Santosh Kumar Dutta, Nadia V. I.T.O.,Ward-41(4), Kolkata

MA 36/KOL/2020

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 4959 (ITAT-KOLKATA)
• Duration Of Justice: 1 month(s) 8 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 21-02-2020
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2012-2013
• Appeal Filed On: 13-01-2020
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Unexplained investment

Judgement Text

M.A. NO. 36/KOL/2020 ( IN ITA NO. 1500/KOL/2019) ASSESSMENT YEAR: 2012-2013 SANTOSH KUMAR DUTTA 1 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA SMC BENCH, KOLKATA BEFORE SHRI P.M. JAGTAP, VICE-PRESIDENT M.A. NO. 36/KOL/2020 (ARISING OUT OF I.T.A. NO. 1500/KOL/2019) ASSESSMENT YEAR: 2012-2013 SANTOSH KUMAR DUTTA, NADIA......................... .......................APPLICANT PROP. OF M/S. BUROMA FILLING STATION, VILL. HARINATHPUR, P.O. KALIGANJ, NADIA-741150 [PAN: AGVPD9588P] -VS.- INCOME TAX OFFICER,................................ .............................RESPONDENT WARD-41(4), NADIA APPEARANCES BY: SHRI D.K. SHAH, FCA, FOR THE APPLICANT SHRI DHRUBAJYOTI ROY, SR. D.R., FOR THE RESPONDENT DATE OF CONCLUDING THE HEARING : FEBRUARY 21, 2020 DATE OF PRONOUNCING THE ORDER : FEBRUARY 21, 2020 O R D E R BY THIS MISCELLANEOUS APPLICATION, THE ASSESSEE IS SEEKING RECALL OF THE TRIBUNALS ORDER DATED DECEMBER 18, 2019 PASSED IN ITA NO. 1500/KOL/2019. 2. I HAVE HEARD THE ARGUMENTS OF BOTH THE SIDES AND ALSO PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD. AS SUBMITTED BY THE ASSESSEE IN THE PRESENT MISCELLANEOUS APPLICATION AND FURTHER REITE RATED BY THE LD. COUNSEL FOR THE ASSESSEE AT THE TIME OF HEARING BEF ORE THE TRIBUNAL, THE ORDER OF THE TRIBUNAL DATED DECEMBER 18, 2019 SUFFE RS FROM THE FOLLOWING MISTAKE:- THE ORDER IS SUPPOSED TO SUFFER AN APPARENT MISTAK E AS THERE IS NO LAW BY WHICH UNDISCLOSED PURCHASES OR T HE CAPITAL REQUIRED FOR SUCH PURCHASES IS TO BE ADDED TO THE PROFIT, WHILE AO HAS ACCEPTED CORRESPONDING SALE FI GURE M.A. NO. 36/KOL/2020 ( IN ITA NO. 1500/KOL/2019) ASSESSMENT YEAR: 2012-2013 SANTOSH KUMAR DUTTA 2 WITHOUT ANY DISPUTE. MOREOVER, THE AO HAS ADDED THE GP ON SUCH UNDISCLOSED PURCHASES. 3. IN THIS REGARD, IT IS OBSERVED THAT THE ISSUE RE LATING TO THE ADDITION MADE TO THE TOTAL INCOME OF THE ASSESSEE ON ACCOUNT OF UNEXPLAINED INVESTMENT MADE IN THE UNACCOUNTED BUSINESS WAS CON SIDERED AND DECIDED BY THE TRIBUNAL VIDE PARAGRAPH NO. 4 OF ITS ORDER DATED DECEMBER 18, 2019 (SUPRA), WHICH READS AS UNDER:- 4. I HAVE HEARD THE ARGUMENTS OF BOTH THE SIDES AN D ALSO PERUSED THE RELEVANT MATERIAL AVAILABLE ON REC ORD. THE LD. COUNSEL FOR THE ASSESSEE HAS CONTENDED THAT EVE N THOUGH THE ADDITION MADE BY THE ASSESSING OFFICER A ND CONFIRMED BY THE LD. CIT(APPEALS) ON ACCOUNT OF PRO FIT ALLEGEDLY EARNED BY THE ASSESSEE FROM THE UNACCOUNT ED TRANSACTIONS OF PURCHASES AND SALES CAN BE TAKEN AS JUSTIFIED, THE ADDITION MADE ON ACCOUNT OF THE CAPI TAL ALLEGEDLY INVESTED BY THE ASSESSEE IN SUCH UNACCOUN TED TRANSACTIONS IS NOT SUSTAINABLE. HE HAS CONTENDED T HAT NO ADDITIONAL INVESTMENT IN CAPITAL WAS REQUIRED TO BE MADE BY THE ASSESSEE FOR THE UNACCOUNTED TRANSACTIONS AS THE INFRASTRUCTURE REQUIRED FOR THE PURPOSE OF CARRYING OUT SUCH TRANSACTIONS WAS VERY MUCH AVAILABLE WITH THE ASSESSEE. I AM UNABLE TO ACCEPT THIS CONTENTION OF THE LD. COUNSEL FOR THE ASSESSEE. AS RIGHTLY CONTENDED BY T HE LD. D.R., THE UNACCOUNTED TRANSACTIONS OF PURCHASES AND SALES ADMITTEDLY MADE BY THE ASSESSEE REQUIRED INVESTMENT IN THE FORM OF WORKING CAPITAL AND SINCE THE REQUIREME NT OF SUCH CAPITAL WAS WORKED OUT BY THE ASSESSING OFFICE R ON PROPORTIONATE BASIS, THE ADDITION MADE ON ACCOUNT O F SUCH CAPITAL DESERVES TO BE SUSTAINED BEING FAIR AND REA SONABLE. I, THEREFORE, FIND NO INFIRMITY IN THE IMPUGNED ORD ER OF THE LD. CIT(APPEALS) CONFIRMING THE ADDITION MADE BY TH E ASSESSING OFFICER ON THIS ISSUE AND UPHOLDING THE S AME, I DISMISS THIS APPEAL FILED BY THE ASSESSEE. 4. A PERUSAL OF THE RELEVANT PORTION OF THE TRIBUNA LS ORDER EXTRACTED ABOVE CLEARLY SHOWS THAT THE CONTENTION RAISED ON B EHALF OF THE ASSESSEE ON THE ISSUE RELATING TO THE ADDITION MADE ON ACCOU NT OF UNEXPLAINED INVESTMENT MADE BY THE ASSESSEE IN THE UNDISCLOSED BUSINESS WAS DULY CONSIDERED BY THE TRIBUNAL IN THE LIGHT OF THE FACT S OF THE CASE AND A WELL CONSIDERED VIEW WAS TAKEN THAT THE ADDITION MADE BY THE ASSESSING M.A. NO. 36/KOL/2020 ( IN ITA NO. 1500/KOL/2019) ASSESSMENT YEAR: 2012-2013 SANTOSH KUMAR DUTTA 3 OFFICER ON THIS ISSUE AND CONFIRMED BY THE LD. CIT( APPEALS) WAS SUSTAINABLE KEEPING IN VIEW THE INVESTMENT REQUIRED IN THE FORM OF WORKING CAPITAL FOR THE UNDISCLOSED BUSINESS. WHAT THE ASSESSEE IS NOW SEEKING IN THE GUISE THIS MISCELLANEOUS APPLICATION IS REVIEW OF THE SAID DECISION TAKEN BY THE TRIBUNAL, WHICH IS BEYOND THE SCOPE OF RECTIFICATION PERMISSIBLE UNDER SECTION 254(2). I, THEREFORE, FIN D NO MERIT IN THIS MISCELLANEOUS APPLICATION FILED BY THE ASSESSEE AND DISMISS THE SAME. 5. IN THE RESULT, THE MISCELLANEOUS APPLICATION OF THE ASSESSEE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON FEBRUARY 21, 2020. SD/- (P.M. JAGTAP) VICE-PRESIDENT KOLKATA, THE 21 ST DAY OF FEBRUARY, 2020 COPIES TO : (1) SANTOSH KUMAR DUTTA, PROP. OF M/S. BUROMA FILLING STATION, VILL. HARINATHPUR, P.O. KALIGANJ, NADIA-741150 (2) INCOME TAX OFFICER, WARD-41(4), NADIA (3) COMMISSIONER OF INCOME TAX (APPEALS)-12, K OLKATA; (4) COMMISSIONER OF INCOME TAX- , KOLKATA (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.