Prime Engineers Amp Essvee Enterprises Jv Mumbai v. Acit 21 1 Mumbai

In The Income Tax Appellate Tribunal J Bench Mumbai Before Shri Saktijit Dey Judicial Member And Shri N K Pradhan Accountant Member Ita N O 7512 Mum 2016 Assessment Year 2011 12 M S Prime Engineers Essvee Enterprises Jv A 204 Gokul Arcade Swami Nityanand Marg Vile Parle E Mumbai 400 057 Pan Aajfp 2861 R Appellant V S Acit 21 1 Mumbai Respondent Appellant By None Respondent By Ms Aarju Garodia Date Of Hearing 13 12 2017 Date Of Order 15 12 2017 O R D E R Per Saktijit Dey J M This Is An Appeal By The Assessee Against Order Dated 08 09 2016 Of Ld Commissioner Of Income Tax Appeals 37 Mumbai For The A Y 2011 12 2 Ita No 7512 Mum 2016 M S Prime Engineers Essvee Enterprises Jv 2 Briefly The Facts Are The Assessee A Partnership Firm File D Its Return Of Income On 25 09 2011 Declaring Total Income Of Rs 42 36 900 During The Assessment Proceedings The Assessing Officer On The Basis Of Information Obtained From Sales Tax Department Found That Purchases Amounting To Rs 9 47 745 Made From Real Traders Is Not Genuine As The Concerned Party Has Been Identified To Be A Hawala Operator Providing Accommodation Bills Therefore The Assessing Officer Added Back An Amount Of Rs 9 47 745 Further In Course Of Assessment Proceedings The Assessing Officer For Verifying The Purchases Made By The Assessee Made Enquiries During Which We Found That Shreeji Trading Co From Whom The Assessee Claimed To Have Made Purchases Of Rs 11 47 152 Did Not Provide Details In Compliance To Notice Issued Under Section 133 6 Accordingly He Added Back The Amount Of Rs 11 47 152 By Treating The Purchase As Non Genuine Further While Verifying The Genuineness Of Unsecured Loan Of Rs 2 47 43 889 The Assessing Officer Found That Loan Of Rs 65 73 196 Was Advanced By M S Paramount Infra Projects However While Verifying The Return 3 Ita No 7512 Mum 2016 M S Prime Engineers Essvee Enterprises Jv Of Income Of The Said Creditor It Was Found That It Has Loss Of Rs 20 21 705 During The Year And Had No C Apital Or Reserve To Advance The Loan Accordingly He Added Back The Amount Of Rs 65 73 196 Treating It As Non Genuine 3 Against The Additions Made By The Assessing Officer Assessee Preferred Appeal Before The First Appellate Authority 4 As It A Ppears Before The First Appellate Authority The Assessee Did Not Appear And Repeatedly Sought Adjournment Without Sufficient Cause T Herefore Learned First Appellate Authority Proceeded To Dispose Of Assessees Appeal Ex Parte Confirming The Additions M Ade By The Assessing Officer In Absence Of Any Evidence Brought On Record By The Assessee 5 When The Appeal Was Called For Hearing No One Was Present For The Assessee It Is Seen From Record On Earlier Occasions When The Appeal Was Posted For Hearing No One Appeared For The Asses See The Conduct Of The Assessee Before The First Appellate Authority As Well As Before Us Clearly Indicate That It Is Not Interested In Pursuing Its Appeal Therefore We Have No Other Option But To Decide The Appeal Ex Part E Qua The Assessee After Hearing Ld Departmental Representative And On The Basis Of Materials Available On Record 4 Ita No 7512 Mum 2016 M S Prime Engineers Essvee Enterprises Jv 6 Heard Ld D Epartmental R Epresentat I Ve And Perused The Material On Record As Could Be Seen The Assessing Officer Has Made Couple Of Add Itions Treating The Purchases Made By The Assessee To Be Non Genuine That Apart He Has Also Treated Unsecured Loan Of Rs 65 73 196 From M S Paramount Infra Projects As Non Genuine Since The Said Party Lacked Creditworthiness Neither Before The Departmental Authorities Nor Before Us The Assessee Has Furnished Any Evidence To Prove Either The Genuineness Of The Purchases Or Genuineness Of The Unsecured Loan Therefore In Absence Of Coge Nt Evidence We Are Unable To Disturb The Finding Of The D Epartmental A Uthorities In Respect Of The Addition S Made Accordingly We Uphold The Order Of The Cit A Grounds Raised Are Dismissed 7 In The Result Appeal Of The Assessee Is Dismissed Order Pronounced In The Open Court On 15 12 2017 Sd Sd Sd N K Pradhan Accountant Member Sd Saktijit Dey Judicial Member Mumbai Dated Copy Of The Order Forwarded To 1 The Assessee 2 The Revenue 3 The Cit A 4 The Cit Mumbai City Concerned 5 Ita No 7512 Mum 2016 M S Prime Engineers Essvee Enterprises Jv 5 The Dr Itat Mumbai 6 Guard File True Copy By Order Karuna Sr Private Secretary Dy Asstt Registrar Itat Mumbai