Ahuja Bulk Movers Pvt.Ltd., Nagpur V. Asstt.Commissioner of Income-Tax,Circle-8, Nagpur

ITA 239/NAG/2009

• Counselvise Citation: [2012] 119 COUNSELVISE.COM (IT) 9624 (ITAT-NAGPUR)
• Duration Of Justice: 2 year(s) 11 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-12-2012
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB
• Next Hearing Date: 09-10-2012
• Assessment Year: 2005-2006
• Appeal Filed On: 24-12-2009
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: DR MILLIND BUSARI
• Assessee Lawyers: R K GANERIWALA
• Keywords: Principle of natural justice
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL NAGPUR E-BENCH, NAGPUR (THROUGH VIDEO CONFERENCE AT MUMBAI) . . , . / BEFORE SHRI R.K. GUPTA, JUDICIAL MEMBER / AND , . . SHRI RAJENDRA, ACCOUNTANT MEMBER . / ITA NO. 239/NAG/2009 / ASSESSMENT YEAR 2005-06 M/S. AHUJA BULK MOVERS PVT. LTD., B-307, LOKMAT BHAWAN, WARDHA ROAD, NAGPUR-440 010 PAN: AABCA 5014 E VS. ASST. COMMISSIONER OF INCOME TAX, CIRCLE-8, NAGPUR. . / ITA NO. 8/NAG/2010 / ASSESSMENT YEAR 2005-06 DY. COMMISSIONER OF INCOME TAX, CIRCLE-8, NAGPUR, 5 TH FLOOR, AMBEDKAR BHAWAN, SEMINARY HILLS, NAGPUR. VS. M/S. AHUJA BULK MOVERS PVT. LTD., B-307, LOKMAT BHAWAN, WARDHA ROAD, NAGPUR-440 010 PAN: AABCA 5014 E ( / APPELLANT ) ( / RESPONDENT ) REVENUE BY : DR. MILLIND BUSARI (CIT DR) ASSESSEE BY : SHRI R.K. GANERIWALA ! '#$ / DATE OF HEARING : 17-12-2012 %& ! '#$ / DATE OF PRONOUNCEMENT : 17-12-2012 '( / O R D E R PER RAJENDRA, AM THESE TWO CROSS-APPEALS ARE FILED BY BOTH THE ASSES SEE-COMPANY AND THE ASSESSING OFFICER (AO) AGAINST THE ORDER OF CIT(A)- II, NAGPUR DT. 29-10-2009. ITA NO. 239/NAG/2009 ITA NO. 8/NAG/2010 M/S. AHUJA BULK MOVERS PVT. LTD 2 THE GROUNDS OF APPEAL FILED BY THE ASSESSEE-COMPANY READS AS UNDER: (ITA NO. 239/NAG/2009) 1. THE ORDER PASSED BY LEARNED A.O. IS ILLEGAL, IN CORRECT, BAD IN LAW AND WITHOUT NATURAL JUSTICE. 2. THE ADDITION MADE FOR RS. 2,74,99,877/- IS INCOR RECT, ILLEGAL, BAD IN LAW AND WITHOUT NATURAL JUSTICE AND THE SAME IS TO BE DELET ED. THE GROUND(S) OF APPEAL FILED BY THE AO READS AS UN DER: (ITA NO. 8/NAG/2010) THE CIT(A) ERRED IN DIRECTING TO ADOPT THE AMOUNT OF TRANSPORTATION CHARGES PAID AT RS. 2,74,40,688/- AS WORKED OUT BY THE A.C.I.T. (TD S), CIRCLE-1, NAGPUR AS AGAINST RS. 3,78,60,421/- DISALLOWED BY THE A.O. U/S. 40(A) (IA) OF THE I.T. ACT, 1961 AND THEREBY REDUCING THE DISALLOWANCE BY RS. 1,04,19,73 3/-. 2. ASSESSEE-COMPANY, ENGAGED IN THE BUSINESS OF TRANSP ORTATION OF GOODS, FILED ITS RETURN OF INCOME ON 24-10-2005 DECLARING LOSS O F RS. (-) 11.13 LAKHS. ASSESSMENT WAS FINALISED ON 31-12-2007 U/S. 143(3) OF THE INCO ME TAX ACT, 1961 (ACT) DETERMINING TOTAL INCOME AT RS. 3.89 CRORES BY THE ASSESSING OFFICER (AO). 3. DURING THE ASSESSMENT PROCEEDINGS, AO HELD THAT ASS ESSEE HAD MADE PAYMENTS WITHOUT DEDUCTING TAX U/S. 194 C OF THE ACT, THAT T HE DEFAULT U/S. 194 WAS FOR RS. 3.78 CRORES, THAT ASSESSEE HAD NOT FILED ANY REPLY IN TH IS REGARD. FINALLY, HE ADDED RS, 3.78 CRORES TO THE TOTAL INCOME OF THE ASSESSEE. 4. ASSESSEE HAD PREFERRED AN APPEAL BEFORE THE FIRST APPEAL AUTHORITY (FAA). FAA FOUND THAT ASSESSEE FILED A WRIT PETITION BEFOR E HONBLE HIGH COURT OF BOMBAY, NAGPUR BENCH WITH REGARD TO THE SAID ADDITION. 5. BEFORE US, BOTH THE PARTIES AGREED THAT MATTER WAS STILL PENDING BEFORE THE HONBLE HIGH COURT THAT MATTER SHOULD BE RESTORED B ACK TO THE AO. WE ARE ALSO OF THE OPINION THAT MATTER SHOULD BE SENT BACK TO THE AO T O PASS AN APPROPRIATE ORDER AFTER THE WRIT PETITION IS FINALLY DECIDED BY THE HONBLE HIGH COURT (WRIT NO. 846/2008). 6. APPEALS FILED BY THE ASSESSEE AS WELL AS THE AO STA ND DISPOSED-OFF FOR STATISTICAL PURPOSES. ORDER PRONOUNCED BY E-BENCH AT MUMBAI ON THIS 17 TH DAY OF DECEMBER, 2012. SD/- SD/- ( . . / R.K. GUPTA ) ( / RAJENDRA ) ') / JUDICIAL MEMBER $ ') / ACCOUNTANT MEMBER *+ MUMBAI, ,' DATE: 17 TH DECEMBER, 2012 TNMM ITA NO. 239/NAG/2009 ITA NO. 8/NAG/2010 M/S. AHUJA BULK MOVERS PVT. LTD 3 COPY TO: 1. APPELLANT 2. RESPONDENT 3. THE CONCERNED CIT (A) 4. THE CONCERNED CIT 5. DR, ITAT, NAGPUR 6 . GUARD FILE -' ' //TRUE COPY// BY ORDER, ASST. REGISTRAR, ITAT