Interface Archdesign Pvt Ltd, New Delhi V. ITO WARD 12(3), New Delhi

ITA 2331/DEL/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 2316 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-03-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2014-2015
• Appeal Filed On: 15-03-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Principle of natural justice

Judgement Text

1 ITA NO. 2331/DEL/2019 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: I(2) + SM C 1 NEW DELHI BEFORE MS SUCHITRA KAMBLE, JUDICIAL MEM BER, AND SHRI PRASHANT MAHARISHI, ACCOU NTANT MEMBER ITA NO. 2331/DEL/2019 ( A.Y 2014-15) INTERFACE ARCH DESIGN PVT. LTD. A-41, MC IE DELHI MATHURA ROAD, BADARPUR, NEW DELHI PAN: AACC12494P (APPELLANT) VS ITO WARD 12(3) ROOM NO. 420, C. R. BUILDING, I. P. ESTATE, NEW DELHI (RESPONDENT) APPELLANT BY MS. INDRA BANSAL, CA RESPONDENT BY SH. PRADEEP SINGH GAUTAM, SR. DR ORDER PER SUCHITRA KAMBLE, JM THIS APPEAL IS FILED BY THE ASSESSEE AGAINST THE OR DER DATED 31/1/2019 PASSED BY CIT(A)- 22, NEW DELHI FOR ASSESSMENT YEA R 2014-15. 2. THE GROUNDS OF APPEAL ARE AS UNDER:- 1. THE ASSESSEE HAS NOT BEEN ALLOWED PROPER OPPOR TUNITY OF PRESENTING THE FACTS OF THE CASE HE NEE THE ORDER DESERVES TO BE MODIFIED/ CANCELLED. 2. THE EVIDENCE OF REPLIES RECEIVED FROM THE CREDIT ORS NOT CONFRONTED TO THE ASSESSEE COULD NOT BE THE BASIS OF ADDITION OF RS. 16, 89,450/- AND IT DESERVES TO BE DELETED. 3. THE CREDITORS ARE ON ACCOUNT OF SHARES PURCHASED AS SUCH THEY ARE LIABILITIES DUE TO BE PAID BY THE ASSESSEE AND NO A DDITION AS UNEXPLAINED DATE OF HEARING 05.03.2020 DATE OF PRONOUNCEMENT 20.03.2020 2 ITA NO. 2331/DEL/2019 LIABILITY CAN BE MADE IN THE HANDS OF THE ASSESSEE. 4. THE COMPANIES ARE GENUINE AND AS SUCH THE FINDIN G IN THE ORDER ARE ILLEGAL AND DESERVE TO BE DELETED. 5. THE ORDER IS ILLEGAL AND BAD AT LAW AND THEREFOR E DESERVES TO BE MODIFIED. 6. THE ADDITION OF RS16,89,450/- DESERVES TO BE DEL ETED. 3. THE ASSESSEE IS A PRIVATE LTD COMPANY. THE ASSES SING OFFICER MADE ADDITION RS. 16,89,450/- ON ACCOUNT OF UNEXPLAINED LIABILITY. 4. BEING AGGRIEVED BY THE PENALTY ORDER, THE ASSES SEE FILED APPEAL BEFORE THE CIT(A). THE CIT(A) DISMISSED THE APPEAL OF THE ASS ESSEE. 5. THE LD. AR SUBMITTED THAT THE CIT(A) HAS PASSED EX-PARTE ORDER AND THE ASSESSING OFFICER HAS ALSO NOT TAKEN COGNIZANCE OF THE EVIDENCES FILED DURING THE ASSESSMENT PROCEEDINGS. THEREFORE, THE ASSESSE E BE GIVEN OPPORTUNITY TO PLEAD ITS CASE BEFORE THE ASSESSING OFFICER. 6. THE LD. DR RELIED UPON THE ASSESSMENT ORDER, AND THE ORDER OF THE CIT(A). 7. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE M ATERIAL AVAILABLE ON RECORD. THE CIT(A) HAS PASSED EX-PARTE ORDER, BUT THE ASSESSEE HAS NOT AVAILED 5 OPPORTUNITIES GIVEN BY THE CIT(A). WE FURTHER NO TICE THAT THERE IS NO PROPER REASON GIVEN BY THE ASSESSEE FOR NON APPEARANCE BEF ORE THE CIT(A). THEREFORE, WE ARE DIRECTING THE ASSESSEE TO DEPOSIT RS. 5,000/ - TO THE PRIME MINISTERS RELIEF FUND. BUT AT THE SAME TIME THE ASSESSING OF FICER HAS ALSO NOT TAKEN COGNIZANCE OF THE EVIDENCES PRODUCED DURING THE ASS ESSMENT PROCEEDINGS. THEREFORE, IN THE INTEREST OF JUSTICE, IT WILL BE A PPROPRIATE TO REMAND BACK THE MATTER TO THE FILE OF THE ASSESSING OFFICER FOR FRE SH ADJUDICATION, AS THE ASSESSING OFFICER HAS ALSO NOT TAKEN COGNIZANCE OF THE EVIDENCES PLACED BEFORE THE ASSESSING OFFICER. NEEDLESS TO SAY, THE ASSESS EE BE GIVEN OPPORTUNITY OF 3 ITA NO. 2331/DEL/2019 HEARING BY FOLLOWING PRINCIPLES OF NATURAL JUSTICE. THE APPEAL OF THE ASSESSEE IS PARTLY ALLOWED FOR STATISTICAL PURPOSE. 8. IN RESULT, APPEAL OF THE ASSESSEE IS PARTLY ALLO WED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT ON 20 TH MARCH, 2020. SD/- SD/- (PRASHANT MAHARISHI) (SUCHITRA KAMBLE) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 20 /03/2020 R. NAHEED COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI 4 ITA NO. 2331/DEL/2019 DATE OF DICTATION 18.03.2020 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 18.03.2020 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. PS/PS DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. PS/PS 19.03.2020 DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT 19.03.2020 DATE ON WHICH THE FILE GOES TO THE BENCH CLERK 19.03.2020 DATE ON WHICH THE FILE GOES TO THE HEAD CLERK THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER