ASHIMA DYECOT PVT. LTD., Ahmedabad V. THE DCIT, CIRCLE-1, Ahmedabad

ITA 1909/AHD/2009

• Counselvise Citation: 190920514 RSA 2009
• Duration Of Justice: 2 year(s) 6 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-12-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 27-12-2011
• Assessment Year: 2003-2004
• Appeal Filed On: 09-06-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: V R CHOKSI
• Keywords: Opportunity of being heard; Initiation of penalty proceedings

Judgement Text

, , , , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, AHMEDABAD , .. !', #$ # % BEFORE SHRI MUKUL KR.SHRAWAT, JUDICIAL MEMBER AND SHRI B.P.JAIN, ACCOUNTANT MEMBER ./ I.T.A. NO.1909/AHD/2009 ( ' ' ' ' ' ' ' ' / / / / ASSESSMENT YEAR : 2003-04) ASHIMA DYECOT LTD. (FORMERLY KNOWN AS ASHIMA DYECOT PVT.LTD.) TEXCELLANCE COMPLEX KHOKHRA MEHMEDABAD AHMEDABAD 380 021 ' ' ' ' / VS. THE DCIT CIRCLE-1 AHMEDABAD ( #$ ./ ) ./ PAN/GIR NO. :AACCA 2753 K ( (* / // / APPELLANT ) .. ( +,(* / RESPONDENT ) (* - # / APPELLANT BY : SHRI V.R.CHOKSI, A.R. +,(* . - # / RESPONDENT BY : SHRI ABHISHEK KUMAR, SR.D.R. '/ . 0$ / / / / DATE OF HEARING : 27/12/2011 12' . 0$ / DATE OF PRONOUNCEMENT : 27/12/2011 #3 / O R D E R PER SHRI MUKUL KR. SHRAWAT, JUDICIAL MEMBER : THIS IS AN APPEAL AT THE BEHEST OF THE ASSESSEE WH ICH HAS EMANATED FROM THE ORDER OF LEARNED CIT(APPEALS)-VI, AHMEDABAD DATED 26/02/2009 PASSED FOR A.Y. 2003-04. THE ASSESSEE HAS CHALLENGED THE LEVY OF PENALTY U/S.271(1)(C) OF THE I.T.ACT OF RS. 16,50,000/- WHICH WAS CONFIRMED BY THE LEARNED CIT(APPEALS). ITA NO.1909/AHD/2009 ASHIMA DYECOT LTD. VS. DCIT ASST.YEAR 2 003-04 - 2 - 2. FACTS IN BRIEF AS EMERGED FROM THE CORRESPONDING ASSESSMENT ORDER PASSED U/S.143(3) OF THE I.T. ACT, 1961 DATED 31/0 1/2006 AND THE PENALTY ORDER PASSED U/S.271(1)(C) OF THE I.T.ACT, 1961 DA TED 31/03/2008 WERE THAT THE ADDITION IN RESPECT OF WRITE OFF OF RS.44, 89,898/- WAS MADE PERTAINING TO SUNDRY PARTIES AND THAT WAS THE REASO N FOR INITIATION OF PENALTY PROCEEDINGS. THAT DISALLOWANCE IN QUANTUM PROCEEDING WAS CHALLENGED BEFORE THE TRIBUNAL AND RESPECTED CO-ORD INATE BENCH C ITAT AHMEDABAD VIDE ITA NO.798/AHD/2007 FOR A.Y. 20 03-04 TITLED AS ASHIMA DYECOT LTD. AHMEDABAD VS. ASST.CIT, AHMEDAB AD VIDE ORDER DATED 06/11/2009 HAS RESTORED THE MATTER TO THE FIL E OF THE ASSESSING OFFICER WITH CERTAIN DIRECTIONS; RELEVANT PARAGRAPH NO.4 IS REPRODUCED BELOW:- 4. WE HAVE CAREFULLY GONE THROUGH THE ORDERS OF A UTHORITIES BELOW AND PERUSED THE MATERIAL AVAILABLE ON RECORD. IT IS PERTINENT TO NOTE THAT IN PARA 3.1 OF THE IMPUGNED ORDER, THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) NOTED THE AFOR ESAID PLEA OF THE ASSESSEE BUT HAS NOT ADJUDICATED THE SAME. IN THESE CIRCUMSTANCES, WE FIND CONSIDERABLE FORCE IN THE SU BMISSION OF THE LD.D.R. WE ACCORDINGLY SET ASIDE THE IMPUGNED ORDER OF LEARNED COMMISSIONER OF INCOME TAX (APPEALS) AND RESTORE TH E SAME TO THE FILE OF A.O. WITH THE DIRECTION THAT THE LEARNE D COMMISSIONER OF INCOME TAX (APPEALS) WILL RE-ADJUDICATE THE APPE AL OF THE ASSESSEE AFRESH INCLUDING THE PLEA RAISED BEFORE HI M WHICH IS NOTED IN PARA 3.1 & 3.2 OF THE IMPUGNED ORDER AFTER GIVIN G OPPORTUNITY OF BEING HEARD TO BOTH THE SIDES. 3. WE HAVE HEARD THE SUBMISSIONS OF BOTH THE SIDES AND IN THE LIGHT OF THE CONCESSION GRANTED BY THEM, WE HEREBY RESTORE T HE ISSUE OF PENALTY U/S.271(1)(C) OF THE I.T.ACT, BACK TO THE FILE OF T HE ASSESSING OFFICER TO RE-ADJUDICATE DE NOVO AS PER THE OUTCOME OF THE ASSESSMENT PROCEEDINGS ITA NO.1909/AHD/2009 ASHIMA DYECOT LTD. VS. DCIT ASST.YEAR 2 003-04 - 3 - AFRESH AS PER LAW. WE HOLD ACCORDINGLY. GROUND RA ISED BY THE ASSESSEE IS THEREFORE ALLOWED BUT FOR STATISTICAL PURPOSES. 4. IN THE RESULT, ASSESSEES APPEAL IS ALLOWED BUT FOR STATISTICAL PURPOSES. #3 $# 4 ' 5 ! THIS ORDER IS PRONOUNCED IN OPEN COURT ON 27/ 12 /2011 SD/- SD/- ( .. !' ) ( ) #$ ( B.P. JAIN ) ( MUKUL KR. SHRAWAT ) ACCOUNTANT MEMBER JUDICIAL ME MBER 60..', .'../ T.C. NAIR, SR. PS #3 . +7 8#7' #3 . +7 8#7' #3 . +7 8#7' #3 . +7 8#7'/ COPY OF THE ORDER FORWARDED TO : 1. (* / THE APPELLANT 2. +,(* / THE RESPONDENT. 3. 9 / CONCERNED CIT 4. 9() / THE CIT(A)-VI, AHMEDABAD 5. 7<5 +' , , / DR, ITAT, AHMEDABAD 6. 5= >/ / GUARD FILE. #3' #3' #3' #3' / BY ORDER, ,7 + //TRUE COPY// ? ?? ?/ // / ( DY./ASSTT.REGISTRAR) , , , , / ITAT, AHMEDABAD 1. DATE OF DICTATION..27/12/2011 2. DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 27/12/2011 OTHER MEMBER 3. DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR.P. S./P.S.. 4. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE D ICTATING MEMBER FOR PRONOUNCEMENT 5. DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR.P .S./P.S 27/12/2011 6. DATE ON WHICH THE FILE GOES TO THE BENCH CLERK 27/12/2011 7. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK . 8. THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT RE GISTRAR FOR SIGNATURE ON THE ORDER.. 9. DATE OF DESPATCH OF THE ORDER