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 9982 (ITAT-KOLKATA)
• Duration Of Justice: 25 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 03-01-2020
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2015-2016
• Appeal Filed On: 09-12-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Unexplained cash credit; Set aside; Capital Gains; Bogus
• Section: 254(2)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH SMC KOLKATA BEFORE SHRI S.S, GODARA, JUDICIAL MEMBER (MISC. APPLICATION) M.ANO.235/KOL/2019 (ARISING OUT ITA NO.202/KOL/2019) / ASSESSMENT YEAR:2014-15 INCOME TAX OFFICER WARD-34(3), 110, SHANTI PALLY, UTTARAPAN, AAYAKAR BHAWAN, KOLKATA-107 / V/S . DEO CHAND SAMSUKHA, HUF, SHOP NO. B-17, GROUND FLOOR, 22, BONFIELD LANE, DALHOUSE, KOLKATA-700 001 [ PAN NO. ABHD 3531 L ] /APPLICANT .. /RESPONDENT /BY ASSESSEE SHRI ANIL KOCHAR, ADVOCATE /BY REVENUE SMT. RANU BISWAS, ADDL. CIT-SR-DR (MISC. APPLICATIONS) M.ANO.236, 238 & 243/KOL/2019 (ARISING OUT ITA NOS.2317, 2464 & 2153/KOL/2018) / ASSESSMENT YEARS:2015-16 & 2014-15 INCOME TAX OFFICER WARD-35(1), 110, SHANTI PALLY, UTTARAPAN, AAYAKAR BHAWAN, KOLKATA-107 / V/S . M/S PRAKASH PATAWARI [HUF] NEW HOWRAH BRIDGE APPROACH ROAD, BURRABAZAR, KOLKATA [ PAN NO. AAGHP 3487 E ] M/S PREMCHAND HANUMAN MAL BUCHA [HUF], 10, MURLIDHAR SEN LANE, BURRABAAR, KOLKATA-700 073 [ PAN NO. AACHP 6274 M ] MA NO.235-243/KOL/2020 ITO WD-35(1) KOL. VS. NINE SEPARATE ASSESSEE(S) PAGE 2 PAWAN KUMAR GOENKA TODI CHAMBERS, 2, LALBAZAR STREET, 2 ND FLOOR, ROOM NO. 217, KOLKTA-700 001 [ PAN NO. ADMPG 2615 C ] /APPLICANT .. /RESPONDENT /BY ASSESSEE SHRI CHIRAG DESAI, ACA /BY REVENUE SMT. RANU BISWAS, ADDL. CIT-SR-DR (MISC. APPLICATION) M.ANO.237/KOL/2019 (ARISING OUT ITA NO.2590/KOL/2018) / ASSESSMENT YEAR:2015-16 INCOME TAX OFFICER WARD-35(1), 110, SHANTI PALLY, UTTARAPAN, AAYAKAR BHAWAN, KOLKATA-107 / V/S . PRAVEEN KUMAR AGARWAL CF-307, SALT LAKE CITY, SECTOR-1,NORTH 24 PARGANAS, KOLKATA-64 [ PAN NO. ADAPA 3275 A ] /APPELLANT .. /RESPONDENT /BY ASSESSEE SHRI PRAKASH CH. NAYAK, FCA /BY REVENUE SMT. RANU BISWAS, ADDL. CIT-SR-DR (MISC. APPLICATION) M.ANO.239/KOL/2019 (ARISING OUT ITA NO.2473/KOL/2018) / ASSESSMENT YEAR:2015-16 INCOME TAX OFFICER WARD-35(1), 110, SHANTI PALLY, UTTARAPAN, AAYAKAR BHAWAN, KOLKATA-107 / V/S . PRAMOD BAID [HUF] 313, TODI CHAMBERS, 2, LAL BAZAR STREET, KOLKATA-700 001 [ PAN NO. AADHB 7500 D ] /APPELLANT .. /RESPONDENT MA NO.235-243/KOL/2020 ITO WD-35(1) KOL. VS. NINE SEPARATE ASSESSEE(S) PAGE 3 /BY ASSESSEE SHRI YASH VADHAN BAID, ADVOCATE /BY REVENUE SMT. RANU BISWAS, ADDL. CIT-SR-DR (MISC. APPLICATION) M.ANO.240/KOL/2019 (ARISING OUT ITA NO.2666/KOL/2018) / ASSESSMENT YEAR:2015-16 INCOME TAX OFFICER WARD-35(1), 110, SHANTI PALLY, UTTARAPAN, AAYAKAR BHAWAN, KOLKATA-107 / V/S . P.K.SHARMA SONS [HUF] 4, FAIRLIE PLACE, HMP HOUSE, 1 ST FLOOR, ROOM NO. 104, KOLKATA-700 001 [ PAN NO. AAHHP 7913 C ] /APPELLANT .. /RESPONDENT /BY ASSESSEE SHRI SOMNATH GHOSH, ADVOCATE /BY REVENUE SMT. RANU BISWAS, ADDL. CIT-SR-DR (MISC. APPLICATION) M.ANO.241& 242/KOL/2019 (ARISING OUT ITA NOS.2368 & 2367/KOL/2018) / ASSESSMENT YEAR:2015-16 INCOME TAX OFFICER WARD-35(1), 110, SHANTI PALLY, UTTARAPAN, AAYAKAR BHAWAN, KOLKATA-107 / V/S . PIYUSH PANSARI [HUF] PODDAR COURT, GATE NO.3, 2 ND FLOOR, 18, RABINDRA SARANI, KOLKATA-700 001 [ PAN NO. AAIHP 4738 E ] POOJA PANSARI PODDAR CORT, GATE NO. 3, 2 ND FLOOR, 18,RABINDRA SARANI,KOLKATA-700 001 [ PAN NO. AGRPP 1705 G ] /APPELLANT .. /RESPONDENT MA NO.235-243/KOL/2020 ITO WD-35(1) KOL. VS. NINE SEPARATE ASSESSEE(S) PAGE 4 /BY ASSESSEE SHRI UPENDRA NATH RAI, AR /BY REVENUE SMT. RANU BISWAS, ADDL. CIT-SR-DR $ /DATE OF HEARING 03-01-2020 $ /DATE OF PRONOUNCEMENT 03-01-2020 /O R D E R THESE NINE REVENUES MISCELLANEOUS PETITION(S) FIL ED U/S 254(2) OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT SEEK TO RE-CALL / RECTIFY THE TRIBUNALS COMMON ORDER DATED 27.06.2019 ALLOWING THE MAIN APPEAL(S) THEREB Y REVERSING THE LEARNED LOWER AUTHORITIES ACTION TREATING THE TAXPAYERS CORRESP ONDING LONG TERM CAPITAL GAINS /LOSSES & SHORT TERM CAPITAL GAINS / LOSSES AS UNEX PLAINED CASH CREDITS. HEARD MS. BISWAS APPEARING FOR THE DEPARTMENT AND L EARNED AUTHORIZED REPRESENTATIVES FOR THE ASSESSEES. 2. MS. BISWAS VEHEMENTLY CONTENDED DURING THE COURS E OF HEARING THAT THE TRIBUNALS IMPUGNED COMMON ORDER HEREIN HAS ERRED O N FACTS AS PER RECORDS REGARDING THE UNEXPLAINED CASH CREDITS ADDITION SINCE SOME OF THESE CASES INVOLVED THE ISSUE OF LTCG/LOSSES AND STCG/LOSSES WHICH HAVE BEEN TREATED VICE VERSA . I FIND NO MERIT IN THE REVENUES INSTANT SOLE GRIEVANCE CANVASSED IN A LL THESE MISCELLANEOUS APPLICATIONS. I MAKE IT CLEAR THAT THE TRIBUNALS C OMMON ORDER HAD SET ASIDE THE LEARNED LOWER AUTHORITIES ACTION TREATING THE RESPECTIVE G AINS / LOSSES DERIVED FROM SALE OF VARIOUS SCRIPS AS BOGUS GOING BY CIRCUMSTANTIAL THA N ACTUAL EVIDENCE TENDERED IN SUPPORT OF THE CLAIMS IN QUESTION. MRS. BISWAS FAIL S TO DISPUTE THAT THE LEARNED LOWER AUTHORITIES HAD INVOKED IN CASE LAW IN SUMATI DAYAL VS. COMMISSIONER OF INCOME TAX (1995) 80 TAXMANN.COM 89 (SC) AND COMMISSIONER OF I NCOME TAX VS. DURGA PRASAD MORE (1971) 82 ITR 540 (SC) TO HOLD THAT THE IMPUGN ED GAINS / LOSSES; AS THE CASE MAY BE, ARE BOGUS UNEXPLAINED CASH CREDITS BY ADOPT ING IDENTICAL REASONING. THE TRIBUNALS ORDER IN TURN ACCEPTED THE ASSESSEES CO NTENTIONS THAT SUCH A COURSE OF ACTION CANNOT BE ADOPTED WHEN THE IMPUGNED GAINS / LOSSES ARE SUPPORTED BY ALL THE CORRESPONDING EVIDENCE WHICH HAVE NOWHERE BEEN DOUB TED EITHER IN THE COURSE OF ASSESSMENT OR IN THE LOWER APPELLATE PROCEEDINGS. I ACCORDINGLY OBSERVE THAT PROCEEDINGS U/S 254(2) JURISDICTION ARE NOT IN THE NATURE OF REVERSING NOR DOES THIS MA NO.235-243/KOL/2020 ITO WD-35(1) KOL. VS. NINE SEPARATE ASSESSEE(S) PAGE 5 STATUTORY PROVISION INVOLVES A LONG DRAWN PROCESS A S HELD HON'BLE GUJARAT HIGH COURT IN COMMISSIONER OF INCOME TAX VS. GUJARAT INSTITUTION OF HOUSING & ESTATE DEVELOPER IN TAX APPEAL NO.327 OF 2017 DATED 18.07.2017. I ACCORDINGLY CONCLUDE THAT THE TRIBUNALS COMMON ORDER DATED 27.06.2019 BE READ AS REVERSING BOTH THE LEARNED LOWER AUTHORITIES ACTION TREATING THE LONG AND SHORT TER MS CAPITAL GAINS AND LOSSES AS BOGUS IN ALL CASES IN VIEW OF THE DETAILED SUPPORTIVE EVI DENCE IN THE CASE FILES. THE REVENUE FAILS IN ITS IDENTICAL SOLE SUBSTANTIVE GRIEVANCE T HEREFORE. 3. THESE REVENUES NINE MISCELLANEOUS APPLICATION(S ) ARE DISMISSED. A COPY OF THE INSTANT COMMON ORDER BE PLACED IN THE RESPECTIV E CASE FILES. ORDER PRONOUNCED IN THE OPEN COURT AT THE CLOSE OF THE HEARING ON FRIDAY, 3 RD JANUARY, 2020 . SD/- (S.S. GODARA) JUDICIAL MEMBE R KOLKATA, *DKP/SR.PS ( - 03/01/2020 / COPY OF ORDER FORWARDED TO:- 1. /ASSESSEE-DEO CHAND SAMSUKHA, HUF, SHOP NO. B-17, G R. FL,22, BONFIELD LANE, DALHOUSE, KOLKAA-001/M/S PRAKASH PATAWARI [HUF] NEW HOWRAH BRIDGE, APPROACH ROAD BURRABAAR,KOLKATA/M/S PR EMCHAND HANUMAN MAL BUCHA [HUF], 10, MURLIDHAR SEN LANE, BURRABAZAR, KO LKATA-73/PAWAN KUMAR GOENKA TODI CHAMBERS, 2, LAL BAZAR STREET, 2 ND FL, R.NO. 217, KOLKATA-7001/PRAVEEN KUMAR AGARWAL CF- 307, SALT LAKE CITY, SEC TOR-1, NORTH 24 PARGANAS, KOLKATA-64/ PRAMOD BAID [ HUF] 313, TODI CHAMBERS, 2, L AL BAZAR STREET KOLKATA-700001/P.K. SHARMA SONS [HU F] 4, FAIRLIE PLACE, HMP HOUS E, 1 ST FLOOR, R.NO.104, KOKATA-001/PIYUSH PANSARI [HUF] / POOJA PANSARI PODDAR CO URT, GATE NO.3, 2 ND FL. 18, RABINDRA SARANI, KOLKATA-001 2. /REVENUE-ITO WARD-35(1), AAYKAR BHAWAN POORVA,110, SHANTI PALLY, KOLKATA-107 3. + , / CONCERNED CIT 4. , - / CIT (A) 5. + , $ + / DR, ITAT, KOLKATA 6. / GUARD FILE. BY ORDER/ , /TRUE COPY/ / $ +,