ACIT, Faridabad v. Smt. Renu Mukherjee, Prop., Faridabad

ITA 2407/DEL/2011 | 1999-2000
Pronouncement Date: 15-07-2011 | Result: Dismissed

Appeal Details

RSA Number 240720114 RSA 2011
Assessee PAN ACHPM7157K
Bench Delhi
Appeal Number ITA 2407/DEL/2011
Duration Of Justice 2 month(s) 4 day(s)
Appellant ACIT, Faridabad
Respondent Smt. Renu Mukherjee, Prop., Faridabad
Appeal Type Income Tax Appeal
Pronouncement Date 15-07-2011
Appeal Filed By Department
Order Result Dismissed
Bench Allotted F
Tribunal Order Date 15-07-2011
Date Of Final Hearing 13-07-2011
Next Hearing Date 13-07-2011
Assessment Year 1999-2000
Appeal Filed On 11-05-2011
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH F NEW DELHI) BEFORE SHRI RAJPAL YADAV JUDICIAL MEMBER AND SHRI K.D. RANJAN ACCOUNTANT MEMBER I.T.A. NO.2407/D/2011 ASSESSMENT YEAR: 1999-2000 ASSTT. C.I.T. VS. SMT. RENU MUKHERJEE PROP. CIRCLE 1 M/S BGM ENGINEERS 406 FARIDABAD SECTOR-14 FARIDABAD PAN/GIR NO.ACHPM 7157 K (APPELLANT) (RESPONDENT) APPELLANT BY : SMT. PRATIMA KAUSHIK SR. DR RESPONDENT BY : SHRI ASHWANI TANEJA FCA ORDER PER RAJPAL YADAV: JM: THE REVENUE IS IN APPEAL BEFORE US AGAINST THE ORDE R OF CIT(A) DATED 01.02.2011 PASSED FOR ASSESSMENT YEAR 1999- 2000. THE REVENUE HAS TAKEN 12 GROUNDS OF APPEAL OUT OF THAT GROUND NO.12 IS GENERAL GROUND OF APPEAL WHIC H DOES NOT REQUIRE ANY SPECIFIC FINDING TO BE RECORDED HE NCE THIS GROUND OF APPEAL IS REJECTED. IN ALL OTHER GROUNDS THE DISPUTE RELATES TO MANNER OF ADDITIONS AND COMPUTAT ION OF INCOME. THE ASSESSING OFFICER HAS REJECTED THE BOO K RESULTS OF ASSESSEE AND MADE DISALLOWANCE UNDER VARIOUS HEA DS. LEARNED FIRST APPELLATE AUTHORITY HAS HELD THAT ONC E BOOK RESULT OF THE ASSESSEE HAS BEEN REJECTED THEN ADDIT IONS UNDER VARIOUS HEADS ARE NOT TO BE MADE INCOME OF T HE 2407-2011-RM 2 ASSESSEE HAS TO BE ESTIMATED BY ADOPTING A SUITABL E GROSS PROFIT RATE. IN THIS WAY LEARNED FIRST APPELLATE AUTHORITY HAS DELETED ALL THOSE ADDITIONS AND DIRECTED THE ASSESS ING OFFICER TO COMPUTE THE INCOME OF ASSESSEE BY ADOPTING 8% GP RATE. THE REVENUE HAS PLEADED IN GROUND NO.1 TO 10 EACH I TEM OF ADDITION MADE BY ASSESSING OFFICER AND DELETED BY L EARNED CIT(A). 2. WITH THE ASSISTANCE OF REPRESENTATIVE WE HAVE G ONE THROUGH THE RECORD CAREFULLY. LEARNED COUNSEL FOR THE ASSESSEE AT THE VERY OUT SET SUBMITTED THAT ISSUE I N DISPUTE IS SQUARELY COVERED IN FAVOUR OF THE ASSESSEE BY TH E ORDER OF ITAT PASSED IN I.T.A. NOS.3211 TO 3214/D/07. HE PO INTED OUT THAT FACTS AND CIRCUMSTANCES ARE IDENTICAL. THE AS SESSING OFFICER HIMSELF HAS REFERRED THESE ASSESSMENT YEARS FOR REOPENING OF THE ASSESSMENT IN THE PRESENT ASSESSME NT YEAR. HE MADE A REFERENCE TO PARAGRAPH 3.1 OF THE ASSESSMENT ORDER. THE ASSESSING OFFICER HAS MADE S EPARATE ADDITIONS IN THOSE ASSESSMENT YEARS ALSO. THE LEAR NED CIT(A) HAS HELD THAT NO SEPARATE ADDITION DESERVES TO BE MADE WHEN BOOKS OF ACCOUNT OF THE ASSESSEE HAS BEEN REJECTED. THE PROFIT OF THE ASSESSEE HAS TO BE EST IMATED BY ADOPTING A GP RATE. THE TRIBUNAL HAS UPHELD THE AD OPTION OF SUCH GP RATE AT 6.50% TO THE TOTAL TURN OVER OF THE RESPECTIVE ASSESSMENT YEARS. THIS VERY ORDER HAS BEEN FOLLOWE D BY THE CIT(A) IN THE PRESENT ASSESSMENT YEAR. HE PLACED O N RECORD 2407-2011-RM 3 COPY OF THE TRIBUNALS ORDER. LEARNED DR WAS UNABL E TO CONTROVERT THIS CONTENTION OF THE LEARNED COUNSEL F OR THE ASSESSEE. 3. ON DUE CONSIDERATION OF ALL FACTS AND CIRCUMSTAN CES WE ARE OF THE VIEW THAT THERE IS NO DISPARITY ON FACTS . THE ASSESSEE HAS FILED ITS RETURN OF INCOME ON 25.10.19 99 DECLARING TOTAL INCOME OF `2 74 610/-. THE ASSESSM ENT HAS BEEN REOPENED BY ISSUANCE OF A NOTICE U/S 148. THE REASONS RECORDED BY THE ASSESSING OFFICER IN THE PRESENT AS SESSMENT YEAR AND IN ASSESSMENT YEAR 2000-01 REPRODUCED BY T HE TRIBUNAL ON PAGE NOS. 3 & 4 OF THE ORDER ARE SIMILA R ON SUBSTANTIAL POINTS. THE ASSESSING OFFICER HAS MADE A REFERENCE THAT IN ASSESSMENT YEARS 2000-01 TO 2003- 04 A TAX EVASION PETITION LEVELING ALLEGATIONS AGAINST T HE ASSESSEE WAS RECEIVED ON THE BASIS OF SUCH PETITION. RECOR DS WERE VERIFIED AND INFORMATIONS WERE GATHERED WHICH ENABL E THE ASSESSING OFFICER TO HARBOUR A BELIEF THAT INCOME H AS ESCAPED TAX. THEREFORE HE REOPENED THIS ASSESSMEN T YEAR ALSO. THE TRIBUNAL HAS UPHELD ESTIMATION OF PROFIT AT 6.50% IN THOSE ASSESSMENT YEARS. LEARNED CIT(A) IN THE P RESENT YEAR FOLLOWED THE ORDER OF HIS PREDECESSOR AS WELL AS OF ITAT. HOWEVER HE UPHELD THE ESTIMATION OF PROFIT AT 8% T O THE TOTAL TURN OVER. THIS RATE OF GROSS PROFIT APPLIED IN THE PRESENT YEAR IS HIGHER THAN THE SUBSEQUENT YEARS DE CIDED BY THE TRIBUNAL. TAKING INTO CONSIDERATION THE ORDER O F LEARNED 2407-2011-RM 4 CIT(A) IN THE LIGHT OF TRIBUNALS ORDER IN ASSESSME NT YEARS 2000-01 TO 2003-04 COUPLED WITH THE STAND OF ASSESS ING OFFICER IN THE ASSESSMENT ORDER WE ARE OF THE VIEW THAT THERE IS NO DISPARITY ON FACTS. THE LEARNED CIT(A) HAS APPRECIATED THE FACTS AND CIRCUMSTANCES IN RIGHT PE RSPECTIVE. HIS ORDER DOES NOT CALL FOR ANY INTERFERENCE. THER EFORE APPEAL OF THE REVENUE IS DISMISSED. 4. IN RESULT APPEAL OF THE REVENUE IS DISMISSED. THIS ORDER WAS PRONOUNCED IN OPEN COURT ON 15.07.2011. SD/- SD/- ( K.D. RANJAN ) ( RAJPAL YADA V ) ACCOUNTANT MEMBER JUDICIAL MEMBER DT.15.07.2011. NS COPY FORWARDED TO:- 1. ASSTT. CIT CIRCLE-1 FARIDABAD 2. SMT. RENU MUKHERJEE PROP. M/S BGM ENGINEERS 40 6 SECTOR-14 FARIDABAD. 3. THE CIT 4. THE CIT (A) NEW DELHI. 5. THE DR ITAT LOKNAYAK BHAWAN KHAN MARKET NEW DELHI. TRUE COPY BY ORDER (ITAT NEW DELHI).