Deepak Kantalal Shah, Pune V. Income Tax officer, Ward-3(1), Pune

ITA 202/PUN/2023

AI Insights

The case involves Deepak Kantilal Shah, an individual engaged in the business of distributing medical devices, who appealed against the order of the National Faceless Appeal Centre (NFAC), which had dismissed his appeal ex-parte for non-compliance with hearing notices. The original dispute arose from the assessment year 2010-11, where the Income Tax Officer (ITO) had made a significant disallowance on account of commission expenditure due to lack of substantiation by the assessee. The Tribunal found that the NFAC did not consider the appellant's written submissions made during the earlier stages of the appeal, leading to the decision to remit the case back to the NFAC for a thorough re-evaluation.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 137620 (ITAT-PUNE)
• Duration Of Justice: 1 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-03-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: SMC
• Next Hearing Date: 22-03-2023
• Assessment Year: 2010-2011
• Appeal Filed On: 15-02-2023
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “SMC”, PUNE BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER आयकर अपील सं. / ITA No.202/PUN/2023 िनधाᭅरण वषᭅ / Assessment Year : 2010-11 Deepak Kantilal Shah, Shop No.8, C-Wing, KPCT Mall, Shivarkar Road, Wanowri, Pune- 411013. PAN : ADAPS0382A Vs. ITO, Ward-3(1), Pune. Appellant Respondent आदेश / ORDER PER INTURI RAMA RAO, AM: This is an appeal filed by the assessee against the order of the National Faceless Appeal Centre, Delhi [‘NFAC’] dated 30.12.2022 for the assessment year 2010-11. 2. Briefly, the facts of the case are that the appellant is an individual deriving income from the business of distribution of medical devices. The Return of Income for the assessment year 2010-11 was filed on 27.09.2009 disclosing total income of Assessee by : Shri C.H. Naniwadekar Revenue by : Shri Suhas Kulkarni Date of hearing : 23.03.2023 Date of pronouncement : 23.03.2023 ITA No.202/PUN/2023 2 Rs.13,09,551/-. Against the said return of income, the assessment was completed by the Income Tax Officer, Ward-3(1), Pune (‘the Assessing Officer’) vide order dated 25.03.2013 passed u/s 143(3) of the Income Tax Act, 1961 (‘the Act’) at total income of Rs.30,47,620/- after making the disallowance on account of commission expenditure of Rs.16,59,490/- for failure of the assessee to substantiate the expenditure. 3. Being aggrieved, an appeal was filed before the ld. CIT(A). Subsequently, the appeal was migrated to NFAC in terms notification issued by the CBDT. The NFAC had dismissed the appeal ex-parte for non compliance of the notices of hearing of appeal. 4. Being aggrieved, the appellant is in appeal before this Tribunal in the present appeal. 5. It is submitted before me that when the appeal was pending disposal before the ld. CIT(A), Pune, the appellant had filed the written submissions on 03.02.2017 which were not considered by the NFAC. The NFAC had proceeded to dispose of the appeal ex- parte. In the circumstances, it is prayed that the matter be remanded to the file of the NFAC for de novo consideration. ITA No.202/PUN/2023 3 6. On the other hand, ld. Sr. DR has no serious objection to remit the matter to the NFAC for de novo consideration. 7. Having heard the rival submissions, I am of the considered opinion that to meet the ends of justice, the matter requires remission to the file of the NFAC for de novo consideration of the issue in appeal in accordance with law. I order accordingly. 8. In the result, the appeal filed by the assessee stands partly allowed for statistical purposes. Order pronounced on this 23 rd day of March, 2023. Sd/- Sd/- (S. S. VISWANETHRA RAVI) (INTURI RAMA RAO) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; ᳰदनांक / Dated : 23 rd March, 2023. Sujeet आदेश कᳱ ᮧितिलिप अᮕेिषत / Copy of the Order forwarded to : 1. अपीलाथᱮ / The Appellant. 2. ᮧ᭜यथᱮ / The Respondent. 3. The Pr. CIT concerned. 4. िवभागीय ᮧितिनिध, आयकर अपीलीय अिधकरण, “SMC” बᱶच, पुणे / DR, ITAT, “SMC” Bench, Pune. 5. गाडᭅ फ़ाइल / Guard File. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune.