DCIT, Dehradun V. M/s. Utopia Impexs Pvt. Ltd., New Delhi

ITA 2573/DEL/2014

• Counselvise Citation: [2015] 120 COUNSELVISE.COM (IT) 8880 (ITAT-DELHI)
• Duration Of Justice: 9 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-02-2015
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: H
• Next Hearing Date: 24-02-2015
• Assessment Year: 2007-2008
• Appeal Filed On: 28-04-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: P K SIDHU

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH H: NEW DELHI BEFORE SHRI R.S. SYAL, ACCOUNTANT MEMBER AND SHRI I.C. SUDHIR, JUDICIAL MEMBER ITA NOS. 718 TO 720/DEL/2014 ASSESSMENT YEARS: 2006-07 TO 2008-09 UTOPIA IMPEX PVT. LTD. VS. ACIT, C/O MS. RASHMI SINGH, CENTRAL CIRCLE 21, ACA PARTNER M/S BHUPESH K. DHINGRA & CO., JHANDEW ALAN, 604, PADAM TOWER-II, RAJENDRA PLACE, NEW DELHI. NEW DELHI. AAACU7818D (APPELLANT) (RESPONDENT) ITA NOS. 2572 & 2573/DEL/2014 ASSESSMENT YEARS: 2006-07 & 2007-08 DCIT, VS. UTOPIA IMPEX P. LTD., CENTRAL CIRCLE-21, C/O MS. RASHMI SINGH, JHANDELWALAN, ACA PARTNER M/S BHUPESH NEW DELHI. K. DHINGRA & CO., 604, PADAM TOWER-II, RAJENDRA PLACE, NEW DELHI. AAACU7818D (APPELLANT) (RESPONDENT) & CROSS OBJECTION NOS. 376 & 377/DEL/2014 (IN ITA NOS. 2572 & 2573/D/2014) ASSESSMENT YEARS: 2006-07 & 2007-08 UTOPIA IMPEX PVT. LTD. VS. DCIT, C/O MS. RASHMI SINGH, CENTRAL CIRCLE 13A, ACA PARTNER M/S BHUPESH K. DHINGRA & CO., SUBHASH ROAD, 604, PADAM TOWER-II, RAJENDRA PLACE, AAYAKAR BHA WAN NEW DELHI. NEW DELHI. AAACU7818D (APPELLANT) (RESPONDENT) ITA NOS. 718 TO 720 & 2572 TO 2573/D/14 & CO NOS. 376 & 377/D/14 2 APPELLANT BY: SH. KAPIL GOEL, ADV. RESPONDENT BY: SMT. P.K. SIDHU, CIT DR DATE OF HEARING: 26.02.2015 DATE OF PRONOUNCEMENT: 27.02.2015 ORDER PER BENCH : THESE THREE APPEALS AND TWO CROSS OBJECTIONS BY THE ASSESSEE AND TWO APPEALS BY THE REVENUE RELATE TO THE ASSESSMENT YEA RS 2006-07, 2007-08 & 2008- 09. SINCE ALL THESE APPEALS ARE BASED ON SIMILAR F ACTS, WE ARE, THEREFORE, PROCEEDING TO DISPOSE THEM OFF BY THIS CONSOLIDATED ORDER FOR THE SAKE OF CONVENIENCE. 2. AT THE OUTSET, WE WANT TO MENTION THAT THE APPEA LS/CROSS OBJECTIONS FILED BY THE ASSESSEE ARE TIME BARRED INASMUCH AS THERE IS A DELAY OF 37 TO 38 DAYS. 3. THE ASSESSEE HAS FILED AN APPLICATION FOR CONDON ATION OF DELAY GIVING REASON THAT MS. RASHMI SINGH, A PARTNER OF M/S BHUPESH K. DHINGRA AND COMPANY, C.AS., WHO WAS ASSIGNED THE WORK OF PREPARATION AND FILLIN G UP ALL APPEALS WITH THE TRIBUNAL, WENT ON LEAVE FROM 15.11.2013 TO 02.02.20 14 DUE TO HER MARRIAGE CEREMONIES AND SHE OMITTED TO DELEGATE THE APPEAL W ORK TO SOME OTHER PROFESSIONAL. AN AFFIDAVIT OF MS. RASHMI SINGH HAS BEEN FILED TO THIS EFFECT. WE ARE SATISFIED WITH THE REASONS FOR THE BELATED FILING O F APPEALS/CROSS OBJECTIONS OF THE ASSESSEE. AS SUCH THE DELAY IS CONDONED AND THE AP PEALS/CROSS OBJECTIONS ARE ADMITTED FOR DISPOSAL ON MERITS. ITA NOS. 718 TO 720 & 2572 TO 2573/D/14 & CO NOS. 376 & 377/D/14 3 4. THE ASSESSEE HAS RAISED A COMMON GROUND IN ITS A PPEALS THAT NO PROPER SATISFACTION WAS RECORDED BY THE AO OF THE PERSONS SEARCHED AND THE INSTANT ASSESSMENTS MADE U/S 153C WERE WITHOUT JURISDICTION . 5. WE WANT TO MENTION THAT THESE SEVEN APPEALS WER E HEARD ALONG WITH ANOTHER BATCH OF TWELVE APPEALS RELATING TO TANVEER FINANCE & LEASING LIMITED. COMMON ARGUMENTS WERE MADE BY THE RIVAL PARTIES. IN FACT, THE SUBMISSIONS WERE MAINLY MADE WITH REFERENCE TO THE CASES OF TANVEER FINANCE & LEASING LIMITED AND THOSE ARGUMENTS WERE ADOPTED FOR THE PRESENT ASSESSEE. T HUS, IT FOLLOWS THAT THE FACTS AND CIRCUMSTANCES OF THE INSTANT APPEALS ARE MUTATIS MUTANDIS SIMILAR TO THOSE OF THE TANVEER FINANCE & LEASING LTD. HERE ALSO, THE ASSESSMENTS WERE MADE U/S 153C PURSUANT TO SEARCH CONDUCTED ON SH. B.K. DHING RA, SMT. POONAM DHINGRA & M/S MADANSUDAN BUILDCON P. LTD. NO SATISFACTION WA S RECORDED IN THE CASES OF THE PERSONS SEARCHED. THE SO-CALLED SATISFACTION HAS BE EN RECORDED BY THE AO OF THE PRESENT ASSESSEE. WE HAVE GONE THROUGH SUCH SATISFA CTION, FROM WHERE IT CAN BE SEEN THAT APART FROM THE ABOVE THREE PERSONS/ENTITY SEARCHED, THERE IS MENTION OF TWO MORE ENTITIES, NAMELY, M/S MAYANK TRADERS PVT . LTD. & M/S HORIZON PVT. LTD. THE AO OF THE ASSESSEE AND THE PERSONS SEARCHED IS HERE ALSO THE SAME. THE SATISFACTION WAS RECORDED BY THE AO IN THE CAPACITY OF AND AS THE AO OF THE ASSESSEE, A COPY OF WHICH IS AVAILABLE ON PAGE 4 O F THE PAPER BOOK. PAGES 5 TO 9 ARE THE COPIES OF REPLIES GIVEN BY THE DCIT, CENTRA L CIRCLE-17, NEW DELHI TO THESE SEARCHED FIVE PERSONS UNDER THE RTI ACT, ACKNOWLED GING THAT NO SATISFACTION NOTE IS AVAILABLE OR WAS RECORDED IN RESPECT OF THESE PERSO NS. BUT FOR THIS MINOR DIFFERENCE, ITA NOS. 718 TO 720 & 2572 TO 2573/D/14 & CO NOS. 376 & 377/D/14 4 ALL THE FACTS ARE IDENTICAL WITH TANVEER FINANCE & LEASING LTD. WE HAVE PASSED A SEPARATE ORDER IN THE CASE OF TANVEER FINANCE & LEA SING LTD. DEALING WITH ALL THE OBJECTIONS RAISED BY BOTH THE SIDES. IN THAT ORDER , WE HAVE SET ASIDE THE ASSESSMENT ORDERS ON THE GROUND THAT THE AO OF THE ASSESSEE DID NOT ACQUIRE A LAWFUL JURISDICTION BECAUSE OF THE ABSENCE OF A PRO PER SATISFACTION RECORDED BY THE AO OF THE PERSONS SEARCHED. WE ADOPT THE SAME REAS ONING GIVEN IN THE ORDER OF THE TANVEER FINANCE & LEASING LTD. AND ACCORDINGLY SET ASIDE THE INITIATION AND THE CONSEQUENTIAL ORDERS FLOWING THEREFROM, FOR LACK OF JURISDICTION OF THE AO TO PROCEED U/S 153C OF THE ACT. 6. IN THE RESULT, THE APPEALS OF THE ASSESSEE ARE A LLOWED AND THOSE OF THE REVENUE ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 27.02.15. SD/- SD/- (I.C. SUDHIR) JUDICIAL MEMBER (R.S. SYAL) ACCOUNTANT MEMBER DATED: 27.02.2015. *KAVITA COPY TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT, NEW DELHI. TRUE COPY BY ORDER ASSISTANT REGISTRAR