Hygieia Biogenics (P) Ltd., Kolkata V. A.C.I.T.,Circle-2(2), Kolkata

ITA 183/KOL/2019

• Counselvise Citation: [2020] 110 COUNSELVISE.COM (IT) 8733 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 5 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-07-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Next Hearing Date: 10-06-2020
• Assessment Year: 2014-2015
• Appeal Filed On: 01-02-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: IMOKABA JAMIR
• Keywords: Unexplained cash credit
• Section: 40(a)(ia); 144

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL D (VIRTUAL COURT HEARING), BENCH KOLKATA BEFORE SHRI P.M. JAGTAP, V.P & SHRI S. S. GODARA, JM ./I.T.A NO.183/KOL/2019 ( [ [ / ASSESSMENT YEAR: 2014-15) HYGIEIA BIOGENICS (P) LTD. C/O SUBASH AGARWAL & ASSOCIATES, ADVOCATES SIDDHA GIBSON, 1, GIBSON LANE, SUITE 213, 2 ND FLOOR, KOLKATA 700069. VS. ACIT, CIRCLE-2(2), KOLKATA ./ ./PAN/GIR NO.: AACCH6877K (APPELLANT) .. (RESPONDENT) APPELLANT BY : SHRI SUBASH AGARWAL, ADVOCATE RESPONDENT BY : SHRI IMOKABA JAMIR, CIT / DATE OF HEARING : 10/06/2020 /DATE OF PRONOUNCEMENT : 22/07/2020 / O R D E R PER SHRI S. S. GODARA: THIS ASSESSEES APPEAL FOR ASSESSMENT YEAR 2014-15 ARISES AGAINST THE COMMISSIONER OF INCOME TAX (A) - 12, KOLKATA DATED 18.12.2018 PASSED IN CASE NO.10081/CIT(A)-12/KOL./CIR.2(2)/2018-19 INVOLVING PROCEEDINGS U/S 144 OF THE INCOME TAX ACT, 1961[IN SHORT THE ACT]. HEARD BOTH THE PARTIES. CASE FILE PERUSED. 2. WE NOTICE AT THE OUTSET THAT THE CIT(A)S LOWER APPELLATE ORDER HAS AFFIRMED THE ASSESSING OFFICERS ACTION INTER ALIA ADDING ASSESSEES SHARE CAPITAL/PREMIUM OF RS.22.27 CRORES AS UNEXPLAINED CASH CREDITS, DISALLOWING LONG-TERM LOANS I.T.A NO.183/KOL/2019 HYGIEIA BIOGENICS (P) LTD. PAGE | 2 SQUARED UP DURING THE YEAR AMOUNTING TO RS.5,09,82,295/-, REMITTANCE DISALLOWANCE OF RS.11,86,600/-, ESI/PF DISALLOWANCE OF RS.6,34,194/-, DONATION OF RS.1,00,000/-, SECTION 40(A)(IA) DISALLOWANCE OF RS.4,99,168/- AND DISALLOWANCE OF FILING FEES ALONG WITH PRELIMINARY EXPENSES OF RS.4,76,050/- AND 3,60,000/-; RESPECTIVELY. 3. CASE FILE SUGGESTS THAT ALTHOUGH THE CIT(A)S ORDER HAS MARKED ASSESSEES AUTHORIZED REPRESENTATIVES ATTENDANCE, HAS NOT DISCUSSED ALL THE RELEVANT ISSUES FOLLOWED BY HIS DETAILED DISCUSSION AS CONTEMPLATED U/S 250(6) OF THE ACT. LEARNED DEPARTMENTAL REPRESENTATIVE SUBMITS THAT THE ASSESSEES COUNSEL CHOSE TO APPEAR IN LAST DAY OF HEARING BEFORE THE CIT(A). LEARNED AUTHORIZED REPRESENTATIVE ON THE OTHER HAND HAS INVITED OUR ATTENTION TO THE ASSESSEES DETAILED AFFIDAVIT ON 08.10.19 INDICATING SOME COMMUNICATION GAP WITH ITS COUNSEL WHO COULD NOT APPEAR BEFORE THE CIT(A). BE THAT AS IT MAY, THE FACT REMAINS THAT THE CIT(A)S LOWER APPELLATE ORDER HAS NOT ADJUDICATED ALL THE FOREGOING ISSUES ON MERITS AS PER LAW. WE THEREFORE ARE OF THE VIEW THAT LARGER INTEREST OF JUSTICE WOULD BE MET IN CASE THE MATTER IS RESTORED BACK TO THE CIT(A) FOR HIS LOWER APPELLATE ADJUDICATION. WE ORDER ACCORDINGLY. 4. THIS ASSESSEES APPEAL IS ALLOWED FOR STATISTICAL PURPOSES. ORDER IS PRONOUNCED IN THE OPEN COURT ON 22.07.2020. SD/- ( P. M. JAGTAP ) SD/- (S. S. GODARA) VICE-PRESIDENT JUDICIAL MEMBER /KOLKATA; / DATE:22/07/2020 RS / COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT- HYGIEIA BIOGENICS (P) LTD. 2. THE RESPONDENT- ACIT, CIRCLE-2(2), KOLKATA 3. ( ) / THE CIT(A), KOLKATA [SENT THROUGH EMAIL] I.T.A NO.183/KOL/2019 HYGIEIA BIOGENICS (P) LTD. PAGE | 3 TRUE COPY BY ORDER ASSISTANT REGISTRAR, I.T.A.T, KOLKATA BENCHES, KOLKATA . 4. / CIT 5. , , / DR, ITAT, KOLKATA [SENT THROUGH EMAIL] 6. [ / GUARD FILE.