Amit Arora, New Delhi v. DCIT, New Delhi

ITA 3482/DEL/2015 | 2007-2008
Pronouncement Date: 27-11-2019 | Result: Partly Allowed

Our System has flagged this appeal as eligible for Vivad Se Vishwas Scheme. If you are party to this appeal, get on a Free Consultation Call with our team of Legal Experts who shall guide you as to how you can save huge Interest and Penalty in VSV Scheme.


Apply Now
        
Try VSV Calculator

Appeal Details

RSA Number 348220114 RSA 2015
Assessee PAN ACAPA9659D
Bench Delhi
Appeal Number ITA 3482/DEL/2015
Duration Of Justice 4 year(s) 5 month(s) 25 day(s)
Appellant Amit Arora, New Delhi
Respondent DCIT, New Delhi
Appeal Type Income Tax Appeal
Pronouncement Date 27-11-2019
Appeal Filed By Assessee
Tags Amit Arora
Order Result Partly Allowed
Bench Allotted Not Allotted
Tribunal Order Date 27-11-2019
Assessment Year 2007-2008
Appeal Filed On 01-06-2015
Judgment Text
FIT FOR PUBLICATION SD/- SD /- (AM) (JM) IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH: G: NEW DELHI) BEFORE SHRI AMIT SHUKLA JUDICIAL MEMBER AND SHRI ANADEE NATH MISSHRA ACCOUNTANT MEMBER ITA NO:- 3482/DEL/2015 ( ASSESSMENT YEAR: 2007-08) SHRI AMIT ARORA 201 VIPPS CENTRE -2- COMMUNITY CENTER MASJID MOTH G.K. II NEW DELHI. VS ACIT CENTRAL CIRCLE-22 NEW DELHI. PAN NO: ACAPA9659D APPELLANT RESPONDENT REVENUE BY : SHRI S.S. RANA CIT(DR) ASSESSEE BY : SHRI SALIL KAPOOR ADV. AND SHRI SAMARTH CHOUDHARI ADV. PER ANADEE NATH MISSHRA AM (A) THIS APPEAL HAS BEEN FILED BY THE ASSESSEE AGAINST THE IMPUGNED APPELLATE ORDER DATED 01.04.2015 PASSED BY LEARNED COMMISSIONER OF INCOME TAX (APPEALS)-29 NEW DELHI [LD. CIT(A) FOR SHORT] PERTAINING TO ASSES SMENT YEAR 2007-08 ON THE FOLLOWING GROUNDS: 1. THAT THE NOTICE ISSUED AND ASSESSMENT ORDER PAS SED U/S 153A / 143(3) IS ILLEGAL BAD IN LAW AND WITHOUT JURISDICTION. 2. THAT THE ADDITION MADE BY THE AO ARE NOT BASED O N ANY INCRIMINATING MATERIAL FOUND DURING THE COURSE OF SEARCH. HENCE A SSESSMENT ORDER PASSED ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 2 OF 13 U/S 153A/143(3) AND THE ADDITIONS/DISALLOWANCES ARE ILLEGAL BAD IN LAW AND WITHOUT JURISDICTION. 3. THAT IN VIEW OF THE FACTS AND CIRCUMSTANCES OF T HE CASE CIT (A) HAS ERRED IN LAW IN UPHOLDING THE ADDITION U/S 153A MADE BY THE AO AS NO INCRIMINATING DOCUMENT WAS FOUND AT THE PREMISES OF THE ASSESSEE DURING THE COURSE OF SEARCH. 4. THAT THE ADDITION/DISALLOWANCE MADE IS UNJUST ARBITRARY AND IS NOT BASED ON ANY MATERIAL ON RECORD. THE CIT(APPEAL) HAS ERRED I N SUSTAINING THE ADDITION OF RS 8 13 000/- OUT OF ADDITION OF RS.8 71 958/-. 5. THAT IN VIEW OF THE FACTS AND CIRCUMSTANCES OF THE CASE THE CIT(A) HAS ERRED IN LAW AND ON FACTS IN UPHOLDING THE ADDITION OF RS.3 00 000/- U/S 69 OF THE ACT ON ACCOUNT OF CASH DEPOSIT IN THE ABN AMRO BANK OF THE ASSESSEE. 6. THAT IN VIEW OF THE FACTS AND CIRCUMSTANCES OF T HE CAGE THE CIT(A) HAS ERRED IN LAW AND ON FACTS IN UPHOLDING THE ADDITION OF RS .5 13 000/- U/S 69 OF THE ACT ON ACCOUNT OF CASH DEPOSIT IN THE STANDARD CHAR TED BANK OF THE MINOR SON. 7. THAT CIT (A) FAILED TO APPRECIATE THAT THE DEPOS IT OF RS 8 13 000/- IN THE BANK ACCOUNTS IS COVERED BY THE RECEIPTS FROM ASSES SEES RELATIVES. 8. THAT THE EXPLANATIONS GIVEN EVIDENCE PRODUCED AND MATERIAL PLACED AND MADE AVAILABLE ON RECORD HAVE NOT BEEN PROPERLY CON SIDERED AND JUDICIALLY INTERPRETED AND THE SAME DO NOT JUSTIFY THE ADDITIO N MADE. 9. THAT THE ADDITION MADE IS BASED ON MERE SURMISES AND CONJUNCTURES AND THE SAME CANNOT BE JUSTIFIED BY ANY MATERIAL ON RECORD. 10. THAT INTEREST U/S 234A 234B AND 234C OF THE INC OME TAX ACT 1961 HAS BEEN WRONGLY AND ILLEGALLY CHARGED AND HAS BEEN WRONGLY WORKED OUT. 11. THE APPELLANT CRAVES LEAVE TO ADD AMEND ALTER AND/OR DELETE ANY OF THE ABOVE GROUNDS OF APPEAL AT OR BEFORE THE TIME OF HE ARING. (B) THE ASSESSEE FILED ORIGINAL RETURN OF INCOME UNDER SECTION 139 OF THE INCOME TAX ACT 1961 (I.T. ACT FOR SHORT) ON 25.02.2008 WHICH WAS AFTER SEARCH AND SEIZURE ACTION UNDER SECTION 132 OF THE I.T. ACT WA S CARRIED OUT ON 05.12.2007. IN RESPONSE TO NOTICE UNDER SECTION 153A OF I.T. ACT ISSUED AFTER SEARCH & SEIZURE ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 3 OF 13 ACTION THE ASSESSEE FILED RETURN DECLARING INCOME OF RS. 73 708/-. ASSESSMENT ORDER UNDER SECTION 153A / 143(3) OF I.T. ACT WAS P ASSED BY THE ASSESSING OFFICER (AO FOR SHORT) ON 30.12.2009 IN WHICH THE ADDITI ONS WERE MADE AMOUNTING TO RS. 3 40 000/-(ON ACCOUNT OF CASH DEPOSITED IN THE ASSE SSEES BANK ACCOUNT IN ABN AMRO BANK) AND RS. 5 31 958/- (ON ACCOUNT OF CASH D EPOSITED IN STANDARD CHARTERED BANK IN THE ACCOUNT OF ASSESSEES MINOR S ON). THE ASSESSEE FILED APPEAL BEFORE THE LEANED COMMISSIONER OF INCOME TAX (APPEA LS) AGAINST THE AFORESAID ADDITIONS TOTALING RS. 8 71 958/- (RS. 3 40 000 + R S. 5 31 958). THE LD. CIT(A) CONFIRMED THE ADDITIONS TOTALING OF RS. 8 13 000/- AND DELETED THE REMAINING AMOUNT. THE RELEVANT PORTION OF THE ORDER DATED 01 .04.2015 OF LD. CIT(A) IS REPRODUCED AS UNDER: ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 4 OF 13 ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 5 OF 13 ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 6 OF 13 ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 7 OF 13 ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 8 OF 13 ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 9 OF 13 ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 10 OF 13 (C) THIS PRESENT APPEAL HAS BEEN FIELD BY THE ASSESSEE AGAINST THE AFORESAID IMPUGNED APPELLATE ORDER DATED 01.04.2015 OF THE LD . CIT(A). (D) AT THE TIME OF HEARING BEFORE US THE LD. COUNSEL FOR ASSESSEE DID NOT MAKE ANY SUBMISSIONS ON GROUNDS 1 2 AND 3 OF THIS APPEAL. IN GROUNDS 1 2 AND 3 OF APPEAL THE JURISDICTION OF ASSESSING OFFICER UNDER SECTION 153A HAS BEEN CHALLENGED. IT IS NOT IN DISPUTE THAT THE ORIGINAL RETURN FILED BY THE AS SESSEE UNDER SECTION 139 OF I.T. ACT WAS ON 25.02.2008 WHICH IS WELL AFTER THE SEARCH A ND SEIZURE ACTION UNDER SECTION 132 OF I.T. ACT. WHEN THE ASSESSEE HAS FILED ORIGINAL RETURN AFTER T HE DATE OF SEARCH THE AO HAS THE JURISDICTION TO MAKE ADDITIO NS IN THE ASSESSMENT ORDER UNDER SECTION 153A OF I.T. ACT REGARDLESS OF WHETHER ANY INCRIMINATING MATERIALS WERE FOUND / SEIZED IN THE COURSE OF SEAR CH ACTION UNDER SECTION 132 OF I.T. ACT. THERE IS NOTHING IN LAW UNDER SEC TION 153A OF I.T. ACT TO PROHIBIT THE AO FROM MAKING ADDITIONS IN ASSESSMENT ORDER UNDER SECTION 153A OF I.T. ACT EVEN IF NO INCRIMINATING MATERIAL S WERE FOUND / SEIZED DURING SEARCH ACTION U/S 132 OF I.T. ACT; WHEN THE ORIGINAL RETURN UNDER SECTION 139 OF I.T. ACT HAS BEEN FILED AFTER THE DA TE OF SEARCH. THEREFORE IN THE FACTS AND CIRCUMSTANCES OF THE CASE BEFORE US; THE GROUNDS 1 2 AND 3 OF APPEAL HAVE NO MERITS. IN ANY CASE THE LD. COUNSEL FOR ASSESS EE DID NOT MAKE ANY SUBMISSIONS ON THESE GROUNDS AT THE TIME OF HEARING. THEREFORE THESE GROUNDS ARE DISMISSED. ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 11 OF 13 (E) IN GROUNDS 4 5 6 7 8 AND 9 OF THE APPEAL THE ADDITION HAS BEEN DISPUTED BY THE ASSESSEE ON MERITS. THE LD. CIT(A) HAS PASSED DETAILED SPEAKING ORDER ON MERITS IN PARAGRAPH 6 TO 7.6 OF HIS AFORESAID IMPUGNED APPELL ATE ORDER DATED 01.04.2015; WHICH IS ALREADY REPRODUCED IN FOREGOING PARAGRAPH (B) OF THIS ORDER. WE FIND THAT THE LD. CIT(A) HAS GIVEN DETAILED REASONS FOR HIS DECISION ON MERITS IN THE AFORESAID IMPUGNED APPELLATE ORDER DATED 01.04.2015 OF LD. CIT(A). THE LD. COUNSEL MADE SUBMISSIONS ON THE MERITS OF THE ADDITION TOTALING RS. 8 13 000/- CONFIRMED BY LD. CIT(A). FOR THIS PURPOSE THE LD. COUNSEL FOR ASSESSEE PLACED RELIAN CE ON SUBMISSIONS MADE BY THE ASSESSEE BEFORE THE LD. CIT(A). HE TOOK US THROUGH THE ORDER OF THE LD. CIT(A) TO EXPLAIN THE SUBMISSIONS MADE ON THE MERITS OF THE A DDITIONS. HOWEVER HE LEFT IT TO THE DISCRETION OF THE BENCH TO DECIDE WHETHER THE ASSES SEES EXPLANATION WAS ACCEPTABLE. THE LEARNED COMMISSIONER OF INCOME TAX (DEPARTMENTA L REPRESENTATIVE) [LD. CIT(DR) FOR SHORT] RELIED ON THE ORDER OF THE LD. CIT(A) AND THE AO. HE ALSO RELIED ON THE JUDICIAL PRECEDENTS IN THE CASES OF SUDHIR KUMAR SHARMA (HUF) VS CIT [2016] 69 TAXMANN.COM 219 (SC)/[2016] / 239 TAXMAN 264 (SC) SUDHIR KUMAR SHARMA (HUF) VS CIT [2014] 46 TAXMANN.COM 340 (PUNJAB & HARYANA) / [2014] 224 TAXMAN 178 (PUNJAB & HARYANA) (MAG.) KAVITA CHANDRA VS CIT [2 017] 81 TAXMANN.COM 317 (PUNJAB & HARYANA)/ [2017] 248 TAXMAN 358 (PUNJAB & HARYANA )/ [2017] 398 ITR 641 (PUNJAB & HARYANA) KRISHAN KUMAR SETHI VS CIT [201 8] 92 TAXMANN.COM 324 (DELHI) DINESH KUMAR JAIN VS PCIT [2018] 97 TAXMANN.COM 113 (DELHI) CIT VS D.K. GARG [2017] 84 TAXMANN.COM 257 (DELHI) CIT VS. VIJAY AG RICULTURAL INDUSTRIES [2007] 294 ITR 610 (ALLAHABAD) AND BHAIYALAL SHYAM BEHARI VS CIT [2005] 276 ITR 38 ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 12 OF 13 (ALLAHABAD)/ [2006] 202 CTR 515 (ALLAHABAD). AFTER PERUSAL OF MATERIALS ON RECORD AND FURTHER IN VIEW OF THE FOREGOING DISCUSSION WE FI ND THAT THE ORDER OF LD. CIT(A) IS IN ACCORDANCE WITH LAW IN THE FACT AND CIRCUMSTANCES O F THE CASE. HE HAS PASSED A SPEAKING ORDER IN DETAIL AND WE FIND NO INFIRMITY I N THE ORDER OF LD. CIT(A). NO CONVINCING MATERIALS WERE PLACED FOR OUR CONSIDERAT ION TO WARRANT A VIEW DIFFERENT FROM THE VIEW ALREADY TAKEN BY LD. CIT(A) ON THE MERITS OF THE ADDITION. THEREFORE WE DECLINE TO INTERFERE WITH THE AFORESAID IMPUGNED AP PELLATE ORDER DATED 01.04.2015 OF LD. CIT(A). ACCORDINGLY GROUNDS 4 TO 9 OF APPEAL A RE DISMISSED. (F) GROUND 10 OF APPEAL IS REGARDING INTEREST UNDER SE CTIONS 234A 234B AND 234C OF THE I.T. ACT. NO SUBMISSIONS WERE MADE ON THIS GROUND OF APPEAL BY THE LD. COUNSEL FOR ASSESSEE AT THE TIME OF HEARING. FROM PERUSAL OF RECORDS WE FIND NO REASON TO HOLD AS ALLEGED IN THIS GROUND OF APPEAL THAT THE INTEREST HAS BEEN WRONGLY / ILLEGALLY CHARGED AND WRONGLY WORKED OUT. HOWEVER WE DIRECT THE AO TO LEVY INTEREST AS PER LAW. FOR STATISTICAL PURPOSES GROUND 10 OF APPEAL IS TREATED AS PARTLY ALLOWED. (G) IN THE RESULT APPEAL IS PARTLY ALLOWED FOR STATIS TICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 27/11/19. SD/- SD/- (AMIT SHUKLA) (ANADEE NATH MISSHRA ) JUDICIAL MEMBER ACCOUNTANT MEMBE R DATED: 27/11/19 POOJA/- ITA NO.-3482/DEL/2015. SHRI AMIT ARORA. PAGE 13 OF 13 COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI DATE OF DICTATION DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. PS/PS DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. PS/PS DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT DATE ON WHICH THE FILE GOES TO THE BENCH CLERK DATE ON WHICH THE FILE GOES TO THE HEAD CLERK THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER