ITO, New Delhi v. M/s. Upyogi Finvest Pvt. Ltd, New Delhi

ITA 3026/DEL/2009 | 2002-2003
Pronouncement Date: 25-01-2010 | Result: Allowed

Appeal Details

RSA Number 302620114 RSA 2009
Assessee PAN AABCV1597M
Bench Delhi
Appeal Number ITA 3026/DEL/2009
Duration Of Justice 6 month(s) 25 day(s)
Appellant ITO, New Delhi
Respondent M/s. Upyogi Finvest Pvt. Ltd, New Delhi
Appeal Type Income Tax Appeal
Pronouncement Date 25-01-2010
Appeal Filed By Department
Order Result Allowed
Bench Allotted D
Tribunal Order Date 25-01-2010
Date Of Final Hearing 25-01-2010
Next Hearing Date 25-01-2010
Assessment Year 2002-2003
Appeal Filed On 30-06-2009
Judgment Text
ITA NO. 3026/DEL/2009 A.Y. 2002-03 1 IN THE INCOMETAX APPELATE TRIBUNAL DELHI BENCH D: NEW DELHI BEFORE SHRI C.L. SETHI JUDICIAL MEMBER & SHRI SHAMIM YAHYA ACCOUNTANT MEMBER ITA NO. 3026/DEL/2009 A.Y. : 2002-03 INCOME TAX OFFICER VS. M/S UPYOGI FINVEST PVT LTD. WARD-18(1) 147-D POCKET-I MAYUR VIHAR ROOM NO. 247 CR BUILDING PHASE-I NEW DELHI NEW DELHI [PAN : AABCV1597M] (APPELLANT) (RESPONDENT) ASSESSEE BY : NONE DEPARTMENT BY : SHRI B.K. GUPTA SR. DR O R D E R PER SHAMIM YAHYA : AM THIS APPEAL BY THE REVENUE IS DIRECTED AGAINST TH E ORDERS OF THE LD. CIT(A) DATED 27.04.2009 PERTAINING TO ASSESSMENT YEAR 2002 -03. 2. THE ISSUES RAISED READ AS UNDER:- ON THE FATS AND IN THE CIRCUMSTANCES OF THE CASE THE LD. CIT(A) HAS ERRED IN ADMITTING FRESH EVIDENCE U/R 46A OF THE IN COME TAX RULES 1962. ON THE FATS AND IN THE CIRCUMSTANCES OF THE CASE THE LD. CIT(A) HAS ERRED IN DELETING THE ADDITION OF RS. 39 00 000/- M ADE BY THE AO U/S 68 OF THE IT ACT 1961. ITA NO. 3026/DEL/2009 A.Y. 2002-03 2 3. IN THIS CASE DURING THE COURSE OF ASSESSMENT AO OBSERVED AS UNDER:- AS THE ASSESSEE FAILED TO PROVE THE IDENTIFICATION GENUINENESS AND CREDITWORTHINESS OF ETHNIC CREATIONS (P) LTD. FAIR N SQUARE EXPORTS (P) LTD AND MV MARKETING (P) LTD. FROM WHOM A SUM OF RS . 39 LAKHS HAVE BEEN RECEIVED ON DIFFERENT DATES I HELD THAT THE WHOLE OF THE AMOUNT OF RS. 39 00 000/- RECEIVED FROM THE ABOVE PARTIES IS OF THE ASSESSEE COMPANY THROUGH ACCOMMODATION ENTRIES WHICH WAS NOT DISCLOSED TO THE DEPARTMENT. ACCORDINGLY AO MADE THE ADDITION AMOUNTING TO R S. 39 00 000/-. 4. BEFORE THE LD. CIT(A) ASSESSEE SUBMITTED WRITT EN SUBMISSIONS ALONGWITH CONFIRMATION AND BANK ACCOUNT OF THE FOUR PARTIES. IT WAS SUBMITTED THAT THAT THESE DOCUMENTS COULD NOT BE SUBMITTED BEFORE THE A O AS THE SAME COULD NOT BE OBTAINED DURING THE AVAILABLE SHORT PERIOD. LD . CIT(A) ACCEPTED THE SAID DOCUMENTS AND FORWARDED THE SAME TO THE AO FOR HIS COMMENTS. HOWEVER THE LD. CIT(A) NOTED THAT DESPITE REMINDERS AO COU LD NOT SUBMIT THE REPORT. LD. CIT(A) FURTHER OBSERVED THAT COUNSEL OF THE ASS ESSEE HAS ARGUEND THAT ASSESSEE COMPANY HAS SUBMITTED THE VARIOUS DETAILS OF THE PERSONS INCLUDING THE BANK ACCOUNT PAN; ADDRESS ETC. LD. CIT(A) PL ACING RELIANCE UPON THE DECISION OF THE HONBLE DELHI HIGH COURT IN THE CA SE OF CIT VS. DIVINE LEASING AND FINANCE LTD. AND LOVELY EXPORTS PVT LTD. AS REP ORTED IN (2008) 299 ITR 268 GRANTED THE RELIEF TO THE ASSESSEE. 5. AGAINST THIS ORDER THE REVENUE IS IN APPEAL BEFO RE US. 6. WE HAVE HEARD LD. DR AND PERUSED THE RECORDS. NONE APPEARED ON BEHALF OF THE ASSESSEE DESPITE SERVICE OF THE NOT ICE. UPON CAREFUL CONSIDERATION IN THIS CASE WE FIND THAT THE INFORM ATION AND DETAILS AS REQUIRED WERE NOT SUBMITTED BEFORE THE AO. SOME DETAILS WE RE SUBMITTED BEFORE THE CIT(A) WHO MENTIONED THAT AO HAS NOT SUBMITTED HI S REPORT IN THIS REGARD. IT IS NOT THE CASE THAT THE LD. CIT(A) HAS HIMSELF VE RIFIED THESE DETAILS. UNDER ITA NO. 3026/DEL/2009 A.Y. 2002-03 3 THE CIRCUMSTANCES IN OUR OPINION THE RATIO EMANAT ING FROM THE HONBLE APEX COURT DECISION IN THE CASE OF KAPURCHAND SHRIMAL VS . CIT 131 ITR 451 IS APPLICABLE HERE WHEREIN IT WAS HELD THAT THE APPE LLATE AUTHORITY HAS JURISDICTION AS WELL AS THE DUTY TO CORRECT THE ERR ORS IN THE PROCEEDINGS UNDER APPEAL. ACCORDINGLY WE REMIT THI S ISSUE TO THE FILES OF THE AO TO CONSIDER THE SAME AFRESH IN THE LIGHT OF THE SUBMISSIONS MADE BEFORE THE LD. CIT(A). NEEDLESS TO ADD THAT THE ASSESSEE SHOULD BE GIVEN ADEQUATE OPPORTUNITY OF BEING HEARD. 7. IN THE RESULT THE REVENUES APPEAL IS ALLOWED F OR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 25/01/2010. SD/- SD/- [C.L. SETHI) [SHAMIM YAHYA] JUDICIAL MEMBER ACCOUNTANT MEMBER DATE: 25/01/ 2010 SRB COPY FORWARDED TO: - 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT (A) 5. DR ITAT TRUE COPY BY ORDER DEPUTY REGISTRAR ITAT DELHI BENCHES