Meera Prem, CHENNAI V. ITO Non Corporate Ward 7(4), CHENNAI

ITA 2656/CHNY/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 4271 (ITAT-CHENNAI)
• Duration Of Justice: 7 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-05-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Assessment Year: 2013-2014
• Appeal Filed On: 14-09-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: BABU PERAM
• Keywords: Business income; Opportunity of being heard
• Section: 143(3)

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL , A BENCH, CHENNAI . . . , . , BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI A.MOHAN ALANKAMONY, ACCOUNTANT MEMBER ./ I.T.A.NO.2656 & 3041/CHNY/2018 ( / ASSESSMENT YEAR: 2013-14 & 2015-16) SMT. MEERA PREM, B-39,/1, B BLOCK, ANNA NAGAR EAST, CHENNAI 600 102. VS THE INCOME TAX OFFICER, NON CORPORATE WARD 7(4), CHENNAI. PAN: AFZPM0286Q ( /APPELLANT) ( /RESPONDENT) / APPELLANT BY : SHRI BABU PERAM, CA / RESPONDENT BY : SHRI AR.V. SREENIVASAN, JCIT /DATE OF HEARING : 08.05.2019 /DATE OF PRONOUNCEMENT : 10.05.2019 / O R D E R PER A. MOHAN ALANKAMONY, AM:- THESE APPEALS BY THE ASSESSEE ARE DIRECTED AGAINST THE ORDER PASSED BY THE LEARNED COMMISSIONER OF INCOME TAX(APPEALS)-7, CHENNAI, DATED 29.06.2018 & 26.09.2018 IN ITA NO.83/CIT(A)- 7/2016-17 & 3/CIT(A)-7/2018-19 FOR THE ASSESSMENT YEARS 2013-14 & 2015-16 PASSED U/S. 250(6) R.W.S. 143(3) OF THE ACT. 2. THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS IN HER APPEAL: 2 ITA NO.2656 & 3041/CHNY/2018 A) FOR THE ASSESSMENT YEAR 2013-14:- I. THE LD.REVENUE AUTHORITIES HAD FAILED TO GRANT DEDUCTION U/S.24(B) OF THE ACT BEING THE INTEREST PAID FOR RS.89,614/- TOWARDS HOUSING LOAN. II. THE LD.REVENUE AUTHORITIES HAD FAILED TO GRANT DEDUCTION FOR RS.40,495/- FOR BEING INTEREST PAID ON THE LOAN OBTAINED AND UTILIZED FOR OFFICE SPACE WHILE COMPUTING THE BUSINESS INCOME OF THE ASSESSEE. III. THE LD.REVENUE AUTHORITIES HAD FAILED TO GRANT DEDUCTION OF RS.83,288/- BEING ELECTRICITY CHARGES PAID WHILE COMPUTING THE BUSINESS INCOME OF THE ASSESSEE. I. THE LD.REVENUE AUTHORITIES HAD FAILED TO GRANT DEDUCTION TOWARDS COMMISSION PAID RS.20,250/-, RENT PAID RS.43,586/-, SALES PROMOTION EXPENSE RS.52,507/-, STAFF WELFARE EXPENSE RS.11,137/-, TRAVELLING EXPENSE RS.1,00,034/- AND VEHICLE MAINTENANCE EXPENSE RS.30,248/- WHILE COMPUTING THE BUSINESS INCOME OF THE ASSESSEE. B) FOR THE ASSESSMENT YEAR 2015-16 II. THE LD.REVENUE AUTHORITIES HAVE FAILED TO GRANT DEDUCTION OF RS.45,497/- BEING THE INTEREST EXPENSE TOWARDS CAR LOAN WHILE COMPUTING THE BUSINESS INCOME OF THE ASSESSEE. 3 ITA NO.2656 & 3041/CHNY/2018 III. THE LD.REVENUE AUTHORITIES HAD FAILED TO GRANT DEDUCTION OF RS.20,961/- BEING ELECTRICITY CHARGES PAID WHILE COMPUTING THE BUSINESS INCOME OF THE ASSESSEE. IV. THE LD.REVENUE AUTHORITIES HAD FAILED TO GRANT DEDUCTION TOWARDS ADVERTISEMENT EXPENDITURE RS.24,000/-, RENT PAID RS.1,34,831/- WHILE COMPUTING THE BUSINESS INCOME OF THE ASSESSEE. 3. AT THE OUTSET THE LD.AR SUBMITTED BEFORE US THAT THE COUNSEL OF THE ASSESSEE FAILED TO APPEAR BEFORE THE LD.CIT(A) AT THE TIME OF HEARING THE APPEAL AND THEREFORE THE LD.CIT(A) HAD PASSED AN EX- PARTE ORDER. THE LD.AR FURTHER ARGUED STATING THAT THE ASSESSEE SHOULD NOT SUFFER DUE TO THE NON-APPEARANCE ON THE PART OF THE COUNSEL OF THE ASSESSEE. IT WAS THEREFORE PLEADED ONE MORE OPPORTUNITY MAY BE PROVIDED TO THE ASSESSEE AS THE ASSESSEE HAS A FAIR CHANCE TO SUCCEED IN THE APPEALS. THE LD.DR ON THE OTHER HAND VEHEMENTLY OPPOSED TO THE SUBMISSION OF THE LD.AR AND PLEADED TO CONFIRM THE ORDER OF THE LD.CIT(A). 4. WE HAVE HEARD THE RIVAL SUBMISSIONS AND CAREFULLY PERUSED THE MATERIALS ON RECORD. THOUGH WE DO NOT FIND MUCH STRENGTH IN THE 4 ITA NO.2656 & 3041/CHNY/2018 ARGUMENTS ADVANCED BY THE LD.AR, IN THE INTEREST OF JUSTICE, WE HEREBY REMIT THE MATTER BACK TO THE FILE OF LD.CIT(A) FOR FRESH CONSIDERATION THEREBY PROVIDING THE ASSESSEE WITH ONE MORE OPPORTUNITY OF BEING HEARD. AT THE SAME TIME, WE ALSO CAUTION THE ASSESSEE TO PROMPTLY CO-OPERATE BEFORE THE LD.REVENUE AUTHORITIES IN ORDER TO EXPEDITE THEIR PROCEEDINGS, FAILING WHICH THE LD.REVENUE AUTHORITIES SHALL BE AT LIBERTY TO PASS APPROPRIATE ORDER IN ACCORDANCE WITH LAW AND MERIT BASED ON THE MATERIALS BEFORE THEM. 5. IN THE RESULT, BOTH THE APPEALS OF THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES AS INDICATED HEREIN ABOVE. ORDER PRONOUNCED ON THE 10 TH MAY, 2019 AT CHENNAI. SD/- SD/- /CHENNAI, /DATED 10 TH MAY, 2019 RSR /COPY TO: 1. /APPELLANT 2. /RESPONDENT 3. ( ) /CIT(A) 4. /CIT 5. /DR 6. /GF ( . . . ) (N.R.S. GANESAN) /JUDICIAL MEMBER ( . ) (A. MOHAN ALANKAMONY) / ACCOUNTANT MEMBER