A.C.I.T.,Circle-46, Kolkata v. M/s Carewell Properties, Kolkata

ITA 899/KOL/2019 | 2014-2015
Pronouncement Date: 26-03-2021 | Result: Dismissed

Appeal Details

RSA Number 89923514 RSA 2019
Assessee PAN AFHPM9942B
Bench Kolkata
Appeal Number ITA 899/KOL/2019
Duration Of Justice 1 year(s) 11 month(s) 2 day(s)
Appellant A.C.I.T.,Circle-46, Kolkata
Respondent M/s Carewell Properties, Kolkata
Appeal Type Income Tax Appeal
Pronouncement Date 26-03-2021
Appeal Filed By Department
Order Result Dismissed
Bench Allotted A
Tribunal Order Date 26-03-2021
Last Hearing Date 04-02-2021
First Hearing Date 04-02-2021
Assessment Year 2014-2015
Appeal Filed On 24-04-2019
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL C (VIRTUAL COURT HEARING) BENCH KOLKATA BEFORE SRI J. SUDHAKAR REDDY ACCOUNTANT MEMBER & SRI SANJAY GARG JUDICIAL MEMBER I.T.A. NO.899/KOL/2019 ASSESSMENT YEAR: 2014-15 ACIT CIRCLE-46 KOLKATA.........APPELLANT VS. M/S CAREWELL PROPERTIES.......RESPONDENT 254/3/1 PANCHANANTALA ROAD HOWRAH MAIDAN HOWRAH-711101 [PAN : AFHPM9942B] APPEARANCES BY: SHRI GOPAL RAM SHARMA ADVOCATE APPEARED ON BEHALF OF THE APPELLANT. SHRI SUPRIYO PAUL ACIT DR APPEARED ON BEHALF OF THE RESPONDENT. DATE OF CONCLUDING THE HEARING : FEBRUARY 04 2021 DATE OF PRONOUNCING THE ORDER : MARCH 26 2021 ORDER PER SANJAY GARG JUDICIAL MEMBER:- THE PRESENT APPEAL HAS BEEN PREFERRED BY THE REVENUE FOR THE ASSESSMENT YEAR 2014-15 AGAINST THE ORDER DATED 25.01.2019 OF THE COMMISSIONER OF INCOME TAX(APPEALS)-14 KOLKATA [HEREINAFTER REFERRED TO AS THE CIT(A)]. 2. THE REVENUE IN THIS APPEAL IS AGGRIEVED BY THE ACTION OF THE CIT(A) IN DELETING THE ADDITION OF RS.1 77 89 083/- MADE BY THE ASSESSING OFFICER ON ACCOUNT OF DIFFERENCE IN MARKET VALUE AS AGAINST THE SALE VALUE DECLARED BY THE ASSESSEE OF THE FLATS. 3. THE BRIEF FACTS RELEVANT TO THE ISSUE ARE THAT THE ASSESSEE IS A PARTNERSHIP FIRM ENGAGED IN REAL ESTATE BUSINESS. DURING THE FINANCIAL YEAR 2013-14 RELEVANT TO ASSESSMENT YEAR 2014-15 THE ASSESSEE HAD SOLD 35 FLATS AND GARAGE AT A CONSIDERATION OF RS.6 13 05 472/-. THE ASSESSING OFFICER HOWEVER NOTED THAT THE MARKET VALUE OF THE SAID FLATS AND GARAGE WAS HIGHER THAN DECLARED BY THE ASSESSEE IN THE REGISTERED SALE 2 I.T.A. NO.899/KOL/2019 M/S CAREWELL PROPERTIES ASSESSMENT YEAR: 2014-15 DEED. HE THEREFORE MADE THE IMPUGNED ADDITION OF RS.1 77 89 083/- AS DEEMED INCOME OF THE ASSESSEE U/S 43CA OF THE INCOME TAX ACT. 4. IN THE APPELLATE PROCEEDINGS BEFORE THE CIT(A) THE ASSESSEE SUBMITTED THAT DURING THE ASSESSMENT PROCEEDINGS ON THE REQUEST OF THE ASSESSEE THE MATTER WAS REFERRED BY THE ASSESSING OFFICER TO THE DEPARTMENTAL VALUATION OFFICER (VALUATION CELL) FOR THE PURPOSE OF VALUATION OF THE FLATS IN QUESTION. HOWEVER THE VALUATION REPORT WAS NOT RECEIVED TILL THE ASSESSMENT WAS FRAMED. THAT THE ASSESSEE THEREAFTER RECEIVED THE VALUATION REPORT. THE ASSESSEE TENDERED THE SAID VALUATION REPORT BEFORE THE CIT(A) AS ADDITIONAL EVIDENCE. THE LD. CIT(A) THEREAFTER CALLED UPON FOR REMAND REPORT FROM THE ASSESSING OFFICER ON THE SAID VALUATION REPORT OF THE DVO. IN THE REMAND REPORT THE ASSESSING OFFICER SUBMITTED THAT THE DIFFERENCE AMOUNTING TO RS.1232983/- BETWEEN THE VALUATION AS PER DVOS REPORT AND THE VALUE DISCLOSED BY THE ASSESSEE IN THE RETURN OF INCOME SHOULD BE ADDED BACK. THE ASSESSING OFFICER FURTHER REPORTED THAT IN CASE OF THE THREE PROPERTIES THE DIFFERENCE OF RS.496435/- SHOULD ALSO BE ADDED BACK BEING THE DIFFERENCE IN THE TOTAL CONSIDERATION RECEIVED BY THE ASSESSEE MOSTLY IN CASH. AFTER CONSIDERING THE SUBMISSION OF THE ASSESSEE AND PERUSAL OF THE REMAND REPORT THE LD. CIT(A) ACCORDINGLY RESTRICTED THE ADDITION TO RS.17 34 438/-. 5. THE LD. DR COULD NOT POINT OUT ANY INFIRMITY IN THE ORDER OF THE CIT(A) WARRANTING INTERFERENCE OF THIS TRIBUNAL. THERE IS NO MERIT IN THE APPEAL OF THE REVENUE AND THE SAME IS ACCORDINGLY DISMISSED. 6. IN THE RESULT THE APPEAL OF THE REVENUE STANDS DISMISSED. KOLKATA THE 26 TH MARCH 2021. SD/- SD/- [ J. SUDHAKAR REDDY ] [ SANJAY GARG] ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 26.03.2021 RS 3 I.T.A. NO.899/KOL/2019 M/S CAREWELL PROPERTIES ASSESSMENT YEAR: 2014-15 COPY OF THE ORDER FORWARDED TO: 1. ACIT CIRCLE-46 KOLKATA 2. M/S CAREWELL PROPERTIES 3. CIT(A)- 4. CIT- 5. CIT(DR) //TRUE COPY// BY ORDER ASSISTANT REGISTRAR KOLKATA BENCHES