Rambhukta Apparao, Srikakulam V. The Income Tax Officer, Ward-1, , Srikakulam

ITA 27/VIZ/2020

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 2797 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 1 year(s) 4 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-06-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2009-2010
• Appeal Filed On: 17-01-2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B SATYANARAYANA RAJU
• Assessee Lawyers: SUSEEL KR AGARWAL
• Keywords: Opportunity of being heard; Principle of natural justice; Set aside; Capital Gains
• Section: 143(3); 234B

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH, VISAKHAPATNAM (T HROUGH WEB - BASED VIDEO CONFERENCING PLATFORM) BEFORE SHRI N.K. CHOUDHRY, HONBLE JUDICIAL MEMBER & SHRI D.S. SUNDER SINGH, HON'BLE ACCOUNTANT MEMBER I.T.A. NO. 27/VIZ/2020 (ASST. YEAR : 2009 - 1 0 ) RAMBHUKTA APPA RAO, D.NO. 11 - 3 - 170, CHINABARATAM STREET, SRIKAKULAM. VS. INCOME TAX OFFICER WARD - 1, SRIKAKULAM. PAN NO. AEDPR 6206 C (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI SUSEEL KR. AGARWAL , C A. DEPARTMENT BY : SHRI B.SATYANARAYANA RAJU , SR. DR DATE OF HEARING : 14 / 06 /2021 . DATE OF PRONOUNCEMENT : 14 / 0 6 /2021 . O R D E R PER N.K. CHOUDHRY , JUDICIAL MEMBER THIS APPEAL HAS BEEN PREFERRED BY THE ASSESSEE AGAINST THE ORDER DATED 18 /11/2019 IMPUGNED HEREIN PASSED BY THE LD. COMMISSIONER OF INCOME TAX (APPEALS) - 2 [FOR SHORT , LD. COMMISSIONER] , VISAKHAPATNAM U/SEC. 250(6) OF THE INCOME TAX ACT, 1961 (HEREINAFTER REFERRED TO AS 'ACT') FOR THE A.Y. 20 09 - 1 0 . 2 ITA NO. 27 / VIZ /2020 ( RAMBHUKTA APPA RAO ) 2. IN THIS CASE, LD. COMMISSIONER PASSED THE IMPUGNED ORDER AS EX - PARTE , BY CONCLUDING AS UNDER: - 4. GROUND NOS. 1 & 8 ARE GENERAL IN NATURE AND NO NEED TO ADJUDICATE SEPARATELY. 5. GROUND NOS. 2,3,4,5 & 6 RELATED TO ASSESSMENT MADE BY THE A SSESSING OFFICER BY MAKING ADDITION OF RS. 25,48,907/ - U/SEC. 143(3) R.W.S. 147 OF THE IT ACT , 1961 . 5.2 . I HAVE CAREFULLY CONSIDERED THE STATEMENT OF FACTS, THE GROUNDS OF APPEAL AND ALSO GONE THROUGH THE ORDER PASSED BY THE AO AND THE INFORMATION AVAILABLE ON THE RECORD. IT WAS NOTICED FROM THE RECORD THAT THE ASSES S ING OFFICER MADE ADDITION OF RS. 25,48,90 7/ - TOWARDS THE INCOME UNDER THE HEAD OF LONG TERM CAPITAL GAINS. AGGRIEVED BY THE ORDER OF THE AO, THE APPELLANT PREFERRED THE PRESENT APPEAL. DURING THE COURSE OF APPELLATE PROCEEDINGS NEITHER THE APPELLANT NOR THE AUTHORIZED REPRESENTATIVE HAS APPEARE D IN SPITE OF AFFORDING SUFFICIENT OPPORTUNITY OF BEING HEARD. SINCE THE APPELLANT HAS NOT PRODUCED ANY SUBSTANTIAL EVIDENCE IN SUPPORT OF ITS CLAIM EITHER BEFORE THE AO OR DURING THE COURSE OF APPE A L PROCEEDINGS, IT WAS CONSTRUED THAT THERE IS NO EXPLANATION TO OFFER BY THE APPELLANT. THEREFORE, I DO NOT FIND ANY REASON TO INTERFERE IN THE ORDER PASSED BY THE ASSESSING OFFICER IN MAKING THE IMPUGNED ADDITION OF RS. 25,48,907/ - UNDER THE HEAD OF LONG TERM CAPITAL GAINS THE SAME IS HEREBY UPHELD. THEREFORE, THE APPEALS MADE BY THE APPELLANT ON THESE GROUNDS STAND DISMISSED. 6 . GROUND NO.7 RELATES TO THE CHARGING OF INTEREST UNDER SECTION 234A AND 234B OF THE I.T. ACT. 6.2 CHARGING OF INTERESTS U/SEC. 234A AND 234B IS CONSEQUENTIAL IN NATURE, HENCE, NOT ADJUDICATED SEPARATELY. 7. IN THE RESULT, THE APPEAL MADE BY THE APPELLANT FOR THE ASSESSMENT YEAR 2009 - 10 IS HEREBY DISMISSED. 3 . THE LD . COMMISSIONER THOUGH IN FIRST PARA OF THE IMPUGNED ORDER OBSERVED TO THE EFFECTS IN RESPONSE TO THE FINAL OPPORTUNITY OF HEARING, NONE APPEARED, THEREFORE THE APPEAL IS FINALISED BASED ON THE INFORMATION AVAILABLE ON RECORD , HOWEVER, FROM THE ORDER, IT IS NOT 3 ITA NO. 27 / VIZ /2020 ( RAMBHUKTA APPA RAO ) CLEAR BY WHICH MODE NOTICE HAS BEEN SENT AND AS TO WHETHER NOTICE HAS BEEN SERVED UPON THE ASSESSEE OR NOT AND HOW MANY TIME S, NOTICES HAVE BEEN ISSUED AND/OR SERVED . 4 . THE LD. COMMISSIONER HAS NOT DECIDED THE APPEAL ON MERITS BY INDEPENDENT FINDING, BUT J UST UPHELD THE ASSESSMENT ORDER . AS THE MATTER REQUIRES FACTUAL CONSIDERATIONS AND ANALYZATIONS AND THE ASSESSEE FAILED TO PLEAD ITS CASE BEFORE THE LD. COMMISSIONER, DUE TO NON - APPEARANCE ON ONE OR OTHER REASONS, THEREFORE CONS IDERING THE PRINCIPLES OF NATURAL JUSTICE AND TO MEET THE E NDS OF JUSTICE , WE DEEM IT APPROPRIATE TO SET ASIDE THE IMPUGNED ORDER AND REMAND BACK TO THE FILE OF THE LD. COMMISSIONER FOR DECISION AFRESH , SUFFICE TO SAY WHILE AFFORDING REASONABLE OPPORTUNITY (S) OF BEING HEARD TO THE ASSESSEE , HENCE ORDERED ACCORDING LY. 5. IN THE RESULT, APPEAL FILED BY THE ASSESSEE STANDS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN OPEN COURT ON TH IS 1 4 T H DAY OF JUNE , 2021 . S D / - S D / - (D.S. SUNDER SINGH) ( N.K. CHOUDHRY ) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 1 4 T H JUNE , 20 2 1 . VR/ - 4 ITA NO. 27 / VIZ /2020 ( RAMBHUKTA APPA RAO ) COPY TO: 1. THE ASSESSEE - RAMBHUKTA APPA RAO, D.NO. 11 - 3 - 170, CHINABARATAM STREET, SRIKAKULAM. 2. THE REVENUE INCOME TAX OFFICER, WARD - 1, SRIKAKULAM. 3. THE PR. CIT - 2 , VISAKHAPATNAM. 4. THE CIT(A) - 2 , VISAKHAPATNAM. 5. THE D.R . , VISAKHAPATNAM . 6. GUARD FILE. BY ORDER (VUKKEM RAMBABU) SR. PRIVATE SECRETARY, ITAT, VISAKHAPATNAM.