Exponential Technologies (Software and Hardware) Private Limited, Hyderabad V. Income Tax Officer, Ward-17(2), Hyderabad

ITA 1196/Hyd/2018

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 7789 (ITAT-HYDERABAD)
• Duration Of Justice: 1 year(s) 1 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-07-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB-A
• Next Hearing Date: 09-07-2019
• Assessment Year: 2012-2013
• Appeal Filed On: 07-06-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: NEEJU GUPTA
• Assessee Lawyers: MURALI MOHAN RAOAR
• Keywords: Additional evidence; Set aside

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES, A BENCH, HYDERABAD BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI A. MOHAN ALANKAMANY, ACCOUNTANT MEMBER ITA NOS. 1195, 1196 & 1197/HYD/2018 A.YS: 2011 - 12, 2012 - 13 & 2013 - 14 M/S EXPONENTIAL TECHNOLOGIES (SOFTWARE & HARDWARE) PVT. LTD. HYDERABAD PAN:AABCE7729C VS INCOME TAX OFFICER WARD 17(2) HYDERABAD (APPELLANT) (RESPONDENT) FOR ASSESSEE : SHRI MURALI MOHAN RAO,AR FOR REVENUE : SMT. NEEJU GUPTA, DR O R D E R PER P.MADHAVI DEVI, J.M. THESE ARE ASSESSEES APPEALS FOR A.Y. 2011 - 12, 2012 - 13 AND 2013 - 14 RESPECTIVELY AGAINST SEPARATE ORDERS OF THE CIT(A) - V, HYDERABAD DATED 11.5.2018. 2. IN ALL THESE APPEALS ASSESSEE IS AGGRIEVED BY THE ORDER OF CIT(A) IN DISMISSING THE APPEALS WITHOUT CONDONING THE DELAY AND ALSO CONFIRMING THE PENALTY LEVIED U/S 271B OF THE I.T. ACT FOR NOT GETTING THE BOOKS OF AC COUNTS AUDITED WITHIN THE TIME IN THE PRESCRIBED PERIOD. 3. THE LD.COUNSEL FOR ASSESSEE HAD DRAWN OUR ATTENTION TO THE FACT THAT THE ASSESSMENTS OF THE ASSESSEE FOR THE RELEVANT AYS 2011 - 12 AND 2012 - 13 WERE ALSO COMPLETED OBSERVING THAT THE ASSESSEE HAS NO T FILED THE AUDITED BOOKS OF ACCOUNTS BEFORE THE A.O. HE SUBMITTED THAT THE TRIBUNAL IN ITA 303 & 304/16 HAS ADMITTED THE ADDITIONAL EVIDENCE BEING THE AUDITED BOOKS OF ACCOUNTS AND REMANDED THE MATTER TO THE FILE OF AO FOR DE NOVO VERIFICATION AND CONSID ERATION OF THE ISSUE IN DATE OF HEARING: 08.07.2019 DATE OF PRONOUNCEMENT: 17/7/ 2019 ITA NOS. 1195 - 1196 & 1197/DEL/18 M/S EXPONENTIAL TECHNOLOGIES PVT.LTD., HYD. 2 ACCORDANCE WITH LAW. HE SUBMITTED THAT PENALTY U/S 271B IS IMPOSED FOR NON - MAINTENANCE OF BOOKS OF ACCOUNTS AND SINCE ASSESSEE HAS NOW PRODUCED THE BOOKS OF ACCOUNTS AND ENTIRE ASSESSMENT IS OPEN BEFORE THE AO, THESE APPEALS SHOU LD ALSO BE REMITTED TO THE FILE OF THE AO. 4. LD.D.R. , ON THE OTHER HAND , SUBMITTED THAT THE CIT(A) HAS REFUSED TO CONDONE THE INORDINATE DELAY OF 770 DAYS IN FILING OF THE APPEAL BEFORE HIM, AND, THEREFORE, THE MATTER NEED NOT BE REMITTED TO THE LOWER AUTHORITIES. 5. HAVING REGARD TO THE RIVAL CONTENTIONS AND THE MATERIAL PLACED ON RECORD, WE FIND THAT THE ASSESSEE HAS EXPLAINED BEFORE THE CIT(A) THE REASONS FOR FILING OF THE APPEAL BELATEDLY, BUT THE CIT(A) HAS REFUSED TO CONSIDER THE SAME. SINCE THE AUDITED BOOKS OF ACCOUNTS HAVE BEEN PRODUCED BEFORE THE TRIBUNAL AND THE TRIBUNAL REMITTED THE MATTER B ACK TO AO, WE DEEM IT FIT AND PROPER TO SET ASIDE THE PENALTY ORDER U/S 271B OF THE I.T.ACT ALSO TO THE FILE OF THE AO FOR RECONSIDERATION AFRESH IN ACCORDANCE WITH LAW. 6. IN THE RESULT, APPEALS OF THE ASSESSEE FOR ALL THE 3 AYS ARE TREATED AS ALLOWED FO R STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 17 TH J ULY, 2019 . SD/ - SD/ - ( A.MOHAN ALANKAMANY ) ACCOUNTANT MEMBER (P. MADHAVI DEVI) JUDICIAL MEMBER D ATED : 17 TH JULY, 2019 . *GMV ITA NOS. 1195 - 1196 & 1197/DEL/18 M/S EXPONENTIAL TECHNOLOGIES PVT.LTD., HYD. 3 COPY TO: 1. M/S EXPONENTIAL TECHNOLOGIES PVT.LTD. (SOFTWARE & HARDWARE) PVT.LTD., C/O P.MURALI&CO., C.AS, 6 - 3 - 655/2/3, 1 ST FLOOR, SOMAJIGUDA, HYDERABAD 500 082. 2. ITO, WARD 17(2), HYDERABAD. 3. THE CHIEF COMMISSIONER OF INCOME TAX, HYDERABAD. 4. PR.CIT - 5, HYDERABAD . 5. ACIT/JCIT, RANGE 17, HYDERABAD. 6. DR , ITAT, HYDERABAD. 7. GUARD FILE . // COPY // BY ORDER ITAT, HYDERABAD BENCHES, HYDERABAD. ITA NOS. 1195 - 1196 & 1197/DEL/18 M/S EXPONENTIAL TECHNOLOGIES PVT.LTD., HYD. 4 1. DRAFT DICTATED ON 0 9 /07/19 2. DRAFT PLACED BEFORE THE AUTHOR 1 1 /07/19 3. DRAFT PLACED BEFORE THE SECOND MEMBER 4. DRAFT APPROVED BY SECOND MEMBER 5. APPROVED DRAFT COMES TO SRPS 6. KEPT FOR PRONOUNCEMENT 17/7/19 7. FILE SENT TO BENCH CLERK