Selladurai Suthanthiraseelan, CHENNAI V. ACIT Non Corporate Circle 6(1), CHENNAI

ITA 2593/CHNY/2018

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 6217 (ITAT-CHENNAI)
• Duration Of Justice: 1 year(s) 1 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-10-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: D
• Assessment Year: 2010-2011
• Appeal Filed On: 07-09-2018
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: SUMATHY VENK ATRAMAN JCITD R
• Assessee Lawyers: S SRINIRAJANI
• Keywords: Reopening of assessment; Principle of natural justice; Set aside
• Section: 201

Judgement Text

, SMC , IN THE INCOME TAX APPELLATE TRIBUNAL D SMC BENCH : CHENNAI , , BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER & S HRI RAMIT KOCHAR , ACCOUNTANT MEMBER ./ I.T.A.NO.2593/CHNY/2018 / ASSESSMENT YEAR : 2010-11 SHRI SELLADURAI SUTHANTHIRASEELAN , 231,MINT STREET,PARK TOWN, CHENNAI 600 003. VS. THE ASSISTANT COMMISSIONER OF INCOME TAX,NON-CORPORATE CIRCLE 6(1), 16,GREAMS ROAD, CHENNAI 600 006. (PAN ABEPS 2933 B ) ( / APPELLANT) ( ! /RESPONDENT) / APPELLANT BY : MS.S.SRINIRAJANI,ADVOCATE !' /RESPONDENT BY : MS.SUMATHY VENK ATRAMAN, JCIT,D.R & / DATE OF HEARING : 10 10 - 201 9 & / DATE OF PRONOUNCEMENT : 10 - 10 - 201 9 / O R D E R PER GEORGE MATHAN, JUDICIAL MEMBER THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF THE COMMISSIONER OF INCOME-TAX (APPEALS)-5, CHENNAI IN ITA NO.368/C.I.T(A)-5/2017-18 DATED 29.06.2018 FOR THE ASSESSMENT YEAR 2010-11. ITA NO.2593/CHNY/2018 :- 2 -: 2. MS.S.SRINIRAJANI REPRESENTED ON BEHALF OF THE ASSESSEE AND MS.SUMATHY VENKATRAMAN REPRESENTED ON BEHALF OF THE REVENUE. 3. IT WAS SUBMITTED BY THE LD.AR THAT THE ASSESSME NTS CAME TO BE RE-OPENED BY ISSUANCE OF NOTICE U/S.148 OF THE A CT ON 29.03.2017 WITHOUT ASSIGNING ANY REASON FOR RE-OPENING OF THE ASSESSMENT. FURTHER, IT WAS SUBMITTED THAT THE LD.CIT(A) OBSERV ED IN PARA-6.2 AT PAGE-11 OF HIS ORDER THAT IN THE ASSESSMENT ORDER, THE ASSESSING OFFICER STATED THE REASONS FOR RE-OPENING. IT WAS S UBMITTED THAT THE REASONS RECORDED FOR THE ISSUANCE OF NOTICE U/S.148 OF THE ACT HAD NOT BEEN ISSUED TO THE ASSESSEE. IT WAS A FURTHER SUBMI SSION THAT THE ASSESSEE HAD NO OBJECTION, IF THE ISSUES IN THE APP EAL WERE RESTORED TO THE FILE OF THE AO FOR RE-ADJUDICATION AFTER GRANTI NG THE ASSESSEE A COPY OF THE REASONS RECORDED FOR THE PURPOSE OF REOPENIN G OF THE ASSESSMENT IN VIEW OF THE DECISION OF THE HON'BLE SUPREME COURT IN THE CASE OF GKN DRIVESHAFTS (INDIA) LTD V ITO [2003] 25 9 ITR 19 (SC). 4. IN REPLY, L D.D.R. VEHEMENTLY SUPPORTED THE ORDERS OF THE ASSESSING OFFICER AND THE LD.CIT(A). 5. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIAL AVAILABLE ON RECORD. AS IT IS NOTICED THAT THERE IS TOTAL VIOLATION OF NATURAL JUSTICE IN SO FAR AS THE REASO NS RECORDED FOR THE PURPOSE OF REOPENING OF ASSESSMENT BY ISSUANCE OF N OTICE U/S.148 OF THE ACT HAS NOT BEEN ISSUED TO THE ASSESSEE, DES PITE SPECIFICALLY BEING ASKED BY ASSESSEE VIDE LETTER DATED 27.09.201 7 (PAPER BOOK ITA NO.2593/CHNY/2018 :- 3 -: AT PAGES 31-32), AND THEIR OBJECTIONS HAD NOT BEEN TAKEN INTO CONSIDERATION, IN VIEW OF THE DECISION OF THE HON'BLE SUPREME COURT IN THE CASE OF GKN DRIVESHAFTS (INDIA) LTD V ITO RE FERRED TO SUPRA, THE ASSESSMENT ORDER IS SET ASIDE AND ISSUES IN THESE A PPEAL OF ASSESSEE ARE RESTORED TO THE FILE OF ASSESSING OFFICER FOR RE-AD JUDICATION AFTER GRANTING THE ASSESSEE A COPY OF THE REASONS RECORDED FOR THE PURPOSE OF REOPENING OF THE ASSESSMENT. THE ASSESSING OFFICER SHALL AND WILL COMPLY WITH THE PROVISIONS OF LAW AS ARE EXPECTED OF HIM. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT AFTER CONCLUSIO N OF HEARING ON 10 TH OCTOBER, 2019, AT CHENNAI. SD/- SD/- ( ) ( ) (RAMIT KOCHAR) ( /ACCOUNTANT MEMBER (GEORGE MATHAN) ) ( / JUDICIAL MEMBER / CHENNAI * / DATED: 10 TH OCTOBER , 2019. K S SUNDARAM !,- .- / COPY TO: 1 . / APPELLANT 3. / () / CIT(A) 5. - !4 / DR 2. !' / RESPONDENT 4. / / CIT 6. / GF