Dr. Bharat S.Mody, Baroda vs Assessee

This is the assessee's appeal against the order of Ld. CIT(A)-IV, Ahmedabad dated 21-01-2009 for A.Y. 2005-06.

2. Facts as culled out from the material on record are as under:

I.T.A No. 2271/Ahd/2009 A.Y. 2005-06 Page No 2 Dr. Bharat S. Mody vs. ACIT

3. Assessee is a practicing orthopedic surgeon running centre for knee surgery. In this case a consolidated order dated 22.2.2013 for AY 2000-01 to 2005-06 order was passed by the Tribunal. Subsequently, Miscellaneous Application (M.A.) was filed by the Assessee and consequent to the M.A order dated 22.8.2014 Assessee's appeal in ITA No 2271/A/2009 for AY 2005-06 was recalled.

4. Before us, Ld AR submitted that Assessee is a orthopedic surgeon and consequent to the search action, the income from operations from non PSU patients was estimated by the AO for A.Y. 2000-01 to 2005-06. For the year under consideration, the estimate of fees per operation was estimated at Rs.1 lac by the AO which was reduced to Rs. 82,000/- by CIT(A) as against which the amount estimated by the Hon'ble Tribunal in order dated 22/02/2013 was Rs. 90,000/- He therefore submitted that estimate of fees per operation made by the Hon'ble Tribunal was on a higher side and further during the course of search, undisclosed investments/assets of only Rs 5.56 lacs was found. He therefore submitted that the addition be deleted and as an alternate contention he submitted that considering all the facts, estimate per operation from non PSU patients may be estimated at Rs 85,000/-. Ld DR did not seriously object to the submissions of the Ld AR.

5. We have heard the rival submissions and perused the material on record. In the present case it is seen that the co-ordinate bench of Tribunal had estimated the fees per operation from non PSU patients for various years and for AY 2000-01 the fees was estimated to be Rs 73,000/- per operation. The table in the consolidated order passed by Tribunal on 22/02/2013 reveals that the increase in fees estimated for a year in comparison to the immediately preceding year ranges from 0.6% In AY I.T.A No. 2271/Ahd/2009 A.Y. 2005-06 Page No 3 Dr. Bharat S. Mody vs. ACIT 2001-02 to around 4% in AY 2004-05 but however for AY 2006-07 the increase in fees of 11.80% has been considered. Considering the totality of facts in the present case and in view of the increase in fees per operation considered for various years, we are of the view that fees per operation of Rs 90,000/- for AY 20005-06 is quite high (being11.80%) and that the ends of justice shall be met if the fees per operation from non PSU patients for A.Y. 2005-06 is estimated at Rs 85,500/- (which would be around 6% increase as compared to AY 2004-05). We thus direct accordingly.

6. In the result, the appeal of Assessee is allowed as per directions hereinabove.

Order pronounced in open court on the date mentioned hereinabove at caption page

Sd/- Sd/-

(MUKUL KR. SHRAWAT) (ANIL CHATURVEDI) JUDICIAL MEMBER ACCOUNTANT MEMBER Ahmedabad : Dated 26/02/2015 ak

आदे श क ूितिल प अमे षत / Copy of Order Forwarded to:-

1. Assessee

2. Revenue

3. Concerned CIT

4. CIT (A)

5. DR, ITAT, Ahmedabad

6. Guard file.

By order/आदे श से,

उप/सहायक पंजीकार आयकर अपीलीय अिधकरण, अहमदाबाद