M/s. Loyal Wood Ltd.,, Bharuch v. The ACIT., Bharuch Circle,, Bharuch

ITA 806/AHD/2006 | 2002-2003
Pronouncement Date: 02-12-2011 | Result: Allowed

Appeal Details

RSA Number 80620514 RSA 2006
Assessee PAN AAACL6300M
Bench Ahmedabad
Appeal Number ITA 806/AHD/2006
Duration Of Justice 5 year(s) 7 month(s) 29 day(s)
Appellant M/s. Loyal Wood Ltd.,, Bharuch
Respondent The ACIT., Bharuch Circle,, Bharuch
Appeal Type Income Tax Appeal
Pronouncement Date 02-12-2011
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted C
Tribunal Order Date 02-12-2011
Date Of Final Hearing 30-11-2011
Next Hearing Date 30-11-2011
Assessment Year 2002-2003
Appeal Filed On 03-04-2006
Judgment Text
. .. . . .. . ! ! ! ! ' '' '# ## # ' ' ' '. .. .$ #$ $ #$ $ #$ $ #$ %& ' %& ' %& ' %& ' % ! % ! % ! % ! IN THE INCOME TAX APPELLATE TRIBUNAL : C BENCH : AHMEDABAD BEFORE HONBLE SHRI G.C.GUPTA V.P. & HONBLE SHRI A.MOHAN ALANKAMONY A.M.) # # # #. ITA NO. 806/AHD/2006 : ()- 2002-2003 M/S. LOYAL WOOD LTD. BHARUCH VS- ACIT BHARUCH CIRCLE BHARUCH (PAN : AAACL 6300M) ( - /APPELLANT) ( ./ - /RESPONDENT ) # # # #. ITA NO. 4468/AHD/2007 : ()- 2002-2003 M/S. LOYAL WOOD LTD. BHARUCH VS- DCIT BHARUCH CIRCLE BHARUCH ( - /APPELLANT) ( ./ - /RESPONDENT ) - 0 1 % / APPELLANT BY : SHRI VARTIK CHOKSHI A.R. ./ - 0 1 % / RESPONDENT BY : SHRI VINOD TANWANI SR.D.R. 2 0 34& / DATE OF HEARING : 30/11/2011 5$( 0 34& / DATE OF PRONOUNCEMENT : 02/12/2011 %6 %6 %6 %6 / ORDER PER SHRI A.MOHAN ALANKAMONY ACCOUNTANT MEMBER : THESE TWO APPEALS ARE FILED BY THE ASSESSEE AGGRI EVED BY THE ORDERS OF THE LEARNED COMMISSIONER OF INCOME TAX(APPEALS)-VI BAR ODA IN APPEAL NO.CAB/VI- 62/05-06 DATED 22.02.2006 AND IN APPEAL NO. CAB/VI- 52/07-08 DATED 27.09.2007 PASSED UNDER SECTION 250 R.W.S.143(3) AND 271(1)(C ) OF THE I.T. ACT 1961 RELATING TO QUANTUM APPEAL AND PENALTY APPEAL RESPECTIVELY FOR THE ASSESSMENT YEAR 2002-2003. ITA NO. 806/AHD/2006 2. THE ASSESSEE HAS RAISED THE FOLLOWING THREE GROU NDS. HOWEVER THE CRUX OF THE ISSUE RELATES TO THE ADDITION OF RS.35 62 000/- AS UNEXPLAINED CASH CREDIT UNDER SECTION ITA NOS.806-AHD-06 & 4468-AHD-07 2 68 OF THE I.T. ACT 1961. THE OTHER TWO GROUNDS ARE GENERAL IN NATURE AND THEY DO NOT SURVIVE FOR ADJUDICATION. 1. THE ASSESSMENT ORDER PASSED BY THE ASSESSING OFF ICER AND CONFIRMED BY FIRST APPELLATE AUTHORITY AS BAD IN LAW AND DESERVES TO B E UNCALLED FOR. 2. THE ASSESSING OFFICER AS WELL AS CIT(APPEAL) HA S ERRED IN LAW AND ON FACTS IN MAKING AND CONFORMING RESPECTIVELY ADDITION OF RS.3 5 62 000/- AS UNEXPLAINED CASH CREDIT U/S.68 OF I.T. ACT. THE SAME DESERVES T O BE DELETED. 3. THE ASSESSEE CRAVES TO RESERVE ITS RIGHT TO ADD ALTER AMEND OR DELETE ANY GROUND OF APPEAL DURING THE COURSE OF HEARING. ITA NO. 4468/AHD/2007 2.1 THE ASSESSEE HAS RAISED THREE GROUNDS IN ITS A PPEAL. HOWEVER THE CRUX OF THE ISSUE IS THAT THE LD. CIT(A) ERRED IN CONFIRMING TH E ORDER OF THE AO IMPOSING PENALTY OF RS.12 71 634/- UNDER SECTION 271(1)(C) OF THE AC T. 3. AT THE OUTSET OF THE HEARING THE LD. D.R. POINT ED OUT THAT THE ASSESSEE HAS FILED ADDITIONAL EVIDENCE BEING THE COPIES OF SHAREHOLDER S AFFIDAVITS RUNNING 1 TO 150 PAGES. THE LD. D.R. SUBMITTED THAT MATTER SHOULD BE REMITTED BACK TO THE FILE OF THE LD. A.O. FOR CONDUCTING PROPER VERIFICATION OF THE AFFI DAVITS AND MAKING SUCH ENQUIRY AS DEEM FIT. HE ARGUED THAT UNLESS AND UNTIL THE AFFID AVITS ARE ESTABLISHED TO BE GENUINE IT WILL BE DIFFICULT TO EXAMINE THE MERITS OF THE CASE . 4. THE LD. A.R. OBJECTED TO THE SUBMISSIONS OF THE LD. D.R. AND PRAYED THAT THE CASE MAY BE HEARD AND DECIDED BASED ON THE ADDITIONAL EV IDENCES SUBMITTED BY THE ASSESSEE. 5. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIALS ON RECORD. SINCE THE ISSUE RELATES TO ADDITION ON ACCOUNT OF SHARE A PPLICATION MONEY FROM VARIOUS PERSONS LISTED OUT AS 150 INDIVIDUALS IN NUMBERS W E ARE OF THE VIEW THAT THE MATTER NEEDS TO BE REMITTED BACK TO THE FILE OF THE LD. A. O. FOR PROPER EXAMINATION OF THE FACTS. WHEN THE MATTER WAS HEARD BEFORE THE EARLIER BENCH THE BENCH WAS ALSO INCLINED TO REACT IN THE SIMILAR MANNER AS APPARENT FROM THE OR DER-SHEET DATED 21.01.2011. THEREFORE IN THE INTEREST OF JUSTICE TO EITHER PART Y WE REMIT THE APPEAL IN ITA NO.806 ITA NOS.806-AHD-06 & 4468-AHD-07 3 OF THE ASSESSEE BACK TO THE FILE OF THE LD. A.O. FO R A PROPER EXAMINATION OF ALL THE MATERIALS NOW AVAILABLE BEFORE HIM AND DECIDE THE M ATTER AFRESH ACCORDING TO LAW AND MERITS AFTER AFFORDING SUFFICIENT OPPORTUNITY OF BE ING HEARD TO EITHER PARTY. WE MAKE IT CLEAR THAT THE ASSESSEE MAY ALSO BE PERMITTED TO PR ODUCE ANY FURTHER EVIDENCE BEFORE THE LD.AO AT THE TIME OF HEARING. 5.1 SINCE THE QUANTUM APPEAL IS REMITTED BACK TO TH E FILE OF THE LD. A.O. PENALTY ORDER UNDER SECTION 271(1)(C) IN ITA NO.4468/AHD/20 07 IS ALSO REMITTED BACK TO THE FILE OF THE LD. AO FOR DE NOVO CONSIDERATION. 6. IN THE RESULT BOTH THE APPEALS FILED BY THE ASS ESSEE ARE ALLOWED FOR STATISTICAL PURPOSES. 7 %6 0 5$( 8#) 02 / 12 /2011 $ 9 0 2 : SD/- SD/- (G.C.GUPTA) (A.MOHAN ALANKAMONY) VICE PRESIDENT A CCOUNTANT MEMBER DATED : 02/12/2011 %6 %6 %6 %6 0 00 0 .3; .3; .3; .3; <%;(3) <%;(3) <%;(3) <%;(3)- -- - 1. - 2. ./ - 3. ## 3 @ 4. @- - 5. ;C .3 : 6. E F7 %6 % / # : TALUKDAR/ SR. P.S.