M/s Trimudra Vincom (P) Ltd, Siliguri V. ITO, Ward-9(1), Kolkata, Kolkata

ITA 1/KOL/2021

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 6304 (ITAT-KOLKATA)
• Duration Of Justice: 3 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-04-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2009-2010
• Appeal Filed On: 04-01-2021
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Opportunity of being heard; Set aside
• Section: 142(1); 148; 263

Judgement Text

I.T.A. NO. 01/KOL/2021 A.Y. 20 09-2010 M/S. TRIMUDRA VINCOM (P) LIMITED 1 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA A BENCH, KOLKATA [VIRTUAL COURT HEARING] BEFORE SHRI P.M. JAGTAP, VICE-PRESIDENT (KZ) AND SHRI SATBEER SINGH GODARA, JUDICIAL MEMBER I.T.A. NO. 01/KOL/2021 ASSESSMENT YEAR: 2009-2010 M/S. TRIMUDRA VINCOM (P) LIMITED,.................. .........................APPELLANT MUNDHRA COMPOUND, BESIDES SILIGURI THANA, BABU PARA MORE, S.F. ROAD, SILIGURI-734005 [PAN: AACCT9984B] -VS.- INCOME TAX OFFICER,................................ ......................................RESPONDENT WARD-9(1), KOLKATA, AAYAKAR BHAWAN, P-7, CHOWRINGHEE SQUARE, KOLKATA-700069 APPEARANCES BY: SHRI SUBASH AGARWAL, ADVOCATE, FOR THE APPLICANT SMT; RANU BISWAS,, ADDL. CIT, D.R. , FOR THE RESPONDENT DATE OF CONCLUDING THE HEARING : APRIL 16, 2021 DATE OF PRONOUNCING THE ORDER : APRIL 16, 2021 O R D E R PER SHRI P.M. JAGTAP, VICE-PRESIDENT (KZ):- THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAI NST THE ORDER LD. COMMISSIONER OF INCOME TAX (APPEALS)-3, KOLKATA DAT ED 19.12.2016 PASSED EX-PARTE, WHEREBY HE DISMISSED THE APPEAL OF THE ASSESSEE. 2. THE ASSESSEE IN THE PRESENT CASE IS A COMPANY, W HICH IS ENGAGED IN THE BUSINESS OF TRADING AND INVESTMENT IN SHARES. T HE RETURN OF INCOME FOR THE YEAR UNDER CONSIDERATION WAS FILED BY IT ON 07.11.2009 DECLARING TOTAL LOSS OF RS.58,130/-. ALTHOUGH THE SAID RETURN WAS ORIGINALLY PROCESSED BY THE ASSESSING OFFICER UNDER SECTION 14 3(1), THE ASSESSMENT I.T.A. NO. 01/KOL/2021 A.Y. 20 09-2010 M/S. TRIMUDRA VINCOM (P) LIMITED 2 WAS SUBSEQUENTLY REOPENED BY HIM AND A NOTICE UNDER SECTION 148 WAS ISSUED TO THE ASSESSEE ON 18.11.2011. IN PURSUANCE OF THE SAID NOTICE, THE ASSESSMENT WAS COMPLETED BY THE ASSESSING OFFICER U NDER SECTION 147/143(3) VIDE AN ORDER DATED 31.12.2011 DETERMINI NG THE TOTAL INCOME OF THE ASSESSEE AT RS.32,720/-. THE SAID ASSESSMENT WAS SUBSEQUENTLY SET ASIDE BY THE CONCERNED LD. CIT VIDE AN ORDER DATED 14.03.2014 PASSED UNDER SECTION 263 WITH A DIRECTION TO THE ASSESSING OFFICER TO MAKE THE ASSESSMENT AFRESH AFTER CONDUCTING THOROUGH AND DET AILED ENQUIRIES ON THE ISSUE OF SHARE CAPITAL OF RS.8,83,50,000/- CLAI MED TO BE INTRODUCED BY THE ASSESSEE DURING THE YEAR UNDER CONSIDERATION. I N COMPLIANCE WITH THE DIRECTION OF THE LD. CIT GIVEN IN THE ORDER UNDER S ECTION 263, A NOTICE UNDER SECTION 142(1) WAS ISSUED BY THE ASSESSING OF FICER TO THE ASSESSEE ON 03.06.2014. THE SAID NOTICE AS WELL AS FURTHER L ETTERS ISSUED BY THE ASSESSING OFFICER FIXING THE CASE OF THE ASSESSEE F OR HEARING, HOWEVER, REMAINED UN-COMPLIED WITH BY THE ASSESSEE. THE ASSE SSING OFFICER, THEREFORE, WAS LEFT WITH NO OPTION BUT TO COMPLETE THE ASSESSMENT EX- PARTE TO THE BEST OF HIS JUDGMENT ON THE BASIS OF M ATERIAL AVAILABLE ON RECORD. IN THE ASSESSMENT SO COMPLETED UNDER SECTIO N 144/263/147/143(3) OF THE ACT VIDE AN ORDER DATED 0 9.03.2015, ENTIRE AMOUNT OF SHARE CAPITAL INTRODUCED BY THE ASSESSEE DURING THE YEAR UNDER CONSIDERATION WAS TREATED BY THE ASSESSING OFFICER AS UNEXPLAINED AND ADDITION TO THE EXTENT OF RS.8,83,50,000/- WAS MADE BY HIM TO THE TOTAL INCOME OF THE ASSESSEE UNDER SECTION 68. 3. AGAINST THE ORDER PASSED UNDER SECTION 144/263/1 47/143(3) OF THE ACT, AN APPEAL WAS PREFERRED BY THE ASSESSEE BEFORE THE LD. CIT(APPEALS) AND SINCE THERE WAS NO COMPLIANCE ON THE PART OF TH E ASSESSEE TO THE NOTICES ISSUED BY HIM FIXING THE SAID APPEAL FOR HE ARING FROM TIME TO TIME, THE LD. CIT(APPEALS) DISMISSED THE APPEAL OF THE AS SESSEE FOR NON- PROSECUTION VIDE HIS APPELLATE ORDER DATED 19.12.20 16 PASSED EX-PARTE. AGGRIEVED BY THE ORDER OF THE LD. CIT(APPEALS), THE ASSESSEE HAS PREFERRED THIS APPEAL BEFORE THE TRIBUNAL. I.T.A. NO. 01/KOL/2021 A.Y. 20 09-2010 M/S. TRIMUDRA VINCOM (P) LIMITED 3 4. WE HAVE HEARD THE ARGUMENTS OF BOTH THE SIDES AN D ALSO PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD. THE LD. COUN SEL FOR THE ASSESSEE HAS SUBMITTED THAT NOTICE UNDER SECTION 142(1) AS WELL AS THE SUBSEQUENT LETTERS WERE ISSUED BY THE ASSESSING OFFICER DURING THE COURSE OF ASSESSMENT PROCEEDINGS TO THE WRONG ADDRESS AT 5, H ARI SHANKAR LANE, KOLKATA-700007 INSTEAD OF THE CORRECT ADDRESS OF TH E ASSESSEE AT 8, HARI SARKAR LANE, KOLKATA-700007 AND THIS POSITION CLEAR LY EVIDENT FROM THE ADDRESS GIVEN BY THE ASSESSING OFFICER HIMSELF IN T HE ASSESSMENT ORDER IS NOT DISPUTED EVEN BY THE LD. D.R. THE LD. COUNSEL F OR THE ASSESSEE HAS SUBMITTED THAT THE NOTICE UNDER SECTION 142(1) AS W ELL AS SUBSEQUENT LETTERS STATED TO BE ISSUED BY THE ASSESSING OFFICE R DURING THE COURSE OF ASSESSMENT PROCEEDINGS THUS WERE NOT RECEIVED BY TH E ASSESSEE AND EVEN THE NOTICES STATED TO BE ISSUED BY THE LD. CIT(APPE ALS) FIXING THE APPEAL OF THE ASSESSEE FOR HEARING FROM TIME TO TIME WERE NEV ER SERVED ON THE ASSESSEE AS IS CLEARLY MENTIONED IN PARA NO. 2 OF T HE IMPUGNED ORDER OF THE LD. CIT(APPEALS). KEEPING IN VIEW THESE RELEVAN T FACTS OF THE CASE, WE FIND MERIT IN THE CONTENTION OF THE LD. COUNSEL FOR THE ASSESSEE THAT PROPER AND SUFFICIENT OPPORTUNITY OF HEARING WAS NO T GIVEN TO THE ASSESSEE EITHER BY THE ASSESSING OFFICER DURING THE COURSE OF ASSESSMENT PROCEEDINGS AND EVEN BY THE LD. CIT(APPEALS) DURING THE COURSE OF APPELLATE PROCEEDINGS. THE LD. D.R. HAS ALSO NOT BE EN ABLE TO DISPUTE THIS POSITION, WHICH IS CLEARLY EVIDENT FROM THE RECORD. WE, THEREFORE, FIND IT JUST AND PROPER TO SET ASIDE THE ORDERS PASSED BY T HE AUTHORITIES BELOW AND RESTORE THE MATTER TO THE FILE OF THE ASSESSING OFFICER FOR COMPLETING THE ASSESSMENT AFRESH AFTER GIVING PROPER AND SUFFI CIENT OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. AS UNDERTAKEN BY THE L D. COUNSEL FOR THE ASSESSEE, THE ASSESSEE SHALL MAKE DUE COMPLIANCE BE FORE THE ASSESSING OFFICER AND SHALL EXTEND ALL THE POSSIBLE COOPERATI ON IN ORDER TO ENABLE THE ASSESSING OFFICER TO COMPLETE THE ASSESSMENT AF RESH EXPEDITIOUSLY. I.T.A. NO. 01/KOL/2021 A.Y. 20 09-2010 M/S. TRIMUDRA VINCOM (P) LIMITED 4 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS TRE ATED AS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON APRIL 16, 202 1. SD/- SD/- (SATBEER SINGH GODARA) (P.M. JAGTAP) JUDICIAL MEMBER VICE -PRESIDENT (KZ) KOLKATA, THE 16 TH DAY OF APRIL, 2021 COPIES TO : (1) M/S. TRIMUDRA VINCOM (P) LIMITED, MUNDHRA COMPOUND, BESIDES SILIGURI THANA, BABU PARA MORE, S.F. ROAD, SILIGURI-734005 (2) INCOME TAX OFFICER, WARD-9(1), KOLKATA, AAYAKAR BHAWAN, P-7, CHOWRINGHEE SQUARE, KOLKATA-700069 (3) COMMISSIONER OF INCOME TAX (APPEALS)-3, KOLKA TA, (4) COMMISSIONER OF INCOME TAX- , (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.