M/s. Enar Industrial Enterprises Limited, Kolkata V. ITO, Ward-8(2), Kolkata, Kolkata

ITA 1631/KOL/2019

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 2436 (ITAT-KOLKATA)
• Duration Of Justice: 1 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-09-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2014-2015
• Appeal Filed On: 08-07-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ROBIN CHOUDHUR Y
• Assessee Lawyers: A K KOCHAR
• Keywords: Opportunity of being heard; Set aside

Judgement Text

1 ITA NO. 1631/KOL/2019 M/S. ENAR INDUSTRIAL ENTERPRISE S LTD., AY- 2014-15 , A , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH: KOL KATA ( ) . . , . , ) [BEFORE SHRI A. T. VARKEY, JM & DR. A. L. SAINI, A M] I.T.A. NO. 1631/KOL/2019 ASSESSMENT YEAR: 2014-15 M/S. ENAR INDUSTRIAL ENTERPRISES LTD. (PAN: AABCE1919Q) VS. INCOME-TAX OFFICER, WARD-8(3), KOLKATA APPELLANT RESPONDENT DATE OF HEARING 19.07.2019 DATE OF PRONOUNCEMENT 04.09.2019 FOR THE APPELLANT SHRI A. K. KOCHAR, AR FOR THE RESPONDENT SHRI ROBIN CHOUDHURY, ADDL. CIT, DR ORDER PER SHRI A. T. VARKEY, JM: THIS APPEAL PREFERRED BY THE ASSESSEE IS AGAINST TH E ORDER OF THE LD. CIT(A)-15, KOLKATA DATED 27.03.2019 FOR AY 2012-13. 2. THE RETURN OF INCOME FOR THE YEAR UNDER CONSIDER ATION WAS FILED BY ASSESSEE ON 27.11.2014 DECLARING TOTAL INCOME OF RS .23,01,159/-. DURING THE COURSE OF ASSESSMENT PROCEEDINGS, NOTICE U/S. 1 33(6) OF THE INCOME-TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT) WA S ISSUED TO FEW SUNDRY CREDITORS. FROM THE REPLY OF THE SAID SUNDRY CREDI TORS THE AO OBSERVED CERTAIN DISCREPANCY IN RESPECT OF THREE SUNDRY CRED ITORS I.E. M/S. TATA MOTORS LTD., M/S. INDICO MOTORS PVT. LTD. AND M/S. TATA MOTORS LTD. (RECON ENGINE A/C) TOTALING TO RS.30,68,448/-. DURING THE COURSE OF ASSESSMENT PROCEEDINGS, THE LD. AR OF THE ASSESSEE WAS ASKED B Y AO TO RECONCILE THE DISCREPANCIES OF RS.30,68,448/- AND ALSO SHOW CAUSE D AS TO WHY THE DISCREPANCY SHOULD NOT BE ADDED BACK TO THE TOTAL I NCOME OF THE ASSESSEE. THE ASSESSEE FILED ITS REPLY WHICH IS REPRODUCED AT PAGE 2 AND 3 OF THE ASSESSMENT ORDER. HOWEVER, THE EXPLANATION OF THE LD. AR OF THE ASSESSEE WAS NOT ACCEPTABLE TO THE AO. HENCE, AN AMOUNT OF RS.30,68,488/- WAS ADDED BACK BY THE AO TO ASSESSEES TOTAL INCOME. A GAINST THE ORDER PASSED BY THE ASSESSING OFFICER UNDER SECTION 143(3), AN A PPEAL WAS PREFERRED BY THE ASSESSEE BEFORE THE LD. CIT(APPEALS) AND SINCE THERE WAS NO COMPLIANCE ON THE PART OF THE ASSESSEE TO THE NOTICES ISSUED B Y HIM FIXING THE SAID 2 ITA NO. 1631/KOL/2019 M/S. ENAR INDUSTRIAL ENTERPRISE S LTD., AY- 2014-15 APPEAL FOR HEARING FROM TIME TO TIME, THE LD. CIT(A PPEALS) DISMISSED THE APPEAL OF THE ASSESSEE VIDE HIS APPELLATE ORDER DAT ED 27.03.2019 PASSED EX-PARTE. AGGRIEVED BY THE ORDER OF THE LD. CIT(APP EALS), THE ASSESSEE HAS PREFERRED THIS APPEAL BEFORE THE TRIBUNAL. 3. WE HAVE HEARD THE ARGUMENTS OF BOTH THE SIDES AN D ALSO PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD. THE LD. COUN SEL FOR THE ASSESSEE HAS SUBMITTED THAT THE NOTICES ISSUED BY THE LD. CIT(AP PEALS) FIXING THE APPEAL OF THE ASSESSEE FOR HEARING WERE NEVER RECEIVED BY THE ASSESSEE AND, THEREFORE, COULD NOT BE COMPLIED WITH. SINCE ASSESS EE WAS NOT PRESENT BEFORE THE LD. CIT(A), HE HAS DISMISSED THE APPEAL OF THE ASSESSEE EX PARTE WITHOUT GOING INTO THE MERITS OF THE APPEAL PREFERR ED BEFORE HIM. SINCE THE LD. CIT(A) HAS NOT PASSED THE APPELLATE ORDER ON ME RITS AND THE LD. AR HAS PRAYED THAT HE MAY BE GIVEN ONE MORE CHANCE TO PRES ENT THE CASE BEFORE THE LD. CIT(A), WE ARE INCLINED TO RESTORE THE APPE AL BEFORE THE LD. CIT(A). THE LD. D.R. HAS ALSO NOT RAISED ANY OBJECTION FOR SENDING THE MATTER BACK TO THE LD. CIT(A) . WE, THEREFORE, SET ASIDE THE IM PUGNED ORDER PASSED BY THE LD. CIT(APPEALS) AND RESTORE THE MATTER TO THE FILE OF THE LD. CIT(A) FOR DECIDING THE SAME AFRESH AFTER GIVING PROPER AND SU FFICIENT OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. THE LD. AR TO GIVE THE CORRECT ADDRESS FOR COMMUNICATION OF NOTICE TO THE OFFICE OF LD. CIT(A) . 4. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS TRE ATED AS ALLOWED FOR STATISTICAL PURPOSES. ORDER IS PRONOUNCED IN THE OPEN COURT ON 4TH SEPT EMBER, 2019. SD/- SD/- (DR. A. L. SAINI) (ABY. T. VARKEY) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 4TH SEPTEMBER, 2019 JD.(SR.P.S.) 3 ITA NO. 1631/KOL/2019 M/S. ENAR INDUSTRIAL ENTERPRISE S LTD., AY- 2014-15 COPY OF THE ORDER FORWARDED TO: 1. APPELLANT M/S. ENAR INDUSTRIAL ENTERPRISES LTD., 9A, 9 TH FLOOR, POONAM BUILDING, 5/2, RUSSEL STREET, PARK STREET, K OLKATA-700 071. 2 RESPONDENT ITO, WARD-8(2), KOLKATA. 3. 4. CIT(A)-15, KOLKATA (SENT THROUGH E-MAIL) CIT-, , KOLKATA 5. DR, ITAT, KOLKATA. (SENT THROUGH E-MAIL) / TRUE COPY, BY ORDER, ASSISTANT REGISTRAR