Arumugasamy Gopalakrishnan, CHENNAI V. ITO Non Corporate Ward 4(4), CHENNAI

ITA 1017/CHNY/2019

• Counselvise Citation: [2019] 112 COUNSELVISE.COM (IT) 3256 (ITAT-CHENNAI)
• Duration Of Justice: 7 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-11-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: C
• Assessment Year: 2011-2012
• Appeal Filed On: 11-04-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Assessee Lawyers: M KARUNAKARAN
• Keywords: Principle of natural justice

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH: CHENNAI , ! '!# $ , % BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER ! ./ ITA NO.1017/CHNY/2019 & /ASSESSMENT YEAR: 2011-12 SHRI ARUMUGASAMY GOPALAKRISHNAN NO.17/22, NN GARDEN, 1 ST STREET, OLD WASHERMENPET, CHENNAI 600 021 VS. THE INCOME TAX OFFICER, NON CORPORATE WARD 4(4) CHENNAI [PAN: AOEPG 6185N] ( ' /APPELLANT) ( ()' /RESPONDENT) ' * + / APPELLANT BY : SHRI M. KARUNAKARAN, ADVOCATE ()' * + /RESPONDENT BY : SHRI KANNAN NARAYANAN, JCIT , * -. /DATE OF HEARING : 21.11.2019 /0& * -. / DATE OF PRONOUNCEMENT : 21.11.2019 1 / O R D E R PER SHRI GEORGE MATHAN, JUDICIAL MEMBER : THIS IS AN APPEAL FILED BY THE ASSESSEE DIRECTED AG AINST THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) -5, CHENNAI (HEREINAFTER CALLED AS CIT(A)) IN ITA NO.270/CIT( A)-5/2017-18 DATED 24.01.2019 FOR THE ASSESSMENT YEAR 2011-12. ITA NO.1017/CHNY/2019 :- 2 -: 2. SHRI M. KARUNAKARAN, ADVOCATE REPRESENTED ON BEHALF OF THE ASSESSEE AND SHRI KANNAN NARAYANAN, JCIT REPRESENTE D ON BEHALF OF THE REVENUE. 3. IT WAS SUBMITTED BY THE LEARNED AUTHORIZED REPRE SENTATIVE THAT THE ASSESSING OFFICER HAS RELIED UPON THE STATEMENT FRO M SHRI KUSHAL RAJ FOR MAKING THE ADDITION IN THE HANDS OF THE ASSESSEE. IT WAS A SUBMISSION THAT THE SAID STATEMENT OF SHRI KUSHAL RAJ WAS NOT PROVIDED TO THE ASSESSEE. IT WAS A SUBMISSION THAT EVEN BEFORE THE LEARNED COMMISSIONE R OF INCOME TAX (APPEALS) THE COPY OF THE STATEMENT FROM SHRI KUSHA L RAJ WAS REQUESTED AND THE APPEAL WAS POSTED ON MULTIPLE OCCASIONS FOR PRO VIDING THE ASSESSEE A COPY OF THE STATEMENT RECORDED FROM SHRI KUSHAL RAJ . HOWEVER, WITHOUT PROVIDING THE STATEMENT, THE LEARNED COMMISSIONER O F INCOME TAX (APPEALS) HAS DISMISSED THE ASSESSEES APPEAL FOR NON-PROSECU TION OF THE APPEAL. IT WAS A SUBMISSION THAT THE ASSESSING OFFICER MAY BE DIRE CTED TO GRANT THE ASSESSEE THE BENEFIT OF THE COPY OF THE STATEMENT RECORDED F ROM SHRI KUSHAL RAJ AND THE ISSUE RESTORED TO THE FILE OF THE ASSESSING OFFICER FOR RE-ADJUDICATION DENOVO. 4. THE LEARNED DEPARTMENT REPRESENTATIVE WAS REQUES TED TO FURNISH A COPY OF THE STATEMENT RECORDED FROM SHRI KUSHAL RAJ . THE LEARNED DEPARTMENTAL REPRESENTATIVE HAS TODAY PROVIDED A CO PY OF THE LETTER WRITTEN BY SHRI KUSHAL RAJ TO THE ASSESSING OFFICER ALONG WITH COPIES OF TWO PROMISSORY NOTES FOR AN AMOUNT OF RS.20.00 LAKHS AND ANOTHER F OR RS.20.00 LAKHS RESPECTIVELY. IT WAS FAIRLY AGREED BY THE LEARNED DEPARTMENTAL REPRESENTATIVE ITA NO.1017/CHNY/2019 :- 3 -: THAT THE ISSUE CAN BE RESTORED TO THE FILE OF THE A SSESSING OFFICER FOR RE- ADJUDICATION DENOVO . 5. WE HAVE CONSIDERED THE RIVAL SUBMISSION AND PERUSED THE MATERIALS AVAILABLE ON RECORD. 6. THE SO-CALLED STATEMENT GIVEN BY SHRI KUSHAL RAJ HAVE BEEN PROVIDED TO THE ASSESSEE AND THE PRINCIPLES OF NATURAL JUSTICE HAVE BEEN COMPLIED WITH. AS VIOLATION OF THE PRINCIPLES OF NATURAL JUSTICE TOOK PLACE AT THE POINT OF TIME WHEN THE ISSUE WAS BEFORE THE ASSESSING OFFICER, IN THE INTEREST OF NATURAL JUSTICE, THE ISSUES IN THE APPEAL ARE RESTORED TO THE FILE O F THE ASSESSING OFFICER FOR RE- ADJUDICATION DENOVO AFTER GRANTING THE ASSESSEE ADEQUATE OPPORTUNITY O F BEING HEARD. 7. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS PA RTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 21 ST NOVEMBER, 2019 IN CHENNAI. SD/- SD/- ( '!# $ ) (INTURI RAMA RAO) . /ACCOUNTANT MEMBER ( ) (GEORGE MATHAN) /JUDICIAL MEMBER /CHENNAI, 2! /DATED: 21 ST NOVEMBER, 2019 . IA, SR. P.S 1 * (-34 54&- /COPY TO: 1. ' /APPELLANT 2. ()' /RESPONDENT 3. , 6- ( )/CIT(A) 4. , 6- /CIT 5. 4 78 (- /DR 6. 89 : /GF