M/s. Dilwara Leasing & Investment Ltd., Delhi V. ITO, New Delhi

ITA 1920/DEL/2014

• Counselvise Citation: [2015] 121 COUNSELVISE.COM (IT) 0133 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 2 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-06-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC 2
• Next Hearing Date: 29-06-2015
• Assessment Year: 2007-2008
• Appeal Filed On: 02-04-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P D TAN EJA
• Assessee Lawyers: T R TALWAR
• Keywords: Opportunity of being heard

Judgement Text

IN TH E INCOME TAX APPELLATE TRIBUNAL DELHI BENCH NEW DELHI BEFORE SHRI I.C. SUDHIR , ACCOUNTANT MEMBER (SMC - 2) ITA NO . 19 20 / DEL / 201 4 ASSESSMENT YEAR : 20 0 7 - 20 08 M/S DILWARA LEASING & INVESTMENT LTD. VS. ITO WARD 10(3), 4034, CHAWRI BAZAR, NEW DELHI DEL HI - 110006 (APPEL LANT) (RESPONDENT) DATE OF HEARING : 29 .0 6 .2015 DATE OF PRONOUNCEMENT : 30 .06 . 2015 A SSESSEE BY : SRI T.R. TALWAR, ADVOCATE RESPONDENT BY: SRI P.D. TANEJA, SR. D.R. ORDER 1 . THIS APPEAL FILED BY THE ASSESSEE IS DIREC TED AGAINST THE ORDER OF CIT(A) - V, NEW DELHI PASSED ON 07 .0 1 .20 1 3 FOR THE ASSESSMENT YEAR 20 07 - 08 WHEREIN THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS OF APPEAL: - 1. IN MAKING AN ADDITION OF RS.5,01,012/ - ON ACCOUNT OF ALLEGED INTEREST FREE LOA N TO A BODY CORPORATE WHEN THE SAME WAS FOR FINANCING IN REAL ESTATE, BEING THE APPELLANT BUSINESS. 2. IN NOT PROVIDING EFFECTIVE OPPORTUNITY TO REPRESENT THE CASE. 2. THE LD. AR SUBMITTED THAT DUE TO SOME COMMUNICATION GAP BETWEEN THE ASSESSEE AND HIS COUNSEL THE FIRST APPEAL WAS NOT PROPERLY REPRESENTED AND NOTING DOWN THE SEVERAL DATES FIXED FOR HEARING AND ISSUANCE OF NOTICES FOR THE SAME, THE LD. CIT(A) DISMISSED THE APPEAL BY FOLLOWING THE DECISION OF THE TRIBUNAL IN THE CASE OF CIT VS. MULTIPLAN I NDIA PVT. LTD. REPORTED IN 38 ITD 320 (DEL). THE LD. ITA NO 1920 /DEL/1 4 2 AR SUBMITTED FURTHER THAT IN CASE THE ASSESSEE OR HIS COUNSEL WAS NOT ABLE TO APPEAR BEFORE THE LD. CIT(A) ON THE DATE FIXED, THE LD. CIT(A) WAS SUPPOSED TO DECIDE THE APPEAL EX - PARTE ON THE BASIS OF MAT ERIAL AVAILABLE ON RECORD. 3. THE LD. DR ON THE OTHER HAND, OPPOSED THE APPEAL WITH THIS CONTENTION THAT THE ASSESSEE DOES NOT DESERVE ANY RELIEF SINCE DESPITE AMPLE OPPORTUNITIES AFFORDED TO IT, THE ASSESSEE DID NOT BOTHER TO AVAIL IT BEFORE THE LD. CIT( A). 4. CONSIDERING THE ABOVE SUBMISSION , I AGREE WITH THE CONTENTION OF THE LD. DR THAT THE ASSESSEE DOES NOT DESERVE ANY RELIEF SINCE DESPITE SEVERAL OPPORTUNITIES AFFORDED BY THE LD. CIT(A) TO IT , THE ASSESSEE DID NOT AVAIL IT BUT AT THE SAME TIME THERE IS ALSO SUBSTANCE IN THE CONTENTION OF THE LD. AR THAT EVEN IN CASE OF EX - PARTE PROCEEDING THE LD. CIT(A) WAS SUPPOSED TO DECIDE THE APPEAL ON MERITS ON THE BASIS OF MATERIAL AVAILABLE ON RECORD INSTEAD OF DISMISSING THE SAME IN DEFAULT. I, THUS, IN THE INTEREST OF JUSTICE , SET ASIDE THE MATTER TO THE FILE OF THE LD. CIT(A) WITH DIRECTION TO DECIDE THE FIRST APPEAL AFRESH ON ITS MERIT AFTER AFFORDING OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. THE ASSESSEE IS ALSO DIRECTED TO COOPERATE WITH THE LD. CIT(A) IN THE PROCEEDINGS . 5. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. (ORDER PRONOUNCED IN THE OPEN COURT ON 30.06.2015 ) SD/ - ( I.C. SUDHIR ) JUDICIAL MEMBE R DATED: 30.06. 201 5 . AKS ITA NO 1920 /DEL/1 4 3 COPY FORWARDED TO 1 . APPELLANT 2 . RESPONDENT 3 . CIT 4 . CIT(A) 5. DR ASST . REGISTRAR, ITAT, NEW DELHI