Shri Rakesh Mishra , BAngalore V. Deputy Commissioner of income Tax Circle-5(2)(1), Bangalore

ITA 2264/BANG/2018

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 8780 (ITAT-BANGALORE)
• Duration Of Justice: 11 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-07-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 01-07-2019
• Assessment Year: 2010-2011
• Appeal Filed On: 27-07-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR P V PRADEEP KUMAR
• Keywords: Opportunity of being heard; Set aside

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH : BANGALORE BEFORE SHRI ARUN KUMAR GARODIA, ACCOUNTANT MEMBER AND SHRI PAVAN KUMAR GADALE, JUDICIAL MEMBER I TA NO. 2264 /BANG/2018 ASSESSMENT YEAR : 20 1 0 - 1 1 SHRI RAKESH MISHRA, M/S. SUBHAM ENTERPRISES, NO. 31, SANJEEVAPPA LANE, AVENUE ROAD CROSS, BANGALORE 560 002. PAN: AEWPM8287M VS. THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 5 (2) (1), BANGALORE. APPELLANT RESPONDENT ASSESSEE BY : SH RI SUNIL KUMAR, CA REVENUE BY : DR. P.V. PRADEEP KUMAR, ADDL. CIT (DR) DATE OF HEARING : 01 .0 7 .2019 DATE OF PRONOUNCEMENT : 05 .0 7 .2019 O R D E R PER SHRI A.K. GARODIA, ACCOUNTANT MEMBER THIS APPEAL IS FILED BY THE ASSESSEE AND THE SAME IS DIRECTED AGAINST THE ORDER OF LD. CIT(A)-5, BANGALORE DATED 30.04.2018 FOR ASSESSMENT YEAR 2010-11. 2. THE GROUNDS RAISED BY THE ASSESSEE ARE AS UNDER. 1. THE LD. CIT(A) HAS ERRED IN DISMISSING THE APPEAL WITHOUT GIVING A REASONABLE OPPORTUNITY OF BEING HEARD IN SUPPORT OF OUR CLAIM SIMPLY ON THE BASIS OF INVESTIGATION REPORT OF AHMADABAD INVESTIGATION WING THAT PARTY WITH WHOM WE HAVE ENTERED INTO TRANSACTION FOR PURCHASE OF DFIA LICENSE IS NOT TRACEABLE.. 2. THE LD. CIT(A) HAS ERRED IN DISMISS THE APPEAL BEFORE THE DATE GIVEN TO PRODUCE DOCUMENTARY EVIDENCE PRODUCED BEFORE LD DCIT AND OTHER DOCUMENT IN SUPPORT OF OUR CLAIM. 3. THE LD. CIT(A) HAS ERRED IN UPHOLDING THE VALIDITY OF REASSESSMENT ORDER OF THE IMPUGNED EXPENSE FOR PURCHASE OF DFIA LICENSE TO BE BOGUS, IN SPITE OF PRODUCING BILL OF ENTRY COPY ALONG WITH DEBIT NOTE RAISED BY THE SUPPLIER ON RECORD SIMPLY ON THE BASIS THAT COPY OF LICENSE WAS NOT PRODUCED. 4. THE LD. CIT(A) HAS ERRED IN UPHOLDING THE ADDITION OF RS.16,32,930/- MADE BY THE RESPONDENT ON THE WRONG PREMISE THAT ABOVE AMOUNT WAS PAID TO PARTY TO BOOK BOGUS EXPENDITURE. 5. THE LD. CIT(A) HAS ERRED IN UPHOLDING THE ADDITION OF RS.16,32,930/- MADE BY THE RESPONDENT WITHOUT VERIFYING THE AUTHENTICITY OF THE TRANSACTION THOUGH DOCUMENT PRODUCED IN SUPPORT OF OUR CLAIM IS ITA NO. 2264/BANG/2018 PAGE 2 OF 3 GENERATED FROM GOVERNMENT OFFICE AND AUTHENTICITY OF DOCUMENT CAN EASILY BE ESTABLISHED. 3. THE LD. AR OF ASSESSEE SUBMITTED THAT REASONABLE OPPORTUNITY OF HEARING WAS NOT PROVIDED BY LD. CIT(A) AND THEREFORE, THE MATTER MAY BE RESTORED BACK TO HIS FILE FOR FRESH DECISION AFTER PROVIDING ADEQUATE OPPORTUNITY OF BEING HEARD TO ASSESSEE. THE LD. DR OF REVENUE SUPPORTED THE ORDER OF CIT(A). 4. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS. WE FIND THAT IN PARA 5 OF HIS ORDER, IT IS STATED BY LD. CIT(A) THAT HE HAS CONSIDERED THE GROUNDS OF APPEAL, STATEMENT OF FACTS AND WRITTEN SUBMISSIONS FILED BY THE ASSESSEE AND ALSO PERUSED THE ASSESSMENT ORDER. AFTER SAYING SO, HE HAS DECIDED THE APPEAL SIMPLY ON THE BASIS OF FINDING OF AO IN THE ASSESSMENT ORDER WITHOUT MAKING ANY REFERENCE TO THE WRITTEN SUBMISSIONS FILED BY THE ASSESSEE BEFORE HIM. UNDER THESE FACTS, WE FEEL IT PROPER TO RESTORE BACK THE MATTER TO THE FILE OF CIT(A) FOR FRESH DECISION BY WAY OF A SPEAKING AND REASONED ORDER ON ALL ASPECTS AFTER PROVIDING REASONABLE OPPORTUNITY OF BEING HEARD TO BOTH SIDES. WE ORDER ACCORDINGLY. THE ORDER OF CIT(A) IS SET ASIDE AND THE MATTER IS RESTORED BACK TO HIS FILE FOR FRESH DECISION BY WAY OF A SPEAKING AND REASONED ORDER AFTER PROVIDING REASONABLE OPPORTUNITY OF BEING HEARD TO BOTH SIDES. IN VIEW OF THIS DECISION, NO ADJUDICATION ON MERIT IS CALLED FOR AT THE PRESENT STAGE. 5. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN TH E OPEN COURT ON THE DATE MENTIONED ON THE CAPTION PAGE. SD/- SD/- (PAVAN KUMAR GADALE) (ARUN KUMAR GARODIA) JUDICIAL MEMBER ACCOUNTANT MEMBER BANGALORE, DATED, THE 05 TH JULY, 2019. /MS/ ITA NO. 2264/BANG/2018 PAGE 3 OF 3 COPY TO: 1. APPELLANT 4. CIT(A) 2. RESPONDENT 5. DR, ITAT, BANGALORE 3. CIT 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, BANGALORE.