THE ACIT, Kakinada V. M/s International Construction company, Kakinada

ITA 199/VIZ/2015

• Counselvise Citation: [2016] 130 COUNSELVISE.COM (IT) 9865 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 1 year(s) 3 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-09-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2009-2010
• Appeal Filed On: 22-05-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P HARI PRASADA RAO
• Section: 143(3); 263

Judgement Text

ITA NO.199/VIZAG/2015 M/S. INTERNATIONAL CONSTRUCTION COMPANY, KAKINADA 1 , , IN THE INCOME TAX APPELLATE TRIBUNAL, VISAKHAPATNAM BENCH, VISAKHAPATNAM . , . , $ BEFORE SHRI V. DURGA RAO, JUDICIAL MEMBER & SHRI G. MANJUNATHA, ACCOUNTANT MEMBER ./I.T.A.NO.199/VIZAG/2015 ( / ASSESSMENT YEAR: 2009-10) ACIT, CIRCLE - 1, KAKINADA VS. M/S. INTERNATIONAL CONSTRUCTION COMPANY, KAKINADA [PAN: AACFI4102R ] ( % / APPELLANT) ( &'% / RESPONDENT) / APPELLANT BY : SHRI P. HARIPRASADA RAO, DR / RESPONDENT BY : SHRI G.V.N. HAR I, AR / DATE OF HEARING : 16.09.2016 / DATE OF PRONOUNCEMENT : 19.09.2016 / O R D E R PER V. DURGA RAO, JUDICIAL MEMBER: THIS APPEAL FILED BY THE REVENUE IS DIRECTED AGAIN ST THE ORDER OF CIT(A)-2, VISAKHAPATNAM DATED 23.3.2015 FOR THE ASS ESSMENT YEAR 2009-10. ITA NO.199/VIZAG/2015 M/S. INTERNATIONAL CONSTRUCTION COMPANY, KAKINADA 2 2. FACTS ARE IN BRIEF THAT THE ASSESSEE IS A PARTNE RSHIP FIRM ENGAGED IN THE BUSINESS OF EXECUTING CIVIL CONTRACT WORKS. THE ASSESSEE HAS FILED A RETURN OF INCOME BY ADMITTING TOTAL INCOME OF RS. 52,76,180/-. THE ASSESSEES CASE WAS SELECTED FOR SCRUTINY AND AFTER DUE PROCESS, THE ASSESSMENT WAS COMPLETED U/S 143(3) OF THE INCOME T AX ACT, 1961 (HEREINAFTER CALLED AS THE ACT) BY DETERMINING TO TAL INCOME OF THE ASSESSEE AT RS.58,10,644/-. SUBSEQUENTLY, THE COMM ISSIONER OF INCOME TAX, RAJAHMUNDRY PASSED AN ORDER U/S 263 OF THE ACT ON 26.3.2013 SET ASIDE THE ORDER PASSED BY THE ASSESSING OFFICER U/S 143(3) OF THE ACT WITH A DIRECTION TO PASS A FRESH ORDER AFTER EXAMIN ING THE FACTS OF THE CASE. THE A.O. PURSUANT TO THE ORDERS PASSED BY TH E COMMISSIONER U/S 263 OF THE ACT COMPLETED THE ASSESSMENT. MEANWHILE , THE ASSESSEE CARRIED MATTER IN APPEAL BEFORE THE ITAT AGAINST TH E ORDER PASSED BY THE COMMISSIONER U/S 263 OF THE ACT DATED 26.3.2013. T HE HONBLE ITAT VISAKHAPATNAM BENCH IN ITS ORDER DATED 4.3.2015 IN ITA NO.338/VIZAG/2013 HAS SET ASIDE THE ORDER PASSED BY THE CIT AND RESTORED THE ORDER PASSED BY THE A.O. U/S 143(3) OF THE ACT. THE ASSESSEE HAS CHALLENGED THE ORDER PASSED BY THE A.O . U/S 143(3) R.W.S. 263 OF THE ACT BEFORE THE CIT(A). THE CIT(A) HAS H ELD THAT THE ORDER U/S 263 OF THE ACT HAS ALREADY BEEN SET ASIDE BY TH E ITAT. THE ORDER ITA NO.199/VIZAG/2015 M/S. INTERNATIONAL CONSTRUCTION COMPANY, KAKINADA 3 PASSED BY THE A.O. U/S 143 R.W.S. 263 OF THE ACT IS NOT VALID IN THE EYE OF LAW. ACCORDINGLY, THE APPEAL FILED BY THE ASSES SEE IS ALLOWED. 3. WE FIND THAT THE VERY BASIS OF ORDER PASSED BY TH E COMMISSIONER U/S 263 OF THE ACT HAS BEEN SET ASIDE BY THE ITAT A ND THEREFORE FURTHER PROCEEDINGS WOULD BE VITIATED. IN VIEW OF THE ABOV E, THE LD. CIT(A) CORRECTLY DECIDED THE ISSUE AND HELD THAT THE CONSE QUENTIAL ORDER PASSED BY THE A.O. U/S 143 R.W.S. 263 OF THE ACT IS NOT VA LID. WE, THEREFORE, FIND NO REASON TO INTERFERE WITH THE ORDER PASSED B Y THE LD. CIT(A) AND APPEAL FILED BY THE REVENUE IS DISMISSED. 4. IN THE RESULT, THE APPEAL FILED BY THE REVENUE I S DISMISSED . THE ABOVE ORDER WAS PRONOUNCED IN THE OPEN COURT ON 19 TH SEPT16. SD/- SD/- ( . ) ( . ) (G. MANJUNATHA) (V. DURGA RAO) /ACCOUNTANT MEMBER /JUDICIAL MEMBER ! /VISAKHAPATNAM: % /DATED : 19.09.2016 VG/SPS ITA NO.199/VIZAG/2015 M/S. INTERNATIONAL CONSTRUCTION COMPANY, KAKINADA 4 '! (! /COPY OF THE ORDER FORWARDED TO:- 1. / THE APPELLANT THE ACIT, CIRCLE-1, KAKINADA 2. / THE RESPONDENT M/S. INTERNATIONAL CONSTRUCTION COMPANY, NO.3, IDA, RAMANAYYAPETA, KAKINADA 3. ) / THE PRINCIPAL CIT-2, VISAKHAPATNAM 4. ) ( ) / THE CIT(A)-2, VISAKHAPATNAM 5. ! , , , , ! / DR, ITAT, VISAKHAPATNAM 6 . / GUARD FILE / BY ORDER // TRUE COPY // /0 , (SR.PRIVATE SECRETARY) , , ! / ITAT, VISAKHAPATNAM