Income Tax Appellate Tribunal - Chennai
Vinod Kumar Bantia & Sons (Huf), Chennai vs Itoncw 6(4), Chennai on 6 February, 2019
आयकर अपील य अ धकरण, 'सी' यायपीठ, चे नई
IN THE INCOME TAX APPELLATE TRIBUNAL
'C' BENCH, CHENNAI
ी एन.आर.एस. गणेशन, या यक सद य एवं ी इंटूर रामा राव, लेखा सद य केसम%
BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND
SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER
आयकर अपील सं./ITA Nos.2467, 2468 & 2469/Chny/2018
नधा(रण वष( /Assessment Years : 2010-11, 2013-14 & 2010-11
ITA Nos.2467 & 2468/Chny/2018
Shri Rajesh Kumar Bantia
PAN : AFHPR 9977 D The Income Tax Officer,
& v. Non Corporate Ward - 6(1),
ITA No.2469/Chny/2018 Chennai - 600 006.
Shri Rajesh Kumar Bantia (HUF)
No.13, Chandrappa Mudali St.,
Sowcarpet, Chennai - 600 079.
PAN : AAGHR 1809 C
(अपीलाथ,/Appellant) (-.यथ,/Respondent)
आयकर अपील सं./ITA No.2470/Chny/2018
नधा(रण वष( /Assessment Year : 2010-11
Shri Tarun Kundanmal (HUF), The Income Tax Officer,
44/39, E.K. Agraharam Street, v. Non Corporate Ward - 6(4),
Park Town, Chennai - 600 003. Chennai - 600 006.
PAN : AACHT 1849 Q
(अपीलाथ,/Appellant) (-.यथ,/Respondent)
आयकर अपील सं./ITA No.2471/Chny/2018
नधा(रण वष( /Assessment Year : 2010-11
Shri Rakesh Kumar Kundanmal, The Income Tax Officer,
44/39, E.K. Agraharam Street, v. Non Corporate Ward - 6(1),
Park Town, Chennai - 600 003. Chennai - 600 006.
PAN : AAKHR 7143 B
(अपीलाथ,/Appellant) (-.यथ,/Respondent)
2 I.T.A. No.2467 to 2478/Chny/18
आयकर अपील सं./ITA No.2472/Chny/2018
नधा(रण वष( /Assessment Year : 2010-11
Shri Vinod Kumar Kundanmal The Income Tax Officer,
(HUF), v. Non Corporate Ward - 6(4),
44/39, E.K. Agraharam Street, Chennai - 600 006.
Park Town, Chennai - 600 003.
PAN : AADHV 1841 H
(अपीलाथ,/Appellant) (-.यथ,/Respondent)
आयकर अपील सं./ITA No.2473/Chny/2018
नधा(रण वष( /Assessment Year : 2010-11
Smt. Susheela Jain, The Income Tax Officer,
No.13, Chandrappa Mudali St., v. Non Corporate Ward - 6(3),
Sowcarpet, Chennai - 600 079. Chennai - 600 006.
PAN : AIOPS 9121 N
(अपीलाथ,/Appellant) (-.यथ,/Respondent)
आयकर अपील सं./ITA No.2474/Chny/2018
नधा(रण वष( /Assessment Year : 2010-11
Shri Tarun Kundanmalji Jain, The Income Tax Officer,
44/39, E.K. Agraharam Street, v. Non Corporate Ward - 6(4),
Park Town, Chennai - 600 003. Chennai - 600 006.
PAN : AAFPJ 8314 B
(अपीलाथ,/Appellant) (-.यथ,/Respondent)
आयकर अपील सं./ITA Nos.2475, 2476 & 2477/Chny/2018
नधा(रण वष( /Assessment Years : 2010-11, 2011-12 & 2013-14
Shri Lalchand Bantia, The Income Tax Officer,
No.13, Chandrappa Mudali St., v. Non Corporate Ward - 5(2),
Sowcarpet, Chennai - 600 079. Chennai - 600 006.
PAN : AABPL 6430 C
(अपीलाथ,/Appellant) (-.यथ,/Respondent)
3 I.T.A. No.2467 to 2478/Chny/18
आयकर अपील सं./ITA No.2478/Chny/2018
नधा(रण वष( /Assessment Year : 2010-11
M/s Vinod Kumar Bantia & Sons The Income Tax Officer,
(HUF), v. Non Corporate Ward - 6(4),
No.13, Chandrappa Mudali St., Chennai - 600 006.
Sowcarpet, Chennai - 600 079.
PAN : AADHV 0192 H
(अपीलाथ,/Appellant) (-.यथ,/Respondent)
अपीलाथ, क/ ओर से/Appellants by : Shri R. Padmanabhan, CA
-.यथ, क/ ओर से/Respondent by : Shri S. Rengarajan, JCIT
सन
ु वाई क/ तार ख/Date of Hearing : 09.01.2019
घोषणा क/ तार ख/Date of Pronouncement : 06.02.2019
आदे श /O R D E R
PER N.R.S. GANESAN, JUDICIAL MEMBER:
The appeals filed by independent assessees are directed against the respective orders of the Commissioner of Income Tax (Appeals)-5, Chennai. Since common issue arises for consideration in all these appeals, we heard these appeals together and disposing of the same by this common order.
2. The assessees claim for exemption under Section 10(38) of the Income-tax Act, 1961 (in short 'the Act'), which was not allowed by the Assessing Officer after referring to the Investigation Report said to be received from Investigation Wing of the Department at Kolkata. 4 I.T.A. No.2467 to 2478/Chny/18
3. We heard Shri R. Padmanabhan, the Ld. representative for the assessees and Shri S. Rengarajan, the Ld. Departmental Representative. Admittedly, the Investigation Report said to be received by the Assessing Officer from Kolkata was not furnished to the assessees. Moreover, the statement said to be recorded from Shri Ashok Kumar Kayan at Kolkata was also not furnished to the assessees. The Revenue claims that the assessees have invested in Penny stock companies. It is not known how the Revenue claims that the assessees invested in Penny stock companies? How the Penny stock companies are allowed to issue public shares so as to invite the general public for investment? It is also not known how this kind of companies are allowed to be listed in stock exchange? Therefore, an investigation has to be made by the Assessing Officer. The Assessing Officer shall furnish a copy of Investigation Report said to be received from the Investigation Wing of the Department at Kolkata and a copy of statement recorded from Shri Ashok Kumar Kayan at Kolkata to the assessees. Accordingly, the orders of both authorities below are set aside and the Assessing Officer is directed to furnish copies of the Investigation Report received from the Department at Kolkata and the statements recorded at Kolkata and at Chennai and also to make a thorough investigation how the Penny stock companies are allowed to issue public shares and bring on record the action taken against the officers who are responsible for allowing such Penny stock companies to issue public shares. The Assessing 5 I.T.A. No.2467 to 2478/Chny/18 Officer shall also examine whether these companies are listed in stock exchange. If so, what are the actions taken for delisting such companies from stock exchange. The Assessing Officer shall examine all these aspects and bring on record all material facts and thereafter decide the issue afresh in accordance with law, after giving a reasonable opportunity to the assessees.
4. In the result, all the appeals filed by the assessees are allowed for statistical purposes.
Order pronounced in the court on 6th February, 2019 at Chennai.
sd/- sd/-
(इंटूर रामा राव) (एन.आर.एस. गणेशन)
(Inturi Rama Rao) (N.R.S. Ganesan)
लेखा सद य/Accountant Member या यक सद य/Judicial Member
चे नई/Chennai,
6दनांक/Dated, the 6th February, 2019.
Kri.
आदे श क/ - त7ल8प अ9े8षत/Copy to:
1. अपीलाथ,/Appellant
2. -.यथ,/Respondent
3. आयकर आयु:त (अपील)/CIT(A)-5, Chennai-34
4. Principal CIT-9, Chennai
5. 8वभागीय - त न ध/DR
6. गाड( फाईल/GF.