TMI Blog2018 (8) TMI 340X X X X Extracts X X X X X X X X Extracts X X X X ..... hri J. Sudhakar Reddy, Accountant Member And Shri S.S.Viswanethra Ravi, Judicial Member For The Appellant/Department : Shri A. Bhattacharjee, Addl. CIT, Sr.DR For The Respondent/ Department : Shri L.K. Kanoongo, FA, ld.AR ORDER Shri S.S.Viswanethra Ravi, JM: Above two appeals of the Revenue and corresponding Cross Objections by the Assessee are against the orders dt. 22-09-2016 and 18-10-2017 of the CIT-A, 12, Kolkata for the A.Ys 2012-13 and 2013-14 respectively. 2. Since the issues raised in the appeals and cross objections are based on same set of identical facts and common, therefore, with the consent of both the parties, we proceed to hear both the appeals and cross objections together and, we dispose of the same by a consolidated order for the sake of convenience. ITA No. 2386/Kol/2016 A.Y 2012-13- by the revenue 3. First we shall take up the appeal of revenue in ITA No. 2386/Kol/2016 for the A.Y 2012-13 by the revenue. 4. The only issue in this appeal is to be decided as to whether the CIT-A is justified in deleting the addition of ₹ 2,93,79,530/- made on account of difference in purchase made by the AO violating Rule ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g/producing the bills and vouchers as demanded by the AO for verification held that notings in the revised re-conciliation held to be valid. Relevant portion para 3.1 to 3.4 of the CIT-A order is reproduced herein below:- 3.1 The appellant has submitted the following written submissions: As already submitted, the appellant being state level apex Consumers' Cooperative Society, it is one of the implementing agencies for various welfare schemes of the Government. It strictly operates within the parameters set by Govt. of West Bengal. The item wise purchase is already given above in statement of facts The appellant also submitted party wise details (a copy enclosed marked Annexure - A) and subsequently; broad reconciliation statement with total purchases was also submitted (a copy enclosed marked Annexure -B: No other information was sought during course of hearing. However, without allowing further opportunity, sum of ₹ 2,93,79,530 has been disallowed out of purchases. It is submitted that all the accounts of the appellant are fully reconciled. An itemwise and partywise reconciliation statement is submitted herewith marked Annexure - C. As this is fresh stateme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ; 3,56,112/- which were not considered at all in the said reconciliation statement. f) There was a reversal of double entry of purchases of ₹ 1,39.60,000/- in Dakshin Dinajpur and ₹ 6.07,448/- in Damdama Union which were not considered in reconciliation statement. g) There were bank charges of ₹ 9,746 deducted from party while crediting their account which was not considered at all. h) There was a net amount of ₹ 33,07,4851- on account of VAT input tax (ITC) and bank charges which was although credited to sundry creditors account but not debited in purchase account but debited/credited to Separate account. 2) The figure of ₹ 2,78,59,583 was a balancing figure. After correcting the above mistakes the balancing figure of the statement should be ₹ 5,04,11,900 on account of adjustment of advances in following accounts:- a) DakshinDinajpur - ₹ 3,88,78,900 b) Damdama Union - ₹ 53,27,000 c) Gangarampur - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... c-107 Receivable against purchase of Wheat 58,84,860.00 Adjusted Against Cash Credit A/c -107 against purchase 1,06,51,876.00 ( as per para 1 ( c) above Bank Charges 9,746.00 ( as per para 1(g) above Adjusted against Bank Guarantee Fees for Purchase 10,00,000.00 1,81,16,629.00 Difference 5,04,11,901.00 Reconciliation of above difference:- Dakshin Dinajpur 3,88,78,900.00 Damdama 53,27,000.00 Gangarampur (Net of ₹ 57,62,000) 62,06,000.00 5,04,11,900.00 The necessary xerox copies of notings in our order sheet in respect of the above advance payments/adjustments are enclosed for your perusal. As per our letter no. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce of ₹ 2,78,59,583/- and submit the supporting evidence. The remand proceeding was adjourned to 05/09/2016. We duly reconciled the said advance end submitted copies of note sheets for sanction of the said advances and its subsequent adjustment. As already informed to your honour. ours is a state level consumer's cooperative society and engaged in implementation of various relief schemes of the Government. Government of West Bengal is our major shareholder and other shares are held by district level cooperative societies. We cannot enter into any transaction without preparing proper note sheet and obtain proper sanction of the authorities at various levels. These note sheets are highly reliable and scrutinized from time to time by various Government authorities including C.A.G. The learned assessing officer, however, did not look into these note sheets at all and insisted to produce the related bills. However, because of high volume of transactions, the bills are stored in several gunny bags and it was not possible to trace and produce the same at this short notice. The learned Assessing officer, however, without allowing any further opportunity sent you the remand repor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e to time by various Government authorities including C.A.G. The learned assessing officer, however, did not look into these note sheets at all and insisted to produce the related bills. However, because of high volume of transactions, the bills are stored in several gunny bags and it was not possible to trace and produce the same at this short notice. The learned Assessing officer, however, without allowing any further opportunity sent you the remand report. A copy of letter addressed to Assessing officer alongwith the copies of note sheets submitted before A. 0. is enclosed for your ready reference. and kind perusal - Annexure 1.However, we have submitted copies of all the relevant bills voucher for advance payments vide our letter dated 19/09/2016 with a request to submit supplementary and report. Xerox copy of the said letter alongwith copies of all relevant bills and voucher for advance payment is enclosed marked annexure -11. We further like to submit that the learned A.0. has nothing to state regarding other addition of ₹ 15,19,947/- on account of purchases and other grounds of appeal I have seen the submissions of the appellant and find that the AO in his rema ..... X X X X Extracts X X X X X X X X Extracts X X X X
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