Itta/237/2015 Of The Commissioner Of Income Tax (Central) v. Sri G.sanjay Chowdary

HON'BLE SRI JUSTICE G.CHANDRAIAH&HON’BLE SRI JUSTICE CHALLA KODANDA RAMI.T.T.A. No.237 of 2015 JUDGMENT:- (per Hon’ble Sri Justice Challa Kodanda Ram) This Appeal is filed by the Revenue under Section 260-A ofthe Income Tax Act, 1961 (for short, “the Act”), questioning theorder dated 20.08.2014, passed by the Income Tax AppellateTribunal, Hyderabad Bench ‘B’, Hyderabad, in I.T.A.No.624/Hyd/2014, for the assessment year 2005-2006, raising thefollowing questions of law for consideration of this Court: i)Whether on the facts and in the circumstances of thecase and in law, the Hon’ble Income Tax AppellateTribunal is justified in holding that the transactionsthrough journal entry do not attract the provisions ofSection 269SS and consequently penalty is not leviableu/s.271D of the I.T. Act, 1961?case and in law, the Hon’ble Income Tax AppellateTribunal is justified in holding that the transactionsthrough journal entry do not attract the provisions ofSection 269SS and consequently penalty is not leviableu/s.271D of the I.T. Act, 1961? ii)Whether Income Tax Appellate Tribunal is justified inholding that the assessee has accepted the loan only byjournal entries, though in fact the loan was accepted bythe assessee, as it was paid in cash to the seller of theproperty on behalf of assessee at assessee’s instanceonly?holding that the assessee has accepted the loan only byjournal entries, though in fact the loan was accepted bythe assessee, as it was paid in cash to the seller of theproperty on behalf of assessee at assessee’s instanceonly? When the matter is taken up for hearing, the learned counsel forboth the parties have fairly submitted that the issue involved in thismatter is squarely covered by the order dated 02.07.2015 passed inI.T.T.A.No.66 of 2015, wherein this Court, while dismissing the saidappeal took into consideration of the judgment dated 31.01.2014passed by a Division Bench of this Court in I.T.T.A.No.12 of 2014. In view of the same, we are of the opinion that the sameresult in I.T.T.A.No.66 of 2015 would follow in the present I.T.T.A. Accordingly, the questions of law raised in the present appealare answered in the affirmative i.e., in favour of the assessee andagainst the Revenue. A copy of the order dated 02.07.2015 passed by this Court inI.T.T.A. No.66 of 2015 be tagged on with this order. Accordingly, this Appeal is dismissed. No order as to costs. Miscellaneous Petitions, if any pending, shall also stand dismissed. ____________________ G. CHANDRAIAH, J ____________________________ CHALLA KODANDA RAM, J Date:08.10.2015ssv