M/S ARANDI INVESTMENT PVT LTD , MUMBAI V. INCOME TAX OFFICER WARD 3(1)(1), MUMBAI

ITA 1707/MUM/2023

AI Insights

This case involves an appeal by M/s. Arandi Investment Pvt. Ltd. against the order of the CIT(A)/NFAC, which was dated 18.03.2023 for the assessment year 2013-14. The primary contention raised by the assessee was the lack of a reasonable and proper opportunity to present its case before the CIT(A). The tribunal noted that despite multiple opportunities given to the assessee to submit its written submissions and documents, the assessee failed to do so. However, considering the circumstances of the COVID-19 pandemic and the migration of the appeal to NFAC, the tribunal found merit in the assessee's grievance regarding the opportunity to be heard. Consequently, the tribunal set aside the CIT(A)'s order and remanded the matter back for a fresh decision.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 124776 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-08-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 07-08-2023
• Assessment Year: 2013-2014
• Appeal Filed On: 15-05-2023
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, MUMBAI BEFORE SHRI ABY T. VARKEY, JM AND SHRI AMARJIT SINGH, AM आयकर अपील सं/ I.T.A. No.1707/Mum/2023 (निर्धारण वर्ा / Assessment Years: 2013-14) M/s. Arandi Investment Pvt. Ltd. 614 Tulsiani Chambers Nariman Point, Mumbai- 400021. बिधम/ Vs. ITO, Ward-3(1)(1) Mumbai-400020. स्थधयी लेखध सं./जीआइआर सं./PAN/GIR No. : AABCA1755C (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) सुनवाई की तारीख / Date of Hearing: 08/08/2023 घोषणा की तारीख /Date of Pronouncement: 21/08/2023 आदेश / O R D E R PER ABY T. VARKEY, JM: This is an appeal preferred by the assessee company against the order of the Ld. Commissioner of Income Tax (Appeals)/NFAC, Delhi dated 18.03.2023 for assessment year 2013-14. 2. None appeared for the assessee. However, we take note of the ground no. 3 wherein the assessee has raised following ground: - “3. That there was no reasonable and proper opportunity was given to the assessee company by Ld. CIT(A)/National Faceless Appeal Center, Delhi.” 3. Brief facts on the aforesaid ground of appeal is that the Ld. CIT(A) has taken note at para no. 3 of his impugned order that the assessee was granted time to furnish written submission and documents in support of its ground of appeal. But assessee failed to file it despite seven (7) opportunities given to it. Therefore, the Ld. CIT(A) has proceeded to pass the impugned order. It must be borne in Assessee by: None Revenue by: Shri Manoj Kumar Sinha (Sr. AR) ITA No.1707/Mum/2023 A.Y. 2013-14 M/s. Arandi Investment Pvt. Ltd. 2 mind that if an assessee is aggrieved by the assessment order framed by the AO, then, he has a statutory right to file an appeal against the same before the First Appellate Authority/Ld. CIT(A)/NFAC. And the Ld. CIT(A) has to pass the order on merit after hearing the assessee. In this case, the assessment order is dated 22.03.2016 and the Ld. CIT(A) has passed the impugned order on 18.03.2023. It is further noted that the assessee had filed the appeal before the Ld. CIT(A) on 13.06.2016 and the same was later on migrated to the NFAC in 2020. And it is noted that the notices were issued after the migration on 23.12.2020, 24.02.2021 and 03.02.2022 (which were during the period of Covid-19 period). And thereafter only one notice was issued on 11.01.2023 and thereafter the impugned order has been passed on 18.03.2023. Thus, it is noted that except the notice issued on 11.01.2023, the other notices has been issued (after migrating to the NFAC) during the midst of Covid-19 pandemic period. Therefore, we find force in the ground no. 3 of the assessee that assessee didn’t set proper opportunity to present its case before the Ld. CIT(A). And therefore, we set aside the impugned order of the Ld. CIT(A) and restore the matter back to the file of the Ld. CIT(A). And the assessee is directed to file its written submission and other documents in support of grounds of appeal within time and if advised to do so, and utilize the opportunity of hearing (through video conferencing) in accordance to law. And the Ld. CIT(A) to pass a speaking order on the grounds of appeal after giving proper opportunity to assessee. ITA No.1707/Mum/2023 A.Y. 2013-14 M/s. Arandi Investment Pvt. Ltd. 3 4. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the open court on this 21/08/2023. Sd/- Sd/- (AMARJIT SINGH) (ABY T. VARKEY) ACCOUNTANT MEMBER JUDICIAL MEMBER मुंबई Mumbai; दिनांक Dated : 21/08/2022. Vijay Pal Singh, (Sr. PS) आदेश की प्रनिनलनि अग्रेनर्ि/Copy of the Order forwarded to : 1. अपीलार्थी / The Appellant 2. प्रत्यर्थी / The Respondent. 3. आयकर आयुक्त / CIT 4. दवभागीय प्रदतदनदि, आयकर अपीलीय अदिकरण, मुंबई / DR, ITAT, Mumbai 5. गार्ड फाईल / Guard file. आदेशधिुसधर/ BY ORDER, सत्यादपत प्रदत //True Copy// उि/सहधयक िंजीकधर /(Dy./Asstt. Registrar) आयकर अिीलीय अनर्करण, मुंबई / ITAT, Mumbai