S.P.Subramanian, Namakkal V. ITO Ward 2, Namakkal

ITA 1086/CHNY/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 1382 (ITAT-CHENNAI)
• Duration Of Justice: 10 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-03-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: B
• Assessment Year: 2010-2011
• Appeal Filed On: 15-04-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: R ANITHA
• Assessee Lawyers: G BASKAR
• Keywords: Opportunity of being heard; Set aside
• Section: 44AD; 201

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B (SMC) BENCH: CHENNAI , BEFORE S HRI GEORGE MATHAN, JUDICIAL MEMBER ./ ITA NO. 1086 /CHNY/ 201 9 / ASSESSMENT YEAR: 201 0 - 11 SHRI S.P. SUBRAMANIAN , NO.3/121, SENGAPALLY, KADHAPALLI P.O., NAMAKKAL 637 019 , TAMIL NADU [PAN: BDEPS 0255F ] VS. THE INCOME TAX OFF ICER WARD - 2, NO.138/3, L.M.R. SHOPPING ARCADE, 3 RD FLOOR, SALEM ROAD, NAMAKKAL 637 001, TAMIL NADU ( /APPELLANT) ( /RESPONDENT) / APPELLANT BY : MR. G. BASKAR, ADVOCATE /RESPONDENT BY : M S . R. ANITHA, JCIT / DATE OF HEARING : 10.03.2020 / DATE OF PRONOUNCEMENT : 10.03 .20 20 / O R D E R PER GEORGE MATHAN, JUDICIAL MEMBER : I.T.A. NO.1086/CHNY/2019: - THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS), SALEM IN APPEAL NO.176/2017 - 2018 DATED 15.03.2019 FOR THE ASSESSMENT YEAR 2010 - 2011. ITA NO. 1086 / CHNY / 201 9 : - 2 - : 2. MR. G. BASKAR, ADVOCATE REPRESENTED ON BEHALF OF THE ASSESSEE AND MS. R. ANITHA, JCIT REPRE SENTED ON BEH ALF OF THE R EVENUE . 3. IT WAS SUBMITTED BY THE LEARNED AUTHORIZED REPRESENTATIVE THAT THE ASSESSEE IS AN INDIVIDUAL WHO IS IN THE BUSINESS OF DOING CIVIL CONTRACTS. IT WAS A SUBMISSION THAT ON ACCOUNT OF CERTAIN AIR INFORMATION RECEIVED BY THE ASSESSING OFFICER IN RESPECT OF THE CASH DEPOSITS TO NEARLY RS.37.5 LAKHS IN THE SAVING BANK ACCOUNT OF THE ASSESSEE, THE ASSESSING OFFICER HAD ISSUED NOTICE U/S.148 OF THE INCOME TAX ACT, 1961. IT WAS A SUBMISSION THAT THE ASSESSEE HAD FILED HIS RETURN IN RESPONSE TO THE NOTICE U/S.148 OF THE ACT ON 30.12.2017. IT WAS A SUBMISSION THAT THE NOTICE U/S.148 WAS SERVED ON 30.03.2017. IT WAS A SUBMISSION THAT THE ASSESSEE DID NOT HAVE SUBSTANTIAL TURNOVER AND CONSEQUENTLY HAD FILED HIS RETURN OF INCOME BY APPLYING THE PROVISIONS OF SECTION 44AD OF THE INCOME TAX ACT, 1961. IT WAS A SUBMISSION THAT THE ASSESSMENT CAME TO BE COMPLETED U/S.144 OF THE INCOME TAX ACT, 1961. IT WAS A SUBMISSION THAT THE ASSESSEE COULD NOT CO - OPERATE WITH THE ASSESSMENT PROCEEDINGS AS HE WA S IN THE PROCESS OF COLLECTING OF ITA NO. 1086 / CHNY / 201 9 : - 3 - : THE DETAILS. IT WAS A SUBMISSION THAT THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) ALSO CONFIRMED SUBSTANTIAL ADDITIONS IN THE ASSESSMENT ORDER. IT WAS A SUBMISSION THAT THE ASSESSEE MAY BE GRANTED ANOTHER OPPORTUNIT Y TO REPRESENT HIS CASE BEFORE THE ASSESSING OFFICER. 4. IN REPLY, THE LEARNED DEPARTMENTAL REPRESENTATIVE DID NOT RAISE ANY SERIOUS OBJECTION. 5 . I HAVE CONSIDERED THE SUBMISSIONS AND PERUSED THE MATERIALS AVAILABLE ON RECORD. 6. IT IS NOTICED THAT THE ASSESSMENT HAS ADMITTEDLY BEEN DONE EX - PARTE. THE ASSESSEE HAS ALSO GIVEN AN UNDERTAKING THAT HE WILL CO - OPERATE IN THE SET ASIDE PROCEEDINGS. IN THESE CIRCUMSTANCES, IN THE INTEREST OF JUSTICE AND TO PROVIDE THE ASSESSEE AN OPPORTUNITY TO PROVE BEFORE THE ASSESSING OFFICER THAT HIS ASSESSMENT IS TO BE DONE BY APPLYING THE PROVISIONS OF SECTION 44AD OF THE INCOME TAX ACT, 1961 AND FOR PRODUCING THE EVIDENCES AS CALLED FOR BY THE ASSESSING OFFICER, THE ORDERS OF THE LOWER AUTHORITIES ARE SET ASIDE AND THE ISSUES ARE RESTORED TO THE FILE ITA NO. 1086 / CHNY / 201 9 : - 4 - : OF THE ASSESSING OFFICER FOR RE - ADJUDICATION AFTER GRANTING THE ASSESSEE ADEQUATE OPPORTUNITY OF BEING HEARD. 7 . IN THE RESULT, THE APPEAL OF THE ASSESSEE IN I.T.A. NO.1086/CHNY/2019 IS PARTLY ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT ON 10 TH MARCH , 20 20 IN CHENNAI. SD/ - ( ) (GEORGE MATHAN) /JUDICIAL MEMBER / CHENNAI, / DATED: 10 TH MARCH , 2020 IA, SR. PS / COPY TO: 1. / APPELLANT 2. / RESPONDENT 3. ( ) / CIT(A) 4. / CIT 5. / DR 6. / GF