Sh. Suresh Kumar Singal, Chandigarh v. ACIT, Chandigarh

ITA 39/CHANDI/2011 | 2006-2007
Pronouncement Date: 30-03-2011 | Result: Allowed

Appeal Details

RSA Number 3921514 RSA 2011
Assessee PAN ARTPS8528B
Bench Chandigarh
Appeal Number ITA 39/CHANDI/2011
Duration Of Justice 2 month(s) 17 day(s)
Appellant Sh. Suresh Kumar Singal, Chandigarh
Respondent ACIT, Chandigarh
Appeal Type Income Tax Appeal
Pronouncement Date 30-03-2011
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted B
Tribunal Order Date 30-03-2011
Date Of Final Hearing 28-03-2011
Next Hearing Date 28-03-2011
Assessment Year 2006-2007
Appeal Filed On 13-01-2011
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL CHANDIGARH BENCH A CHANDIGARH BEFORE SHRI D.K.SRIVASTAVA ACCOUNTANT MEMBER AND MS.SUSHMA CHOWLA JUDICIAL MEMBER ITA NO.39 /CHD/2011 (ASSESSMENT YEAR : 2006-07) SH.SURESH KUMAR SINGAL VS. THE A.C.I.T. SCO 15 SECTOR 26 CIRCLE (5) CHANDIGARH. CHANDIGARH. PAN: ARTPS8528B & ITA NO.40 /CHD/2011 (ASSESSMENT YEAR : 2006-07) SH.SURINDER KUMAR SINGAL VS. THE A.C.I.T. SCO 15 SECTOR 26 CIRCLE (5) CHANDIGARH. CHANDIGARH. PAN: ADYPS5462P (APPELLANT) (RESPONDENT) APPELLANT BY : S/SHRI BRIJ MOHAN MANGRA & RAVI SHANKAR RESPONDENT BY : SMT.SARITA KUMARI DR O R D E R PER SUSHMA CHOWLA J.M : THESE TWO APPEALS BY TWO SEPARATE ASSESSEES ARE AG AINST THE SEPARATE ORDERS OF THE COMMISSIONER OF INCOME-TAX ( A) DATED 30.8.2010 RELATING TO ASSESSMENT YEAR 2006-07 AGAINST THE ORD ERS PASSED UNDER SECTION 143(3) OF THE INCOME-TAX ACT. 2. IDENTICAL ISSUES HAVE BEEN RAISED IN THE PRESENT APPEALS AND WE PROCEED TO DISPOSE OF BOTH THE APPEALS BY A CONSOLI DATED ORDER FOR THE 2 SAKE OF CONVENIENCE. THE ISSUE RAISED IN THE PRESE NT APPEALS IS AGAINST ADDITION MADE ON ACCOUNT OF THE DEPOSITS IN THE BAN K ACCOUNT BEING NON- VERIFIABLE FROM THE CASH FLOW STATEMENT SUBMITTED B Y THE ASSESSEE. THE ADDITION OF RS.12 80 000/- WAS MADE IN THE CASE OF SHRI SURESH KUMAR SINGAL AND ADDITION OF RS.2 02 00 000/- WAS MADE IN THE HANDS OF SHRI SURINDER KUMAR SINGAL. 3. THE ASSESSEE IN I.T.A.NO. 39/CHD/2011 HAD EXPLAI NED THE SOURCES OF DEPOSITS OF CASH ON 16.11.2005 BEING OUT OF CASH WITHDRAWALS MADE FROM THE SAID BANK ACCOUNT ON 19.10.2005 AND 27.10. 2005. THE ASSESSEE HAS PLACED ON RECORD BEFORE US COPY OF THE SAVING A CCOUNT WITH PUNJAB NATIONAL BANK CHANDIGARH BRANCH. THE PERUSAL OF T HE SAID BANK ACCOUNT REVEALS THE ASSESSEE TO HAVE WITHDRAWN CASH OF RS.7 94 000/- ON 19.10.2005 AND RS.2 50 000/- ON 27.10.2005. THE AS SESSEE HAD DEPOSITED CASH ON 16.11.2005 I.E. RS.3 LACS RS.5 LACS AND RS .2 80 000 AND FURTHER RS.2 LACS ON 11.2.2005. THE SOURCE OF THE SAID CAS H DEPOSIT WAS EXPLAINED BY THE ASSESSEE TO BE OUT OF THE WITHDRAW ALS MADE IN CASH ON 19.10.2005 AND 27.10.2005. IN THE ENTIRETY OF THE CIRCUMSTANCES WHERE THE ASSESSEE HAD WITHDRAWN CASH FROM ITS BANK ACCOU NT ON A PARTICULAR DATE AND RE-DEPOSITED THE SAME IN CASH AFTER A SHOR T SPAN OF TIME WE FIND NO MERIT IN THE ORDERS OF THE AUTHORITIES BELOW IN HOLDING THE SAME TO BE UNEXPLAINED IN THE HANDS OF THE ASSESSEE. BOTH THE A.O. AND THE CIT(A) HAD TREATED THE SAID DEPOSIT OF RS.12 80 000/- AS U NEXPLAINED INCOME UNDER SECTION 68 OF THE ACT THE INCOME-TAX ACT. WE FIND NO MERIT IN THE ORDERS OF THE AUTHORITIES BELOW AND SETTING ASIDE T HE ORDER OF THE CIT(A) WE DIRECT THE A.O. TO DELETE ADDITION OF RS.12 80 0 00/- IN VIEW OF THE EXPLANATION FURNISHED BY THE ASSESSEE AND ALSO THE EVIDENCE FURNISHED IN RESPECT OF CASH WITHDRAWALS MADE FROM THE SAVING AC COUNT WITH PUNJAB NATIONAL BANK WHICH IN TURN WAS UTILIZED FOR THE DE POSIT ON THE AFORESAID 3 DATES. THUS GROUND OF APPEAL RAISED BY THE ASSESSE E IS ALLOWED. 4. THE FACTS IN I.T.A.NO. 40/CHD/2011 ARE MUTATIS M UTANDIS TO THE FACTS IN I.T.A.NO. 39/CHD/2011. THE ASSESSEE HAS FURNISHED ON RECORD THE COPY OF THE BANK STATEMENT WHICH REFLECTED THE CASH WITHDRAWAL OF RS.7 LACS ON 28.9.2005 AND RE-DEPOSIT OF CASH OF RS .1 02 000/- ON 16.11.2005 RS.3 50 000/- ON 29.11.2005 AND RS.50 0 00/- ON 30.11.2005. IN VIEW OF THE EXPLANATION OF THE ASSESSEE UTILIZIN G THE EARLIER CASH WITHDRAWALS BEING THE SOURCE OF CASH DEPOSIT ON THE ABOVESAID DATES AND IN LINE WITH OUR ABOVE ORDER IN PARAS HERE-IN-ABOVE WE FIND NO MERIT IN THE ADDITION OF RS.5 02 000/- AND HENCE THE SAME IS DELETED. 5. IN THE RESULT BOTH THE APPEALS IN I.T.A.NO.39/C HD/2011 AND I.T.A.NO.40/CHD/2011 ARE ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 30 TH DAY OF MARCH 2011. SD/- SD/- (D.K.SRIVASTAVA) (SUSHMA CHOWLA) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 30 TH MARCH 2011 RATI COPY TO: THE APPELLANT/THE RESPONDENT/THE CIT(A)/TH E CIT/THE DR. .