Marg Properties Ltd., CHENNAI V. DCIT Corporate Circle 4(1), CHENNAI

ITA 2504/CHNY/2017

• Counselvise Citation: [2018] 121 COUNSELVISE.COM (IT) 7913 (ITAT-CHENNAI)
• Duration Of Justice: 11 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-09-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2012-2013
• Appeal Filed On: 16-10-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: D ANAND
• Keywords: Business expenditure
• Section: 143(3)

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL , B BEN CH, CHENNAI . , ! ' ! # . $% , & ' BEFORE SHRI A.MOHAN ALANKAMONY, ACCOUNTANT MEMBER AND SHRI DUVVURU RL REDDY, JUDICIAL MEMBER ./ I.T.A.NO.2504/CHNY/2017 ( / ASSESSMENT YEAR: 2012-13) M/S. MARG PROPERTIES LTD., 4/318, MARG AXIS, RAJIV GANDHI SALAI, KOTTIVAKKAM, CHENNAI 600 041. VS THE DCIT, CORPORATE CIRCLE 4(1), CHENNAI 8. PAN:AAGCM2942J ( /APPELLANT) ( /RESPONDENT) / APPELLANT BY : SHRI D. ANAND, ADVOCATE / RESPONDENT BY : SMT. SUMATHY VENKATRAMAN, JCIT /DATE OF HEARING : 19.09.2018 /DATE OF PRONOUNCEMENT : 19.09.2018 / O R D E R PER A. MOHAN ALANKAMONY, AM:- THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER PASSED BY THE LEARNED COMMISSIONER OF INCOME TAX(APPEALS)- 8, CHENNAI, DATED 22.08.2017 IN ITA NO.169/15-16 FOR THE ASSESS MENT YEAR 2012- 13 PASSED U/S. 250(6) R.W.S. 143(3) OF THE ACT. 2. THE ASSESSEE HAS RAISED SIX GROUNDS IN ITS APP EAL HOWEVER THE CRUX OF THE ISSUE IS THAT THE LD.CIT(A) HAS ERRED I N CONFIRMING THE 2 ITA NO.2504/CHNY/201 7 ADDITION MADE BY THE LD.AO AMOUNTING TO RS.1,47,84, 000/- TOWARDS DISALLOWANCE OF EXCESS EXPENDITURE. 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSE E IS A LIMITED COMPANY ENGAGED IN THE BUSINESS OF CONSTRUCTING AND SELLING RESIDENTIAL APARTMENTS, FILED ITS RETURN OF INCOME FOR THE ASSE SSMENT YEAR 2012-13 ELECTRONICALLY ON 30.09.2012. THE CASE WAS SELECTED FOR SCRUTINY AND ASSESSMENT ORDER WAS PASSED U/S.143(3) OF THE ACT O N 31.03.2015 WHEREIN THE LD.AO MADE ADDITION OF RS.1,47,84,000/- TOWARDS DISALLOWANCE OF EXCESS BUSINESS EXPENDITURE. ON APP EAL THE LD.CIT(A) DISMISSED THE APPEAL OF THE ASSESSEE BECAUSE NONE A PPEARED BEFORE HIM AT THE TIME OF HEARING. 4. AT THE OUTSET, THE LD.AR SUBMITTED BEFORE US THA T THE ASSESSEE WAS UNDER GREAT STRESS AND THEREFORE HE WAS NOT ABL E TO PURSUE THE APPEAL BEFORE THE LD.CIT(A). IT WAS FURTHER PLEADED THAT ONE MORE OPPORTUNITY MAY BE GRANTED TO THE ASSESSEE OF BEING HEARD. THE LD.DR ON THE OTHER HAND VEHEMENTLY OPPOSED TO THE SUBMISS ION OF THE LD.AR AND PLEADED FOR CONFIRMING THE ORDERS OF THE LD.REV ENUE AUTHORITIES. 5. WE HAVE HEARD THE RIVAL SUBMISSIONS AND CAREFULL Y PERUSED THE MATERIALS ON RECORD. THOUGH WE DO NOT APPRECIATE TH E LETHARGIC ATTITUDE 3 ITA NO.2504/CHNY/201 7 OF THE ASSESSEE, IN THE INTEREST OF JUSTICE, WE HER EBY REMIT THE APPEAL BACK TO THE FILE OF LD.CIT(A) FOR DE-NOVA CONSIDERA TION THEREBY GRANTING ONE MORE OPPORTUNITY TO THE ASSESSEE OF BEING HEARD . WE ALSO HEREBY CAUTION THE ASSESSEE TO PROMPTLY CO-OPERATE BEFORE THE LD.CIT(A) IN ORDER TO EXPEDITE HIS ORDER FAILING WHICH THE LD.CI T(A) SHALL BE AT LIBERTY TO PASS APPROPRIATE ORDER IN ACCORDANCE WITH LAW AN D MERIT BASED ON MATERIALS ON RECORD. 6. IN THE RESULT THE APPEAL OF THE ASSESSEE IS AL LOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON THE 19 TH SEPTEMBER, 2018 AT CHENNAI. SD/- SD/- ( ! ' ! # . $% ) ( . ) ( DUVVURU RL REDDY ) ( A. MOHAN ALANKAMONY ) # $% /JUDICIAL MEMBER $% / ACCOUNTANT MEMBER &# /CHENNAI, '$ /DATED 19 TH SEPTEMBER, 2018 RSR $ )* +* /COPY TO: 1. /APPELLANT 2. /RESPONDENT 3. . ( )/CIT(A) 4. . /CIT 5. */0 1 /DR 6. 02 /GF