DCIT, Bhubaneswar V. KK Ravindran(Lata), Khurda

MA 53/CTK/2009

• Counselvise Citation: [2010] 123 COUNSELVISE.COM (IT) 4713 (ITAT-CUTTACK)
• Duration Of Justice: 1 year(s) 2 month(s) 17 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 23-07-2010
• Appeal Filed By: Department
• Bench Allotted: DB
• Assessment Year: misc
• Appeal Filed On: 06-05-2009
• Court: TRIBUNAL
• Keywords: Block assessment

Judgement Text

IN THE INCME TAX APPELLATE TRIBUNAL, CUTTACK BENCH, CUTTACK BEFORE : HONBLE SHRI D.K.TYAGI, JUDICIAL MEMBER, AND HONBLE SHRI K.K.GUPTA, ACCOUNTANT MEMBER. MISC.PETITION NO.53/CTK/2009 IT (SS) A NO. 82/CTK/2005 DT.02.09 . 2008 W.P(C) NO.17324 OF 2009 DISPOSED OF HONBLE ORISSA HIGH COURT VIDE ORDER DT.01.07.2010 ( BLOCK ASSESSMENT YEAR S 1988 - 89 TO 1998 - 99) DCIT, INV. CIRCLE I, BHUBANESWAR. VERSUS SHRI K.K.RAVINDRAN, GANDHINAGAR, P.O. BALUGAON, DIST.KHURDA. (APP LICANT ) (RESPONDENT) FOR THE APP LICANT : SHRI RAJAT KAR, DR FOR THE RESPONDENT SHRI G.NAIK, AR ORDER SHRI D.K.TYAGI, JUDICIAL MEMBER : THIS IS AN ORDER PASSED IN CONSEQUENCE OF ORDER DT. 1.7 .2010 PASSED BY HONBLE ORISSA HIGH COURT IN W.P.(C) NO.17324 OF 2009 FILED BY THE ASSESSEE - RESPONDENT AGAINST ORDER DT. 15.10.2009 PASSED BY THE TRIBUNAL IN MISC. PETITION NO.53/CTK/2009 IN THE APPEAL FILED BY THE ASSESSEE IN ITA NO. 8 2/CTK/2005 DT.2.9.2008. 2. WHILE DECIDING THE APPEAL FILED BY THE ASSESSEE IN ITA NO.53/CTK/2009 VIDE ORDER DT.2.9.2008, THE TRIBUNAL ALLOWED GROUND NO.7 THE REOF BY RECORDING ITS FINDING IN PARAGRAPH 27 IN THEIR ORDER AS UNDER: 27. AFTER HEARING THE RIVAL SUBMISSIONS AND ON CAREFUL PERUSAL OF TH E MATERIAL AVAILABLE ON RECORD, IT IS OBSERVED THAT THE ASSESSEE HAS DISCLOSED AN AMOUNT OF RS.13,10,000 TOWARDS CONSTRUCTION OF THE BUILDING IN ITS REGULAR RETURN OF INCOME - TAX WHEREAS THE DVO HAS VALUED THE SAME AT RS.17,17,205. KEEPING IN VIEW OF THE FA CT THAT THE ASSESSEE HAS EXPLAINED THE SOURCE OF RS.13,100 IN HIS REGULAR INCOME - TAX RETURN FILED BEFORE THE SEARCH AND THE REVENUE COULD NOT FIND ANY MATERIAL DURING THE COURSE OF SEARCH TO ESTABLISH T HAT THE ASSESSEE HAS MADE THE ADDITIONAL EXPENDITURE O VER AND ABOVE RS.13,10,000 IN THE CONSTRUCTION OF THE SAID HOUSE PROPERTY, WE FIND NO JUSTIFICATION IN MAKING THE ADDITION OF THE ENTIRE ADDITION OF RS.17,17,205 SIMPLY BASED ON THE DVOS VALUATION. WE FURTHER FIND THE CASE ON WHICH THE ASSESSEES LD. COUN SEL RELIED IS SQUARELY APPLICABLE IN THE FACTS AND CIRCUMSTANCES OF THE CASE. HENCE, WE SET ASIDE THE ORDERS OF THE REVENUE AUTHORITIES ON THIS ISSUE AND DIRECT THE 2 AO TO DELETE THE ADDITION OF RS.17,17,2005. THIS GROUND OF THE ASSESSEE IS ALLOWED. 3. AGAINST THE FINDING OF THE TRIBUNAL ABOVE, THE REVENUE FILED MISC. PETITION SEEKING RECTIFICATION OF THE ORDER ON THE GROUND THAT ADDITION OF THE AFORESAID SUM ON ACCOUNT OF UNEXPLAINED HOUSE PROPERTY BY THE ASSESSEE IS A MISTAKE APPARENT ON THE FACE OF RE CORD AND IS LIABLE TO BE SET ASIDE SAVE THE TYPING MISTAKE IN STATING THE FIGURE OF RS.13,10,000 IN PARA 27(LINE 5) AS RS.13,100 . TRIBUNAL, VIDE ORDER DT. 15.10.2009 PASSED BY THE TRIBUNAL IN MISC. PETITION NO.53/CTK/2 DT. 15.10.2009 ACCEPTED THE CONTENTION OF THE REVENUE AND SET ASIDE THE ORDER PASSED IN APPEAL WITH A DIRECTION TO HERE THE APPEAL AFRESH ON MERITS IN DUE COURSE. 4. AGAINST THE ORDER DT.15.10.2009 IN MISC. PETITION NO.53/CTK/2009, THE ASSESSEE FILED WRIT PETITION BEFORE HONBLE ORISSA HIGH C OURT AND THEIR LORDSHIPS VIDE ORDER DT. 1.7 .2010 PASSED BY HONBLE ORISSA HIGH COURT IN W.P.(C) NO.17324 OF 2009 ALLOWED THE WRIT PETITION IN PART QUASHING THE ORDER DT.15.10.2009 IN SO FAR AS IT RELATES TO SETTING ASIDE THE FINDING REGARDING DELETION OF R S.17,17,205. HOWEVER, AS TO CORRECTION OF RS.13,10,000 (INSTEAD OF RS.13,100) IN FIGURE AND WORDS REMAINED UNALTERED. HONBLE COURT HAS ALSO GRANTED LIBERTY TO THE REVENUE TO CHALLENGE THE ORDER OF THE TRIBUNAL PASSED IN APPEAL BEFORE THE APPROPRIATE FORUM . THE RELEVANT PORTION OF THE ORDER DT.1.7.2010 PASSED BY HONBLE HIGH COURT READS AS UNDER : THEREFORE, THE LEGAL CONTENTION URGED BY THE ASSESSEE THAT THE IMPUGNED ORDER IS VITIATED ON THE GROUND OF EXERCISE OF POWER BY THE TRIBUNAL BEYOND ITS SCOPE AN D AMBIT IS ACCEPTED. THE WRIT PETITION IS ALLOWED IN PART AND THE IMPUGNED ORDER UNDER ANNEXURE - 2 IN SO FAR AS IT RELATES TO SETTING ASIDE THE FINDING REGARDING DELETION OF RS.17,17,205 IS QUASHED, BUT AS TO CORRECT OF RS.13,10,000 (INSTEAD OF RS.13,100) I N FIGURE AND WORDS REMAINS UNALTERED. LIBERTY IS GRANTED TO THE REVENUE TO CHALLENGE THE ORDER OF THE TRIBUNAL PASSED IN APPEAL BEFORE THE APPROPRIATE FORUM, IF SO ADVISED. EVEN IF THERE IS SOME DELAY, THE SAME MAY BE CONDONED. 5. IN VIEW OF THE ABOVE, T HE ORDER DT.15.10.2009 IN MISC. PETITION NO.53/CTK/2009 STANDS MODIFIED IN CONSONANCE TO THE ORDER OF THE HONBLE HIGH COURT AND THE SAME MAY BE READ ACCORDINGLY. 3 6. IN THE RESULT, THE MISC. PETITION FILED BY THE REVENUE IS DISMISSED SUBJECT TO THE ABOVE OBSERVATIONS. THIS ORDER IS PRONOUNCED IN OPEN COURT ON DT. 23.07.2010 SD/ - SD/ - (K.K.GUPTA) ACCOUNTANT MEMBER (D.K.TYAGI) JUDICIAL MEMBER DATE: 23.07.2010 (H.K.PADHEE) SENIOR PRIVATE SECRETARY. COPY OF THE ORDER FORWARDED TO : 1. THE APP LICANT , 2. THE RESPONDENT, 3. THE CIT, 4. THE CIT(A), 5. THE DR, CUTTACK 6. GUARD FILE (IN DUPLICATE) TRUE COPY, BY ORDER, SENIOR PRIVATE SECRETARY .