SHRI PRITHVIRAJ CHOUDHARY, KOTA v. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE, SAWAI MADHOPUR

ITA 706/JPR/2017 | 2007-2008
Pronouncement Date: 06-11-2017 | Result: Partly Allowed

Appeal Details

RSA Number 70623114 RSA 2017
Assessee PAN AIOPC9392D
Bench Jaipur
Appeal Number ITA 706/JPR/2017
Duration Of Justice 1 month(s) 17 day(s)
Appellant SHRI PRITHVIRAJ CHOUDHARY, KOTA
Respondent DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE, SAWAI MADHOPUR
Appeal Type Income Tax Appeal
Pronouncement Date 06-11-2017
Appeal Filed By Assessee
Tags No record found
Order Result Partly Allowed
Bench Allotted SMC
Tribunal Order Date 06-11-2017
Last Hearing Date 02-11-2017
First Hearing Date 02-11-2017
Assessment Year 2007-2008
Appeal Filed On 19-09-2017
Judgment Text
VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL JAIPUR BENCHES (SMC) JAIPUR JH HKKXPAN] YS[KK LNL; ] DS LE{K BEFORE: SHRI BHAGCHAND ACCOUNTANT MEMBER VK;DJ VIHY LA-@ ITA NO. 706/JP/2017 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : 2007-08 PRITHVIRAJ CHOUDHARY PLOT NO.3/4 SHIV COLONY BARAN ROAD KOTA. CUKE VS. D.C.I.T. CIRCLE- SAWAI MADHOPUR LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN/GIR NO.: AIOPC 9392 D VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY : SHRI P.C. PARWAL (CA) JKTLO DH VKSJ LS@ REVENUE BY : SHRI AJAY MALLIK (ADDL.CIT) LQUOKBZ DH RKJH[K@ DATE OF HEARING : 02/11/2017 MN?KKS'K .KK DH RKJH[K @ DATE OF PRONOUNCEMENT : 06/11/2017 VKNS'K@ ORDER PER: BHAGCHAND A.M. THIS IS AN APPEAL FILED BY THE ASSESSEE EMANATES F ROM THE ORDER OF THE LD. CIT(A) AJMER DATED 15/06/2017 FOR THE A.Y. 2007 -08. 2. THE ASSESSEE IS AN AGRICULTURIST HAVING AGRICULTU RE LAND AT DIGOD AND PUNJAB AND IS ALSO EARNING DIVIDEND AND BANK INTERE ST INCOME. THE ASSESSING OFFICER MADE CERTAIN ADDITIONS AND COMPLETED THE AS SESSMENT AT THE TOTAL INCOME OF RS. 13 57 310/- AND AGRICULTURAL INCOME O F RS. 60 000/-. ITA706/JP/2017_ PRITHVIRAJ CHOUDHARY VS. DCIT 2 3. THE LD. CIT(A) HAS SUSTAINED PART RELIEF AGAINST WHICH THE ASSESSEE IS IN APPEAL BEFORE THE ITAT BY TAKING FOLLOWING GROU NDS OF APPEAL: 1. THE LD. CIT(A) HAS ERRED ON FACTS AND IN LAW IN CONFIRMING THE ADDITION OF RS. 24 938/- OUT OF AGRICULTURAL INCOME OF RS. 4 50 000/- DECLARED BY THE ASSESSEE AS INCOME FROM UNDISCLOSED SOURCES. 2. THE LD. CIT(A) HAS ERRED ON FACTS AND IN LAW IN CONFIRMING THE ADDITION TO THE EXTENT OF RS. 6 40 309/- BY TREATING THE DEPOSI T MADE IN THE BANK ACCOUNT AS UNDISCLOSED INCOME OF THE ASSESSEE. 3. THE ASSESSEE CRAVES TO AMEND ALTER AND MODIFY A NY OF THE GROUNDS OF APPEAL. 4. THE APPROPRIATE COST BE AWARDED TO THE ASSESSEE. 4. GROUNDS NO. 3 AND 4 OF THE APPEAL ARE GENERAL IN NATURE AND DOES NOT REQUIRE ANY ADJUDICATION THEREFORE THE SAME STAND S DISMISSED. 5. IN THE GROUND NO. 1 OF THE APPEAL THE ISSUE INV OLVED IS CONFIRMING THE ADDITION OF RS. 24 938/- OUT OF AGRICULTURAL INCOME DECLARED BY THE ASSESSEE AT RS. 4 50 000/-. THE LD. CIT(A) HAS PARTLY SUSTAINE D BY THE ADDITION BY HOLDING AS UNDER:- 5.3 I HAVE GONE THROUGH THE ASSESSMENT ORDER STA TEMENT OF FACTS GROUNDS OF APPEAL WRITTEN SUBMISSION REMAND REPORT AND REJOI NDER CAREFULLY. IT IS SEEN FROM THE EVIDENCES FILED BY THE APPELLANT THAT AGRI CULTURAL PRODUCE OF RS. 4 64 375/- (RS. 4 15 055 + RS. 49 320) WERE SOLD BY THE APPELLANT. I AM OF THE CONSIDERED VIEW THAT IT WOULD BE FAIR AND REASONABL E TO ESTIMATE THE NET AGRICULTURAL INCOME OF THE APPELLANT @70% OF THE SA LES OF THE AGRICULTURAL PRODUCE MADE BY THE APPELLANT. ACCORDINGLY THE NET AGRICULTURAL INCOME OF THE APPELLANT FROM THE AGRICULTURAL PRODUCE SOLD BY HIM IS ESTIMATED AT RS. 3 25 062/- (RS. 4 64 375 - RS. 1 39 313). AS THE AP PELLANT HAS ALSO RECEIVED ITA706/JP/2017_ PRITHVIRAJ CHOUDHARY VS. DCIT 3 INCOME OF RS. 1 LAC FROM JAWARA' AND THE AO HAS AL SO ACCEPTED IN THE REMAND REPORT THIS INCOME AS GENUINE THEREFORE TOTAL AGRICULTURAL INCOME OF THE APPELLANT IS ESTIMATED AT RS. 4 25 06 2/- AND THE REMAINING ADDITION OF RS. 24 938/- (RS. 4 50 000 - RS. 4 25 0 62) IS HEREBY CONFIRMED. 6. I HAVE HEARD BOTH THE SIDES ON THIS ISSUE AND AF TER HEARING I FIND THAT THE LD AR OF THE ASSESSEE IS NOT ABLE TO CONTROVERT THE FINDINGS RECORDED BY THE LD. CIT(A) THEREFORE I FIND NO MERIT IN THE 1 ST GROUND OF ASSESSEES APPEAL AND THE SAME STANDS DISMISSED. 7. IN THE GROUND NO. 2 THE ISSUE INVOLVED IS CONFIR MING THE ADDITION OF RS. 6 40 309/- BY TREATING THE DEPOSIT MADE IN THE BAN K ACCOUNT AS UNDISCLOSED INCOME OF THE ASSESSEE. THE LD. CIT(A) HAS CONFIRMED THE PART ADDITION BY HOLDING AS UNDER:- 6.3 I HAVE GONE THROUGH THE ASSESSMENT ORDER STATE MENT OF FACTS GROUNDS OF APPEAL WRITTEN SUBMISSION REMAND REPORT AND RE JOINDER CAREFULLY. IN VIEW OF THE REMAND REPORT OF THE A.O. THE ADDIT ION OF RS. 2 65 000/- IS DELETED AND REMAINING ADDITION OF RS. 6 40 309/- IS HEREBY CONFIRMED. 8. NOW THE ASSESSEE IS IN APPEAL BEFORE THE ITAT. LD. AR OF THE ASSESSEE HAS SUBMITTED THAT THE LD. CIT(A) HAS NOT CONSIDERE D THE CASH FLOW STATEMENT SUBMITTED BEFORE HIM. THE ASSESSING OFFICER HAS PICK ED UP CERTAIN AMOUNTS FROM THE BANK ACCOUNT AND MADE THE ADDITION. IT WAS CLAIMED THAT EACH OF THESE AMOUNTS IS FULLY VERIFIABLE FROM THE CASH STA TEMENT BANK ACCOUNT OF THE FAMILY MEMBERS AND OUT OF THE INCOME DECLARED. THE EXPLANATION WITH ITA706/JP/2017_ PRITHVIRAJ CHOUDHARY VS. DCIT 4 REGARD TO THE ADDITIONS MADE BY THE ASSESSING OFFIC ER OUT OF THE INDIVIDUAL AMOUNTS IN THE BANK ACCOUNT WITH THE CANARA BANK AND SBBJ IS AS UNDER: CANARA BANK (PB 29-30) S. NO. DATE AMOUNT (IN RS.) EXPLANATION 1. 05.05.2006 1 00 000/- (CASH) AMOUNT DEPOSITED OU T OF WITHDRAWAL OF RS.1.20 LACS FROM THE BANK ACCOUNT OF SONU CHOUDHARY (PB 37) & RS.60 000/- FROM BANK ACCOUNT OF DEEPANSHU CHOUDHARY (PB 32) ON 01.05.2006 AND REFLECTED IN THE CASH STATEMENT (PB 25). 2. 05.05.2006 25 000/- + 20 000/- (CHEQUE) THESE TWO AMOUNTS ARE RECEIVED BY CHEQUE AGAINST THE PROCEEDS OF THE MUTUAL FUND (PB 60) 3. 06.05.2006 40 000/- (CHEQUE) THIS AMOUNT IS RECEIVED BY CHEQUE FROM THE BANK ACCOUNT OF SAROJ CHOUDHARY (PB 39). 4. 08.05.2006 25 000/- (CASH) THIS AMOUNT IS OUT OF WITHDRAWAL OF RS.1.80 LACS AS EXPLAINED IN S.NO. 1 ABOVE AND REFLECTED IN CASH STATEMENT (PB 25). 5. 15.05.2006 18 000/- (CASH) ON THIS DATE RS.1 LAC S IS DEPOSITED IN CASH. OUT OF IT AO ACCEPTED RS.92 000/- BEING AMOUNT RECEIVED FROM BADRILAL SATYANARAYAN AGAINST THE OUTSTANDING BALANCE OF AGRICULTURAL PRODUCE (PB 40). THE BALANCE AMOUNT IS OUT OF THE AVAILABLE CASH BALANCE AS PER THE CASH STATEMENT (PB 25). 6. 16.05.2006 92 000/- (CASH) ON THIS DATE RS. 1 50 000/- IS DEPOSITED IN CASH. OUT OF IT AO ACCEPTED RS.58 000/- BEING AMOUNT RECEIVED FROM BADRILAL SATYANARAYAN AGAINST THE OUTSTANDING BALANCE OF AGRICULTURAL PRODUCE (PB 40). THE BALANCE AMOUNT IS OUT OF THE AVAILABLE CASH BALANCE AS PER THE CASH STATEMENT (PB 25). 7. 24.05.2006 1 00 000/- (CASH) ON THIS DATE RS. 1 60 000/- IS DEPOSITED IN CASH. OUT OF IT AO ACCEPTED RS.60 000/- BEING AMOUNT WITHDRAWN FROM THE BANK ACCOUNT OF SONU CHOUDHARY (PB 37). THE BALANCE AMOUNT IS OUT OF THE AVAILABLE CASH BALANCE AS PER THE CASH STATEMENT ITA706/JP/2017_ PRITHVIRAJ CHOUDHARY VS. DCIT 5 (PB 25) AND FROM SALE OF CHARA (PB 50). 8. 01.06.2006 5 000/- (CASH) ON THIS DATE RS.50 000 /- IS DEPOSITED IN CASH. OUT OF IT AO ACCEPTED RS.45 000/- BEING WITHDRAWN FROM THE SAME BANK ACCOUNT ON 30.05.2006. THE REMAINING AMOUNT WAS DEPOSITED OUT OF THE AVAILABLE CASH BALANCE AS PER CASH STATEMENT (PB 25) GENERATED OUT OF RS.30 000/- WITHDRAWN ON 30.05.2006 FROM SBBJ BANK A/C (PB 34 & 63) 9. 05.06.2006 70 000/- (CHEQUE) THIS AMOUNT IS TRANSFERRED FROM THE BANK ACCOUNT OF SAROJ CHOUDHARY (PB 39). 10. 13.06.2006 22 309/- (CASH) ON THIS DATE RS.2 00 000/- IS DEPOSITED IN CASH. OUT OF IT AO ACCEPTED RS. 1 77 691/- BEING AMOUNT RECEIVED FROM BADRILAL SATYANARAYAN AGAINST THE OUTSTANDING BALANCE OF AGRICULTURAL PRODUCE (PB 40). THE BALANCE AMOUNT IS OUT OF THE AVAILABLE CASH BALANCE AS PER THE CASH STATEMENT (PB 25). 11. 13.09.2006 14 000/- (CASH) THIS AMOUNT IS OUT O F CASH WITHDRAWAL OF RS. 1 LACS FROM THE SAME BANK ACCOUNT ON 11.09.2006 (PB 30 & 25). 12. 27.02.2007 20 000/- (CASH) THIS AMOUNT IS OUT O F CASH WITHDRAWAL OF RS. 1 LACS FROM THE SAME BANK ACCOUNT ON 27.02.2007 (PB 30 & 26). SBBJ (PB 34-35) S. NO. DATE AMOUNT (IN RS.) EXPLANATION 1. 11.09.2006 80 000/- (CASH) THIS AMOUNT IS DEPOSI TED OUT OF RS. 1 LACS WITHDRAWN FROM CANARA BANK ON 11.09.2006 (PB 30 & 25). 2. 13.11.2006 2 60 000/- (CASH) THIS AMOUNT IS DEPOSITED OUT OF THE AVAILABLE CASH BALANCE AS PER THE CASH STATEMENT AND FROM THE SALARY RECEIPT OF RS. 1 14 141/- BY THE SON OF THE ASSESSEE (PB 26 & 28). 3. 01.02.2007 28 000/- (CASH) THIS AMOUNT IS DEPOSI TED OUT OF CASH WITHDRAWAL OF RS.30 000/- FROM THE SAME BANK ACCOUNT ON 11.01.2007 AND THE AVAILABLE CASH BALANCE (PB 26 & 35) ITA706/JP/2017_ PRITHVIRAJ CHOUDHARY VS. DCIT 6 9. ON THE OTHER HAND THE LD SR. DR HAS RELIED ON T HE ORDERS OF THE AUTHORITIES BELOW. 10. I HAVE HEARD BOTH THE SIDES ON THIS ISSUE. AFTE R CONSIDERING ALL THE FACTUAL ASPECTS AND WELL AS THE SUBMISSIONS I FIND THAT THE EXPLANATION SUBMITTED BY THE ASSESSEE NEEDS A FRESH LOOK AT THE LEVEL OF THE ASSESSING OFFICER. THEREFORE IN THE INTEREST OF JUSTICE AND EQUITY I RESTORE THE ISSUE RAISED IN GROUND NO. 2 TO THE FILE OF THE ASSESSING OFFICER TO VERIFY THE CASH FLOW STATEMENT AND IF FOUND GENUINE AND IN ORDER THE N DELETE THE ADDITION TO THAT EXTENT. THE ASSESSING OFFICER SHALL PROVIDE ADE QUATE AND EFFECTIVE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. 11. IN THE RESULT THE APPEAL OF THE ASSESSEE IS PA RTLY ALLOWED FOR STATISTICAL PURPOSES ONLY. ORDER PRONOUNCED IN THE OPEN COURT ON 06/11/2017. SD/- HKKXPAN (BHAGCHAND) YS[KK LNL;@ ACCOUNTANT MEMBER TK;IQJ@ JAIPUR FNUKAD@ DATED:- 06 TH NOVEMBER 2017 *RANJAN VKNS'K DH IZFRFYFI VXZSFKR @ COPY OF THE ORDER FORWARDED TO: 1. VIHYKFKHZ @ THE APPELLANT- SHRI PRITHVIRAJ CHOUDHARY KOTA. 2. IZR;FKHZ @ THE RESPONDENT- THE D.C.I.T. CIRCLE- SAWAI MADHOPUR. 3. VK;DJ VK;QDR @ CIT 4. VK;DJ VK;QDRVIHY @ THE CIT(A) ITA706/JP/2017_ PRITHVIRAJ CHOUDHARY VS. DCIT 7 VF/KDJ.K] T;IQJ @ DR ITAT JAIPUR 5. FOHKKXH; IZFRFUF/K] VK;DJ VIHYH; 6. XKMZ QKBZY @ GUARD FILE (ITA NO. 706/JP/2017) VKNS'KKUQLKJ @ BY ORDER LGK;D IATHDKJ @ ASST. REGISTRAR