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Query asked by AMIT S on November 3, 2020

Re: AMIT S

AO added 12.5% of the bogus purchase to total income for AY 2009-10, AY 2010-11, AY 2011-12, AY 2012-13.

CIT (A) Dismissed the appeal AY 2011-12 and AY 2012-13
(order passed in 18.05.2018)

ITAT partly allowed for AY 2011-12 and 2012-13
(Reduced the Percentage of addition from 12.5% of Bogus Purchase to 5%)(ITAT order passed on 19.12.2018)

CIT (A) heard the appeal for AY 2009-10 and AY 2010-12 and on the basis of ITAT order for AY 2011 & 2012, partly allowed from 12.5% to 5% (date of Order 22.02.2019)

Assessee unaware of any appeal being pending received ITAT notice for hearing AY 2009-10 & AY 2010-11 for ITAT appeal filed by Department.
Unfortunately Notice received after the date of hearing 27.10.2020

No Detail received from Department yet on the said appeal by Department.

ITAT Case Status shows that the appeal was filed on 29.05.2019
since assesses dont have any detail of said appeal and he being eligible for VSV for AY 2009-10 & AY 2010-11 .

can he get the advantage of 50% of the Disputed Tax since he has a favorable judgment from ITAT on similar issue.

The assesssee can write to the Asst .Registrar  ITAT and can get the copy of the grounds of appeal filed by the department .  It seems  the  department may be contesting the relief given by the CIT (A) . The asessee can take advantages of 50% of the disputed tax .   If  Tribunal has already decided the matter ex prate   against the assesseee,  it may be desirable to file a  miscellaneous application   before the Appellate Tribunal and matter can be recalled . After recalling the matter the assessee can avail the benefit of the scheme .

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One comment on “AMIT S
  1. AMIT S says:

    Thank you for your valuable reply.
    If you dont mind may i know what will be amount payable by him if he opts for VsV now

    Sir in this case what will be the disputed Tax?

    Assessee being Individual
    For Example

    AY 2009-10
    INCOME AS PER COMPUTATION 559310
    Add: AO added 12.5% of Purchases 878300
    1437610
    Less: CIT Relief (Reduce to 5%) 526980
    910630
    Tax on 910630/- 183535
    Interest (234B) 74550
    Total Amount Payable 258085

    Now Assessee did not file further appeal against the CIT (A) order for AY 2009-10, since he already have precedent for similar issue in AY 2011-12 where the addition is reduce to 5% by ITAT, so no further appeal is contested.

    But now assessee has received ITAT hearing notice for AY 2009-10, appeal filed by the Revenue.

    Now how much the assessee has to pay for AY 2009-10 in total if he go for VsV.

    Thank You in Advance.

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