M/s Hind Palace Pvt. Ltd., Kolkata V. ACIT, CC-IV, Kolkata, Kolkata

ITA 1122/KOL/2014

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 4607 (ITAT-KOLKATA)
• Duration Of Justice: 2 year(s) 3 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-09-2016
• Appeal Filed By: Assessee
• Bench Allotted: SMC
• Next Hearing Date: 25-08-2016
• Assessment Year: 2007-2008
• Appeal Filed On: 22-05-2014
• Court: TRIBUNAL
• Department Lawyers: SITAL CHANDRA DAS
• Assessee Lawyers: SIDHARTH JHAJHARIA
• Keywords: Opportunity of being heard; Reasonable cause
• Section: 115JB

Judgement Text

ITA NO.1122/KOL/2014-M/S. HIND PALACE PVT. LTD. A.Y .2007-08 1 IN THE INCOME TAX APPELLATE TRIBUNAL SMC BE NCH : KOLKATA [BEFORE HONBLE SRI N.V.VASUDEVAN, JM ] I.T.A NO.1122/KOL/201 4 ASSESSMENT YEAR : 2007- 08 M/S. HIND PALACE PVT.LTD. -VS.- A.C.I.T, CENTRAL CIRCLE-IV, KOLKATA KOLKATA (PAN:AABCH 5126 L) (APPELLANT) (RESPONDENT) FOR THE APPELLANT : SHRI SIDHARTH JH AJHARIA, FCA & SHRI SUJOY SEN, FCA FOR THE RESPONDENT : SHRI SITAL CHANDRA DAS, JCIT. DATE OF HEARING : 25.08.2016. DATE OF PRONOUNCEMENT : 02.09.2016. O R D E R THIS IS AN APPEAL BY THE ASSESSEE AGAINST THE ORDE R DATED 31.03.2014 OF CIT(A)-CENTRAL-I, KOLKATA, RELATING TO AY 2007-08. 2. THE ASSESSEE IS A COMPANY. FOR A.Y. 2007-08 THE ASSESSEE FILED RETURN OF INCOME DECLARING NIL INCOME. THE ASSESSEE HOWEVER WAS L IABLE TO PAY TAX OF BOOK PROFIT U/S 115JB OF THE INCOME TAX ACT, 1961 (ACT) AND THE BOO K PROFIT WAS DECLARED AT A SUM OF RS.14,64,984/-. THE ASSESSMENT WAS COMPLETED DETERM INING THE TOTAL INCOME OF THE ASSESSEE UNDER THE NORMAL PROVISION OF THE ACT AT R S.19,69,712/-. 3. AGGRIEVED BY THE ORDER OF AO THE ASSESSEE FILED APPEAL BEFORE CIT(A). ACCORDING TO CIT(A) THE APPEAL WAS FIXED FOR HEARING ON SEVER AL OCCASIONS AND THE ASSESEE SOUGHT ADJOURNMENT ON ONE GROUND OR THE OTHER. WHEN THE CASE WAS FIXED FOR HEARING ON 19.03.2014 AND THE AR OF THE ASSESSEE REQUESTED FOR ANOTHER ADJOURNMENT. THE CASE WAS ADJOURNED TO 28.03.2014. ON 28.03.2014 NON E APPEARED ON BEHALF OF THE ASSESSEE. THE CIT(A) THEREFORE DISMISSED THE APPEAL OF THE ASSESSEE BY OBSERVING THAT THE ASSESSEE WAS NOT INTERESTED IN PURSUING THE APP EAL AND THERE WAS NOTHING BROUGHT ON RECORD TO SUPPORT THE GROUNDS OF APPEAL OR TO CO NTROVERT THE FINDINGS OF THE AO IN THE ORDER OF ASSESSMENT. 4. AGGRIEVED BY THE ORDER OF CIT(A) THE ASSESSEE HAS PREFERRED THE PRESENT APPEAL BEFORE THE TRIBUNAL. ITA NO.1122/KOL/2014-M/S. HIND PALACE PVT. LTD. A.Y .2007-08 2 5. THE LD. COUNSEL FOR THE ASSESSEE WHO APPEARED IN THE PROCEEDINGS BEFORE CIT(A) HAS FILED AN AFFIDAVIT IN WHICH HE HAS SUBMITTED TH AT ON 28.03.2014 WHEN THE APPEAL WAS LISTED FOR HEARING BEFORE CIT(A), HE FELL SICK AND WAS UNABLE TO ATTEND THE HEARING OR TO SEEK AN ADJOURNMENT. ON 31 ST MARCH, 2014 I.E., THE NEXT WORKING DAY THE COUNSEL APPEARED BEFORE CIT(A) AND WAS INFORMED THAT THE AP PEAL HAS ALREADY BEEN DECIDED EX-PARTE. THE LD. COUNSEL FOR THE ASSESSEE PRAYED T HAT THE ORDER OF CIT(A) SHOULD BE SET ASIDE AND CIT(A) SHOULD BE DIRECTED TO DECIDE T HE APPEAL ON MERITS AFTER TAKING INTO CONSIDERATION OF THE SUBMISSIONS ON BEHALF OF THE ASSESSEE. 6. I HAVE CONSIDERED THE SUBMISSIONS OF THE LD. COUNSEL FOR THE ASSESSE AND I AM OF THE VIEW THAT THERE WAS A REASONABLE CAUSE FOR NON APPEARANCE OF THE AR BEFORE CIT(A) ON 28.03.2014. IN THE INTEREST OF JUSTICE I AM OF THE VIEW THAT THE ORDER OF CIT(A) SHOULD BE SET ASIDE AND THE ASSESSEE SHOULD BE AFFORDED OPPORTUNITY OF BEING HEARD BEFORE CIT(A). I ACCORDINGLY SET ASIDE THE OR DER OF CIT(A) AND DIRECT CIT(A) TO DECIDE THE APPEAL OF THE ASSESSEE ON MERITS AFTER A FFORDING THE ASSESSEE AN OPPORTUNITY OF BEING HEARD. 7. IN THE RESULT FOR STATISTICAL PURPOSES THE A PPEAL OF THE ASSESSEE IS TREATED AS ALLOWED. ORDER PRONOUNCED IN THE COURT ON 02.09.2016. SD/- [ N.V.VASUDEVAN ] JUDICIAL MEMBER DATED : 02.09.2016. [RG PS] COPY OF THE ORDER FORWARDED TO: 1.M/S HIND PALACE PVT.LTD., C/O SALARPURIA JAJODIA & CO., 7, C.R.AVENUE, KOLKATA- 700072. 2. ACIT, CENTRAL CIRCLE-IV, KOLKATA. 3. C.I.T.(APPEALS)-CENTRAL-I, KOLKATA. 4. C.I. T.-CENTRAL-I, KOLKATA. 5. CIT(DR), KOLKATA BENCHES, KOLKATA. TRUE COPY BY ORDER A SSTT.REGISTRAR, ITAT, KOLKATA BENCHES ITA NO.1122/KOL/2014-M/S. HIND PALACE PVT. LTD. A.Y .2007-08 3