Voora Shares & Securities P. Ltd., CHENNAI V. DCIT, CHENNAI

ITA 1132/CHNY/2015

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 95894 (ITAT-CHENNAI)
• Duration Of Justice: 3 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-08-2015
• Appeal Filed By: Assessee
• Bench Allotted: C
• Next Hearing Date: 14-08-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 13-05-2015
• Court: TRIBUNAL
• Department Lawyers: A V SREEKANTH
• Assessee Lawyers: D ANAND
• Keywords: Bad and doubtful debts
• Section: 143(3)

Judgement Text

, , IN THE INCOME - TAX APPELLATE TRIBUNAL SMC BENCH, CHENNAI . , BEFORE SHRI V. DURGA RAO, JUDICIAL MEMBER ./ I.T.A.NO. 11 3 2 /MDS/2015 / ASSESSMENT YEAR :200 8 - 0 9 M/S. VOORA SHARES & SECURITIES P. LTD., NO. 47, B.N. ROAD, T. NAGAR, CHENNAI 600 017. [PAN: AA FFV7527A ] VS. THE DEPUTY COMMISSIONER OF INCOME TAX, COMPANY CIRCLE III( 4 ), CHENNAI 600 034. ( / APPELLANT ) ( / RESPONDENT ) / APPELLANT BY : SHRI D. ANAND , ADVOCATE / RESPONDENT BY : SHRI A.V. SREEKANTH , JCIT / DATE OF HEARING : 14 . 0 8 .201 5 / DATE OF P RONOUNCEMENT : 19 . 0 8 .201 5 / O R D E R PER V. DURGA RAO, JUDICIAL MEMBER : THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF THE LD. COMMISSIONER OF INCOME TAX (APPEALS) 11 , C HENNAI DATED 19 .0 3 .201 5 RELEVANT TO THE ASSESSMENT YEAR 20 0 8 - 0 9 . 2. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE COMPANY IS CARRYING ON BUSINESS OF FRANCHISEE OF M/S. GEOJIT FINANCIAL SERVICES LTD. DEALING IN SHARES AND SECURITIES. THE ASSESSEE HAS FILED ITS RETURN OF INCOME BY ADMITTING AN INCOME OF .1,34,021/ - . THE RETURN WAS PROCESSED UNDER SECTION 143(1) OF THE INCOME TAX ACT AND THE CASE WAS SELECTED FOR SCRUTINY I.T.A. NO. 1132 /M/ 1 5 2 AND NOTICE UNDER SECTION 143(2) WAS ISSUED. THE ASSESSING OFFICER HAS COMPLETED THE ASSESSMENT UNDER SECTION 143(3) OF THE ACT BY DISAL LOWING .7,84,105/ - . 3. ON APPEAL BEFORE THE LD. CIT(A), DURING THE COURSE OF APPEAL PROCEEDINGS, THE CASE WAS POSTED FOR HEARING ON SEVERAL DATES AND NONE APPEARED ON THE SPECIFIED DATES AND NO WRITTEN EXPLANATION SUPPORTED BY DOCUMENTARY EVIDENCES HAS BEEN FILED BY THE ASSESSEE, NOR A LETTER SEEKING TIME. THEREFORE, THE LD. CIT(A) DISMISSED THE APPEAL FILED BY THE ASSESSEE BY FOLLOWING VARIOUS DECISIONS INCLUDING THE DECISION IN THE CASE OF CIT V. MULTIPLAN (INDIA) PVT. LTD. 38 ITD 320 (DEL.). 4. THE ASSESSEE FILED APPEAL BEFORE THE TRIBUNAL AND SUBMITTED THAT ONE MORE OPPORTUNITY MAY BE GIVEN TO THE ASSESSEE TO SUBSTANTIATE ITS CASE BY FILING ALL NECESSARY MATERIAL EVIDENCE BEFORE THE LD. CIT(A) . 5. ON THE OTHER HAND, THE LD. DR HAS SUBMITTED THAT THE LD. CIT(A) HAS GIVEN SUFFICIENT OPPORTUNITIES TO THE ASSESSEE, BUT THE ASSESSEE HAS NOT FILED ANY DETAILS BEFORE THE LD. CIT(A). THEREFORE, THE LD. CIT(A) PASSED EX - PARTE ORDER ON MERITS AND HE RELIED ON THE ORDERS OF AUTHORITIES BELOW. 6. BOTH PART IES HAVE BEEN HEARD, PERUSED THE MATERIALS ON RECORD AND GONE THROUGH THE ORDERS OF AUTHORITIES BELOW. THE ASSESSEE COMPANY IS CARRYING ON BUSINESS OF FRANCHISEE OF M/S. GEOJIT FINANCIAL SERVICES LTD. I.T.A. NO. 1132 /M/ 1 5 3 DEALING IN SHARES AND SECURITIES. THE ASSESSEE HAS FILE D ITS RETURN OF INCOME. AFTER DUE PROCESS, THE ASSESSING OFFICER COMPLETED THE ASSESSMENT BY MAKING DISALLOWANCE IN RESPECT OF BAD DEBTS/BROKERAGE NOT RECEIVED TO THE EXTENT OF .7,84,105/ - . ON APPEAL BEFORE THE LD. CIT(A), SINCE THE ASSESSEE HAS NOT APPEA RED ON THE SPECIFIED DATES AND NO WRITTEN EXPLANATION SUPPORTED BY DOCUMENTARY EVIDENCES HAS BEEN FILED BY THE ASSES SEE, NOR A LETTER SEEKING TIME, THE LD. CIT(A) DISMISSED THE APPEAL FILED BY THE ASSESSEE BY FOLLOWING VARIOUS DECISIONS INCLUDING THE DECIS ION IN THE CASE OF CIT V. MULTIPLAN (INDIA) PVT. LTD. 38 ITD 320 (DEL.). NOW, THE LD. COUNSEL FOR THE ASSESSEE HAS SUBMITTED THAT THE LD. CIT(A) WAS NOT JUSTIFIED IN PASSING EX - PARTE ORDER AND ALSO SUBMITTED THAT HE OUGHT TO HAVE DECIDED THE APPEAL ON MERITS. THE LD. COUNSEL FOR THE ASSESSEE HAS FURTHER SUBMITTED THAT ONE MORE OPPORTUNITY MAY BE GIVEN TO THE ASSESSEE . UNDER THESE FACTS AND CIRCUMSTANCES, IN THE INTEREST OF JUSTICE, I AM OF THE OPINION THAT THE ASSESSEE HAS TO BE GIVEN ONE MORE OPPORT UNITY TO SUBSTANTIATE HIS CASE BEFORE THE LD. CIT(A) . THEREFORE, THE ORDER PASSED BY THE LD. CIT(A) IS SET ASIDE AND REMIT TED THE MATTER BACK TO THE LD. CIT(A) TO DECIDE THE ISSUE AFRESH IN ACCORDANCE WITH LAW AFTER CONSIDERING ALL THE DETAILS AS MAY BE FI LED BY THE ASSESSEE . THUS, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. I.T.A. NO. 1132 /M/ 1 5 4 7. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED ON WEDNESDAY, THE 19 TH OF AUGUST, 2015 AT CHENNA I. SD/ - ( V. DURGA RAO ) JUDICIAL MEMBER CHENNAI, DATED, THE 19 . 0 8 .201 5 VM/ - / COPY TO: 1. / APPELLANT , 2. / RESPONDENT , 3. ( ) / CIT(A) , 4. / CIT , 5. / DR & 6. / GF.