Ganan Mercantile Pvt. Ltd., , Kolkata V. ITO, Ward - 6(2), Kolkata

ITA 1960/KOL/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 4709 (ITAT-KOLKATA)
• Duration Of Justice: 5 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-02-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2012-2013
• Appeal Filed On: 12-09-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SANKAR HALDAR
• Assessee Lawyers: SHHI SUBASH AGARWAL
• Section: 68; 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCH A, KOLKATA BEFORE SH. P.M.JAGTAP, VICE PRESIDENT & SH.S.S.VISWANETHRA RAVI, JUDICIAL MEMBER ITA NO.1960/KOL/2018 (ASSESSMENT YEAR-2012-13) ORDER PER S.S. VISWANETHRA RAVI, JUDICIAL MEMBER THIS APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER DATED 23.01.2018 PASSED BY CIT(A)-7, KOLKATA FOR AY 2012-13 U/S 143(3) OF THE INCOME TAX ACT, 1961 (IN SHORT ACT). 2. HEARD BOTH PARTIES AND PERUSED MATERIAL AVAILABLE ON RECORD. THE SUBSTANTIAL ISSUE RAISED IN THIS APPEAL IS RELATING TO CONFIRMATION OF SHARE CAPITAL RAISED BY THE ASSESSEE AND FOR NON-COMPLIANCE OF NOTICES/SUMMONS BY THE DIRECTORS, PRINCIPAL OFFICER OF THE ASSESSEE AND SHAREHOLDER COMPANIES, THE AO ADDED AN AMOUNT OF RS.3 CRORE ON ACCOUNT OF CASH CREDIT U/S 68 OF THE ACT. IT IS NOTED FROM THE RECORD THAT THE ASSESSEE REMAINED ABSENT BEFORE THE FIRST APPELLATE AUTHORITY. NOW, THE CONTENTION OF THE LD.AR IS THAT THE ISSUE IS INVOLVING THE SHARE CAPITAL RAISED FROM SHAREHOLDERS, THERE WAS NO OPPORTUNITY FOR THE ASSESSEE TO FURNISH DETAILS OF SHARE SUBSCRIBING COMPANIES PRAYED TO REMAND THE MATTER TO THE FILE OF AO FOR HIS FRESH VERIFICATION IN RESPECT OF DETAILS OF SHARES SUBSCRIBING COMPANIES. FURTHER, HE SUBMITTED THAT THE ASSESSEE IS READY TO CO-OPERATE GANAN MERCANTILE PVT.LTD., CO-SUBASH AGARWAL & ASSOCIATES, SIDDHA GIBSON, 1, GIBSON LANE, 2 ND FLOOR, SUITE- 213, KOLKATA-700069. PAN-AABCG7600E VS ITO, WARD-6(2), AAYAKAR BHAWAN, P-7, CHOWRINGHEE SQUARE, KOLKATA-700069. (APPELLANT) (RESPONDENT) APPELLANT BY SH.SUBASH AGARWAL, ADVOCATE RESPONDENT BY SH. SANKAR HALDER, ADDL. CIT, SR.DR DATE OF HEARING 29.11.2018 DATE OF PRONOUNCEMENT 13 .02.2019 ITA NO.1960/KOL/2018 (ASSESSMENT YEAR-2012-13) PAGE | 2 AND PROVIDE ALL THE DETAILS IN RESPECT OF SHARE CAPITAL AMOUNT. LD.DR DID NOT REPORT OBJECTION. LD.DR SUBMITS THAT ALL THE SHARE SUBSCRIBING COMPANIES HAVING NO BUSINESS ACTIVITIES AND ARGUED NO PURPOSE WILL BE SERVED, IF IT IS SENT TO AO FOR HIS VERIFICATION. TAKING INTO CONSIDERATION THE SUBMISSIONS OF LD.AR & LD. DR AND FACTS AND CIRCUMSTANCES OF THE CASE, WE DEEM IT PROPER TO REMAND THE MATTER TO THE AO FOR HIS FRESH VERIFICATION IN RESPECT OF DETAILS OF SHARE SUBSCRIBING COMPANIES. THE ASSESSEE SHALL CO-OPERATE IN THE PROCEEDINGS. THE ASSESSEE IS LIBERTY TO FILE EVIDENCES, IF ANY, IN SUPPORT OF HIS CONTENTION. THUS, GROUNDS RAISED BY THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES. 3. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 13.02.2019. SD/- SD/- (P.M.JAGTAP) (S.S.VISWANETHRA RAVI) VICE PRESIDENT JUDICIAL MEMBER DATE:- 13 .02.2019 *AMIT KUMAR* COPY FORWARDED TO: 1. APPELLANT- GANAN MERCANTILE PVT.LTD., CO-SUBASH AGARWAL & ASSOCIATES, SIDDHA GIBSON, 1, GIBSON LANE, 2 ND FLOOR, SUITE-213, KOLKATA-700069. 2. RESPONDENT- ITO, WARD-6(2), AAYAKAR BHAWAN, P-7, CHOWRINGHEE SQUARE, KOLKATA-700069. 3. CIT-KOLKATA 4. CIT(APPEALS)-KOLKATA 5. DR: ITAT -KOLKATA BENCHES BY ORDER AR/H.O.O ITAT, KOLKATA