M/s. Tarun Sharma , Howrah V. ITO, Ward - 46(4) , Kolkata

ITA 2534/KOL/2018

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 5179 (ITAT-KOLKATA)
• Duration Of Justice: 1 year(s) 2 month(s) 13 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-02-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: C
• Assessment Year: 2012-2013
• Appeal Filed On: 06-12-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: SUPRIYO PAL
• Assessee Lawyers: N O N E
• Keywords: Principle of natural justice; Set aside
• Section: 271D

Judgement Text

1 ITA NO.2534/KOL/2018 M/S. TARUN SHARMA, AY 2012-13 , C , IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH: KOL KATA ( )BEFORE . , /AND . # . $ , ) [BEFORE SHRI J. SUDHAKAR REDDY, AM & SHRI A. T. VAR KEY, JM] I.T.A. NO. 2534/KOL/2018 ASSESSMENT YEAR: 2012-13 M/S. TARUN SHARMA (PAN: AKRPS9345R) VS. INCOME-TAX OFFICER, WARD-46(4), KOLKATA. APPELLANT RESPONDENT DATE OF HEARING 14.01.2020 DATE OF PRONOUNCEMENT 19.02.2020 FOR THE APPELLANT N O N E FOR THE RESPONDENT SHRI SUPRIYO PAL, JCIT, SR. DR ORDER PER SHRI A.T.VARKEY, JM THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF LD. CIT(A)-14, KOLKATA DATED 26.07.2018 FOR AY 2012-13. 2. THE SOLE ISSUE INVOLVED IN THIS APPEAL OF ASSESS EE IS AGAINST THE EX PARTE ORDER OF LD. CIT(A) IN RESPECT OF INITIATION OF PROCEEDINGS U/S. 271D OF THE INCOME-TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT) AND THE REAFTER LEVY OF PENALTY U/S. 271D OF THE ACT. 3. THOUGH NONE APPEARED FOR THE ASSESSEE A PERUSAL OF THE IMPUGNED ORDER OF THE LD. CIT(A) AND AO IT REVEALS THAT BOTH THE ORDERS O F JCIT AND LD. CIT(A) ARE EX PARTE ORDERS BECAUSE NONE APPEARED BEFORE THE LOWER AUTHO RITIES DURING THE APPELLATE AND PENALTY PROCEEDINGS. IT IS NOTED THAT THE LD. CIT(A ) HAD ISSUED TWO NOTICES AND NO PROOF FOR SERVICE OF NOTICE UPON THE ASSESSEE WAS R ECORDED IN THE IMPUGNED ORDER. THEREAFTER, THE LD. CIT(A) PASSED THE EX PARTE ORDE R WITHOUT GOING INTO THE LEGAL ISSUE/ MERITS OF PENALTY IMPOSED BY JCIT SINCE THE ASSESSE E/LD. AR COULD NEITHER ATTEND 2 ITA NO.2534/KOL/2018 M/S. TARUN SHARMA, AY 2012-13 BEFORE HIM NOR FILED ANY ADJOURNMENT APPLICATION. A CCORDING TO US, SINCE THE LD. CIT(A) HAS PASSED THE FIRST APPELLATE ORDER WITHOUT HEARING THE ASSESSEE, THE IMPUGNED ORDER IS FRAGILE FOR VIOLATION OF NATURAL JUSTICE A ND, THEREFORE, CANNOT BE SUSTAINED. HOWEVER, SINCE THE LD. CIT(A) HAS FAILED TO ADJUDIC ATE THE LEGAL ISSUE RAISED BY THE ASSESSEE AS WELL AS MERITS OF THE PENALTY LEVIED U/ S. 271D OF THE ACT, WE ARE INCLINED TO SET ASIDE THE ORDERS OF THE LD CIT(A) AND REMAND T HE MATTER BACK TO HIS FILE FOR DE NOVO ADJUDICATION OF APPEAL AFTER HEARING THE ASSES SEE. THE ASSESSEE IS DIRECTED TO PARTICIPATE IN THE PROCEEDINGS DILIGENTLY BEFORE TH E LD CIT(A). 4. IN THE RESULT, THE APPEAL OF ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER IS PRONOUNCED IN THE OPEN COURT ON 19TH FEBR UARY, 2020 SD/- SD/- (J. SUDHAKAR REDDY) (ABY. T. VARKEY) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 19TH FEBRUARY, 2020 JD.(SR.P.S.) COPY OF THE ORDER FORWARDED TO: 1 . APPELLANT M/S. TARUN SHARMA, 325, G. T. ROAD, RAS H BARI, BALLY, HOWRAH-711201. 2 RESPONDENT ITO, WARD-46(4), KOLKATA. 3 . THE CIT(A)-14, KOLKATA 4. 5. CIT , KOLKATA DR, KOLKATA BENCHES, KOLKATA / TRUE COPY, BY ORDER, ASSTT. REGISTRAR .