Skyline Vintrade Pvt. Ltd., Kolkata V. ACIT, Circle-1(1), Jamshedpur

ITA 197/RAN/2019

• Counselvise Citation: [2019] 112 COUNSELVISE.COM (IT) 3864 (ITAT-RANCHI)
• Duration Of Justice: 6 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-11-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2010-2011
• Appeal Filed On: 24-04-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: NISHA SINGH MARR
• Keywords: Opportunity of being heard
• Section: 147; 144

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL RANCHI BENCH, RANCHI BEFORE SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER AND MS. MADHUMITA ROY, JUDICIAL MEMBER I.T.A. NO. 197/RAN/2019 ASSESSMENT YEAR: 2010-11 SKYLINE VINTRADE PVT. LTD..............APPELLANT 12, HO-CHI-MINH SARANI, SUITE NO. 2D, E & F, KOLKATA 700071. [PAN: AAMCS 5739 F] ACIT, CIRCLE-1(1), JAMSHEDPUR......................................................................................RESPONDENT JAMSHEDPUR 831001. APPEARANCES BY: SHRI MANISH TIWARY, ADVOCATE APPEARING ON BEHALF OF THE ASSESSEE. SMT. NISHA SINGH MARR, JCIT APPEARING ON BEHALF OF THE REVENUE. DATE OF CONCLUDING THE HEARING : NOVEMBER 06, 2019 DATE OF PRONOUNCING THE ORDER : NOVEMBER 08, 2019 ORDER PER MS. MADHUMITA ROY, JM THE INSTANT APPEAL AT THE INSTANCE OF THE ASSESSEE IS DIRECTED AGAINST THE ORDER DATED 27.02.2019 PASSED BY THE LD. CIT(A), JAMSHEDPUR U/S 144 R.W.S 147 OF THE INCOME TAX ACT, 1961(HEREIN AFTER REFERRED TO AS THE ACT) ARISING OUT OF THE ORDER DATED 19.02.2017 PASSED BY THE ACIT, CIRCLE 1(1), JAMSHEDPUR FOR A.Y. 2010-11 WHICH IS ADMITTEDLY AN EX-PARTE ONE. 2. IN FACT THAT THE LD. CIT(A) HAS ENHANCED THE ASSESSMENT TO THE TUNE OF RS. 5,64,35,000/- BEING SHARE CAPITAL WITH PREMIUM WHEN THERE IS NO FAILURE ON THE ASSESSING OFFICER IN DEALING WITH THE DETAILS OF THE CONCERNED PARTIES AS THE CASE MADE OUT BY THE LD. AR BEFORE US. THE LD. AR FURTHER TOOK US TO THE ADJOURNMENT APPLICATION SENT THROUGH MAIL DATED 15.10.2018 TO THE AUTHORITIES BELOW AVAILABLE AT 2 I.T.A. NOS. 197/RAN/2019 ASSESSMENT YEAR: 2010-11 SKYLINE VINTRADE PVT. LTD. PAGE 7 & 8 OF THE PAPER BOOK FILED BEFORE US WHERE THE FACT THAT NO CAPITAL WAS RAISED DURING THE RELEVANT ASSESSMENT YEAR WAS ALSO BROUGHT TO THE NOTICE OF THE LD. CIT(A) WHILE PRAYING FOR ADJOURNMENT OF THE MATTER DUE TO DURGA PUJA FESTIVAL PARTICULARLY ON THE GROUND THAT THE OFFICE WOULD REMAIN CLOSED DURING THAT WEEK. IT WAS FURTHER SUBMITTED BY THE ASSESSEE TO THE SAID LD. CIT(A) THAT HE IS READY AND WILLING TO REPLY IN THIS REGARD IN DETAILS IN THE NEXT DATE OF HEARING. SUCH FACT OF THE MATTER HAS NOT BEEN CONSIDERED BY THE LD. CIT(A) AND THE MATTER WAS ULTIMATELY FINALISED UPON ENHANCEMENT OF ASSESSMENT TO THE TUNE OF RS. 5,64,35,000/- ADMITTEDLY WITHOUT GIVING AN OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. HOWEVER, THE LEARNED DR RELIED UPON THE ORDERS PASSED BY THE AUTHORITIES BELOW. 3. HEARD THE PARTIES, PERUSED THE MATERIALS AVAILABLE ON RECORD. IT IS CASE OF THE ASSESSEE THAT SEVERAL GROUNDS RAISED BY THE LD. CIT(A) INCLUDING CHALLENGE TO ASSUMPTION OF JURISDICTION U/S 147 HAS NOT BEEN ADJUDICATED AT ALL. IT IS FURTHER CASE OF THE ASSESSEE THAT LD. CIT(A) HAS INDULGED IN ENHANCEMENT OF ASSESSMENT WITHOUT GRANTING A REASONABLE OPPORTUNITY TO THE ASSESSEE TO DEFEND ITS CASE. ON PERUSAL, WE FIND MERIT IN BOTH THE AFORESAID PLEA OF THE ASSESSEE. WE THUS CONSIDER IT FIT AND PROPER TO REMIT THE ISSUE TO THE FILE OF THE LD. CIT(A) TO DECIDE THE SAME INCLUDING JURISDICTIONAL GROUND U/S 147 OF THE ACT AS RAISED BY THE ASSESSEE BEFORE HIM AFRESH ONLY UPON GIVING A REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE AND AFTER TAKING INTO CONSIDERATION THE EVIDENCE ON RECORD AND ANY EVIDENCE WHICH THE ASSESSEE MAY CHOOSE TO RELY UPON AT THE TIME OF HEARING OF THE APPEAL. ASSESSEES APPEAL, THUS, ALLOWED FOR STATISTICAL PURPOSES. 3 I.T.A. NOS. 197/RAN/2019 ASSESSMENT YEAR: 2010-11 SKYLINE VINTRADE PVT. LTD. 4. THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 08 NOVEMBER, 2018. SD/- SD/- ( PRADIP KUMAR KEDIA) (MADHUMITA ROY) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 08/11/2019 BISWAJIT, SR. PS COPY OF ORDER FORWARDED TO: 1. SKYLINE VINTRADE PVT. LTD. 2. ACIT, CIRCLE 1(1), JAMSHEDPUR. 3. THE CIT(A) 4. THE CIT 5. DR TRUE COPY, BY ORDER, SR. P.S. / H.O.O. ITAT, RANCHI