Prateek Traders Pvt. Ltd., Kolkata V. I.T.O.,Ward-5(2), Kolkata

ITA 113/KOL/2020

• Counselvise Citation: [2024] 100 COUNSELVISE.COM (IT) 2976 (ITAT-KOLKATA)
• Duration Of Justice: 4 year(s) 2 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-04-2024
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: C
• Next Hearing Date: 09-04-2024
• Assessment Year: 2012-2013
• Appeal Filed On: 26-01-2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: MIRAJ D. SHAH
• Keywords: Opportunity of being heard; Source of fund
• Section: 131; 142(1); 14A; 143(1); 143(2)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH ‘C’, KOLKATA [Before Shri Sonjoy Sarma, Judicial Member & Shri Girish Agrawal, Accountant Member] I.T.A. No. 113/Kol/2020 Assessment Year : 2012-13 Prateek Traders Pvt. Ltd. PAN: AADCP 0140 N vs ITO,Ward-5(2), Kolkata Appellant Respondent Date of Hearing 10.04.2024 Date of Pronouncement 15.04.2024 For the Assessee Shri Miraj D. Shah, AR For the Revenue Shri Rakesh Kumar Das, CIT, DR ORDER Per Sonjoy Sarma, JM: This appeal of the assessee for the assessment year 2012-13 is directed against the order dated 26.11.2019 passed by the ld. Commissioner of Income-tax, Appeals, NFAC, Delhi [hereinafter referred to as ‘the ‘ld. CIT(A)’]. 2. Brief facts of the case are that the assessee has filed its return of income for the A.Y. 2012-13 disclosing total income at Rs. Nil. The return of the assessee was processed u/s 143(1) of the Act. Subsequently, the case of the assessee was selected for scrutiny under CASS followed by notice u/s 143(2) as well as 142(1) of the Act along with separate questionnaire issued to the assessee directing the assessee to submit necessary details/documents relating to the case. In response to the notices, AR of the assessee appeared time to time before the ld. AO. However, assessee has failed to put forward compliance in relation to questionnaires put to the assessee by the AO during the course of assessment proceedings. While framing the assessment, the ld. AO noticed that 2 ITA No. 113/Kol/2020 AY: 2012-13 Prakeek Traders Pvt. Ltd. the assessee has received share application money along with premium of Rs. 2,68,00,000/- during the year under consideration. The ld. AO in order to verify the genuineness of the transaction issued notice u/s 131 of the Act to the shareholders of the assessee-company. However, no one turned up before the ld. AO in compliance of such notice filing the photocopy of identity, address proof & IT PAN Card, copy of share application, details of bank accounts, details of source of fund etc. However, going through the documents, the ld. AO has not convinced with the submission of the shareholders company and disallowed sum of Rs. 2,68,00,000/- received by adding to the total income of the assessee-company. Doing so, ld. AO also disallowed Rs. 85,250/- u/s 14A of the Act in the case of assessee. 3. Dissatisfied with the above order, assessee went into appeal before the ld. CIT(A) where the appeal of the assessee was dismissed. The ld. CIT(A) dismissed the appeal stating that assessee has been incomplete compliance at the stage of assessment as well as at the time of appeal before him. Accordingly, grounds taken by the assessee has been dismissed. 4. Aggrieved by the impugned order, assessee is in appeal before the Tribunal raising multiple grounds of appeal. However on perusal of the impugned order, we find that while passing the appellate order, ld. CIT(A) stated that assessee has submitted various documents before him in order to substantiate its claim. However, while passing the impugned order, appeal of the assessee was dismissed by ld. CIT(A) citing that the assessee furnished 3 ITA No. 113/Kol/2020 AY: 2012-13 Prakeek Traders Pvt. Ltd. incomplete details before the authorities below and doing so ld. CIT(A) without specifying the documents which were not produced by the assessee before him. We, therefore, considering the fact and submissions of parties find that the instant issue is necessary to set aside the file of ld. CIT(A) with the direction to re-examine the issue afresh after affording reasonable opportunity of being heard to the assessee. In terms of the above, the appeal of the assessee is allowed for statistical purposes. 10. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the open court on 15.04.2024. Sd/- Sd/- (Girish Agrawal) (Sonjoy Sarma) Accountant Member JudicialMember Dated: 15.04.2024 Biswajit, Sr. PS Copy of the order forwarded to: 1. Appellant- Prateek Traders Pvt. Ltd., 25, Strand Road, Room No. 107, Kolkata-700001. 2. Respondent – ITO, Ward-5(2), Kolkata. 3. Ld. CIT 4. Ld. CIT(A) 5. Ld. DR True Copy By Order Assistant Registrar ITAT, Kolkata Benches, Kolkata