Neeraj Garg, New Delhi V. CIT(A)-12, New Delhi

ITA 1636/DEL/2019

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 9645 (ITAT-DELHI)
• Duration Of Justice: 7 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-10-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2010-2011
• Appeal Filed On: 27-02-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: EKTA VISHNOI
• Assessee Lawyers: RIDHI KARAN AGGARWAL
• Keywords: Opportunity of being heard; Principle of natural justice; Reassessment proceedings; Set aside
• Section: 143(3); 234B; 147

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: SMC NEW DELHI BEFORE SHRI H. S. SIDHU, JUDICIAL MEMBER I.T.A. NO. 1636/DEL/2019 ASSESSMENT YEAR: 2010-11 NEERAJ GARG, VS. ITO, WARD 34(4) C-25, SHAKTI NAGAR EXTN., NEW DELHI NEW DELHI 110 052 (PAN: AERPG7111H) ( ASSESSEE) (RESPONDENT) ASSESSEE BY : SH. RIDHI KARAN AGGARWAL, CA REVENUE BY : MS. EKTA VISHNOI, SR. DR. ORDER THIS APPEAL IS FILED BY ASSESSEE AGAINST THE ORDER DATED 26.10.2018 PASSED BY THE LD. CIT(A)-12, NEW DELHI RELATING TO ASSESSMENT YEAR 2010-11 ON THE FOLLOWING GROUNDS:- 1. THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE, TH E REASSESSMENT PROCEEDINGS CONCLUDED BY THE AO UNDER SECTION 147 OF THE INCOME TAX ACT, 1961 AND CONFIRM ED BY THE CIT(A) IS WITHOUT SUPPLYING THE REASONS FOR INI TIATING THE PROCEEDINGS AND HENCE, BAD IN LAW AND VOID AB I NITIO. 2. THAT THE CIT(A) HAS ERRED IN LAW AND FACTS IN CONFI RMING THE ADDITION MADE BY THE AO AGGREGATING RS. 11,88,2 00/- FOR AY 2010-11 VIDE ORDER DATED 22.12.2017 PASSED U NDER SECTION 143(3) R.W.S. 147 OF THE ACT, WITHOUT GIVIN G ADEQUATE OPPORTUNITY TO THE APPELLANT TO MAKE SUBMISSIONS. 2.1 THAT THE CIT(A) HAS ERRED IN LAW AND FACTS BY UPHOL DING THE ORDER OF AO WHICH WAS PASSED AGAINST THE PRIN CIPLE OF NATURAL JUSTICE AND HENCE, VOID. 2.2 THAT THE CIT(A) HAS ERRED IN NOT MAKING ANY INDEPENDENT ENQUIRY OR ASKING FOR THE RECEIVED REP ORTS FOR VERIFICATION OF FACTS, WHEN HE HAS GOT WIDE POW ERS. 2 3. THAT THE CIT(A) HAS ERRED IN LAW AND FACTS BY UPHOL DING THE EXPARTE ORDER PASSED BY THE AO. 4. THAT THE CIT(A) HAS ERRED IN LAW AND FACTS IN NOT A LLOWING THE APPELLANT TO PRODUCE THE RELEVANT SUPPORTING DOCUMENTS WHEN THE APPELLANT HAS DOCUMENTS TO SUBSTANTIATE THAT SOURCES OF ALLEGED CASH DEPOSIT AGGREGATING RS. 11,88,200/- WAS OUT OF THE BUSINESS PROCEEDS. 5. THAT THE AO ERRED ON FACTS AND IN LAW IN CHARGING INTEREST UNDER SECTION 234B OF THE ACT. 6. THAT THE AO HAS ERRED IN LAW AND FACTS INITIATING T HE PENALTY PROCEEDINGS UNDER SECTION 271(1)(C). 7. THAT THE APPELLANT CRAVES, LEAVES TO ADD, AMEND, AN D DELETE ANY OTHER GROUNDS OF APPEAL. 2. FACTS NARRATED BY THE REVENUE AUTHORITIES ARE N OT DISPUTED BY BOTH THE PARTIES, HENCE, THE SAME ARE NOT REPEATED HERE FOR THE SAKE OF BREVITY. 3. DURING THE HEARING, LD. COUNSEL FOR THE ASSESSEE HAS STATED THAT LD. CIT(A) HAS NOT GIVEN SUFFICIENT OPPORTUNITY TO THE ASSESSEE FOR SUBSTANTIATING THE CLAIM TO THE ASSESSEE AND PASSE D THE EXPARTE ORDER WITHOUT HEARING THE ASSESSEE. HE FURTHER STATED THAT ASSESSEE IS HAVING ALL THE NECESSARY EVIDENCES FOR SUBSTANTIATING THE CLAIM OF THE ASSESEE. HENCE, HE REQUESTED THAT THE ISSUES IN DISPUTE MAY BE REMITTED BACK TO THE FILE OF THE LD. CIT(A) TO DECIDE THE SAME AFRES H, AS PER LAW AFTER GIVING ADEQUATE OPPORTUNITY OF BEING HEARD TO THE A SSESSEE. 4. ON THE CONTRARY, LD. DR RELIED UPON THE ORDERS OF THE REVENUE AUTHORITIES. 5. I HAVE HEARD BOTH THE PARTIES AND PERUSED THE RE CORDS ESPECIALLY THE ORDERS OF THE REVENUE. NO DOUBT THAT THE ASSES SEE REMAINED NON- COOPERATIVE BEFORE THE LD. CIT(A). LD. COUNSEL FOR THE ASSESSEE UNDERTAKES TO APPEAR BEFORE THE LD. CIT(A) AND WILL COOPERATE IN SPEEDY 3 DISPOSAL OF THE APPEAL AS WELL AS NOT SEEK ANY UN NECESSARY ADJOURNMENT BEFORE THE LD. CIT(A). IN THE INTEREST OF JUSTICE, I SET ASIDE THE ISSUES IN DISPUTE TO THE FILE OF THE LD. CIT(A) FOR HEARING O N 13.01.2020 AT 10.00 AM WITH THE DIRECTIONS TO DECIDE THE SAME AFRESH, AF TER GIVING ADEQUATE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE . IT IS MADE CLEAR THAT NO NOTICE FOR HEARING WILL BE ISSUED BY THE LD . CIT(A). ASSESSEE IS ALSO DIRECTED THROUGH ITS COUNSEL TO APPEAR BEFORE THE LD. CIT(A) ON 13.01.2020 AT 10.00 AM FOR HEARING TO SUBSTANTIATE ITS CASE AND DID NOT TAKE ANY UNNECESSARY ADJOURNMENT IN THE CASE. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE STANDS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED ON 03/10/2019. SD/- [H.S. SIDHU] JUDICIAL MEMBER DATE 03/10/2019 SRB COPY FORWARDED TO: - 1. APPELLANT - 2. RESPONDENT - 3. CIT 4. CIT (A) 5. DR, ITAT TRUE COPY BY ORDER, ASSISTANT REGISTRAR, ITAT, DELHI BENCHES 4