KALE ENTERTAINMENT & RESORT PVT. LTD., MUMBAI V. A.C.I.T. C.C. 32, MUMBAI

ITA 1000/MUM/2012

• Counselvise Citation: [2014] 120 COUNSELVISE.COM (IT) 5726 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 11 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-01-2014
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 20-01-2014
• Assessment Year: 2005-2006
• Appeal Filed On: 13-02-2012
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: SU RENDRA KUMAR

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH A, MUMBAI BEFORE SHRI D. KARUNAKARA RAO, ACCOUNTANT MEMBER AN D DR. S.T.M. PAVALAN, JUDICIAL MEMBER ITA NOS. 1000, 1001 & 1002/MUM/2012 ASSESSMENT YEARS: 2005-06, 2006-07 & 2007-08 KALE ENTERTAINMENT & RESORT PVT. LTD. S/4, 101, SUNDER NAGAR, S.V. ROAD, MALAD (WEST) MUMBAI-.400 064 VS. ACIT CC, 32 MUMBAI. (APPELLANT) (RESPONDENT) PERMANENT ACCOUNT NO. :-AACCK 6915 H APPELLANT BY : NONE RESPONDENT BY : SHRI SURENDRA KUMAR DATE OF HEARING : 20.01.2014 DATE OF PRONOUNCEMENT : 31.01.2014 O R D E R PER DR. S.T.M. PAVALAN, JM: THESE APPEALS FILED BY THE ASSESSEE ARE DIRECTED A GAINST THE COMMON ORDER OF THE LD.CIT(A)-37, MUMBAI DATED 02.01.2012 CONFIRMING TH E PENALTY OF RS.10,000/- EACH LEVIED BY THE AO UNDER SECTION 271(1)(B) OF THE INC OME TAX ACT FOR THE ASSESSMENT YEARS 2005-06, 2006-07 & 2007-08 RESPECTIVELY. SINCE THE ISSUES INVOLVED IN ALL THE APPEALS ARE SIMILAR IN NATURE, THE SAME ARE DISPOSED OFF BY THI S COMMON ORDER. 2. NO ONE APPEARED ON BEHALF OF THE ASSESSEE DESPIT E THE NOTICE HAVING BEEN SENT TO THE ASSESSEE WELL IN ADVANCE WHEN THE MATTER WAS OR IGINALLY FIXED FOR HEARING ON 13.02.2013. DUE TO NON APPEARANCE OF THE ASSESSEE O N THE SAID DATE, THE MATTER WAS ADJOURNED FOR HEARING ON 25.07.2013 AND AS THE BENC H DID NOT FUNCTION ON THE SAID DATE, HEARING WAS FIXED AGAIN ON 20.01.2014. THE SAID DAT E OF HEARING WAS INFORMED TO THE PARTIES THROUGH NOTICE BOARD. HOWEVER, NO ONE APPEA RED ON BEHALF OF THE ASSESSEE. WE, THEREFORE, PROCEED TO DECIDE THE APPEALS OF THE ASS ESSEE AFTER CONSIDERING THE SUBMISSIONS OF THE LD.DR AND ALSO PERUSING THE ORDE RS OF THE LOWER AUTHORITIES. ITA NOS. 1000, 1001 & 1002/MUM/2012 KALE ENTERTAINMENT & RESORT PVT. LTD. ASSESSMENT YEARS: 2005-06, 2006-07 & 2007-08 2 3. DURING THE ASSESSMENT PROCEEDINGS, THE ASSESSEE WAS ISSUED NOTICE U/S 143(2) OF THE ACT ON 08.12.2009 & 10.12.2009 FOR THE ASSESSME NT YEARS UNDER CONSIDERATION TO ATTEND IN THE OFFICE EITHER PERSONALLY OR BY AN AUT HORISED REPRESENTATIVE TO PRODUCE DOCUMENTS, ACCOUNTS, OTHER EVIDENCES TO RELY IN SUP PORT OF THE RETURN FILED BY THE ASSESSEE AND TO EXPLAIN FACTS FOR COMPLETING THE AS SESSMENT. SINCE THE ASSESSEE HAD COMMITTED DEFAULT WITHIN THE MEANING OF SECTION 271 (1)(B) OF THE ACT, THE AO INITIATED THE PENALTY PROCEEDINGS. IN THE PENALTY PROCEEDINGS, TH E ASSESSEE FILED AN EXPLANATION REQUESTING TO DROP THE PENALTY PROCEEDINGS ON THE G ROUND THAT THE ISSUE OF SHOW CAUSE NOTICE REQUIRED COMPLIANCE WITHIN FIVE DAYS WHICH W AS TOTALLY UNREASONABLE. HOWEVER, THE AO REJECTED THE CONTENTION AND ACCORDINGLY LEVIED A PENALTY OF RS.10,000/- FOR EACH ASSESSMENT YEAR. ON APPEAL, THE LD.CIT(A) CONFIRMED THE ACTION OF THE AO. AGGRIEVED BY THE IMPUGNED ORDER, THE ASSESSEE IS IN APPEAL BEFOR E US. 4. HAVING HEARD THE LD.DR AND PERUSED THE ORDERS OF THE AUTHORITIES BELOW, IT IS NOTED THAT THE IMPUGNED PENALTY OF RS.10,000/- IN EACH AS SESSMENT YEAR HAS BEEN LEVIED BY THE AO AND THE SAME HAS BEEN CONFIRMED BY THE LD.CIT(A) U/S 271 (1)(B) OF THE INCOME TAX ACT FOR NON-COMPLIANCE OF NOTICE U/S 143(2) DATED 0 8.12.2009 & 10.12.2009. IT WAS THE CONTENTION OF THE ASSESSEE BEFORE THE LD.CIT(A) THE ASSESSEE WAS NOT IN RECEIPT OF ANY SUCH NOTICES. HOWEVER, THE LD.CIT(A) NOTED THAT THE SHOW CAUSE NOTICE DATED 16.12.2009 HAS BEEN ADDRESSED TO THE ASSESSEE AND THERE HAS BE EN A FURTHER MENTIONING ABOUT THE EARLIER NOTICE DATED 08.12.2009 IN THE SAID NOTICE DATED 16.12.2009. AS THE ASSESSEE HAS NOT BROUGHT ANYTHING ON RECORD TO SUBSTANTIATE ITS CLAIM BEFORE THE LD.CIT(A), WE DO NOT FIND ANY INFIRMITY IN THE ORDER OF THE LD.CIT(A) IN CONFIRMING THE LEVY OF PENALTY OF RS.10,000/- EACH FOR THE ASSESSMENT YEARS UNDER CON SIDERATION AND THUS THE SAME IS UP HELD. 5. IN THE RESULT THE APPEALS FILED BY THE ASSESSEE ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 31 ST DAY OF JANUARY, 2014. SD/- SD/- (D. KARUNAKARA RAO) (DR. S.T.M. PAVALAN) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI, DATED: 31.01.2014. *SRIVASTAVA ITA NOS. 1000, 1001 & 1002/MUM/2012 KALE ENTERTAINMENT & RESORT PVT. LTD. ASSESSMENT YEARS: 2005-06, 2006-07 & 2007-08 3 COPY TO: THE APPELLANT THE RESPONDENT THE CIT, CONCERNED, MUMBAI THE CIT(A) CONCERNED, MUMBAI THE DR A BENCH //TRUE COPY// BY ORDER DY/ASSTT. REGISTRAR, ITAT, MUMBAI.