INTELLIGENT INFRASTRUCTURE LTD.,KOLKATA V. .D.C.I.T., CIRCLE - 7(1), KOLKATA

ITA 1907/KOL/2024

AI Insights

The case involves Intelligent Infrastructure Ltd., the appellant, contesting an order from the National Faceless Appeal Centre, Delhi, which confirmed additions made by the Assessing Officer (AO) for the Assessment Year 2012-13. The additions pertained to ₹46,59,093 for bogus project expenses and ₹6,01,000 for undisclosed income from maintenance. The appellant faced a significant delay in filing the appeal, attributed to the illness and subsequent resignation of their assistant manager, which the Tribunal found to be a sufficient and bona fide reason, thus condoning the delay. The Tribunal noted that the CIT (A) had not adequately addressed the explanations and evidence provided by the appellant regarding the disputed expenses and income, leading to the decision to remand the matter back to the CIT (A) for a thorough re-examination.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 25389 (ITAT-KOLKATA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-12-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2012-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VINEET KUMAR
• Assessee Lawyers: N. S. SAINI
• Keywords: Opportunity of being heard; Bogus

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH, KOLKATA BEFORE SHRI RAJESH KUMAR, AM AND SHRI PRADIP KUMAR CHOUBEY, JM ITA No.1907/KOL/2024 (Assessment Year:2012-13) Intelligent Infrastructure Ltd. 3/1, Dr. U.N. Brahmachari Street, Kolkata-700017, West Bengal Vs. DCIT Aaykar Bhavan, P-7, Chowringhee Suare, Kolkata-700069, West Bengal (Appellant) (Respondent) PAN No. AABCP8597P Assessee by : Shri N.S. Saini, AR Revenue by : Shri Vineet Kumar, DR Date of hearing: 11.12.2024 Date of pronouncement : 16.12.2024 O R D E R Per Rajesh Kumar, AM: This is an appeal preferred by the assessee against the order of the National Faceless Appeal Centre, Delhi (hereinafter referred to as the “Ld. CIT(A)”] dated 26.10.2023 for the AY 2012-13. 02. The assessee has challenged the order on four grounds. There are two effective issues involved, one is against the confirmation of addition of ₹46,59,093/- as made by the ld. AO on account of bogus project expenses and second against the confirmation of ₹6,01,000/- as made by the ld. AO on account of undisclosed income from maintenance. 03. At the outset, we note that there is a delay of 258 days for filing the appeal for which assessee has moved a condonation petition along with affidavit of Shri Pradeep Kumar Sureka son of Bishwambhar Page | 2 ITA No.1907/KOL/2024 Intelligent Infrastructure Ltd; A.Y. 2012-13 Dayal Sureka R/o 3/1, Dr. UN Brahmachari Street, Kolkata-700017 dated 7th September, 2024, explaining the reason for delay. We observe that the assistant manager account and taxation who is looking after the matter, retired on 31st March, 2023, but was granted the extension of service. He suddenly got ill in November, 2023, following serious sickness and could not access the tax portal of ld. Commissioner of Income-tax (Appeals). We note that the asst. manager finally resigned permanently on 29th February, 2024. The assessee only came to know about the appellate order having been passed when the CPC on 23.08.2024, served a notice to the assessee for adjustment of refund against the demand raised. The assessee immediately filed the appeal before the Tribunal with a delay of 258 days. Having heard the rival contentions and perusing the materials available on record, we find that the delay is for sufficient and bonafide reasons and is accordingly condoned. 04. After hearing both the sides on the issues involved and going through the records available before us, we find that the ld. CIT (A) has given a clear-cut finding that the assessee failed to explain the project expenses as well as any possible explanation for unexplained income of ₹6,01,000/- which are added by the ld. AO to the income of the assessee. We note that the assessee has furnished the details / voucher before the appellate authority in annexure 13, which according to the appellate authority was not corresponding to the year under consideration. Considering these facts and circumstances, we are of the view that the issue needs to be examined at the level of the ld. CIT (A) so that the adjudication could be made denovo. 05. After taking into account the facts and circumstances of the case and evidences on record, we accordingly, restore the issue to the file of Page | 3 ITA No.1907/KOL/2024 Intelligent Infrastructure Ltd; A.Y. 2012-13 the ld. CIT (A) with a direction to decide the same after affording reasonable opportunity of being heard to the assessee. 06. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the open court on 16.12.2024. Sd/- Sd/- (PRADIP KUMAR CHOUBEY) (RAJESH KUMAR) (JUDICIAL MEMBER) (ACCOUNTANT MEMBER) Kolkata, Dated: 16.12.2024 Sudip Sarkar, Sr.PS Copy of the Order forwarded to : 1. The Appellant 2. The Respondent 3. CIT 4. DR, ITAT, 5. Guard file. BY ORDER, True Copy// Sr. Private Secretary/ Asst. Registrar Income Tax Appellate Tribunal, Kolkata "