Nandkumar Nanaso Ghadage, Sangli V. Income-tax Officer, Ward - 2(3), Sangli

ITA 208/PUN/2018

• Counselvise Citation: [2019] 118 COUNSELVISE.COM (IT) 3717 (ITAT-PUNE)
• Duration Of Justice: 1 year(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-02-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 04-02-2019
• Assessment Year: 2009-2010
• Appeal Filed On: 22-01-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: M K VERMA
• Keywords: Opportunity of being heard; Principle of natural justice; Reassessment proceedings; Set aside

Judgement Text

, - IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH SMC, PUNE BEFORE SHRI D. KARUNAKARA RAO, AM AND SHRI PARTHA SARATHI CHAUDHURY, JM . / ITA NOS.207 TO 209/PUN/2018 / ASSESSMENT YEARS : 2008-09 TO 2010-11 NANDKUMAR NANASO GHADAGE, AT & POST- KAVATHE MAHANKAL, TAL- MIRAJ, DIST- SANGLI. PAN : AEXPG4372A ....... / APPELLANT / V/S. ITO, WARD- 2(3), SANGLI. / RESPONDENT ASSESSEE BY : NONE REVENUE BY : SHRI M. K. VERMA / DATE OF HEARING : 04.02.2019 / DATE OF PRONOUNCEMENT : 04.02.2019 / ORDER PER D. KARUNAKARA RAO, AM: THERE ARE THREE APPEALS UNDER CONSIDERATION FILED BY THE ASSESSEE FOR THE ASSESSMENT YEARS 2008-09, 2009-10 AND 2010-11 RESPECTIVELY. FOR THE SAKE OF CONVENIENCE, ALL THESE APPEALS WERE HEARD TOGETHER AND ARE BEING DISPOSED OF BY THIS COMPOSITE ORDER. 2. NOTICE WAS SENT AS PER THE PROCEDURE AND THE ACKNOWLEDGEMENTS OF THE SAME ARE ON RECORDS. 3. THE BACKGROUND FACTS INCLUDE THAT THE ASSESSEE IS ENGAGED IN THE BUSINESS OF TRUCK PLYING AND REPORTED HOUSE PROPERTY INCOME AS WELL AS AGRICULTURAL INCOME. IN THE REASSESSMENT PROCEEDINGS, THE ASSESSING OFFICER MADE ADDITION ON ACCOUNT OF UNSECURED LOANS, CASH DEPOSITS, UNDISCLOSED 2 ITA NOS.207 TO 209/PUN/2018 INTEREST INCOME ETC. FOR EXAMPLE, THE ASSESSED INCOME FOR THE ASSESSMENT YEAR 2008-09 IS RS.4,33,556/-. THE ASSESSED INCOME FOR OTHER TWO ASSESSMENT YEARS I.E. FOR A.Y. 2009-10 IS RS.4,41,751/- AND FOR A.Y. 2010-11 IS RS.3,33,501/- RESPECTIVELY. HOWEVER, THERE WAS NONE TO REPRESENT THE ASSESSEE BEFORE THE CIT(A), THE CIT(A) DISMISSED THE APPEALS OF THE ASSESSEE AND CONFIRMED THE ADDITIONS MADE BY THE ASSESSING OFFICER. 4. IN THE BACKGROUND OF THE ABOVE FACTS, THE ASSESSEE RAISED THE FOLLOWING GROUNDS AGAINST THE ORDER OF THE CIT(A). FOR THE SAKE OF STANDARD REFERENCE, THE GROUNDS FOR ASSESSMENT YEAR 2008-09 ARE EXTRACTED HEREUNDER :- 1. THE LEARNED CIT(APPEALS) ERRED ON FACTS AND IN LAW IN PASSING THE ORDER WITHOUT GRANTING SUFFICIENT OPPORTUNITY TO THE APPELLANT. HE FAILED TO APPRECIATE THE FACTS AND CIRCUMSTANCES IN ITS PROPER PERSPECTIVE. THE ORDER OF THE CIT(APPEALS) IS VITIATED ON ACCOUNT OF NON GRANTING OF SUFFICIENT OPPORTUNITY AND VIOLATES PRINCIPLES OF NATURAL JUSTICE AND THUS THE ORDER IS LIABLE TO BE SET ASIDE. 2. THE LEARNED CIT(APPEALS) ERRED ON FACTS AND IN LAW IN UPHOLDING ADDITION OF RS.3,00,000, BY TREATING LOAN FROM WIFE AS AN UNPROVED LOAN. HE FAILED TO APPRECIATE THE CONTENTIONS AND ARGUMENTS OF THE ASSESSEE AS ALSO THE FACTS OF THE CASE IN PROPER PERSPECTIVE. 3. THE APPELLANT CRAVES LEAVE TO ADD, ALTER, DELETE OR SUBSTITUTE ALL OR ANY OF THE ABOVE GROUNDS OF APPEAL. 5. FROM THE ABOVE, IT IS EVIDENT THAT THE ASSESSEE INVOKED THE VIOLATION OF THE SET PRINCIPLES OF NATURAL JUSTICE AND PLEADS FOR GRANT OF ONE MORE OPPORTUNITY OF HEARING BEFORE THE CIT(A). FOR WANT OF THE JUSTICE, THE ASSESSEE PAID RS.30,000/- TOWARDS APPEAL FEE FOR THE THREE APPEALS UNDER CONSIDERATION. HE SEEKS FOR GRANT OF ONE MORE OPPORTUNITY OF HEARING BEFORE THE CIT(A). CONSIDERING THE SAME, WITHOUT GOING INTO THE MERITS OF THE ADDITIONS, WE GRANT THE SAME IN PURVIEW OF THE PRINCIPLES OF NATURAL JUSTICE. WE ACCORDINGLY ORDER. 3 ITA NOS.207 TO 209/PUN/2018 6. CONSEQUENTLY, WE REMAND ALL THESE THREE APPEALS ALONG WITH THE GROUNDS THEREOF TO THE FILE OF THE CIT(A) FOR FRESH ADJUDICATION OF THIS ISSUE. THE CIT(A) SHALL GRANT A REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. THE ASSESSEE IS ALSO DIRECTED TO ATTEND THE PROCEEDINGS BEFORE THE FIRST APPELLATE AUTHORITY WITHOUT FAIL. FAILING THE SAME, THE CIT(A) IS AT LIBERTY TO CONFIRM THE ADDITIONS BY PASSING A SPEAKING ORDER ON ALL THESE ISSUES AS PER THE PROVISIONS OF SECTION 250(6) OF THE I.T. ACT, 1961. WITH THESE DIRECTIONS, ALL THE GROUNDS RAISED BY THE ASSESSEE IN ALL THE THREE APPEALS ARE ALLOWED FOR STATISTICAL PURPOSES. 7. IN THE RESULT, ALL THE THREE APPEALS OF THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED ON 04 TH FEBRUARY, 2019. SD/- SD/- (PARTHA SARATHI CHAUDHURY) (D. KARUNAKARA RAO) / JUDICIAL MEMBER / ACCOUNTANT MEMBER / PUNE; / DATED : 04 TH FEBRUARY, 2019 SUJEET / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT; 2. / THE RESPONDENT; 3. THE CIT(A)-1, KOLHAPUR; 4. THE PR.CIT-1, KOLHAPUR; 5. , , - / DR SMC, ITAT, PUNE; 6. / GUARD FILE. / BY ORDER, // TRUE COPY // SENIOR PRIVATE SECRETARY , / ITAT, PUNE.