B S Manjunath, Bengaluru V. The Deputy Commissioner Of Income tax Central Circle - 1 (3), Bengaluru

ITA 2058/BANG/2018

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 8171 (ITAT-BANGALORE)
• Duration Of Justice: 1 year(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-07-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2006-2007
• Appeal Filed On: 19-06-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Search and seizure; Opportunity of being heard; Principle of natural justice; Reasonable cause; Set aside
• Section: 143(3); 132

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH : BANGALORE BEFORE SHRI B.R BASKARAN, ACCOUNTANT MEMBER AND SMT. BEENA PILLAI, JUDICIAL MEMBER ITA NOS.2058 TO 2061/BANG/2018 ASSESSMENT YEAR : 2006-07 TO 2009-10 B.S MANJUNATH, NO.08, ANRIYA PALATIAL, 1405, 6 TH CORSS, LOTTEGOLLAHALLI, RMV II STAGE, BANGALORE-560 094. PAN ADVPM 5754F VS. THE DY. COMMISSIONER OF INCOME-TAX, CIRCLE-1(3), BANGALORE. APPELLANT RESPONDENT APPELLANT BY : SHRI PRANAV KRISHNA, ADVOCATE RESPONDENT BY : SHRI R.N SIDDAPPAJI, ADDL. CIT (DR) DATE OF HEARING : 10.07.2019 DATE OF PRONOUNCEMENT : 10.07.2019 O R D E R PER B.R BASKARAN, ACCOUNTANT MEMBER ALL THE APPEALS FILED BY THE ASSESSEE ARE DIRECTED AGAINST THE ORDERS PASSED BY LD CIT(A)-11, BANGALORE AND THEY R ELATE TO THE ASSESSMENT YEARS 2006-07 TO 2009-10. 2. WE HEARD THE PARTIES AND PERUSED THE RECORD. THE REVENUE CARRIED OUT SEARCH AND SEIZURE OPERATIONS U/S 132 O F THE ACT IN THE HANDS OF M/S SPR DEVELOPERS (P) LTD. AS PART OF SE ARCH PROCEEDINGS, THE PRESENT ASSESSEES RESIDENCE WAS A LSO SUBJECTED TO SEARCH. ON THE BASIS OF INCRIMINATING MATERIALS BE LONGING TO THE ITA NOS.2058 TO 2061/BANG/2018 PAGE 2 OF 4 ASSESSEE FOUND DURING THE COURSE OF SEARCH, THE ASS ESSMENTS OF THE YEARS UNDER CONSIDERATION WERE COMPLETED U/S 153C R .W.S. 143(3) OF THE ACT. THE ASSESSEE CHALLENGED THE ASSESSMENT OR DERS PASSED FOR THE YEARS UNDER CONSIDERATION BY FILING APPEALS BEF ORE LD CIT(A). THE FIRST APPELLATE AUTHORITY AFFORDED SEVERAL OPPO RTUNITIES TO THE ASSESSEE. IN ALL THE OCCASIONS, THE ASSESSEE EITHE R SOUGHT TIME OR DID NOT RESPOND. HENCE THE LD CIT(A) CAME TO THE CONCLUSION THAT THE ASSESSEE IS NOT INTERESTED IN PROSECUTING THE A PPEALS. BY OBSERVING THAT THE AO HAS MADE ADDITIONS BY PASSING DETAILED SPEAKING ORDER, THE LD CIT(A) CONFIRMED THE ASSESSM ENT ORDERS. AGGRIEVED, THE ASSESSEE HAS FILED THESE APPEALS. 3. IN THE GROUNDS OF APPEALS, THE ASSESSEE HAS RAISED VARIOUS LEGAL GROUNDS AND ALSO CHALLENGED THE ADDITIONS ON MERITS. BEFORE US, THE LD A.R SOUGHT TIME. ON THE CONTRARY, THE L D D.R SUBMITTED THAT THE ASSESSEE IS NOT INTERESTED IN PROSECUTING THE APPEALS AS EVIDENT FROM THE ORDERS PASSED BY LD CIT(A). 4. BEFORE US, THE ASSESSEE HAS NOT EXPLAINED AS TO WHY HE DID NOT APPEAR BEFORE LD CIT(A). HOWEVER, SINCE THE LD CIT (A) HAS DISMISSED THE APPEAL IN LIMINE WITHOUT ADJUDICATING VARIOUS ISSUES ON MERITS, IN THE INTEREST OF NATURAL JUSTICE, WE A RE OF THE VIEW THAT THE ASSESSEE MAY BE PROVIDED WITH ONE MORE OPPORTUN ITY TO PRESENT HIS CASE BEFORE LD CIT(A). HOWEVER, SINCE THE ASSE SSEE HAS NOT GIVEN ANY REASONABLE CAUSE FOR NOT APPEARING BEFORE LD CIT(A), WE ARE OF THE VIEW THAT THE ASSESSEE SHOULD BE IMPOSED COST FOR BEING DELINQUENT. ACCORDINGLY, WE IMPOSE A COST OF RS.5, 000/- (RUPEES FIVE THOUSAND) PER YEAR, I.E., RS.20,000/- IN AGGRE GATE AND DIRECT ITA NOS.2058 TO 2061/BANG/2018 PAGE 3 OF 4 HIM TO PAY THE SAME TO THE CREDIT OF THE INCOME TAX DEPARTMENT AS OTHER FEES WITHIN TWO MONTHS FROM THE DATE OF RECEI PT OF THIS ORDER. SUBJECT TO THE PAYMENT OF ABOVE FEES, WE SET ASIDE THE ORDERS PASSED BY LD CIT(A) IN ALL THE YEARS UNDER CONSIDER ATION AND RESTORE ALL THE ISSUES TO HIS FILE FOR ADJUDICATING THEM AF RESH, AFTER AFFORDING ADEQUATE OPPORTUNITY OF BEING HEARD. 5. IN THE RESULT, ALL THE APPEALS OF THE ASSESS EE ARE TREATED AS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 10 TH JULY, 2019. SD/ - (BEENA PILLAI) JUDICIAL MEMBER SD/ - (B.R BASKARAN) ACCOUNTANT MEMBER BANGALORE, DATED, 10 TH JULY, 2019. / VMS / COPY TO: 1. THE APPLICANT 2. THE RESPONDENT 3 . THE CIT 4. THE CIT(A) 5. THE DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER A SST. REGISTRAR, ITAT, BANGALORE. ITA NOS.2058 TO 2061/BANG/2018 PAGE 4 OF 4 1. DATE OF DICTATION 2. DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER . 3. DATE ON WHICH THE APPROVED DRAFT COMES TO SR.P.S .. 4. DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER .. 5. DATE ON WHICH THE FAIR ORDER COMES BACK TO THE S R. P.S. .. 6. DATE OF UPLOADING THE ORDER ON WEBSITE.. 7. IF NOT UPLOADED, FURNISH THE REASON FOR DOING SO .. DICTATION NOTE ENCLOSED . 8. DATE ON WHICH THE FILE GOES TO THE BENCH CLERK .. 9. DATE ON WHICH ORDER GOES FOR XEROX & ENDORSEMENT 10. DATE ON WHICH THE FILE GOES TO THE HEAD CLERK . 11. THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER . 12. THE DATE ON WHICH THE FILE GOES TO DISPATCH SEC TION FOR DISPATCH OF THE TRIBUNAL ORDER . 13. DATE OF DESPATCH OF ORDER. ..