SURESH KUMAR JAIN, CHENNAI V. DCIT CORPORATE CIRCLE 3(2), CHENNAI

ITA 1409/CHNY/2019

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 9549 (ITAT-CHENNAI)
• Duration Of Justice: 4 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-09-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: B
• Assessment Year: 2010-2011
• Appeal Filed On: 07-05-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: D DIVAHAR IRS
• Keywords: Salary income; Cost of acquisition; Reasonable cause; Condonation of delay; Capital Gains
• Section: 143(3)

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH : CHENNAI , , BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER ./I.T.A. NOS.1409, 1410 & 1411/CHNY/2019 ! ' / ASSESSMENT YEARS : 2010-11, 2011-12 & 2012-13 SURESH KUMAR JAIN, NO.27, 4A, BLOCK I, COURTYARD APARTMENTS, PYCROFTS GARDEN ROAD, NUNGAMBAKKAM, CHENNAI 600 034. VS. THE DEPUTY COMMISSIONER OF INCOME TAX, CORPORATE CIRCLE 3(2) CHENNAI. [PAN AWHPS 3518C] ( / APPELLANT) ( /RESPONDENT) # $ % / APPELLANT BY : MS. NITHYA SANKARAN, C.A. &' # $ % /RESPONDENT BY : SHRI. D. DIVAHAR, IRS, JCIT ( ) $ * /DATE OF HEARING : 18-09-2019 +,'! $ * /DATE OF PRONOUNCEMENT : 18-09-2019 / O R D E R PER INTURI RAMA RAO , ACCOUNTANT MEMBER: THESE ARE APPEALS FILED BY THE ASSESSEE DIRECTE D AGAINST THE COMMON ORDER OF THE LEARNED COMMISSIONER OF INC OME TAX (APPEALS)-11, CHENNAI (HEREINAFTER CALLED AS CIT( A)) DATED ITA NOS.1409 TO 1411/19 :- 2 -: 28.02.2019 FOR THE ASSESSMENT YEARS 2010-11, 2011- 12 AND 2012- 2013. 2. SINCE, THE IDENTICAL FACTS AND ISSUES ARE INVOLVED IN THESE APPEALS, WE PROCEED TO DISPOSE THE SAME VIDE THIS C OMMON ORDER. 3. FOR THE SAKE OF CONVENIENCE AND CLARITY, THE FACTS RELEVANT TO THE APPEAL IN ITA NO.1409/CHNY/2019 FOR ASSESSMENT YEAR 2010-11 ARE STATED HEREIN. 4. THE ASSESSEE RAISED THE FOLLOWING GROUNDS OF APPEA L: 1. FOR THAT THE ORDER OF THE COMMISSIONER OF INCO ME TAX (APPEALS) IS CONTRARY TO LAW, FACTS AND CIRCUMSTANC ES OF THE CASE TO THE EXTENT PREJUDICIAL TO THE INTEREST OF THE AS SESSEE AND AT ANY RATE IS OPPOSED TO THE PRINCIPLES OF EQUITY, NATURA L JUSTICE AND FAIR PLAY. 2. FOR THAT THE COMMISSIONER OF LNCOME TAX (APPEALS ) FAILED TO APPRECIATE THAT THE ORDER OF THE ASSESSING OFFICER IS WITHOUT JURISDICTION. 3. FOR THAT THE COMMISSIONER OF INCOME TAX (APPEALS ) ERRED IN NOT CONDONING THE DELAY IN FILING THE APPEAL BEFORE HIM. 4. FOR THAT THE COMMISSIONER OF INCOME TAX (APPEAL S) ERRED IN NOT CONSIDERING THE REASONABLE CAUSE SHOWN BY THE A PPELLANT FOR THE DELAY IN FILING THE APPEAL. 5. FOR THAT THE COMMISSIONER OF INCOME TAX (APPEAL S) FAILED TO APPRECIATE THAT THE APPELLANT COULD HAVE DERIVED N O BENEFIT BY FILING THE APPEAL BELATEDLY AND THAT THE SAME COULD NOT HAVE BEEN THE INTENT OF THE APPELLANT. 6. FOR THAT THE CAPITAL GAINS WAS COMPUTED WITHOUT CONSIDERING THE ENTIRE COST OF ACQUISITION AS CLAIMED BY THE AP PELLANT . ITA NOS.1409 TO 1411/19 :- 3 -: 5. THE BRIEF FACTS OF THE CASE ARE AS UNDER: THE APPELLANT IS AN INDIVIDUAL DERIVING INCOME UND ER THE HEADS INCOME FROM SALARY AND INCOME FROM OTHER SOURCES . THE RETURN OF INCOME FOR THE AY 2010-2011 WAS FILED ON 07.09.201 0 DISCLOSING TOTAL INCOME OF F30,12,490/-. AGAINST T HE SAID RETURN OF INCOME, THE ASSESSMENT WAS COMPLETED BY THE ASSES SING OFFICER VIDE ORDER DATED 07.01.2013 PASSED U/S. 143(3) OF THE INCOME TAX ACT, 1961 (FOR SHORT THE ACT) ACCEPTING THE RETURNED INCOME. SUBSEQUENTLY, WHEN ASSESSING OFFICER NOTICED THAT C APITAL GAINS ARISING ON SALE OF PROPERTY VIDE SALE DEED DATED 2 9.01.2010 WAS NOT OFFERED TO TAX. THEREFORE, THE ASSESSING OFFICER I SSUED NOTICE U/S.148 OF THE ACT ON 29.03.2017. AGAINST THE SAID RETURN O F INCOME, THE ASSESSMENT WAS COMPLETED AT TOTAL INCOME OF F41,30, 710/- VIDE ORDER DATED 20.09.2017. 6. BEING AGGRIEVED, AN APPEAL WAS PREFERRED BEFORE THE LD.CIT(A), WITH DELAY OF 591 DAYS AND ASSESSEE ALSO FILED PETITION PRAYING FOR CONDONATION OF DELAY CITING THAT HE WAS PREOCCUPIED WITH PERFORMING MARRIAGE OF HIS DAUGHTER, BUSINESS EXIG ENCIES ETC., THE LD. CIT(A) HOLDING THAT THE REASONS CITED BY THE AS SESSEE DOES NOT CONSTITUTE REASONABLE CAUSE, THEREFORE CHOOSE NOT TO CONDONE THE DELAY, ACCORDINGLY, DISMISSED THE APPEAL IN LIMINE. ITA NOS.1409 TO 1411/19 :- 4 -: 7. BEING AGGRIEVED BY THE ORDER OF THE LD. CIT(A), TH E APPELLANT IS IN APPEAL BEFORE US IN THE PRESENT APPEAL. LD. A UTHORISED REPRESENTATIVE CONTENTED THAT LD. CIT(A) OUGHT HAVE CONDONED THE DELAY IN FILING THE APPEAL. 8. ON THE OTHER HAND, LD. LD. DEPARTMENTAL REPRESENTA TIVE OPPOSED THE SUBMISSIONS OF THE LD. COUNSEL. 9. WE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATE RIAL ON RECORD. ADMITTEDLY, THE LD. CIT(A) HAD NOT CONDONED THE DELAY HOLDING THAT REASONS CITED DOES NOT CONSTITUTE REASONABLE CAUSE. THE HONBLE JURISDICTIONAL HIGH COURT HELD IN SERIES OF JUDGMEN TS THAT NO APPEAL SHOULD BE DISMISSED IN LIMINE ARE TECHNICALITIES LI KE DELAY ETC. IN THE LIGHT OF THIS SETTLED POSITION OF LAW, WE REMAND TH E ISSUE BACK TO THE FILE OF THE LD. CIT(A) FOR FRESH ADJUDICATION ON TH E MERITS OF THE APPEAL AFTER AFFORDING DUE OPPORTUNITY OF HEARING TO THE A PPELLANT IN ACCORDANCE WITH LAW. HENCE, APPEAL FILED BY THE ASS ESSEE IS PARTLY ALLOWED FOR STATISTICAL PURPOSES. ITA NOS.1410 & 1411/CHNY/2019, FOR ASSESSMENT YEARS 2011-12 AND 2012-2013. 10. SINCE, THE FACTS IN THE PRESENT APPEALS ARE IDENTI CAL TO THE FACTS IN ITA NO.1409/CHNY/2019, FOR ASSESSMENT YEAR 2010-2011, FOR THE REASONS MENTIONED THEREIN, WE PARTLY ALLOW THE APPEALS FOR ITA NOS.1409 TO 1411/19 :- 5 -: STATISTICAL PURPOSE ON THE ABOVE LINES INDICATED IN APPEAL ITA NO.1409/CHNY/2019 SUPRA. HENCE, THE ABOVE CAPTIONED APPEALS FILED BY THE ASSESSEE ARE PARTLY ALLOWED FOR STATISTICAL PURPOSES. 11. TO SUMMARIZE THE RESULTS, THE APPEALS FILED BY THE ASSESSEE IN ITA NOS. 1409, 1410 AND 1411/CHNY2019 FOR ASSESS MENT YEARS 2010-11, 2011-12 AND 2012-2013 ARE PARTLY ALLOWED F OR STATISTICAL PURPOSE. ORDER PRONOUNCED ON 18TH DAY OF SEPTEMBER 2019 , AT CHENNAI. SD/- SD/- ( ) (GEORGE MATHAN) /JUDICIAL MEMBER ( ) (INTURI RAMA RAO) /ACCOUNTANT MEMBER -) / CHENNAI . / DATED:18TH SEPTEMBER, 2019. KV /0 $0& *12032'* / COPY TO: 0 1 . # / APPELLANT 3. 0 ( 4*056 / CIT(A) 5. 278 0& * 9 / DR 2. &' # / RESPONDENT 4. 0 ( 4* / CIT 6. 8:0;) / GF