DEVESH JANI, MUMBAI V. ASSISTANT COMMISSIONER OF INCOME TAX 21(2), MUMBAI

MA 252/MUM/2017

• Counselvise Citation: [2018] 124 COUNSELVISE.COM (IT) 6314 (ITAT-MUMBAI)
• Duration Of Justice: 9 month(s) 7 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 19-02-2018
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: D
• Assessment Year: 2011-2012
• Appeal Filed On: 12-05-2017
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: LOVE KUMAR

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH D MUMBAI BEFORE SHRI SAKTIJIT DEY (JUDICIAL MEMBER) AND SHRI N.K. PRADHAN (ACCOUNTANT MEMBER) MA NO. 252/MUM/2017 (ITA NO. 7071/MUM/2017) ASSESSMENT YEAR: 2011 - 12 SHRI DEVESH JANI 392/8, VSANT C.H.S. LTD., BHAUDAJI ROAD, MATUNGA, MUMBAI - 400019 VS. ACIT - 21(2), MUMBAI R. NO. 508, C - 10, 5 TH FLOOR, BKC, BANDRA EAST, PAN NO. AEPJ2009J APPELLANT RESPONDENT ASSESSEE BY : MR. MALAV P. SHETH , AR REVENUE BY : MR. LOVE KUMAR , DR DATE OF HEARING : 09/02/2018 DATE OF PRONOUNCEMENT : 19/02/2018 ORDER PER N.K. PRADHAN, AM BY THIS MISCELLANEOUS PETITION, THE APPELLANT SEEKS THAT THE ORDER PASSED BY THE TRIBUNAL IN ITA NO. 7071/MUM/2014 FOR THE ASSESSMENT YEAR 2011 - 12 DATED 11.04.2017 CONFIRMING THE ORDER OF THE ASSESSING OFFICER (AO) BRINGING TO TAX RS.4,40,000/ - BE RECTIFIED U/S 254(2) OF THE INCOME TAX ACT, 1961 (THE ACT) . 2. BEFORE US, THE LD. COUNSEL OF THE APPELLANT SUBMITS THAT DURING THE COURSE OF PROCEEDINGS, IT WAS STATED THAT THE ASSESSEE WAS FOLLOWING CASH SYSTEM OF ACCOUNTING IN RELATION TO PROVIDING LIAISON SERVICES AND SHRI DEVESH JANI MA NO. 252/MUM/2017 2 MERCANTILE SYSTEM OF ACCOUNTING FOR BUSINESS OF CONSTRUCTION. IN VIEW OF THE SAME, THE APPLICANT HAD NOT INCLUDED RS.4,40,000/ - APPEARING IN FORM NO. 26AS AS BEING PAID/CREDITED BY ELITE LEARNING ON 31.03.2011. IT IS SUBMITTED THAT NO TDS ON THE SAME WAS CLAIMED IN THE RETURN OF INCOME OF AY 2011 - 12. FURTHER IT IS SUBMITTED THAT THE SAID AMOUNT WAS OFFERED TO TAX IN THE RETURN OF INCOME OF THE YEAR OF RECEIPT I.E. AY 2012 - 13 AND TDS CREDIT FOR THE SAME WAS ALSO CLAIMED IN AY 2012 - 13. TH US IT IS STATED THAT THE APPEAL OF THE DEPARTMENT FOR THIS GROUND OF APPEAL BE DISMISSED. 3. ON THE OTHER HAND, THE LD. DR SUBMITS THAT AS PER FORM NO. 26AS, THE APPELLANT HAS BEEN PAID RS.4,40,000/ - ON 31.03.2011 ON WHICH TDS OF RS.40,000/ - IS DEDUCTED A ND THEREFORE, THERE IS NO ERROR IN THE ORDER OF THE TRIBUNAL. 4. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE RELEVANT MATERIALS ON RECORD. THE REASONS FOR OUR DECISION ARE GIVEN BELOW: THE APPELLANT IS ENGAGED MAINLY IN THE BUSINESS OF PROPERTY DE VELOPERS AND BUILDERS. ADMITTEDLY, IT FOLLOWS MERCANTILE SYSTEM OF ACCOUNTING FOR THE SAME. WE FIND THAT THE APPELLANT HAS NOT FILED THE COMPLETE DOCUMENTS/EVIDENCE BEFORE THE AO THAT IT WAS FOLLOWING CASH METHOD ACCOUNTING FOR LIAISON SERVICES. FORM NO . 26AS IS THE ANNUAL STATEMENT U/S 203AA WHICH READS AS UNDER: SHRI DEVESH JANI MA NO. 252/MUM/2017 3 203AA THE PRESCRIBED INCOME - TAX AUTHORITY OR THE PERSON AUTHORIZED BY SUCH AUTHORITY REFERRED TO IN SUB - SECTION (3) OF SECTION 200, SHALL, WITHIN THE PRESCRIBED TIME AFTER THE END OF EACH FINANCIAL YEAR BEGINNING ON OR AFTER THE 1 ST DAY OF APRIL, 2008 PREPARE AND DELIVER TO EVERY PERSON FROM WHOSE INCOME THE TAX HAS BEEN DEDUCTED OR IN RESPECT OF WHOSE INCOME THE TAX HAS BEEN PAID A STATEMENT IN THE PRESCRIBED FORM SPECIFYING THE AMOUNT OF TAX DEDUCTED OR PAID AND SUCH OTHER PARTICULARS AS MAY BE PRESCRIBED . AS THE APPELLANT IN THE INSTANT CASE HAS BEEN PAID RS.4,40,000/ - ON 31.03.2011 ON WHICH TDS OF RS.44,000/ - WAS DEDUCTED AS EVIDENT FROM FORM NO. 26AS, THERE IS NO MISTAKE IN THE ORDER OF THE TRIBUNAL IN CONFIRMING THE ORDER OF THE AO FOR THE AY 2011 - 12 ON THE ABOVE ISSUE. THERE IS NO DISPUTE THAT THE INCOME OF RS.4,44,000/ - IS TO BE TAXED ONCE AND THE CORRESPONDING CREDIT OF RS.44,000/ - IS TO BE GIVEN ONCE. THIS HAS HAPPENED IN THE IMPU GNED ASSESSMENT YEAR. 5. IN THE RESULT, THE MISCELLANEOUS APPLICATION IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 19/02/2018. SD/ - SD/ - ( SAKTIJIT DEY) (N.K. PRADHAN) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI ; DATED: 19/02/2018 RAHUL SHARMA, SR. P.S. SHRI DEVESH JANI MA NO. 252/MUM/2017 4 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT. 3. THE CIT(A) - 4. CIT 5. DR, ITAT, MUMBAI 6. GUARD FILE . BY ORDER, //TRUE COPY// (DY./ASSTT. REGISTRAR) ITAT, MUMBAI