Appeal details
Counselvise Citation
[2018] 121 COUNSELVISE.COM (IT) 6026 (ITAT-HYDERABAD)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
1 year(s) 8 month(s) 7 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
31-05-2018
Appeal Filed By
Assessee
Order Result
Allowed
Bench Allotted
B
Next Hearing Date
30-05-2018
Assessment Year
misc
Appeal Filed On
23-09-2016
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH B, HYDERABAD BEFORE SMT P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER ITA NOS. 1237, 1238 & 1239/HYD/2016 ASSESSMENT YEARS: 2008-09, 2009-10 & 2010-11 T. VENKAT RAM REDDY, HYDERABAD. PAN AAWPT6892M VS. ASST. COMMISSIONER OF INCOME-TAX, CIRCLE 16(2), HYDERABAD. (APPELLANT) (RESPONDENT) ITA NOS. 1240, 1241 & 1242/HYD/2016 ASSESSMENT YEARS: 2008-09, 2009-10 & 2010-11 T. VINAYAK RAVI REDDY, HYDERABAD. PAN ABAPT 1317Q VS. ASST. COMMISSIONER OF INCOME-TAX, CIRCLE 16(2), HYDERABAD. (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI B. SHANTI KUMAR REVENUE BY : SMT. ANJALA SAHU DATE OF HEARING 30/05/2018 DATE OF PRONOUNCEMENT 31/05/2018 O R D E R PER BENCH: THESE APPEALS FILED BY TWO ASSESSEES ARE DIRECTED AGAINST SEPARATE ORDERS OF CIT(A) 4, ALL DATED, 14/07/201 6. SINCE IDENTICAL ISSUE IS INVOLVED IN THESE APPEALS, WE FIND IT CONV ENIENT TO DISPOSE OF THESE APPEALS BY WAY OF THIS CONSOLIDATED ORDER. 2 ITA NO. 1237/HYD/16 AND OTHERS SHRI T. VENKAT RAM REDDY AND SHRI T. VINAYAK RAVI R EDDY 2. BRIEFLY THE FACTS AS TAKEN FROM ITA NO. 1237/HYD /2016 IN THE CASE OF T. VENKAT RAM REDDY FOR AY 2008-09 ARE THAT THE ASSESSEE IS A CHAIRMAN OF M/S DECCAN CHRONICLE HOLDINGS LTD. AND RECEIVING INCOME FROM SALARY, HOUSE PROPERTY, BUSINESS, CAPIT AL GAINS AND OTHER SOURCES, FILED HIS RETURN OF INCOME FOR AY 2008-09 ON 30/08/2008 DECLARING INCOME OF RS. 1,78,63,460/-. THE RETURN W AS PROCESSED U/S 143(1). SUBSEQUENTLY, THE CASE WAS REOPENED U/S 147 BY ISSUE OF NOTICE U/S 148 AFTER DULY RECORDING THE REASONS FOR REOPENING WHICH WERE COMMUNICATED TO THE ASSESSEE. THE ASSESSEE FIL ED HIS OBJECTIONS FOR REOPENING OF ASSESSMENT. THE ASSESSI NG OFFICER REJECTED THE OBJECTIONS OF THE ASSESSEE. ON THE BAS IS OF SWORN STATEMENT RECORDED DURING THE SEARCH AND SEIZURE OP ERATION CONDUCTED IN THE CASE OF M/S. SOUTH INDIAN EDUCATIO NAL SOCIETY TRUST, MUMBAI IT WAS SEEN THAT THE ASSESSEE HAS RECEIVED R S.2,00,00,00/- FROM M/S. SOUTH INDIAN EDUCATIONAL SOCIETY TRUST IN CASH DURING THE F.Y.2007-08. THE ASSESSING OFFICER COMPLETED THE AS SESSMENT BY ADDING BACK RS.2 CRORES TO THE INCOME RETURNED. 3. AGGRIEVED, THE ASSESSEE PREFERRED AN APPEAL BEFO RE THE CIT(A) RAISING THE FOLLOWING GROUNDS OF APPEAL: 1. THE NOTICE ISSUED BY THE AO IS BAD IN LAW AND THE R EOPENING OF ASSESSMENT IS NOT IN ACCORDANCE WITH THE PROVISI ONS OF IT LAW IN AS MUCH AS THERE IS NOT TANGIBLE MATERIAL ON REC ORD. 2. THE AO ERRED BOTH IN LAW AND ON FACTS IN RELYING ON THIRD PARTY STATEMENTS WHILE MAKING ADDITION OF RS. 2,00, 00,000/- AS UNACCOUNTED CREDITS. 3. ANY OTHER GROUND OF APPEAL THAT MAY BE URGED AT THE TIME OF HEARING. 4. THE CIT(A) DELETED THE ADDITION OF RS. 2,00,00,0 00/- MADE BY THE AO TOWARDS UNACCOUNTED CREDITS, BUT, DIRECTED T HE AO TO DISALLOW THE ASSESSEES CLAIM OF DEDUCTION U/S 80G OF RS. 74 ,69,608/-. 5. AGGRIEVED, THE ASSESSEE IS IN APPEAL BEFORE US C ONTENDING THAT THE CIT(A) HAS NOT ADJUDICATED THE GROUND RAISED BY THE ASSESSEE 3 ITA NO. 1237/HYD/16 AND OTHERS SHRI T. VENKAT RAM REDDY AND SHRI T. VINAYAK RAVI R EDDY REGARDING REOPENING OF ASSESSMENT MADE BY THE AO U/ S 147 OF THE ACT. 6. BEFORE US, LD. AR OF THE ASSESSEE SUBMITTED THAT BEFORE THE CIT(A) THE ASSESSEE FILED WRITTEN SUBMISSIONS, WHIC H WERE EXTRACTED BY THE CIT(A) IN HIS ORDER AT PAGES 3 TO 6 WHEREIN IT WAS STATED, INTER-ALIA, THAT IN THE ABSENCE OF ANY TANGIBLE MAT ERIAL TO ENABLE THE AO TO BELIEVE THAT INCOME CHARGEABLE TO TAX ESCAPED ASSESSMENT IN THE ASSESSEES CASE, THE REOPENING OF ASSESSMENT IS NOT ACCORDING TO LAW. HE, THEREFORE, SUBMITTED THAT THE CIT(A) FAILE D TO ADJUDICATE THE GROUND RAISED BY THE ASSESSEE ON THE REOPENING OF A SSESSMENT, HENCE THE MATTER MAY BE REMITTED BACK TO THE FILE O F THE CIT(A) TO ADJUDICATE THE GROUND RAISED ON REOPENING OF ASSESS MENT. 7. LD. DR, ON THE OTHER HAND, RELIED ON THE ORDERS OF REVENUE AUTHORITIES. 8. CONSIDERED THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL ON RECORD. AS CONTENDED BY THE LD. AR OF THE ASSESSEE, THE CIT(A) HAS NOT AT ALL GIVEN HER FINDINGS OR ADJUDICATED THE G ROUND RAISED BY THE ASSESSEE WITH REGARD TO REOPENING OF ASSESSMENT MAD E BY THE AO. THEREFORE, TO MEET THE ENDS OF JUSTICE, WE SET ASID E THE ORDER OF CIT(A) AND REMIT THE FILE BACK TO HER WITH A DIRECT ION TO ADJUDICATE THE GROUND RAISED BY THE ASSESSEE REGARDING REOPENING O F ASSESSMENT IN ACCORDANCE WITH LAW AFTER PROVIDING REASONABLE OPP ORTUNITY OF BEING HEARD TO THE ASSESSEE. 9. AS THE FACTS AND GROUNDS RAISED IN ALL OTHER APP EALS ARE MATERIALLY IDENTICAL TO THAT OF ITA NO. 1237/HYD/20 16 (SUPRA), FOLLOWING THE CONCLUSIONS DRAWN THEREIN, WE RESTORE ALL THESE APPEALS TO THE FILE OF CIT(A) FOR ADJUDICATION OF THE GROUN D RAISED ON REOPENING OF ASSESSMENT IN ALL THE APPEALS. 4 ITA NO. 1237/HYD/16 AND OTHERS SHRI T. VENKAT RAM REDDY AND SHRI T. VINAYAK RAVI R EDDY 10. IN THE RESULT, ALL THE APPEALS UNDER CONSIDERAT ION ARE TREATED AS ALLOWED FOR STATISTICAL PURPOSES. PRONOUNCED IN THE OPEN COURT ON 31 ST MAY, 2018. SD/- SD/- (P. MADHAVI DEVI) (S. RIFAUR RAHM AN) JUDICIAL MEMBER A CCOUNTANT MEMBER HYDERABAD, DATED: 31 ST MAY, 2018 KV COPY TO:- 1) T. VENKAT RAM REDDY, 2) T. VINAYAK RAVI REDDY, C/O B. SHANTHI KUMAR, ADVOCATE, 111, TARAMANDAL COMPLEX, 5-9-13, SAIFABAD, HYDERABAD. 3) ACIT, CIRCLE 16(2), INCOME TAX TOWERS, AC GUAR DS, HYDERABAD. 4) CIT(A) - 4, HYD. 5) PR. CIT 4, HYD. 6) THE DEPARTMENTAL REPRESENTATIVE, I.T.A.T., HYDE RABAD. 7) GUARD FILE S.N0 DESCRIPTION DATE INTLS 1. DRAFT DICTATED ON SR.P.S./P.S 2. DRAFT PLACED BEFORE AUTHOR SR.P.S/PS 3 DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER JM/AM 4 DRAFT DISCUSSED/APPROVED BY SECOND MEMBER JM/AM 5 APPROVED DRAFT COMES TO THE SR.P.S./PS SR.P.S./ P.S 6. KEPT FOR PRONOUNCEMENT ON SR. P.S./P.S. 7. FILE SENT TO THE BENCH CLERK SR.P.S./P.S 8 DATE ON WHICH FILE GOES TO THE HEAD CLERK 9 DATE OF DISPATCH OF ORDER
