TMI Blog2022 (10) TMI 355X X X X Extracts X X X X X X X X Extracts X X X X ..... ership Firm through banking channel and duly shown in it s audited accounts and balance-sheet which is also not disputed by the authorities below. After deducting the cost of acquisition and other expenses out of sale proceed received by the Partnership Firm on the total surplus amount on sale of property Plot Noida, the Partnership Firm viz., M/s. Delhi Plastic Industries has shown the said sum in the P L A/c for the F.Y. 2009-10 as noted by the Ld. CIT(A) in his order which is also included in the returned income of assessee and had paid taxes thereon. This factual matrix has not been disputed or controverted by the Ld. D.R. In this situation, if addition is sustained, then it would amount to double taxation. D.R. could not point ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ners in the partnership firm on its profit and losses. The assessee filed his return of income on 01.05.2017 declaring total income at Rs.1,77,960/-. The A.O. received an information that the assessees partnership firm has sold immovable property for Rs.1,08,90,000/- on 06.07.2009. Since, no return of income was filed for the year under consideration, therefore, the A.O. noted that the income escaped assessment by the reason of failure on the part of assessee to disclose fully and truly all material facts necessary for assessment. Accordingly, the case was reopened by the A.O. under section 147/148 of the I.T. Act, 1961 with the prior approval of competent authority and notice under section 148 dated 30.30.2017 was issued and duly served u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n question was purchased in the name of partners for the benefit of the Partnership Firm out of Partnership Firm funds through banking channel for a consideration of Rs.50,55,320/- [which includes brokerage charges to Tiwari Property] and the said property was sold in April/May, 2009 at a total consideration of Rs.60 lakhs through banking channel, duly executing the sale deed by the partners. However, since the purchase as well as sale of the property in question has been made out of the Firm funds, the amount received by the individual partners in their accounts, have been immediately credited to the partnership Firm which has been shown in the balancesheet of the Firm and paid taxes thereon. These facts have not been disputed by the Ld. C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erred to Partnership Firm Account and shown in the balance-sheet and paid taxes thereon. Therefore, there is no role at all of the partners of investing any sum for purchase of the property in question and subsequently, when it was sold, the surplus amount has not been bifurcated amongst the partners and the surplus amount credited to the books of account of the Partnership Firm. Therefore, no profit accrued/earned by the co-owners on the reason that no investment made by the partners. Since no investment made by the assessee for purchase and sale of the property, the impugned addition of Rs.6,20,333/- [being 1/3rd equal share amongst partners] made in the hands of assessee be deleted. 5. The Ld. D.R. on the other hand strongly relied up ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... out of the individual partner s and the entire sum has been paid by the partnership Firm through banking channel and duly shown in it s audited accounts and balance-sheet which is also not disputed by the authorities below. In fact, after deducting the cost of acquisition and other expenses out of sale proceed received by the Partnership Firm on the total surplus amount of Rs.2,53,180/- on sale of property Plot No.9, Block-E, Sector-30, Noida, the Partnership Firm viz., M/s. Delhi Plastic Industries has shown the said sum of Rs.2,53,180/- in the P L A/c for the F.Y. 2009-10 as noted by the Ld. CIT(A) in his order which is also included in the returned income of assessee and had paid taxes thereon. This factual matrix has not been disputed ..... X X X X Extracts X X X X X X X X Extracts X X X X
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