DCIT NON CORPORATE CIRCLE 2(1), CHENNAI V. PLAZA REALITIES, CHENNAI

ITA 1646/CHNY/2019

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 5731 (ITAT-CHENNAI)
• Duration Of Justice: 4 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-10-2019
• Appeal Filed By: Department
• Order Result: Allowed
• Bench Allotted: D
• Assessment Year: 2009-2010
• Appeal Filed On: 27-05-2019
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: R ANITHA
• Keywords: Set aside; Capital Gains

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH, CHENNAI . . . , !' #, % !& BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI RAMIT KOCHAR, ACCOUNTANT MEMBER ./ ITA NO.1646/CHNY/2019 ) *) / ASSESSMENT YEAR : 2009-10 THE DEPUTY COMMISSIONER OF INCOME TAX, NON-CORPORATE CIRCLE 2(1), CHENNAI - 600 034. V. M/S PLAZA REALITIES, PLAZA HOUSE, NO.5, THIRUMURTHY STREET, T. NAGAR, CHENNAI - 600 017. PAN : AAIFP 3644 F (,-/ APPELLANT) (./,-/ RESPONDENT) ,- 0 1 / APPELLANT BY : NONE ./,- 0 1 / RESPONDENT BY : MS. R. ANITHA, JCIT 2 0 '% / DATE OF HEARING : 16.09.2019 3#* 0 '% / DATE OF PRONOUNCEMENT : 01.10.2019 / O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER : THIS APPEAL OF THE REVENUE IS DIRECTED AGAINST TH E ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS) -2, CHENNA I, DATED 25.03.2019 AND PERTAINS TO ASSESSMENT YEAR 2009-10. 2 I.T.A. NO.1646/CHNY/19 2. NO ONE APPEARED FOR THE ASSESSEE EVEN AFTER SERV ICE OF NOTICE BY RPAD. THEREFORE, WE HEARD THE LD. DEPART MENTAL REPRESENTATIVE AND PROCEEDED TO DISPOSE THE APPEAL ON MERIT. 3. MS. R. ANITHA, THE LD. DEPARTMENTAL REPRESENTATI VE, SUBMITTED THAT THE ASSESSEE HAD FILED THE RETURN OF INCOME OF SHRI SURESH VEERASWAMI FOR THE ASSESSMENT YEAR 2005-06, WHEREIN HE ADMITTED CAPITAL GAINS AND THE BALANCE WAS CLAIMED TO HAVE BEEN OWNED BY THE OTHERS IN CONNECTION WITH THE PERUNGUD I LAND OF 2.35 ACRES. ACCORDING TO THE LD. D.R., THIS RETURN OF I NCOME OF SHRI SURESH VEERASWAMI FOR THE ASSESSMENT YEAR 2005-06 W AS NOT AVAILABLE BEFORE THE ASSESSING OFFICER AT THE TIME OF ASSESSMENT. THIS IS A NEW MATERIAL FILED BEFORE THE CIT(APPEALS ). ACCORDING TO THE LD. D.R., THE CIT(APPEALS) WITHOUT GIVING ANY O PPORTUNITY TO THE ASSESSING OFFICER, ALLOWED THE CLAIM OF THE ASSESSE E, IN VIOLATION OF THE PROVISIONS OF RULE 46A OF INCOME-TAX RULES, 196 2. THEREFORE, THE LD. D.R. SUBMITTED THAT THE MATTER MAY BE REMIT TED BACK TO THE FILE OF THE ASSESSING OFFICER FOR RECONSIDERATION. 4. HAVING HEARD THE LD. D.R., WE PERUSED THE RELEVA NT MATERIAL AVAILABLE ON RECORD. AT PARA 4.1.1 OF THE IMPUGNED ORDER OF THE CIT(APPEALS), THE RETURN FILED BY SHRI SURESH VEERA SWAMI FOR THE 3 I.T.A. NO.1646/CHNY/19 ASSESSMENT YEAR 2005-06 WAS REFERRED WHEREIN IT WAS SAID TO BE CLAIMED THAT HE ADMITTED THE CAPITAL GAINS AND ALSO CLAIMED THAT THE BALANCE WAS CLAIMED TO HAVE BEEN OWNED BY THE OTHER S. THIS FACTUAL ASPECT AND COPY OF THE RETURN OF INCOME IS A NEW MATERIAL FILED BEFORE THE CIT(APPEALS) BY THE ASSESSEE. THE CIT(APPEALS) WITHOUT GIVING ANY OPPORTUNITY TO THE ASSESSING OFF ICER, ADMITTED THE SAME AND ALSO ALLOWED THE CLAIM OF THE ASSESSEE WIT HOUT ANY VERIFICATION. THEREFORE, THIS TRIBUNAL IS OF THE C ONSIDERED OPINION THAT THERE IS A CLEAR VIOLATION OF RULE 46A OF INCO ME-TAX RULES, 1962. HENCE THE MATTER NEEDS TO BE RECONSIDERED. ACCORDI NGLY, ORDERS OF BOTH THE AUTHORITIES BELOW ARE SET ASIDE AND THE EN TIRE ISSUE IS REMITTED BACK TO THE FILE OF THE ASSESSING OFFICER. THE ASSESSING OFFICER SHALL RE-EXAMINE THE MATTER IN THE LIGHT OF THE MATERIAL THAT WAS FILED BEFORE THE CIT(APPEALS) AND THEREAFTER DE CIDE THE ISSUE AFRESH IN ACCORDANCE WITH LAW, AFTER GIVING A REASO NABLE OPPORTUNITY TO THE ASSESSEE. 5. IN THE RESULT, THE APPEAL FILED BY THE REVENUE I S ALLOWED FOR STATISTICAL PURPOSES. 4 I.T.A. NO.1646/CHNY/19 ORDER PRONOUNCED IN THE COURT ON 1 ST OCTOBER, 2019 AT CHENNAI. SD/- SD/- ( !' #) ( . . . ) (RAMIT KOCHAR) (N.R.S. GANESAN) % / ACCOUNTANT MEMBER /JUDICIAL MEMBER /CHENNAI, 5 /DATED, THE 1 ST OCTOBER, 2019. KRI. 0 .' 6 76*' /COPY TO: 1. ,- /APPELLANT 2. ./,- /RESPONDENT 3. 2 8' () /CIT(A)-2, CHENNAI 4. PRINCIPAL CIT-1, CHENNAI 5. 69 .' /DR 6. ) : /GF.