Shri Riyazulhaq F Pathan, Belgavi V. Income Tax Officer, Ward - 1, Nippani

ITA 21/PAN/2019

AI Insights

The case involves Shri Riyazulhaq F Pathan, who appealed against the order of the CIT(A), Belagavi, which was passed following an assessment order by the Income Tax Officer, Ward-1, Nipani. The assessment was based on excess cash and stock found during a survey under Section 133A of the Act. The CIT(A) dismissed the appeal without a reasoned order, leading to the current appeal before the ITAT. The ITAT, referencing similar cases, found the CIT(A)'s order non-compliant with statutory requirements and remanded the case for a detailed, reasoned decision.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 136168 (ITAT-PANAJI)
• Duration Of Justice: 4 year(s) 5 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-07-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: WT(D)
• Next Hearing Date: 09-07-2023
• Assessment Year: 2015-2016
• Appeal Filed On: 05-02-2019
• Other Referred Cases: Uttamkumar C. Wagh Vs DCIT, Ambadas Vishwanath Mete Vs JCIT
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Opportunity of being heard
• Section: 143(3); 133A; 250; 69A

Judgement Text

॥ आयकर अपीलीय न्यायाधिकरण, पणजी न्यायपीठ, पणजी में ॥ ITAT-Pune Page 1 of 4 IN THE INCOME TAX APPELLATE TRIBUNAL, PANJI BENCH, PANJI BEFORE HON’BLE SHRI S. S. GODARA, JUDICIAL MEMBER AND SHRI G. D. PADMAHSHALI, ACCOUNTANT MEMBER आयकर अपील सं. / ITA No. 21/PAN/2019 धििाारण वर्ा / Assessment Year : 2015-16 Shri Riyazulhaq F Pathan, Near Central Excise Quarter, Nipani Tq. Chikodi, Belagavi -591237 PAN:AHDPP8150A . . . . . . . अपीलाथी / Appellant बिाम / V/s. Income Tax Officer, Ward-1, Nipani . . . . . . .प्रत्यथी / Respondent द्वारा / Appearances Assessee by : None Revenue by : Shri N. Shrikanth सुनवाई की तारीख / Date of conclusive Hearing : 10/07/2023 घोषणा की तारीख / Date of Pronouncement : 12/07/2023 आदेश / ORDER PER G. D. PADMAHSHALI, AM; The appeal is directed against the order of the Commissioner of Income Tax (Appeals), Belagavi [‘CIT(A)’ in short] dt. 30/10/2018 passed u/s 250 of the Income-tax Act, 1961 [‘the Act’ in short] which in turn ascended out of the assessment order dt. 28/12/2017 passed u/s 143(3) of the Act by the Income Tax Officer, Ward-1, Nipani [‘AO’ in short]. Shri Riyazulhaq F Pathan ITA No.21/PAN/2019 AY: 2015-16 ITAT-Pune Page 2 of 4 2. In the absence of any representation and adjournment application from the appellant assessee, with the able assistance of learned departmental representative Mr N Shrikanth [‘DR’ in short] we deem fit to proceed to hear the matter ex-parte on merits u/r 24 of Income Tax Appellate Rules, 1963 [‘ITAT-Rules’ in short]. 3. After hearing to Ld. DR, perused the case record. Here in the extant case we observed that, consequent to survey action u/s 133A of the Act dt. 04/03/2015 the assessee e-filed his return of income on 13/10/2016 declaring taxable income of ₹75,56,460/- including therein the excess cash & excess stock found in an action u/s 133A of the Act. Subjecting the case to scrutiny, the Ld. AO framed an assessment u/s 143(3) of the Act by bringing to tax an excess cash of ₹6,70,475/- u/s 69A r.w.s. 155BBE and excess stock of ₹68,35,590/- u/s 69 r.w.s. 115BBE of the Act. 4. Challenging the application of provisions of section 115BBE the assessee carried the matter before first appellate authority, which Ld. CIT(A) dismissed without a well-reasoned speaking order. Shri Riyazulhaq F Pathan ITA No.21/PAN/2019 AY: 2015-16 ITAT-Pune Page 3 of 4 5. It shall be purposive to state that, section 250(6) of the Act, mandates the first appellate authority to dispose of the appeal of the assessee in writing by stating (i) points for determination, (ii) decision thereon and (iii) the reason for the decision. That is to say, an order passed without dealing each issue under challenge separately in aforestated manner renders the adjudication non-est. 6. In the present case, the impugned order of the Ld. CIT(A) is conspicuous by absence of any discussion with regard to the Ground of Appeal raised before him, point of determination, the decision thereon and reason for such decision. Even in the absence of the explanation vis- à-vis submission, the Ld. CIT(A) ought to have disposed of the appeal of the assessee in the manner required in Section 250(6) of the Act, which in the present case has not been complied with. We find that, in a similar situation the Co-ordinate Pune bench in ‘Uttamkumar C. Wagh Vs DCIT’ (ITA No. 150/PN/2012) and further in ‘Ambadas Vishwanath Mete Vs JCIT’ (ITA No. 555/PN/2013) has set-aside the order of first appellate authority and remanded the matter back for adjudication and passing speaking order in terms of section 250(6) of the Act. Shri Riyazulhaq F Pathan ITA No.21/PAN/2019 AY: 2015-16 ITAT-Pune Page 4 of 4 7. We therefore, following the judicial discipline we set- aside the impugned order, which is non-speaking on the merits of the dispute, and restore the matter back to the file of the Ld. CIT(A) for de-nova adjudication by a speaking order in terms of section 250(6) of the Act and other applicable provisions of law after allowing the assessee a reasonable opportunity of being heard. 2. In result, the appeal is ALLOWED FOR STATISTICAL PURPOSE in above terms. In terms of rule 34 of ITAT Rules, the order pronounced in the open court on this Wednesday 12 th day of July, 2023. -S/d- -S/d- S. S. GODARA G. D. PADMAHSHALI JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / PUNE ; दिन ांक / Dated : 12 th day of July, 2023. आदेश की प्रधिधलधप अग्रेधर्ि / Copy of the Order forwarded to : 1.अपील र्थी / The Appellant. 2. प्रत्यर्थी / The Respondent. 3. The CIT-(A), Belagavi 4. The Pr. CIT, Belagavi 5. DR, ITAT, Panaji Bench, Panaji 6. ग र्डफ़ इल / Guard File. Ashwini आिेश नुस र / By Order, वररष्ठ दनजी सदिव / Sr. Private Secretary आयकरअपीलीय न्य य दिकरण, पुणे / ITAT, Pune.