DAGA IONFOCOM P. LTD, MUMBAI V. ITO WD 4(1)(4), MUMBAI

ITA 1497/MUM/2011

• Counselvise Citation: 149719914 RSA 2011
• Duration Of Justice: 9 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-12-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 01-12-2011
• Assessment Year: 2007-2008
• Appeal Filed On: 21-02-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SATBIR SINGH
• Keywords: Corroborative evidences

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES SMC , MUMBAI BEFORE SHIRI RAJENDRA SINGH, A.M. ITA NO. : 1497/MUM/2011 ASSESSMENT YEAR : 2007-08 M/S. DAGA INFOCOM PVT. LTD. 8, MALHARAO WADI, DADI SETH AGIARY LANE, KALBADEVI ROAD, MUMBAI-400 002. PAN NO: AABCD 9604 P VS. ITO, WARD 4(1)(4), AAYKAR BHAWAN, M.K. ROAD, MUMBAI 400 020 (APPELLANT) (RESPONDENT) APPELLANT BY : NONE RESPONDENT BY : SHRI SATBIR SINGH DATE OF HEARING : 01.12.2011 DATE OF PRONOUNCEMENT : 01.12.2011 ORDER PER RAJENDRA SINGH (AM) : THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST TH E ORDER DATED 18.10.2010 OF THE LD. CIT(A)-10 FOR THE ASSESSMENT YEAR 2007-08. THE ONLY DISPUTE RAISED IS REGARDING DISALLOWANCE OF EX PENSES OF `. 1,72,682/- BEING DISCOUNT ON NEW CONNECTION APPLICA TION FORMS. 2. THE FACTS IN BRIEF ARE THAT THE ASSESSEE WHO WAS HAVING FRANCHISE OF RELIANCE WEB STORE HAD CLAIMED EXPENDITURE OF `. 1,72,682/- BEING THE DISCOUNT ON NEW CONNECTION APPLICATION FORMS. T HE AO OBSERVED THAT THE ASSESSEE HAD FURNISHED ONLY THE MONTH-WISE FIGURES WITHOUT ITA NO : 1497/MUM/2011 M/S. DAGA INFOCOM PVT. LTD. 2 ANY SUPPORTING DOCUMENTS. HE, THEREFORE, DISALLOWED THE CLAIM. IN APPEAL, CIT(A) OBSERVED THAT NO ONE APPEARED ON BEH ALF OF THE ASSESSEE ON THE DATE OF HEARING AND, THEREFORE, IN THE ABSEN CE OF ANY PROOF AND SUPPORTING EVIDENCE, HE DISMISSED THE APPEAL. AGGRI EVED BY THE SAID DECISION, THE ASSESSEE IS IN APPEAL BEFORE THE TRIB UNAL. 3. AT THE TIME OF HEARING, NO ONE APPEARED ON BEHAL F OF THE ASSESSEE TO REPRESENT THE CASE. IT IS FOUND THAT THE NOTICE OF HEARING WAS SENT BY RPAD HAS NOT BEEN RETURNED BY THE POSTAL AUTHORITIE S AND, THEREFORE, THE NOTICE IS DEEMED TO HAVE BEEN SERVED. SUBSEQUEN TLY, WHEN THE BENCH DID NOT FUNCTION, THE ASSESSEE WAS INFORMED A BOUT THE NEXT DATE OF HEARING THROUGH THE NOTICE BOARD, BUT NEITHER SO ME ONE HAS APPEARED NOR ANY ADJOURNMENT APPLICATION HAS BEEN F ILED. I, THEREFORE, PROCEED TO DECIDE THE APPEAL ON THE BASIS OF MATERI AL AVAILABLE ON RECORD AND AFTER HEARING THE LD. DR WHO PLACED RELI ANCE ON THE ORDER OF CIT(A). 4. I HAVE PERUSED THE RECORDS AND CONSIDERED THE MA TTER CAREFULLY. THE DISPUTE IS REGARDING DISALLOWANCE OF CLAIM BEIN G THE DISCOUNT ON NEW CONNECTION OF APPLICATION FORMS. THE AO HAD DIS ALLOWED THE CLAIM FOR WANT OF DOCUMENTARY EVIDENCES. IN APPEAL, CIT(A ) HAS MENTIONED THAT NO ONE ATTENDED ON THE DATE OF HEARING. HE HAS NEITHER MENTIONED THE DATE OF HEARING NOR THERE IS ANY FINDING AS TO THE NOTICE OF SERVICE ON THE ASSESSEE. UNDER THESE CIRCUMSTANCES, DISPOSING OF THE APPEAL EX PARTE ORDER IS NOT JUSTIFIED. THE ORDER OF CIT(A), THEREFORE, CANNOT BE SUSTAINED. I, THEREFORE, SET ASIDE THE ORDER OF THE CIT(A) AND RESTORE THE MATTER BACK TO HIM FOR PASSING A FRESH ORDER AFTER GIVING PROPER OPPORTUNITY OF HEARING TO THE ASSESSEE. ITA NO : 1497/MUM/2011 M/S. DAGA INFOCOM PVT. LTD. 3 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED FOR STATISTICAL PURPOSE. THE DECISION WAS PRONOUNCED IN THE OPEN COURT ON TO DAY I.E. 1 ST DECEMBER, 2011. SD/ - ( RAJENDRA SINGH ) ACCOUNTANT MEMBER MUMBAI, DT: 01/12/2011 COPY FORWARDED TO : 1. THE APPELLANT, 2. THE RESPONDENT, 3. THE C.I.T. 4. CIT (A) 5. THE DR, SMC - BENCH, ITAT, MUMBAI //TRUE COPY// BY ORDER ASSISTANT REGISTRAR ITAT, MUMBAI BENCHES, MUMBAI ROSHANI