VIKAS KUMAR JAIN, MUMBAI V. ITO 19(3)(5), MUMBAI

MA 60/MUM/2021

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 4442 (ITAT-MUMBAI)
• Duration Of Justice: 1 month(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 26-03-2021
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2009-2010
• Appeal Filed On: 25-02-2021
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: KRISHNA VORA
• Keywords: Bogus purchase; Reasonable cause

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC B ENCH , MUMBAI BEFOR E: SHRI M.BALAGANE SH, AM & SHRI RAVISH SOOD, JM M.A. NO. 60 / MUM/202 1 (ARISING OUT OF I TA NO. 1588 /MUM/ 2017 ( ASSESSMENT YEAR : 2009 - 10 ) SHRI VIKAS KUMAR JAIN PROP. M.S. RAJGURU INFOTECH 10/B, 2 ND FLOOR HANUMAN TERRACE TARA TEMPLE LANE, LAMINGTON ROAD MUMBAI 400 007 VS. ITO - 19(3)(5) R.NO.201, MATRU MANDIR TARDEO ROAD MUMBAI 400 001 PAN/GIR NO. ABNPJ9812B (APPELLANT ) .. (RESPONDENT ) ASSESSEE BY SHRI KRISHNA VORA REVENU E BY SHRI SUSHIL KUMAR MISHRA DATE OF HEARING 26 / 03 /202 1 DATE OF PRONO U NCEMENT 26 / 03 /202 1 / O R D E R PER M. BALAGANESH (A.M) : BY VIRTUE OF THIS MISCELLANEOUS APPLICATION, THE ASSESSEE SEEKS TO RECALL THE EXPARTE ORDER PA S SED BY THIS TRIBUNAL ON 18/09/201 7. WE FIND THAT THE APPLICATION HA S BEEN MADE ON ACCOUNT OF BOGUS PURCHASES IN THE ASSESSMENT. M A NO . 60 /MUM/ 2021 SHRI VIKAS KUMAR JAIN 2 2. WE FIND THAT THE LD. AO IN THE ASSESSMENT PROCEEDINGS HAD MADE AN ADDITION ON ACCOUNT OF BOGUS PURC HASES BY E STIMATING THE PROFIT ELEMENT THEREON @12.5% WHICH WAS REDUCED TO 6.5% BY THE LD. CIT(A). WE FIND THAT THE ASSESSEE BEFORE THE LD. CIT(A) HAD SUBMITTED THAT THE ADDITION THAT COULD BE MADE SHOULD BE ONLY PROFIT ELEMENT OF 6%. WE FIND THAT THE LD. CIT(A) AGREED TO THE SUB MIS SIONS OF THE ASSESSEE AND RESTR ICTED THE ADDITION AT 6.5% OF VALUE OF INGENUINE PURCHASES. IN THIS SCENARIO, THE TRIBUNAL HAD HELD THAT THERE IS NO REASON TO IN TERFERE WITH THE ORDER PASSED BY THE LD. CIT(A) AND ACCORDINGLY UPHELD THE ORDER OF THE LD. C IT(A) BY D ISMISSING THE APPEAL OF THE ASSESSEE. FROM THE PERUSAL OF THE MISCELLANEOUS APPLI CATION, WE FIND THAT ASSESSEE HAD NOT APPOI NTED THE AUTHORISED REPRESENTATIVE TO REPRESENT THE CASE BEFORE THE TRIBUNAL IN VIEW OF CERTAIN FEE DISPUTE WITH THE AUTH O RISED REPRESENTATIVE AND ISSU ANCE OF NO OBJECTION CERTIFICAT E (NOC) BY THE EARLIER REPRESENTATIVE TO THE NEW REPRESENTATIVE. THIS HAD APPARE NTLY LED TO NON - APPEARANCE BEFORE THE TRIBUNAL ON THE SCHEDULED DATE OF HEARING. WE FIND THAT TH E REASONS GIVEN IN TH E MISCELLANEOUS APPLICATION IS O NLY DUE TO INTERNAL DISPUTE ARISING BETWEEN THE A SSESSEE AND HIS REPRESENTATIVE AND IN OUR CONSIDERED OPINION, WE FIND THAT THE ASSESSEE HAD NOT MADE OUT ANY REASONABLE CAUSE OR HAD AFFORDED R EASONABLE EXPLANATION FOR ITS NON - APPEARANCE BEFORE THE TRIBUNAL ON THE SC HEDULED DATE OF HEARING. HENCE, WE HOLD THAT THE MISCELLANEOUS APPLICATION O F THE ASSESSEE DESERVES TO BE DISMISSED. EVEN ON MERITS , WE HAVE ALREADY HELD HEREINABOVE THAT TH E LD. CIT(A) HAD RESTRICTED THE ADDITIO N TO THE EXTEN T OF 6.5% OF BOGUS PURCH A SE BASED ON THE STATEMENT MAD E BY THE ASSESSEE BEFORE HIM. HENCE, THERE CANNOT BE ANY GRIEVANCE FOR THE ASSESSEE IN THAT ORDER. IN VIEW OF THE AFORESAID RE ASONS, WE ARE NOT INCLI NED TO ACCEPT THE MISCELLANEOUS APPLICA TION OF THE AS SESSEE AND ACCORDINGLY, THE SAME IS DISMISSED. M A NO . 60 /MUM/ 2021 SHRI VIKAS KUMAR JAIN 3 3. IN THE RESU LT, MISCELLANEOUS APPLICATION OF THE ASSESSEE IS DI SMISSED. ORDER PRONOUNCE D ON 26 / 03 / 202 1 BY WAY OF PROPER M ENTIONING IN T HE NOTICE BOARD. SD/ - ( RAVISH SOOD ) SD/ - (M.BALAGANESH) JUDICIAL MEMBER ACCOUNTANT MEMB ER MUMBAI ; DATED 26 / 03 / 202 1 KARUNA , SR.PS COPY OF THE O RDER FORWARDED TO : BY ORDER, ( ASSTT. REGIST RAR) ITAT, MUMBAI 1. THE APPELLANT 2. THE RESPONDENT. 3. THE CIT(A), MUMBAI. 4. CIT 5. D R, ITA T, MUMBAI 6. GUARD FILE. //TRUE COPY//