Manuel Anand David, CHENNAI V. ITO, CHENNAI

ITA 1370/CHNY/2015

• Counselvise Citation: [2015] 140 COUNSELVISE.COM (IT) 96148 (ITAT-CHENNAI)
• Duration Of Justice: 3 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-09-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 19-08-2015
• Assessment Year: 2010-2011
• Appeal Filed On: 03-06-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR B NISCHAL
• Assessee Lawyers: K L JAIN
• Keywords: Additional evidence
• Section: 143(3); 142(1)

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL , B B ENCH, CHENNAI . , ' $ , % ' BEFORE SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER AND SHRI CHALLA NAGENDRA PRASAD, JUDICIAL MEMBER ./ I.T.A.NO.1370/MDS/2015 ( / ASSESSMENT YEAR: 2010-11) MR. MANUEL ANAND DAVID, C-11, VENKATERAMAN ROAD, PERIYAR NAGAR, CHENNAI-600 082. VS THE INCOME TAX OFFICER, BUSINESS WARD-XIII(2), CHENNAI-34. PAN:AGXPD9534D ( /APPELLANT) ( /RESPONDENT) / APPELLANT BY : MR. K.L.JAIN, C.A. /RESPONDENT BY : DR.B.NISCHAL, JCIT /DATE OF HEARING : 19 TH AUGUST, 2015 /DATE OF PRONOUNCEMENT : 23 RD SEPTEMBER, 2015 / O R D E R PER CHALLA NAGENDRA PRASAD, JM: THIS APPEAL IS FILED BY THE ASSESSEE AGAINST THE OR DER OF THE COMMISSIONER OF INCOME TAX (APPEALS) DATED 09.0 3.2015 FOR THE ASSESSMENT YEAR 2010-11. THE ASSESSEE RAIS ED SEVERAL GROUNDS IN HIS APPEAL. THE ASSESSEE RAISED A PRELIMINARY GROUND CHALLENGING THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS) IN NOT ADMITTI NG THE ADDITIONAL EVIDENCES PRODUCED BY THE ASSESSEE. 2. COUNSEL FOR THE ASSESSEE SUBMITS THAT THE ASSESS ING OFFICER HAS TAKEN UP ASSESSMENT AT THE FAG END OF T HE YEAR 2 ITA NO.1370/MDS/2015 AND MADE ADDITIONS WITHOUT GIVING ADEQUATE OPPORTUN ITY TO THE ASSESSEE TO FURNISH THE DETAILS. IN THE COURSE OF PROCEEDINGS BEFORE THE COMMISSIONER OF INCOME TAX (APPEALS). THE ASSESSEE PRODUCED ADDITIONAL EVIDENC ES IN THE FORM OF PAPER BOOK WHICH WAS NOT ADMITTED BY THE COMMISSIONER OF INCOME TAX (APPEALS). THE COUNSEL S UBMITS THAT THERE IS NO JUSTIFICATION IN NOT ADMITTING THE ADDITIONAL EVIDENCES PRODUCED BY THE ASSESSEE, WHEN THERE IS L ACK OF OPPORTUNITY BEFORE THE ASSESSING OFFICER TO PRODUCE THE MATERIALS. COUNSEL SUBMITS THAT ASSESSING OFFICER H AS NOT GIVEN ADEQUATE OPPORTUNITY TO THE ASSESSEE THAT IS THE REASON WHY ASSESSEE COULD NOT PRODUCE MATERIALS IN SUPPORT OF HIS SUBMISSIONS IN TIME. THE COMMISSIONER OF INCOME TAX (APPEALS) WITHOUT APPRECIATING THE SUBMISSIONS OF T HE ASSESSEE PASSED ORDER WITHOUT ADMITTING ADDITIONAL EVIDENCES WHICH IS NOT JUSTIFIED. 3. DEPARTMENTAL REPRESENTATIVE SUBMITS THAT IN THE COURSE OF APPELLATE PROCEEDINGS COMMISSIONER OF INC OME TAX (APPEALS) CALLED FOR REMAND REPORT WHEREIN THE ASSESSING OFFICER STATED THAT ADEQUATE OPPORTUNITY HAS BEEN PROVIDED TO THE ASSESSEE AND THUS NO ADDITIONAL E VIDENCES 3 ITA NO.1370/MDS/2015 BE ADMITTED. BASED ON SUCH REMAND REPORT, COMMISSIO NER OF INCOME TAX (APPEALS) HAS RIGHTLY REJECTED THE ADDIT IONAL EVIDENCES PRODUCED AND DISMISSED THE APPEAL OF THE ASSESSEE AS ADEQUATE OPPORTUNITY WAS PROVIDED TO TH E ASSESSEE FOR FURNISHING INFORMATION. 4. HEARD BOTH SIDES. PERUSED ORDERS OF LOWER AUTHO RITIES AND THE PAPER BOOKS SUBMITTED BY THE ASSESSEE BEFOR E US. IT IS THE SUBMISSION OF THE ASSESSEE THAT ONLY FIVE HE ARING DATES WERE PROVIDED BY THE ASSESSING OFFICER IN THE ORIGI NAL ASSESSMENT PROCEEDINGS AND THE AUTHORIZED REPRESEN TATIVE APPEARED ON FOUR DATES. THE OPPORTUNITY GIVEN BY T HE ASSESSING OFFICER TO PRODUCE THE DOCUMENTS WAS NOT ALL REASONABLE. THE TIME GAP TABLE FURNISHED BY THE ASS ESSEE IS AS UNDER:- S.NO . DATE OF APPEARANCE GAP IN DAYS 1. 19.02.2013 - 2. 25.02.2013 7 3. 28.02.2013 3 4. 01.03.2013 1 5. 04.03.2013( VISITED BUT AO TOLD 3 O RDER PASSED) ___ TOTAL 14_ 5. WE HAVE SEEN FROM THE ASSESSMENT ORDER THAT CASE WAS SELECTED FOR SCRUTINY AND NOTICE UNDER SECTION 143(2) AND 4 ITA NO.1370/MDS/2015 142(1) OF THE ACT WAS ISSUED ON 01.02.2012 AND SUBSEQUENTLY WITH A GAP OF ONE YEAR A NOTICE WAS IS SUED ON 19.02.2013 AND COMPLETED THE ASSESSMENT ON 25.03.20 13 EFFECTIVELY GIVING ONLY FOUR OPPORTUNITIES TO THE A SSESSEE WHICH ACCORDING TO THE ASSESSING OFFICER ARE AMPLE OPPORTUNITY TO THE ASSESSEE. THE ASSESSEE ALSO SUB MITTED BEFORE THE COMMISSIONER OF INCOME TAX (APPEALS) THA T FOR THE ADDITIONAL EVIDENCES PRODUCED, THE MATTER MAY B E REMITTED TO THE ASSESSING OFFICER UNDER RULE 46A W HICH IS PLACED AT PAGE 15 OF THE PAPER BOOK REPORTING THAT NO PROPER OPPORTUNITY WAS GIVEN BY THE ASSESSING OFFICER, THE REFORE REQUESTED FOR ADMISSION OF ADDITIONAL EVIDENCES. H OWEVER, THE COMMISSIONER OF INCOME TAX (APPEALS) SIMPLY ACC EPTING THE CONTENTIONS OF THE ASSESSING OFFICER THAT AMPLE OPPORTUNITIES WERE GIVEN TO THE ASSESSEE AND ADDITI ONAL EVIDENCES NEED NOT BE ADMITTED REJECTED THE ADDITIO NAL EVIDENCES PRODUCED BEFORE HIM STATING THAT PROCEEDI NGS ARE NOT COVERED UNDER EXCEPTION UNDER RULE 46A, WHICH I N OUR VIEW IS NOT PROPER AND JUSTIFIED. TAKING THE TOTAL ITY OF THE FACTS AND CIRCUMSTANCES OF THE CASE INTO CONSIDERATION, W E ARE OF THE CONSIDERED VIEW THAT ASSESSING OFFICER HAS NOT GIVEN 5 ITA NO.1370/MDS/2015 ADEQUATE OPPORTUNITY TO THE ASSESSEE BEFORE COMPLET ION OF ASSESSMENT UNDER SECTION 143(3) OF THE ACT AS HE HA S TAKEN UP THE ISSUE AT THE FAG END OF THE YEAR AND COMPLET ED THE ASSESSMENT IN A HURRIED MANNER. THUS, IN THE INTERE ST OF JUSTICE, WE SET ASIDE THE IMPUGNED ORDER AND REMITT ED THE MATTER BACK TO THE ASSESSING OFFICER FOR DE NOVO AS SESSMENT IN ACCORDANCE WITH LAW, AFTER PROVIDING ADEQUATE OP PORTUNITY TO THE ASSESSEE. THE ASSESSEE IS AT LIBERTY TO FILE ADDITIONAL EVIDENCES BEFORE THE ASSESSING OFFICER TO SUBSTANTI ATE HIS CLAIM WHICH THE ASSESSING OFFICER SHALL CONSIDER AN D PASS AN APPROPRIATE ORDER. 6. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 23 RD SEPTEMBER, 2015. SD/- SD/- ( # ) ( & (# ) ( CHANDRA POOJARI ) ( CHALLA NAG ENDRA PRASAD ) * / ACCOUNTANT MEMBER ( * / JUDICIAL MEMBER ( /CHENNAI, , /DATED 23 RD SEPTEMBER, 2015 SOMU ./ 0/ /COPY TO: 1. APPELLANT 2. RESPONDENT 3. 1 () /CIT(A) 4. 1 /CIT 5. / 5 /DR 6. /GF .