ADNAN RAHMAT,KOLKATA V. ITO, WARD 30(1), , KOLKATA

ITA 674/KOL/2025

AI Insights

This case involves an appeal by the assessee, Adnan Rahmat, against the order passed by the CIT(A), National Faceless Appeal Centre, Delhi, for the assessment year 2013-2014. The primary contention was regarding the assessment of income based on a joint development agreement, which the assessee argued should not be assessed until the completion of the project. The tribunal noted that the reasons recorded by the Assessing Officer were not provided to the assessee, which was a procedural lapse. Consequently, following the precedent set by the Supreme Court in Gkn Drivesharts (India) Ltd., the matter was restored to the Assessing Officer for a fresh examination.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 828419 (ITAT-KOLKATA)
• Duration Of Justice: 9 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-01-2026
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: Kolkata
• Assessment Year: misc
• Appeal Filed On: 01-04-2025
• Other Referred Cases: Gkn Drivesharts (India) Ltd. vs. 259 ITR 19 (SC)
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: ABHIJIT ADHIKARY
• Assessee Lawyers: SUBASH AGARWAL
• Keywords: Opportunity of being heard

Judgement Text

" आयकर अपीलीय अधिकरण, “एस.एम.सी” न्यायपीठ, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “SMC” BENCH KOLKATA श्री जाजज माथन, न्याययक सदस्य क े समक्ष । BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER आयकर अपील सं/ITA No.674/KOL/2025 (नििाारण वर्ा / Assessment Year :2013-2014) Adnan Rahmat, C/o Subash Agarwal & Associates, Advocates, Siddha Gibson, 1, Gibson Lane, Suite 213, 2nd floor, Kolkata-700069 Vs ITO Ward-30(1), Kolkata PAN No. :ADEPR 1602 G (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) नििााररती की ओर से /Assessee by : Shri Subash Agarwal, Advocate राजस्व की ओर से /Revenue by : Shri Abhijit Adhikary, Sr. DR सुनवाई की तारीख / Date of Hearing : 13/01/2026 घोषणा की तारीख/Date of Pronouncement : 13/01/2026 आदेश / O R D E R This is an appeal filed by the assessee against the order dated 07.03.2025, passed by the ld.CIT(A), National Faceless Appeal Centre (NFAC), Delhi, for the assessment year 2013-2014. 2. It was submitted by the Ld.AR that the reasons as mentioned by the AO in page 1 of the assessment order did not having live link to the actual issue, insofar as this was the case of joint development agreement and no income could be assessed in the hands of the assessee on the basis of such joint development agreement until the completion of the development of the project. 3. At this point, it was requested to the ld. AR to provide the reasons recorded. It was submitted that the revenue has not provided the same. 4. Ld. Sr. DR also submitted that he does not have immediately copy of the reasons recorded. Printed from counselvise.com ITA No.674/Kol/2025 2 5. A perusal of the order of the ld. CIT(A) shows that one of the grounds raised before the ld. CIT(A) is as to whether reasons recorded has not been given to the assessee. This being so, in the interest of justice, this issues are restored to the file of ld.AO in the line with the decision of the Hon’ble Supreme Court in the case of Gkn Drivesharts (India) Ltd., reported in (2003) 259 ITR 19 (SC). 6. At this point, when the order was being dictated the ld. AR submitted that his issues on merits is also to be considered. As the order has already been dictated, at this point, to say that his merits may be considered is nothing but trying to override the decision of the bench in regard to the issue of reopening. If the issue of reopening itself is strong, then I am sure the Assessing Officer would after considering the explanation of the assessee consider all the issues afresh. With these findings, the issues in this appeal are restored to the file of ld. Assessing Officer for fresh adjudication after granting the assessee adequate opportunity of being heard. It is hereby clarified that the issues are left open including the legal issues. 7. In the result, appeal of the assessee is partly allowed for statistical purposes. Order dictated and pronounced in the open court on 13/01/2026. Sd/- (जाजज माथन) (GEORGE MATHAN) न्यानयक सदस्य / JUDICIAL MEMBER कोलकाता Kolkata; ददनाांक Dated 13/01/2026 Prakash Kumar Mishra, Sr.P.S. Printed from counselvise.com ITA No.674/Kol/2025 3 आदेश की प्रनतललपप अग्रेपर्त/Copy of the Order forwarded to : आदेशािुसार/ BY ORDER, (Assistant Registrar) Income Tax Appellate Tribunal, Kolkata 1. अपीलाथी / The Appellant- 2. प्रत्यथी / The Respondent- 3. आयकर आयुक्त(अपील) / The CIT(A), 4. आयकर आयुक्त / CIT 5. विभागीय प्रविविवि, आयकर अपीलीय अविकरण, कोलकाता / DR, ITAT, Kolkata 6. गार्ज फाईल / Guard file. सत्यापपत प्रयत //True Copy// Printed from counselvise.com "