M/s D.N. Kansal Securities (P) Ltd., Ghaziabad V. ACIT, Meerut

ITA 1743/DEL/2011

• Counselvise Citation: 174320114 RSA 2011
• Duration Of Justice: 7 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-12-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 01-12-2011
• Assessment Year: 2005-2006
• Appeal Filed On: 11-04-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ROHIT GARG
• Assessee Lawyers: DINESH MALHOTRA
• Keywords: Opportunity of being heard; Non compliance

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES: B NEW DELHI BEFORE SMT. DIVA SINGH, JUDICIAL MEMBER AND SHRI K.G.BANSAL, ACCOUNTANT MEMBER ITA NO: 1743/DEL/2011 A.Y. : 2005-2006 M/S D.N.KANSAL SECURITIES (P) LTD. VS. ACIT, CENTRA L CIRCLE GHAZIABAD MEERUT PAN: AAACD 2809F (APPELLANT) (RESPONDENT) APPELLANT BY : SH.DINESH MALHOTRA, ADV. RESPONDENT BY : SH. ROHIT GARG, SR.D.R. O R D E R PER DIVA SINGH, JUDICIAL MEMBER THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST TH E ORDER DT. 17.1.2011 OF CIT(A), MEERUT PERTAINING TO 2005-06 A.YS TAKING VARIOUS GROUNDS. HOWEVER AT THE TIME OF HEARING PARTIES WE RE HEARD ONLY IN REGARD TO GROUND NO.2 WHICH READS AS UNDER. THAT LD.CIT(A) ERRED IN UPHOLDING THE ORDER FRAMED BY THE A.O. WITHOUT PROVIDING PROPER OPPORTUNITY OF BEING HEARD , SPECIALLY WHEN APPELLANT WAS PREVENTED BY SUFFICIENT CAUSE IN MAKING THE COMPLIANCE IN DECEMBER, 2010. 2. A PERUSAL OF THE IMPUGNED ORDER SHOWS THAT VARIO US OPPORTUNITIES WERE AFFORDED BY THE CIT(A) TO THE ASSESSEE AND ON CERTAIN OCCASIONS ADJOURNMENTS WERE SOUGHT AND GRANTED. HOWEVER, DESP ITE THE SAME ON THE FINAL DATE OF HEARING I.E. ON 31.10.2010 NO ON E WAS PRESENT ON BEHALF OF THE ASSESSEE. ACCORDINGLY CONSIDERING THE GROUN DS THE CIT(A) UPHELD ITA 1743/DEL/2011 PAGE 2 OF 3 A.Y. 2005-06 D.N.KANSAL SECURITIES (P) LTD. THE ACTION OF THE A.O. HOLDING THAT IN THE GROUNDS NO RELEVANT FACTS WERE MENTIONED WHICH COULD BE SAID TO ADDRESS THE GRIEVA NCE AGITATED VIDE THE GROUNDS RAISED. AS SUCH IT WAS HELD THAT THE A.O. HAS MADE THE ADDITIONS WITH DUE APPLICATION OF MIND. 3. AGGRIEVED BY THIS THE ASSESSEE IS IN APPEAL BEFO RE US. THE LD.A.R. ADDRESSING GROUND NO.2 SUBMITTED THAT THE NOTICES S ENT BY THE DEPARTMENT WERE BEING RECEIVED BY THE ASSESSEES WI FE, HOWEVER SHE FAILED TO COMMUNICATE THESE TO THE ASSESSEE ON ACCOUNT OF WHICH REASON NON COMPLIANCE HAS OCCURRED. IN THE LIGHT OF THIS FACT LD..A.R. REQUESTED THAT AN OPPORTUNITY OF BEING HEARD MAY BE GRANTED AS TH E ASSESSEE HAD SUFFICIENT CAUSE FOR NOT BEING PRESENT ON THE DATE OF HEARING BEFORE THE CIT(A) AS THE DATE WAS NOT COMMUNICATED TO HIM BY HIS WIFE. THE LD.A.R. GAVE AN ORAL UNDERTAKING BEFORE THE COURT THAT IN THE EVENTUALITY THE APPEAL IS RESTORED THE ASSESSEE WOULD PARTICIPA TE IN THE APPELLATE PROCEEDINGS BEFORE THE CIT(A). 4. HAVING HEARD THE LD.D.R. AND CONSIDERING THE ARG UMENTS ADVANCED, WE ARE OF THE VIEW THAT EXPLANATION OF THE ASSESSEE FOR NON-REPRESENTATION BEFORE THE CIT(A) CAN BE ACCEPTED IN THE INTEREST O F SUBSTANTIAL JUSTICE. ACCORDINGLY IN THE LIGHT OF THE SUBMISSIONS ADVANCE D ON THE MATERIAL AVAILABLE ON RECORD AND TAKING COGNIZANCE OF THE OR AL UNDERTAKING GIVEN BY THE LD.A.R. WE ARE OF THE VIEW THAT IT IS APPROP RIATE TO RESTORE THE ISSUE BACK TO THE FILE OF LD.CIT(A) WITH THE DIRECTION TO DECIDE THE SAME IN ITA 1743/DEL/2011 PAGE 3 OF 3 A.Y. 2005-06 D.N.KANSAL SECURITIES (P) LTD. ACCORDANCE WITH LAW AFTER GIVING THE ASSESSEE A REA SONABLE OPPORTUNITY OF BEING HEARD. 5. IN THE RESULT THE APPEAL OF THE ASSESSEE IS ALL OWED FOR STATISTICAL PURPOSES. PRONOUNCED IN THE OPEN COURT ON 1 ST DECEMBER, 2011 IN THE PRESENCE OF PARTIES AT THE TIME OF HEARING. (K.G.BANSAL ) (DIVA SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 1 ST DECEMBER, 2011 *MANGA COPY OF THE ORDER FORWARDED TO: 1. APPELLANT; 2.RESPONDENT; 3.CIT; 4.CI T(A); 5.DR; 6.GUARD FILE BY ORDER DY. REGISTRAR