Snowhite Apparels Ltd, New Delhi V. DCIT CPC , Bangalore

ITA 1874/DEL/2020

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 8761 (ITAT-DELHI)
• Duration Of Justice: 8 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-07-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2017-2018
• Appeal Filed On: 19-11-2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 143(1)

Judgement Text

IN TH E INCOME TAX APPELLATE TRIBUNAL DELHI BENCH : SMC - 1 : NEW DELHI (THROUGH VIRTUAL HEARING) BEFORE SHRI R. K. PANDA, ACCOUNTANT MEMBER ITA NO . 1874 /DEL/20 20 ASSESSMENT YEAR : 20 1 7 - 18 SNOWHITE APPARELS LTD., C - 93, SOUTH EXTENSION PART 2, NEW DELHI. PAN : AA ACS3557P VS. DCIT, CPC, BANGALORE. (APPELLANT ) (RESPONDENT) A SSESSEE BY : SHRI MUKESH AGGARWAL, CA RE VENUE BY : SHRI RAJESH KUMAR DHANESTA, SR. DR DATE OF HEARING : 2 9 . 0 7 . 20 21 DATE OF PRONOUNCEMENT : 29 . 0 7 . 20 21 ORDER TH IS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE EX PARTE ORDER DATED 18 TH AUGUST, 20 20 OF THE CIT(A) - 8, NEW DELHI, RELATIN G TO ASSESSMENT YEAR 20 1 7 - 18 . 2. ALTHOUGH A NUMBER OF GROUNDS HAVE BEEN RAISED BY THE ASSESSEE, THESE ALL RELATE TO T HE EX PARTE ORDER OF THE CIT(A) IN SUSTAINING THE ADDITION OF RS.2,76,860/ - MADE BY THE AO ON ACCOUNT OF DELAYED DEPOSIT OF EMPLOYEE S CONTRIBUTION TO PF. 3. FACTS OF THE CASE, IN BRIEF, ARE THAT THE ASSESSEE IS A COMPANY ENGAGED IN THE BUSINESS OF TRADI NG OF READYMADE GARMENTS. IT FILED ITS RETURN OF INCOME ON 28 TH ITA NO . 1874 /DEL/20 20 2 OCTOBER, 2017 DECLARING THE TOTAL INCOME AT RS. 8,26,280/ - . THE RETURN OF INCOME WAS DULY PROCESSED BY CPC, BANGALORE ON 16 TH MARCH, 2019 AT AN INCOME OF RS.15,01,500/ - BY MAKING VARIOUS DISAL LOWANCES OUT OF WHICH THE DISALLOWANCE OF RS.2,78,860/ - ON ACCOUNT OF LATE DEPOSIT OF EMPLOYEE S CONTRIBUTION TO PF IS THE ONLY ISSUE RAISED BY THE ASSESSEE IN THE GROUNDS OF APPEAL. 4. I FIND, AGAINST THE INTIMATION U/S 143(1) MAKING THE DISALLOWANCE OF RS. 6 , 7 5,221/ - , THE ASSESSEE FILED AN APPEAL BEFORE THE CIT(A) AND THE CIT(A) DISMISSED THE APPEAL FILED BY THE ASSESSEE BY SUSTAINING THE DISALLOWANCE OF RS.6,75,221/ - MADE BY THE CPC. ALTHOUGH THERE WERE TWO DISALLOWANCES I.E., DISALLOWANCE OF RS.2,76,86 0/ - ON ACCOUNT OF LATE DEPOSIT OF EMPLOYEE S CONTRIBUTION TO PF AND RS.3,98,361/ - U/S 37 OF THE ACT, THE ASSESSEE HAS FILED APPEAL AGAINST DISALLOWANCE OF RS.2,76,860/ - ON ACCOUNT OF DELAYED DEPOSIT OF EMPLOYEE S CONTRIBUTION TO PF. I FIND, DUE TO NON - AP PEARANCE OF THE ASSESSEE BEFORE THE CIT(A), DESPITE TWO OPPORTUNITIES GRANTED, THE LD.CIT(A), IN THE EX PARTE ORDER PASSED BY HIM, HAS SUSTAINED THE ADDITION. IT IS THE SUBMISSION OF THE LD. COUNSEL FOR THE ASSESSEE THAT GIVEN AN OPPORTUNITY, THE ASSESSEE IS IN A POSITION TO SUBSTANTIATE HIS CASE. CONSIDERING THE TOTALITY OF THE FACTS OF THE CASE AND IN THE INTEREST OF JUSTICE, I DEEM IT PROPER TO RESTORE THE ISSUE TO THE FILE OF THE CIT(A) WITH A DIRECTION TO GRANT ONE FINAL OPPORTUNITY TO THE ASSESSEE T O SUBSTANTIATE ITS CASE AND DECIDE THE ISSUE AS PER FACT AND LAW. THE ASSESSEE IS ALSO HEREBY DIRECTED TO APPEAR BEFORE THE CIT(A) AND SUBSTANTIATE ITS CASE WITHOUT SEEKING ANY ADJOURNMENT UNDER ANY PRETEXT, FAILING WHICH THE ITA NO . 1874 /DEL/20 20 3 LD.CIT(A) IS AT LIBERTY TO PA SS APPROPRIATE ORDER AS PER LAW. I HOLD AND DIRECT ACCORDINGLY. THE GROUNDS RAISED BY THE ASSESSEE ARE ACCORDINGLY ALLOWED FOR STATISTICAL PURPOSES. 5 . IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. P RONOUNCED IN THE OPEN COURT AT THE TIME OF HEARING ITSELF, I.E., ON 2 9 .07 .20 21 . SD/ - ( R. K. PANDA ) ACCOUNTANT MEMBER DATED: 29 TH JULY, 2021. DK COPY FORWARDED TO 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR ASSTT. REGISTRAR, ITAT, NEW DELHI