Sanjeev Sharma, Chandigarh V. ITO, Chandigarh

ITA 1283/CHANDI/2016

• Counselvise Citation: [2017] 130 COUNSELVISE.COM (IT) 8397 (ITAT-CHANDIGARH)
• Duration Of Justice: 1 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-01-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2011-2012
• Appeal Filed On: 02-12-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Opportunity of being heard
• Section: 144; 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH, CHANDIGARH BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER ITA NOS.1283,1284 & 1285/CHD/2016 ASSESSMENT YEAR: 2011-12 SHRI SANJEEV SHARMA, VS THE ITO, SCF 22, SABJI MANDI, WARD 5(1), SECTOR 26, CHANDIGARH. CHANDIGARH. PAN: ANFPS7824L (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI PARIKSHIT AG GARWAL RESPONDENT BY : NONE (APPLICATION) DATE OF HEARING : 09.01.2017 DATE OF PRONOUNCEMENT : 09.01.2017 O R D E R ALL THE APPEALS BY THE SAME ASSESSEE ARE DIRECTED AGAINST THE ORDER OF LD. CIT(APPEALS)-2 GURGAON DAT ED 29.09.2016 FOR ASSESSMENT YEAR 2011-12. 2. BRIEFLY THE FACTS OF THE CASE ARE THAT THE ASSES SEE CHALLENGED THE PENALTY ORDERS UNDER SECTION 271B, 2 71A AND ASSESSMENT UNDER SECTION 144 OF INCOME TAX ACT BEFORE LD. CIT(APPEALS) IN SEPARATE APPEALS. 3. THE LD. CIT(APPEALS) SEPARATELY DEALT WITH ALL T HE APPEALS IN THE IMPUGNED YEAR. AS REGARDS PENALTY A PPEAL UNDER SECTION 271B OF THE ACT, LD. CIT(APPEALS) NOT ED THAT 2 NOTICE OF HEARING HAS BEEN SENT TO ASSESSEE TWICE A ND HAS GIVEN REMARK UNCLAIMED. THE LD. CIT(APPEALS), TH EREFORE, NOTED THAT ASSESSEE IS NOT INTERESTED IN PROSECUTIN G THE APPEALS. SINCE THE ASSESSEE FAILED TO COMPLY WITH STATUTORY PROVISIONS UNDER SECTION 44AB, THEREFORE, APPEAL WA S DISMISSED. 3(I) AS REGARDS PENALTY UNDER SECTION 271A OF THE I NCOME TAX ACT, LD. CIT(APPEALS) SIMILARLY NOTED THAT ONE NOTICE HAVING NO RESPONSE, ANOTHER NOTICE SERVED THROUGH ASSESSING OFFICER AND THIRD NOTICE WAS NOT SERVED B ECAUSE OF INSUFFICIENT ADDRESS. THE LD. CIT(APPEALS), SIM ILARLY NOTED THAT ASSESSEE IS NO MORE INTERESTED IN PROSEC UTING THE APPEAL AND SINCE ASSESSEE DID NOT MAINTAIN BOOK S OF ACCOUNT AS PROVIDED UNDER SECTION 44AA, THEREFORE, APPEAL WAS DISMISSED. AS REGARDS QUANTUM APPEAL, LD. CIT(APPEALS) NOTED THAT FIRST NOTICE ISSUED HAVE BE EN RETURNED WITH REMARKS NO SUCH PERSON SECOND NOTIC E SERVED THROUGH ASSESSING OFFICER, LAST NOTICE RETUR NED WITH REMARKS INSUFFICIENT ADDRESS QUANTUM APPEAL WAS A LSO DISMISSED BY THE LD. CIT(APPEALS). 4. THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT NONE OF THE NOTICE HAVE BEEN SERVED UPON ASSESSEE WHICH IS ALSO CLEAR FROM THE FINDINGS OF THE LD. CIT(APPEALS). T HEREFORE, ALL THE APPEALS OF THE ASSESSEE HAVE BEEN DECIDED E X-PARTE WITHOUT GIVING REASONABLE SUFFICIENT OPPORTUNITY OF BEING HEARD TO THE ASSESSEE AND MATTER MAY BE REMANDED TO THE 3 LD. CIT(APPEALS) FOR DISPOSAL AFRESH AFTER GIVING O PPORTUNITY OF BEING HEARD TO THE ASSESSEE. 5. NONE APPEARED ON BEHALF OF THE REVENUE. REQUEST FOR ADJOURNMENT WAS FORWARDED WHICH WAS FOUND UNNECESSA RY CONSIDERING FACTS OF THE CASE THEREFORE, REQUEST FO R ADJOURNMENT WAS REJECTED. 6. AFTER CONSIDERING FACTS OF THE CASE IN THE LIGHT OF THE SUBMISSION OF LD. COUNSEL FOR THE ASSESSEE, I AM OF THE VIEW THE MATTER REQUIRES RE-CONSIDERATION AT THE LEVEL O F THE LD. CIT(APPEALS). THE DETAILS NOTED IN THE IMPUGNED OR DER CLEARLY REVEALED THAT NOTICES FOR HEARING OF ALL TH E APPEALS WERE NOT SERVED UPON ASSESSEE BECAUSE THE REMARKS H AVE BEEN MENTIONED EITHER AS UNCLAIMED OR INSUFFICIE NT ADDRESS. IT WOULD MEAN THAT NO NOTICE HAVE BEEN S ERVED UPON ASSESSEE FOR HEARING OF HIS APPEALS. THE LD. CIT(APPEALS) ALSO DID NOT MENTION ANY FACT IN THE A PPELLATE ORDER IF THE NOTICES HAVE BEEN SERVED UPON ASSESSEE . IN THE ABSENCE OF ANY DETAIL NOTED WITH REGARD TO SERVICE UPON ASSESSEE, I AM OF THE VIEW ASSESSEE HAS NOT BEEN AF FORDED REASONABLE SUFFICIENT OPPORTUNITY OF BEING HEARD OF HIS APPEALS. THEREFORE, MATTER REQUIRES RE-CONSIDERATI ON AT THE LEVEL OF THE LD. CIT(APPEALS). I, ACCORDINGLY, SET ASIDE THE IMPUGNED ORDERS AND RESTORE ALL THE APPEALS TO THE FILE OF LD. CIT(APPEALS)-2, GURGAON WITH DIRECTION TO RE-DE CIDE ALL THE APPEALS OF THE ASSESSEE STRICTLY ON MERIT BY GI VING REASONABLE SUFFICIENT OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. THE ASSESSEE IS ALSO DIRECTED TO COOPERA TE WITH 4 THE LD. CIT(APPEALS) IN FINALIZATION OF THE MATTER. WITH THESE OBSERVATIONS AND DIRECTION, ALL THE APPEALS O F THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT. SD/- (BHAVNESH SAINI) JUDICIAL MEMBER DATED : 9 TH JANUARY,2017. POONAM COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT(A) 4. THE CIT,DR ASSISTANT REGISTRAR, ITAT CHANDIGARH