M/s Avtar Exports Pvt.Ltd, Ludhiana V. Income TAx Officer,Ward-3(2), Ludhiana

ITA 198/CHANDI/2020

• Counselvise Citation: [2022] 107 COUNSELVISE.COM (IT) 0184 (ITAT-CHANDIGARH)
• Duration Of Justice: 2 year(s) 6 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-09-2022
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2008-2009
• Appeal Filed On: 24-02-2020
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: AMANDPREET KAUR
• Keywords: Accommodation entries
• Section: 201

Judgement Text

आयकर अपीलीय अिधकरण आयकर अपीलीय अिधकरणआयकर अपीलीय अिधकरण आयकर अपीलीय अिधकरण,च瀃डीगढ़ 瀈यायपीठ च瀃डीगढ़ 瀈यायपीठच瀃डीगढ़ 瀈यायपीठ च瀃डीगढ़ 瀈यायपीठ , च瀃डीगढ़ च瀃डीगढ़च瀃डीगढ़ च瀃डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH ‘A’ CHANDIGARH BEFORE: SMT. DIVA SINGH, JUDICIAL MEMBER & SHRI VIKRAM SINGH YADAV, ACCOUNTANT MEMBER आयकर आयकरआयकर आयकर अपील अपीलअपील अपील सं संसं सं./ ITA Nos. 198, 199 & 200/CHD/2020 A.Y. : 2008-09,2009-10 & 2010-11 M/s Avtar Exports Pvt.Ltd., Kanganawal Road, VPO-Jugiana, Ludhiana. बनाम VS The ITO, Ward 3(2), Ludhiana. 瀡थायी लेखा सं./PAN /TAN No: AABCA4125G अपीलाथ牸/Appellant 灹瀄यथ牸/Respondent िनधा榁琇रती क琉 ओर से/Assessee by : None राज瀡व क琉 ओर से/ Revenue by : Smt. Amandpreet Kaur, Sr.DR तारीख/Date of Hearing : 03.08.2022 उदघोषणा क琉 तारीख/Date of Pronouncement : 05.09.2022 आदेश आदेशआदेश आदेश/ORDER PER BENCH The se t hre e appe als filed by the assesse e pe rtaining to 2008 -09 , 2009-1 0 a nd 201 0-1 1 a sse ss ment ye ar s a re taken up togethe r for the s ake of con ve nienc e. 2. In ITA 198/CHD/2020 pe rtainin g to 200 8-0 9, t he asse ssee has challenged the orde r dated 06.07 .20 18 of the CIT( A), Ludhian a whe rei n vide hi s, t he pe nalty i mposed b y the AO u/s 271( 1)( c)of the Ac t ha s bee n co nfi r med. 2.1 In ITA 199/CHD/2020 perta ini ng to 2009-10 ass essme nt ye ar, the orde r dated 06.07. 2 018 of the CI T(A), Ludhi ana ITA 198,199 & 200 /CHD/2020 A.Y. 2008-09, 2009-10 & 2010-11 Page 2 of 6 simi lar ly is cha ll enge d as he rein also the pe nalty i mposed u/s 271( 1)( c)of the Ac t by the AO has be en confir me d i n a ppe al b y the ld. CI T(A) . 2.2 In ITA 200/CHD/2020, the a ppe al h as be en file d by the asse ssee assa ili n g the co rrectne ss of the order d ated 24.09.2 018 of CI T(A ), Lu dh ia na whe rein the additions ma de by the AO ha ve bee n confi r med. 3. All these appeals liste d on the Ca use Li st were ta ke n up for hearing toge ther. However, at the ti me of he aring, no one was present on behalf of the a ssesse e. The appeal s were passed ove r thri ce so as to e nsure tha t the ass essee is enabled to pa rti cip ate . 3.1 However, despite the pass overs given the asse ssee rema ine d u nre presented in the four th r oun d a lso. 3.2 The record fu rth er shows that on the last d ate of he aring also w hen the se appe als c a me up for hea ri ng i.e. on 14.0 6.2 022 , the asse ssee rema ine d unre pre se nted. On the said date two pa ss- overs had be en give n. De spite this , ne ither the assesse e appeare d nor a nyone on assesse e's behalf. The re cord shows tha t i n those circ ums tan ce s, consi de ring the record, t he he aring in t he se appea ls w as fi nal ly adjour ned to 03.08 .20 22. It was also noti ce d that whe ne ve r th e appea l ca me up for he ar ing , t he assesse e has bee n see king ti me re peate dly. ITA 198,199 & 200 /CHD/2020 A.Y. 2008-09, 2009-10 & 2010-11 Page 3 of 6 3.3 The recor d further shows th at on 14 .06.20 22, for the present d ate , n oti ce wa s is sued to the asse ssee as is e vident fr o m the orders he et. It ne ed be note d th at the orde rsheets of the I TA T are being routin ely uploade d everyda y by the Registr y. In the circ ums tan ce s, the record sh ows that the assesse e has a dequate noti ce for the s pecifi c d ate of heari ng. 4. The recor d fur the r show s tha t ITA 198 & 199/CHD/2020 are delayed by 5 35 days and ITA 200/CHD/2020 is d elaye d by 44 9 days . 4.1 Noti ce to this effe ct h as also be en given to the asses se e. We have se en that a condonation of delay a ppli ca ti on ha s bee n place d on be half of the assesse e dated 17 .02 .2020 whe rein the entire bla me ha s bee n place d on some A cc ountant. We have see n that no a ffi davit of the s aid e mp loyee ha s be en filed. On the othe r han d, it is see n that the affid avi t of the Director Sh ri Davinder Ga rg fi led is not in the prope r for mat as the sa id affidav it neither mention s the date nor the pla ce of affir min g the aver me nts an d it is not even nota ri zed. Accor dingly, conside ring the ba ckgr oun d of the ca se on fac ts a s av aila ble on recor d, i t i s presume d that th e asse ssee ma y n ot be seri ous in pursuin g the appea ls fi led. No eff ort ha s bee n made to sup por t the cond ona tio n of de lay app lic ati on. 5. The ld. DR relies on the orders a nd cons ide ring t he record prays for dismiss al o f the appea ls. ITA 198,199 & 200 /CHD/2020 A.Y. 2008-09, 2009-10 & 2010-11 Page 4 of 6 6. We have heard th e Re ve nue. 7. It is furthe r se en on me rits tha t the im pugned order has bee n passe d by the C I T( A) i n I TA 198 /CH D /2 020 wherein the share capi tal a longwi th pre mium which wa s subj ect matte r of addi tion u /s 68 a mounti ng to Rs.75 la cs wa s n ot addresse d b y the asse ssee be fo re the tax au thori ties wi th relevant e vide nces. 7.1 A pe rusa l of pa ra 3 of the sai d or de r shows that the case of the assesse e has bee n conside red a kin to ... ....... .aforesaid racket of providing accommodation entries through bogus and paper/shell companies. A shell entity is generally an entity without any significant trading......... ...”. 7.2 A perusal of p ar a 4 shows that the asse ssee was foun d to be..........”completely unable to prove the genuineness of the transactions of its share subscription even though it complied with the formalities of submitting the make-believe paper documents...........” 7.3 A perusal of p a ge 5 s how s tha t inf or mati on sou ght u /s 133( 6) w a s n ot fil ed. C onsiderin g the se fa cts , the a ddition stood made and i n th e pe nalty proceedings, the ar gume nt s of the asse ssee by the CI T(A) we re foun d to be not s ustaina ble. As a result there of, th e pe na lty o f Rs.2 3,16,11 7 /- wa s imposed, wh ich has be en confir m ed in a ppe al a s t he assesse e fai led to offe r a ny me aningful sub missions. Eve n bef ore us, we find no argume nt or ITA 198,199 & 200 /CHD/2020 A.Y. 2008-09, 2009-10 & 2010-11 Page 5 of 6 evidence canv ass ed to pe rsu ade tha t the or der passed i s a n incorre ct orde r on fa cts a nd la w. 8. Si mi lar ly, in ITA-199/CHD/2020 o n the s a me set of f acts, cons idering the tran sac tions to be not genuine, the additi on made by the AO of Rs.70 lac s u/ s 68 of the Act was a sub je ct matter of co nsid e ration i n the penalty proce edings whe rein the expla na tio n of the assesse e was rejecte d. Nothing has bee n place d by the a sse ssee be fore us to can va ss a co ntra ry view. 9. In ITA 200/CHD/2020 it is se en that the ch allenge i s pose d to the addi tion s usta ined by the CI T( A) of R s. 67 lacs made by the AO. The ad diti on wa s sustai ned in appe al co nsideri ng the fact s a nd e vi den ces and plea dings of the assesse e. Nothing furthe r h as bee n place d before u s to show that the view of t he ld. CI T(A) wa s in cor r ect on facts and l aw. 10. In the pe culia r fa cts, whe rein de sp ite repe ate d opportunity, the assesse e ha s failed to put in a n ap peara nce an d ha s neithe r addresse d the i nordin ate delay w hi ch we not ice is not d uri ng the Covi d ti mes as th e a ppe als have b e en file d on 25 .0 2.20 20. Th us, cons idering the facts a nd ma teria l on record , we find tha t we have no al te rnati ve but to dis miss the a ppe als on the grounds of li mitation itself. 11. Whi le so d irecti ng, o pportuni ty i s give n to the assesse e to pray for a recall of th is or der in e ntirety if the as sesse e is in a ITA 198,199 & 200 /CHD/2020 A.Y. 2008-09, 2009-10 & 2010-11 Page 6 of 6 position to a dd r ess the reasons for non-repre se ntation a nd unde rta kes to f il e a pr ope r a ffi d avit explaini ng t he inordi nate delay. S aid or der was p ronoun ce d in the Ope n Cou r t a t the ti me of he ar ing itself. 12. I n t h e r e s u l t , t he a p p e a l s o f t h e a s s e s s e e a r e d i s m i s s e d . O r d e r p r o n o u n c e d o n 5 t h S e p t e m b e r , 2 0 2 2 . Sd/- Sd/- (VIKRAM SINGH YADAV) (DIVA SINGH) लेखा लेखालेखा लेखा सद瀡य सद瀡यसद瀡य सद瀡य/ Accountant Member 瀈याियक 瀈याियक瀈याियक 瀈याियक सद瀡य सद瀡यसद瀡य सद瀡य/ Judicial Member “Poonam” आदेश क琉 灹ितिलिप अ灡ेिषत/ Copy of the order forwarded to : 1. अपीलाथ牸/ The Appellant 2. 灹瀄यथ牸/ The Respondent 3. आयकर आयु猴/ CIT 4. आयकर आयु猴 (अपील)/ The CIT(A) 5. िवभागीय 灹ितिनिध, आयकर अपीलीय आिधकरण, च瀃डीगढ़/ DR, ITAT, CHANDIGARH 6. गाड榁 फाईल/ Guard File आदेशानुसार/ By order, सहायक पंजीकार/ Assistant Registrar