M/s. Uttam Sucrotech Ltd., Meerut V. DCIT, Ghaziabad

ITA 2578/DEL/2016

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 3689 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 5 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-10-2017
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: E
• Assessment Year: 2011-2012
• Appeal Filed On: 09-05-2016
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: SHEFALI SWROOP
• Keywords: Opportunity of being heard

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH E, NEW DELHI BEFORE SMT. DIVA SINGH, JUDICIAL MEMBER AND SHRI B.P JAIN, ACCOUNTANT MEMBER ITA NO. 257 8/DEL./2016 : ASSTT. YEAR : 2011-12 UTTAM SUCROTECH LTD., C/O. M/S. MALIK & CO., ADVOCATES, 305/7, THAPAR NAGAR MEERUT PAN: AAACU4042K VS. DCIT, CENTRAL CIRCLE, AAYAKAR BHAWAN, C.G.O. COMPLEX-2, HAPUR ROAD GHAZIABAD [APPELLANT] [RESPONDENT] APPELLANT BY : SH. SANJAY MALIK, ADV. RESPONDENT BY : MS. SHEFALI S WROOP, CIT - DR DATE OF HEARING: 16 1 0 2017 DATE OF PRONOUNCEMENT: 18 10 2017 O R D E R PER DIVA SINGH, JUDICIAL MEMBER : THE PRESENT APPEAL HAS BEEN FILED BY THE ASSESSEE ASSAILING THE CORRECTNESS OF THE ORDER DATED 15.03.2016 OF CIT(A) -IV, KANPUR PERTAINING TO 2011-12 ASSESSMENT YEAR . 2. LD. AR INVITING ATTENTION TO THE IMPUGNED OR DER AND THE GROUNDS OF APPEAL SUBMITTED THAT THE ASSESSEE HAD CHALLENGED THE ADDI TION MADE BY THE ASSESSING OFFICER BEFORE THE CIT(A). THE CIT(A), SU STAINED THE ADDITION BY DISMISSING THE APPEAL OF THE ASSESSEE IN LIMINE. TH E FOLLOWING SPECIFIC THREE GROUNDS RAISED IN THE APPEAL WERE ADDRESSED : ITA NO. 2578/DEL/2016 2 1. ON RECEIPT OF THE NOTICE OF HEARING, THE COMPAN Y INFORMED THE COUNSEL M/S. B.K.KAPOOR & CO. (CA) AND REQUESTED TO PURSUE THE A PPEAL. WE ARE INFORMED THAT OFFICE OF THE COUNSEL REQUESTED FOR ADJOURNMENT OF THE APPEAL AND FIXATION OF THE SAME AT NEXT CAMP AT GHAZIABAD ON THE GROUND THAT R EPRESENTATION AT KANPUR WOULD INVOLVED TWO NIGHTS JOURNEY AND THE WHOLE DAY AND WILL BE QUITE EXPENSIVE AND INCONVENIENT. 2. ON FACTS AND IN LAW THUS THE LD. CIT(A) WAS NOT JUSTIFIED TO DISMISS THE APPEAL IN LIMINE FOR NON ATTENDANCE BY APPELLANT IN VIEW OF THE RATIO LAID DOWN BY HIGHER COURTS. 3. THAT THE LD. CIT(A) OUGHT TO HAVE ADJUDICATED THE ISSUE AS PER GROUNDS OF APPEAL. NON ADJUDICATION OF THE APPEAL ON MERIT AS PER GROUNDS OF APPEAL VITIATE THE APPELLATE ORDER. 3. REFERRING TO THE AFORESAID GROUNDS, IT WAS SUBM ITTED THAT THE LD. CIT(A) HAS GIVEN ONLY ONE OPPORTUNITY AND THAT TOO IGNORING TH E REQUEST OF THE ASSESSEE THAT IT WAS INCONVENIENT AND EXPENSIVE TO TRAVEL TO CAMP AT KANPUR AND THE ASSESSEE WOULD WAIT FOR THE HEARING AT GHAZIABAD. ACCORDINGLY, IT WAS HIS LIMITED PRAYER THAT THE IMPUGNED ORDER MAY BE SET A SIDE TO THE FILE OF THE CIT(A) IN ORDER TO AFFORD AN OPPORTUNITY OF BEING H EARD TO THE ASSESSEE. 4. CONSIDERING THE MATERIAL AVAILABLE ON RECORD, T HE SAID REQUEST WAS NOT OPPOSED BY THE LD. CIT-DR. 5. WE HAVE HEARD THE SUBMISSIONS AND PERUSED THE M ATERIAL AVAILABLE ON RECORD. ON CONSIDERATION THEREOF, WE ARE OF THE VIEW THAT T HE IMPUGNED ORDER DOES NOT MEET THE STATUTORY REQUIREMENTS AS SET OUT IN SECTI ON (6) OF SECTION 250 OF THE INCOME TAX ACT. ACCEPTING THE ORAL UNDERTAKING OF THE LD. AR THAT THE ASSESSEE SHALL PARTICIPATE IN THE PROCEEDINGS BEFORE THE CIT (A) THE IMPUGNED ORDER IS SET ASIDE BACK TO THE FILE OF THE SAID AUTHORITY WITH T HE DIRECTION TO PASS A SPEAKING ORDER IN ACCORDANCE WITH LAW, AFTER GIVING THE ASSE SSEE A REASONABLE OPPORTUNITY OF BEING HEARD. WHILE SO DIRECTING IT I S HOPED THAT THE OPPORTUNITY SO PROVIDED IS UTILISED BY THE ASSESSEE BY MAKING F ULL AND PROPER PARTICIPATION BEFORE THE CIT(A). IN THE EVENTUALITY OF ABUSE OF THE SAME, IT IS MADE CLEAR THAT ITA NO. 2578/DEL/2016 3 THE LD. CIT(A) WOULD BE AT LIBERTY TO PASS AN ORDER ON THE BASIS OF MATERIAL AVAILABLE ON RECORD. 6. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWE D FOR STATISTICAL PURPOSES. (ORDER PRONOUNCED IN THE OPEN COURT ON 18/10/201 7) SD/ - SD/ - (B.P.JAIN) (DIVA SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 18 .10.2017 *BINITA* COPY FORWARDED TO:- 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITA NO. 2578/DEL/2016 4 DATE INITIAL 1. DRAFT DICTATED ON 17 /10/2017 2. DRAFT PLACED BEFORE AUTHOR 17/10/2017 3. DRAFT PROPOSED & PLACED BEFORE THE SECOND MEMBER 17/10/2017 4. DRAFT DISCUSSED/APPROVED BY SECOND MEMBER. 5. APPROVED DRAFT COMES TO THE SR.PS/PS 6. KEPT FOR PRONOUNCEMENT ON 7. FILE SENT TO THE BENCH CLERK 8. DATE ON WHICH FILE GOES TO THE AR 9. DATE ON WHICH FILE GOES TO THE HEAD CLERK. 10. DATE OF DISPATCH OF ORDER.