Surojit Kundu, Kolkata V. ITO, Ward - 41(4), Kolkata , Kolkata

ITA 2321/KOL/2017

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 1570 (ITAT-KOLKATA)
• Duration Of Justice: 3 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-02-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2013-2014
• Appeal Filed On: 14-11-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P K MONDAL
• Keywords: Bogus purchase; Opportunity of being heard
• Section: 143(3)

Judgement Text

1 ITA NO. 2321/KOL/2017 ASSESSMENT YEAR: 2013-2014 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA SMC BENCH, KOLKATA BEFORE SHRI P.M. JAGTAP, ACCOUNTANT MEMBER I.T.A. NO. 2321/KOL./2017 ASSESSMENT YEAR: 2013-2014 SURAJIT KUNDU,..................................... ...................................APPELLANT C/O. S.L. KOCHAR, ADVOCATE, 5, ASHUTOSH CHOWDHURY AVENUE, KOLKATA-700 019 [PAN: ALSPK 5928 Q] -VS.- INCOME TAX OFFICER,................................ .................................. RESPONDENT WARD-41(4), KOLKATA APPEARANCES BY: SHRI ANIL KOCHAR, ADVOCATE, FOR THE ASSESSEE SHRI P.K. MONDAL, ADDL. CIT, D.R., FOR THE DEPARTME NT DATE OF CONCLUDING THE HEARING : FEBRUARY 21, 2018 DATE OF PRONOUNCING THE ORDER : FEBRUARY 23, 2018 O R D E R THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAIN ST THE ORDER OF LD. COMMISSIONER OF INCOME TAX (APPEALS)-12, KOLKATA DA TED 17.08.2017 PASSED EX-PARTE DISMISSING THE APPEAL OF THE ASSESSEE FILED BEFORE HIM. 2. THE ASSESSEE IN THE PRESENT CASE IS AN INDIVIDUA L, WHO IS ENGAGED IN THE BUSINESS OF DEALING IN PETROL, DIESEL AND LUBRI CANTS. THE RETURN OF INCOME FOR THE YEAR UNDER CONSIDERATION WAS FILED B Y HIM ON 29.09.2013 DECLARING TOTAL INCOME OF RS.4,37,780/-. IN THE ASS ESSMENT COMPLETED UNDER SECTION 143(3) VIDE AN ORDER DATED 22.01.2016 , THE TOTAL INCOME OF THE ASSESSEE WAS DETERMINED BY THE ASSESSING OFFICE R AT RS.21,13,296/- AFTER MAKING THE FOLLOWING ADDITIONS:- (1) DISALLOWANCE OF ENTERTAINMENT EXPENSES RS.1,26,400/ - 2 ITA NO. 2321/KOL/2017 ASSESSMENT YEAR: 2013-2014 (2) DISALLOWANCE OF LOADING AND UNLOADING EXPENSES RS.25,900/ - (3) DISALLOWANCE OF PUMP DRIVE EXPENSES RS.16,040/ - (4) DISALLOWANCE OF BOGUS PURCHASES RS.46,786/ - (5) UNDISCLOSED INCOME RS.14,60,390/ - 3. AGAINST THE ORDER PASSED BY THE ASSESSING OFFICE R UNDER SECTION 143(3), AN APPEAL WAS PREFERRED BY THE ASSESSEE BEF ORE THE LD. CIT(APPEALS) DISPUTING THE VARIOUS ADDITIONS MADE B Y THE ASSESSING OFFICER AND SINCE THERE WAS NO COMPLIANCE ON THE PA RT OF THE ASSESSEE TO THE NOTICES ISSUED BY HIM FIXING THE SAID APPEAL FO R HEARING FROM TIME TO TIME, THE LD. CIT(APPEALS) DISMISSED THE APPEAL OF THE ASSESSEE VIDE HIS IMPUGNED ORDER PASSED EX-PARTE. AGGRIEVED BY THE ORDER OF THE LD. CIT(APPEALS), THE ASSESSEE HAS PREFERRED THIS APPEA L BEFORE THE TRIBUNAL. 4. I HAVE HEARD THE ARGUMENTS OF BOTH THE SIDES AND ALSO PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD. IN THE PRELI MINARY ISSUE RAISED IN GROUNDS NO. 1 & 2 OF HIS APPEAL, THE ASSESSEE HAS C HALLENGED THE IMPUGNED ORDER PASSED BY THE LD. CIT(APPEALS) EX-PARTE . IN THIS REGARD, THE LD. COUNSEL FOR THE ASSESSEE HAS CONTENDED THAT THE NOTICES OF HEARINGS STATED TO BE SENT BY THE LD. CIT(APPEALS) WERE NEVE R RECEIVED BY THE ASSESSEE WHICH RESULTED IN HIS NON-APPEARANCE DURIN G THE COURSE OF APPELLATE PROCEEDINGS BEFORE THE LD. CIT(APPEALS). AS POINTED OUT BY HIM, THE LD. CIT(APPEALS) APPARENTLY HAD MENTIONED THE N AME OF THE POST OFFICE AS BETAL INSTEAD OF BETAI IN THE ADDRESS OF THE ASSESSEE AND THE SAME APPARENTLY RESULTED IN THE NON-SERVING OF NOTI CES ON THE ASSESSEE. I FIND MERIT IN THIS CONTENTION OF THE LD. COUNSEL FO R THE ASSESSEE. IT APPEARS THAT THE NOTICES OF HEARINGS SENT BY THE LD. CIT(AP PEALS) COULD NOT BE SERVED ON THE ASSESSEE DUE TO MISTAKE IN THE ADDRES S OF THE ASSESSEE AND THERE WAS THUS A SUFFICIENT CAUSE FOR THE NON-APPEA RANCE OF THE ASSESSEE DURING THE COURSE OF APPELLATE PROCEEDINGS BEFORE T HE LD. CIT(APPEALS). I, THEREFORE, SET ASIDE THE IMPUGNED ORDER PASSED BY T HE LD. CIT(APPEALS) EX-PARTE AND REMIT THE MATTER BACK TO HIM FOR DISPOSING OF THE APPEAL OF 3 ITA NO. 2321/KOL/2017 ASSESSMENT YEAR: 2013-2014 THE ASSESSEE AFRESH ON MERIT AFTER GIVING THE ASSES SEE PROPER AND SUFFICIENT OPPORTUNITY OF BEING HEARD. 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALLOWE D FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 23 RD DAY OF FEBRUARY, 2018. SD/- (P.M. JAGTAP) ACCOUNTANT MEMBER KOLKATA, THE 23 RD DAY OF FEBRUARY, 2018 COPIES TO : (1) SHRI SURAJIT KUNDU, C/O. S.L. KOCHAR, ADVOCATE, 5, ASHUTOSH CHOWDHURY AVENUE, KOLKATA-700 019 2) INCOME TAX OFFICER, WARD-41(4), KOLKATA (3) CIT(APPEALS)-12, KOLKATA, (4) CIT- , KOLKATA, (5) THE DEPARTMENTAL REPRESENTATIVE (6) GUARD FILE TRUE COPY BY ORDER SENIOR PRIVATE SECRETARY, HEAD OF OFFICE/DDO, INCOME TAX APPELLATE TRIBUNAL KOLKATA BENCHES, KOLKATA LAHA/SR. P.S.