Shree Nanak Sai & Sons, Rourkela v. ACIT,Rourkela Circle,, Rourkela

ITA 84/CTK/2019 | 2010-2011
Pronouncement Date: 26-11-2019 | Result: Allowed

Appeal Details

RSA Number 8422114 RSA 2019
Assessee PAN ABIFS1791D
Bench Cuttack
Appeal Number ITA 84/CTK/2019
Duration Of Justice 8 month(s) 12 day(s)
Appellant Shree Nanak Sai & Sons, Rourkela
Respondent ACIT,Rourkela Circle,, Rourkela
Appeal Type Income Tax Appeal
Pronouncement Date 26-11-2019
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted DB
Tribunal Order Date 26-11-2019
Last Hearing Date 25-11-2019
First Hearing Date 25-11-2019
Assessment Year 2010-2011
Appeal Filed On 15-03-2019
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL CUTTACK BENCH CUTTACK BEFORE SHRI C.M. GARG JM & SHRI L.P. SAHU AM . / ITA NO. 84 /CTK/201 9 ( / ASSESSMENT YEAR : 20 1 0 - 201 1 ) SHREE NANAK SAI & SONS THROUGH PARTNER - SHRI PRADEEP KUMAR AGARWAL C/O - T.K.DUTTA R - 14 CIVIL TOWNSHIP ROURKELA - 769004 VS. ACIT ROURKELA CIRCLE ROURKELA ./ PAN NO. : A BIFS 1791 D ( / APPELLANT ) .. ( / RESPONDENT ) /ASSESSEE B Y : SHRI TUSHAR DUTTA AR /REVENUE BY : SHRI J.K.LENKA DR / DATE OF HEARING : 25 / 11 /2019 / DATE OF PRONOUNCEMENT : 26 / 11 /2019 / O R D E R PER L.P.SAHU A M : TH IS IS AN APPEAL FILED BY THE ASS ESSEE AGAINST THE ORDER OF CIT(A) SAMBALPUR DATED 04.07.2017 FOR THE ASSESSMENT YEAR 201 0 - 201 1 ON THE SOLE GROUND REGARDING CONFIRMATION OF ADDITION OF RS.13 77 935/ - MADE BY THE AO ON ACCOUNT OF DIFFERENTIAL IN GROSS RECEIPTS OF SUNDRY DEBTORS LEDGER BA LANCE OF M/S ADHUNIK METALIKS LTD. & GROSS RECEIPT OF AUDITED PROFIT LOSS ACCOUNT. 2. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE IS A PARTNERSHIP FIRM FILED ITS RETURN OF INCOME ON 14.10.2010 DECLARING TOTAL INCOME OF RS.21.45.990/ - . THE CASE WAS SELECT ED FOR SCRUTINY AND STATUTORY ITA NO. 84 /CTK/201 9 2 NOTICES WERE ISSUED TO THE ASSESSEE. DURING THE COURSE OF ASSESSMENT PROCEEDINGS THE AO NOTICED THAT FOR PRECEDING ASSESSMENT YEAR 2009 - 2010 WAS UNDER SCRUTINY AND THERE WAS A DIFFERENCE IN GROSS RECEIPTS AS SHOWN BY THE ASS ESSEE IN HIS PROFIT AND LOSS ACCOUNT AND FORM 16 OBTAINED FROM ADHUNIK METALIKS LTD. AND THE SAME WAS RECONCILED BY THE ASSESSEE THAT THE GROSS RECEIPTS AS PER PROFIT AND LOSS ACCOUNT HAS BEEN SHOWN AFTER DEDUCTING THE SERVICE TAX AMOUNT. ACCORDINGLY THE AO CONSTRUED THAT THE DIFFERENTIAL IN GROSS RECEIPT AT RS.51 14 093/ - IS INCLUSIVE OF THE SERVICE TAX PAYABLE AMOUNT OF RS.37 36 158/ - . THE AO FURTHER NOTED THAT THE ASSESSEE FAILED TO FURNISH ANY RECONCILIATION STATEMENT OR REPLY ACCORDINGLY HE ADDED T HE DIFFERENTIAL IN GROSS RECEIPT AT RS.13 77 935/ - TO THE TOTAL INCOME OF THE ASSESSEE AS ALL THE EXPENSES HAVE ALREADY BEEN CLAIMED BY THE ASSESSEE IN ITS PROFIT AND LO S S ACCOUNT. 3. FEELING AGGRIEVED FROM THE ASSESSMENT ORDER THE ASSESSEE APPEALED BEF ORE THE CIT(A) AND THE CIT(A) HELD THAT THE AO HAS RIGHTLY MADE ADDITION REGARDING DIFFERENTIAL AMOUNT WHICH COULD NOT RECONCILED BY THE ASSESSEE EITHER BEFORE THE AO OR IN THE APPELLATE PROCEEDING. 4. AGGRIEVED FROM THE ORDER OF CIT(A) THE ASSESSEE HAS F ILED APPEAL BEFORE THE INCOME TAX APPELLATE TRIBUNAL. ITA NO. 84 /CTK/201 9 3 5. LD. AR SUBMITTED THAT THE AO WAS NOT JUSTIFIED TO MAKE ADDITION. LD.AR REFERRED TO THE FORM NO.26AS AND SUBMITTED THAT THERE WAS NO DIFFERENCE BETWEEN THE ASSESSEE COMPANY AND ADHUNIK METALIKS LTD. A CCORDINGLY LD. AR REQUESTED THAT IF A CHANGE IS GIVEN IN THE INTEREST OF JUSTICE TO REPRESENT BEFORE THE AO THE ASSESSEE WOULD BE ABLE TO RECONCILE THE SAME. 6. ON THE OTHER HAND LD. DR RELIED ON THE ORDERS OF AUTHORITIES BELOW AND OBJECTED THE REQUEST OF THE ASSESSEE. LD. DR FURTHER SUBMITTED THAT THE ASSESSEE WAS UNABLE TO RECONCILE BEFORE BOTH THE AUTHORITIES BELOW THEREFORE THE ORDER OF THE CIT(A) SHOULD BE RESTORED. 7. AFTER HEARING BOTH THE SIDES AND PERUSING THE ENTIRE MATERIAL AVAILABLE ON RECO RD WE FIND THAT BEFORE US LD. AR OF THE ASSESSEE SUBMITTED VENDOR ACCOUNT STATEMENT FOR THE IMPUGNED YEAR AS WELL AS FORM NO.26AS BUT HE COULD NOT PRODUCE ANY RECONCILIATION. IN THE VENDOR ACCOUNT STATEMENT FILED BEFORE US WE OBSERVE THAT MORE TRANSACTIO NS ARE REFLECT ING BUT THE ASSESSEE HAS NOT PRODUCED THE RECONCILIATION STATEMENT IN REGARD TO THE DISPUTED AMOUNT . LOOKING TO THE FACTS AND CIRCUMSTANCES OF THE CASE AND I N THE INTEREST OF JUSTICE AND CONSIDERING THE REQUEST OF LD. AR OF THE ASSESSEE WE R EMIT THIS MATTER TO THE FILE OF AO TO DECIDE THE CASE AND THE ASSESSEE IS DIRECTED TO PRODUCE THE REQUIRED DOCUMENTS BEFORE THE AO. NEEDLESS TO SAY A ITA NO. 84 /CTK/201 9 4 REASONABLE OPPORTUNITY OF BEING HEARD BE GIVEN TO THE ASSESSEE. THE ASSESSEE IS DIRECTED NOT TO SEEK ANY UNNECESSARY ADJOURNMENT. ACCORDINGLY THE SOLE GROUND RAISED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. 8 . IN THE RESULT APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES . ORDER PRONOUNCED IN THE OPEN COURT ON 26 / 1 1 / 201 9 . SD/ - ( C.M.GARG ) SD/ - (L.P.SAHU) / JUDICIAL MEMBER / ACCOUNTANT MEMBER CUTTACK ; DATED 26 / 1 1 /201 9 PRAKASH KUMAR MISHRA SR.P.S. / COPY OF THE ORDER FORWARDED TO : / BY ORDER ( SENIOR PRIVATE SECRETARY ) / ITAT CUTTACK 1. / THE APPELLANT - SHREE NANAK SAI & SONS THROUGH PARTNER - SHRI PRADEEP KUMAR AGARWAL C/O - T.K.DUTTA R - 14 CIVIL TOWNSHIP ROURKELA - 769004 2. / THE RESPONDENT - ACIT ROURKELA CIRCLE ROURKELA 3. ( ) / THE CIT(A) 4. / CIT 5. / DR ITAT CUTTACK 6. / GUARD FILE. //TRUE COPY//