Riverside Paper Mills Pvt.Ltd., Baroda V. The ACIT.,Circle-4, Surat

ITA 1116/AHD/2013

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 0605 (ITAT-AHMEDABAD)
• Duration Of Justice: 3 year(s) 4 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-09-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Next Hearing Date: 08-09-2016
• Assessment Year: 2005-2006
• Appeal Filed On: 22-04-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Opportunity of being heard
• Section: 142(1)

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL, D BENCH, AHMEDABAD BEFORE SHRI PRAMODKUMAR, ACCOUNTANT MEMBER AND SHRI MAHAVIR PRASAD, JUDICIAL MEMBER ./ ITA.NO.1116/AHD/2013 / ASSTT. YEAR: 2005-2006 RIVERSIDE PAPER MILLS P.LTD. 77, KUNJ SOCIETY ALKAPURI BARODA 390 007. VS ACIT, CIR.4 SURAT. ! / (APPELLANT) '# ! / (RESPONDENT) ASSESSEE BY : SHRI TUSHAR HEMANI, AR REVENUE BY : SHRI KAMLESH MAKWANA, SR.DR / DATE OF HEARING : 08/09/2016 / DATE OF PRONOUNCEMENT: 12/09/2016 $%/ O R D E R PER MAHAVIR PRASAD, JUDICIAL MEMBER: ASSESSEE HAS PREFERRED THIS APPEAL AGAINST THE ORDE R OF LD.CIT(A)-II, SURAT DATED 16.2.2013 FOR THE ASSTT.YEAR 2005-06. 2. THE GROUNDS RAISED BY THE ASSESSEE IN THIS APPEA L READ AS UNDER: 1.00 ON THE FACTS AND CIRCUMSTANCES OF YOUR APP ELLANT'S CASE AS WELL AS IN LAW, THE ID CIT (A) HAS ERRED IN PASSING ORDE R WITHOUT PROVIDING APPROPRIATE OPPORTUNITY OF BEING HEARD. 2.00 ON THE FACTS AND CIRCUMSTANCES OF YOUR APP ELLANT'S CASE AS WELL AS IN LAW, THE ID CIT (A) HAS ERRED IN NOT APPRECIA TING THAT THE REOPENING IS BAD IN LAW. ITA NO.1116/AHD/2013 2 2.01 THE ID CIT (A) HAS ERRED IN NOT APPRECIATI NG THE FACT THAT THE IMPUGNED ORDER WAS PASSED ON SAME SET OF REASONS RE CORDED I.E. AY 2005-06 AND AY 2006-07. 2.02 THE ID CIT (A) HAS ERRED IN NOT APPRECIATIN G FACT THAT ID AO HAS ERRED IN NOT JUSTIFYING VALIDITY OF REASONS RECORDE D FOR REOPENING ASSESSMENT PROCEEDINGS. 2.03 THE ID CIT (A) HAS ERRED IN NOT TAKING INT O CONSIDERATION VITAL FACT THAT THE ID AO HAS ERRONEOUSLY HELD VIDE PARA NO. 10 OF THE ORDER THAT PROCEEDINGS FOR AY 2006-07 WAS DROPPED ON 31.0 3.09 WHEREAS THE RECORDS SHOW THAT LAST NOTICE U/S 142(1) OF THE ACT FOR AY 2006-07 WAS ISSUED ON 13.05.2009. 3.00 ON THE FACTS AND CIRCUMSTANCES OF YOUR APP ELLANT'S CASE AS WELL AS IN LAW, THE ID CIT (A) HAS ERRED IN NOT ALLOWING SET OFF OF BUSINESS LOSS TO THE TUNE OF RS. 1,03,34,9847- RELATED TO AY 1997-98 AGAINST SHORT TERM CAPITAL GAIN ON SALE OF PLANT & MACHINER Y. 4.00 YOUR APPELLANT CRAVES LEAVE TO ADD, ALTER A ND/OR AMEND THE GROUNDS HEREIN ABOVE RAISED. 3. AT THE OUTSET, THE LD.COUNSEL FOR THE ASSESSEE S UBMITTED THAT THE LD.CIT(A) HAS DISPOSED OF THIS APPEAL EX PARTE WITHOUT AFFORDING OPPORTUNITY OF HEARING TO THE ASSESSEE, AND THEREFORE, MATTER M AY BE RESTORED BACK TO THE FILE OF THE CIT(A) WITH DIRECTION TO RE-ADJUDICATE THE APPEAL ON MERIT AFTER PROVIDING ADEQUATE OPPORTUNITY OF HEARING TO THE AS SESSEE. ON THE OTHER HAND, THE LD.DR SUPPORTED THE ORDER OF THE REVENUE AUTHORITIES. 4. HAVING HEARD BOTH THE SIDES, AND GOING THROUGH T HE ORDER OF THE LD.CIT(A), WE FIND THAT THE ASSESSEE WAS ADMITTEDLY NOT OFFERED PROPER OPPORTUNITY OF HEARING, AND THE EXPARTE ORDER WAS PASSED CIT(A). WE, THEREFORE, SET ASIDE THE ORDER OF THE CIT(A) AND RE STORE THE MATTER BACK TO THE ITA NO.1116/AHD/2013 3 FILE OF THE CIT(A) WITH DIRECTION TO RE-ADJUDICATE THE APPEAL AFRESH ON MERIT AFTER PROVIDING OPPORTUNITY OF HEARING TO BOTH THE PARTIES. 5. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE COURT ON 12 TH SEPTEMBER, 2016 AT AHMEDABAD. SD/- SD/- ( PRAMOD KUMAR) ACCOUNTANT MEMBER (MAHAVIR PRASAD ) JUDICIAL MEMBER