Shri Rajinder Sahil Sharma, Delhi V. ACIT, New Delhi

ITA 2493/DEL/2015

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 2883 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 7 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-12-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: F
• Assessment Year: 2011-2012
• Appeal Filed On: 29-04-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Depreciation; Opportunity of being heard

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH F, NEW DELHI BEFORE SHRI R. K. PANDA, ACCOUNTANT MEMBER AND MS. SUCHITRA KAMBLE, JUDICIAL MEMBER ITA NO.2493/DEL/2015 ASSESSMENT YEAR : 2011-12 RAJINDER SAHIL SHARMA, 41-A, NEW GROUND PURA, CHANDER NAGAR, DELHI. VS. ACIT, CIRCLE- 38(1), NEW DELHI. PAN : ASCPS4009B (APPELLANT) (RESPONDENT) ASSESSEE BY : NONE DEPARTMENT BY : SHRI ATIQ AHMAD, SR.DR DATE OF HEARING : 27-12-2017 DATE OF PRONOUNCEMENT : 27-12-2017 O R D E R PER R. K. PANDA, AM : THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAIN ST THE ORDER DATED 19.02.2015 OF THE CIT(A)-XX, NEW DELHI RELATING TO ASSESSMENT YEAR 2011-12. 2. DESPITE SERVICE OF NOTICE, NONE APPEARED ON BEHA LF OF THE ASSESSEE WHEN THE NAME OF THE ASSESSEE WAS CALLED. NO PETITION S EEKING ADJOURNMENT OF THE CASE HAS BEEN FILED. THEREFORE, THIS APPEAL IS BEI NG DECIDED ON THE BASIS OF MATERIAL AVAILABLE ON RECORD AND AFTER HEARING THE LD. DR. 3. FACTS OF THE CASE, IN BRIEF, ARE THAT THE ASSESS EE IS AN INDIVIDUAL AND IS ENGAGED IN THE BUSINESS OF TRADING OF ELECTRICAL GO ODS & ELECTRICAL CONTRACTOR 2 ITA NO.2493/DEL/2015 UNDER THE NAME AND STYLE OF M/S R. SAHIL CONSTRUCTI ON COMPANY AND M/S SHIV CONSTRUCTION COMPANY. HE FILED HIS RETURN OF INCOM E ON 30.09.2011 DECLARING INCOME OF RS.61,06,236/-. THE ASSESSING OFFICER CO MPLETED THE ASSESSMENT DETERMINING THE TAXABLE INCOME AT RS.65,87,900/- BY MAKING THE FOLLOWING ADDITIONS :- (A) DISALLOWANCE ON ACCOUNT OF UNVERIFIABLE PURCHAS ES. 1,82,324/- (B) DIS ALLOWANCE OUT OF WAGES. 1,25,000/ - (C) DISALLOWANCE OUT OF CONSUMABLE STORE. 40,500/ - (D) DISALLOWANCE OUT OF DEPRECIATION. 18,031/ - (E) DISALLOWANCE OUT OF TELEPHONE EXPENSES. 7,937/- (F) ADDITION OUT OF UNDISCLOSED OTHER SOURCES. 1,07 ,871/- 4. THE ASSESSEE FILED AN APPEAL BEFORE THE LD. CIT( A). HOWEVER, DUE TO NON- SUBMISSIONS OF ANY EVIDENCE, LD. CIT(A) CONFIRMED T HE ADDITION MADE BY THE ASSESSING OFFICER FOR WHICH THE ASSESSEE IS IN APPE AL BEFORE THE TRIBUNAL BY RAISING THE FOLLOWING GROUNDS :- 1. THAT THE CIT(A) HAS PASSED ORDER U/S 250 I.T. A CT EX-PARTE ON THE BACK OF THE APPELLANT ALLEGING NON-COMPLIANCES OF NOTICES. 2. THAT THE AUTHORITY BELOW HAS ERRED IN LAW AND FA CTS OF THE CASE WHILE DISALLOWING AND ADDED BACK OUT OF FOLLOWING EXPENDI TURES ON ACCOUNT OF : I. UN-VERITABLE PURCHASE RS.182324.00 II. WAGES RS.125000.00 III. CONSUMABLE STORE RS. 45000.00 IV. DEPRECIATION CLAIMED RS. 18031.00 V. TELEPHONE EXPENSE RS. 7937.00 3. THAT THE APPELLANT CRAVE TO ADD, AMEND AND DELET E ANY GROUND OF APPEAL AT THE TIME OF HEARING. 5. WE HAVE CONSIDERED THE ARGUMENTS ADVANCED BY THE LD. DR AND PERUSED THE MATERIAL AVAILABLE ON RECORD. IT IS AN ADMITTE D FACT THAT THE ASSESSEE DID NOT 3 ITA NO.2493/DEL/2015 MAKE ANY SUBMISSION OR FILED ANY EVIDENCE BEFORE TH E LD. CIT(A) FOR WHICH HE HAD PASSED AN EX-PARTE ORDER SUSTAINING THE VARIOUS ADDITIONS MADE BY THE ASSESSING OFFICER. CONSIDERING THE TOTALITY OF THE FACTS OF THE CASE AND IN THE INTEREST OF JUSTICE, WE ARE OF THE CONSIDERED OPINI ON THAT THE ASSESSEE SHOULD BE GIVEN ONE MORE OPPORTUNITY BY THE LD. CIT(A) TO SUB STANTIATE HIS CASE. WE, THEREFORE, IN THE INTEREST OF JUSTICE, DEEM IT PROP ER TO RESTORE THE ISSUE TO THE FILE OF THE LD. CIT(A) WITH A DIRECTION TO GIVE ONE MORE OPPORTUNITY TO THE ASSESSEE TO SUBSTANTIATE HIS CASE. LD. CIT(A) SHALL DECIDE THE ISSUE AS PER FACT AND LAW AFTER GIVING DUE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. WE HOLD AND DIRECT ACCORDINGLY. THE GROUNDS RAISED BY THE ASSESSEE AR E ACCORDINGLY ALLOWED FOR STATISTICAL PURPOSES. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME HEA RING ITSELF I.E. ON THIS 27 TH DAY OF DECEMBER, 2017. SD/- SD/- (SUCHITRA KAMBLE) (R. K. P ANDA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 27-12-2017. SUJEET 4 ITA NO.2493/DEL/2015 COPY OF ORDER TO: - 1) THE APPELLANT 2) THE RESPONDENT 3) THE CIT 4) THE CIT(A) 5) THE DR, I.T.A.T., NEW DELHI BY ORDER //TRUE COPY// ASSISTANT REGISTRAR ITAT, NEW DELHI