Income Tax Officer, Ward -1(3), Belgavi V. M/s B. T. Patil, Belgavi

ITA 265/PAN/2017

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 3457 (ITAT-PANAJI)
• Duration Of Justice: 3 year(s) 11 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-10-2021
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2014-2015
• Appeal Filed On: 17-10-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PRA BHAT JHA
• Assessee Lawyers: ULHAS KINI
• Keywords: Opportunity of being heard
• Section: 201

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL PANAJI, BENCH PANAJI , , BEFORE SHRI LALIET KUMAR, JM AND DR. MITHA LAL MEENA, AM ITA NO. 265 /PAN/201 7 (A Y: 20 1 4 - 201 5 ) ITO WARD - 1(3), BELAGAVI VS M/S B.T.PATIL, MAHALAXMI JOINT VENTURE, NO.326/5, PATSON HOUSE P.B.ROAD, BELAGAVI ( / APPELLANT ) .. ( / RESPONDENT ) /REVENUE BY : SHRI PRABHAT JHA, CITDR /AS SESSEE BY : SHRI ULHAS KINI, CA / DATE OF HEARING : 0 6 /1 0 /202 1 / DATE OF PRONOUNCEMENT : 07 /10 /202 1 / O R D E R PER BENCH : THIS AN APPEAL FILED BY THE REVENUE AGAINST THE ORDER PASSED BY THE CIT (A) , BELAGAVI , DATED 31.07.2017 FOR THE ASSESSMENT YEAR 2014 - 2015 , ON THE FOLLOWING GROUNDS : - (1) THE LD.CIT(A) ERRED IN ALLOWING THE APPEAL FOR STATISTICAL PURPOSE HOLDING THE SAME AS REDUNDANT AS THERE ARE NO DIRECTIONS OF HONBLE HIGH COURT FOR THE ASSESSMENT YEAR 20 14 - 2015. (2) THE LD. CIT(A) ERRED IN DIRECTING THE AO TO GIVE EFFECT TO THE ORDER NO.100001/2016 AND 100011/2017 DATED 13.03.2017 OF THE HONBLE HIGH COURT OF KARNATAKA DHARWAR AS THE ASSESSMENT YEAR INVOLVED FOR AY 2014 - 2015 IS NOT COVERED BY THE SAID HI GH COURT ORDER. (3) THE LD.CIT(A) ERRED IN APPRECIATING THE FACT THAT WHILE PASSING THE ASSESSMENT ORDERS FOR THE ASSESSMENT YEARS 2014 - 2015, ASSESSING OFFICER HAD FOLLOWED THE DIRECTIONS OF THE HONBLE ITAT, PANAJI BENCH, GIVEN INITA NO.166 & 167/PANAJI/ 2015 DATED 25.08.2015 CONTAINED IN PARA NO.7 OF THE SAID ORDER OF THE HONBLE ITAT AND ALSO CONSIDERED CIRCULAR NO.7/2016(F.NO.225/2/2016/ITA.II) DATED 07.03.2016 BY AFFORDING OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. ITA NO. 265 /PAN/201 7 2 (4) THE LD. CIT(A) OUGHT TO HAVE GO NE INTO THE MERITS AND FACTS OF THE CASE FOR THESE ASSESSMENT YEARS AND DECIDED TH E APPEAL ON THE ISSUES RAISED BY THE APPELLANT. (5) THE ORDER OF LD. CIT(A) MAY BE SET - ASIDE AND THAT OF THE ASSESSING OFFICER MAY BE RESTORED. (6) FOR THIS AND OTHER GROUN DS THATMAY BE URGED DURING THE TIME OF HEARING . 2. AT THE OUTSET, LD. DR SUBMITTED THAT THE CIRCULAR ISSUED BY THE CBDT ON 07.03.2016 WAS RETROSPECTIVE NATURE AND, THEREFORE, THE CIT(A) IS NOT CORRECT IN APPLYING THE SAID CIRCULAR FOR THE ASSESSMENT YEAR U NDER CONSIDERATION WHEN THE CIRCULAR WAS NOT IN OPERATIONAL. 3. ON THE OTHER HAND, LD. AR OF THE ASSESSEE SUBMITTED THAT THE VIDE LETTER DATED 31.03.2017 THE HON'BLEBLE HIGH COURT (ANNEXRE - 5 OF THE PAPER BOOK) HAS DIRECTED THE ASSESSING OFFICER TO CONSIDE R THE CIRCULAR ISSUED BY THE BOARD ON 07.03.2016 WHILE EXAMINING THE CASE OF THE ASSESSEE IN THE REMAND PROCEEDINGS AS PER THE DIRECTION OF THE ITAT ON 25.08.2015 FOR THE ASSESSMENT YEAR 2010 - 2011 AND 2011 - 2012. IT WAS THE CASE OF THE LD. AR THAT THE ASSES SING OFFICER HAS APPLIED THE SAME CIRCULAR FOR THE ASSESSMENT YEAR 2010 - 2011 AND 2011 - 2012 AND HAS GRANTED THE BENEFIT TO THE ASSESSEE. 4. WE HAVE HEARD THE RIVAL CONTENTIONS OF THE PARTIES AND PERUSED THE MATERIAL ON RECORD. ONCE THE REVENUE(ASSESSING OF FICER) OF THE ASSESSEE FOR THE ASSESSMENT YEAR 2010 - 2011 & 2011 - 2012 IS APPLYING THE CBDT CIRCULAR DATED 07.03.2016 STATING THAT THE CIRCULAR IS BENEVOLENT IN NATURE GRANTING THE BENEFIT TO THE ASSESSEE, IN OUR VIEW, THE POSITION WILL CONTINUE TO BE THE SA ME EVEN FOR THE ASSESSMENT YEAR UNDER CONSIDERATION. ITA NO. 265 /PAN/201 7 3 THEREFORE, WE DO NOT FIND ANY ERROR IN THE ORDER PASSED BY THE CIT(A) BY EXTENDING THE BENEFIT OF CIRCULAR TO THE ASSESSEE IN THE IMPUGNED ASSESSMENT YEAR. IN THE LIGHT OF THE ABOVE, THE APPEAL OF THE RE VENUE IS DISMISSED. 5 . IN THE RESULT, APPEAL OF THE REVENUE IS DISMISSED . ORDER PRONOUNCED IN THE OPEN COURT ON 07 / 10 / 2021. SD/ - SD/ - ( ) (DR. M ITHA LAL MEENA ) ( ) (LALIET KUMAR) / ACCOUNTANT MEMBER / JUDICIAL MEMBER /PANAJI ; DATED 07 /10 /202 1 PRAKASH KUMAR MISHRA, SR.P.S. / C OPY OF THE ORDER FORWARDED TO : / BY ORDER, ( SENIOR PRIVATE SECRETARY ) , /ITAT, PANAJI 1. / THE APPELLANT - ITO WARD - 1(3), BELAGAVI 2. / THE RESPONDENT - M/S B.T.PATIL, MAHALAXMI JOINT VENTURE, NO.326/5, PATSON HOUSE P.B.ROAD, BELAGAVI 3. ( ) / THE CIT(A), 4. / CIT 5. , , / DR, ITAT, PANJAJI 6. / GUARD FILE. //TRUE COPY//