M/s. Nobo Shoe Co. Pvt. Ltd., New Delhi V. ITO, New Delhi

ITA 275/DEL/2010

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 2883 (ITAT-DELHI)
• Duration Of Justice: 7 year(s) 4 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-06-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: F
• Next Hearing Date: 18-05-2017
• Assessment Year: 1991-1992
• Appeal Filed On: 19-01-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Opportunity of being heard
• Section: 143(3)

Judgement Text

PAGE 1 OF 4 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH - F NEW DELHI BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND SHRI PRASHANT MAHARISHI , ACCOUNTANT MEMBER ITA NOS. 274,275/DE L/2010 ASSESSMENT YEAR : 1991-92 NOBO SHOE CO. PVT. LTD. C-161, ANAND VIHAR NEW DELHI -110 092 PAN AABCN3344A VS. ITO WARD-13 (3) NEW DELHI. (APPELLANT) (RESPONDENT) PER BHAVNESH SAINI, JUDICIAL MEMBER ORDER BOTH THE APPEALS BY ASSESSE ARE DIRECTED AGAINST D IFFERENT YEARS OF LD. CIT(A) XVI NEW DELHI DATED 6.11.2009 FOR ASSTT. YEAR 1991-92 AND DATED 9.11.2009 FOR ASSTT. YEAR 1 991-92 CHALLENGING THE LEVY OF PENALTY U/S 271(1)(C) OF TH E I.T. ACT. 2. BRIEF FACTS OF THE CASE ARE THAT ORIGINALLY ASSE SSMENT WAS COMPLETED U/S 143(3) ON 29 TH MARCH, 1994. DURING THE COURSE OF THAT ASSESSMENT PROCEEDINGS , AO POINTED OUT SEVERA L DEFECTS IN THE BOOKS OF ACCOUNTS MAINTAINED BY THE ASSESSEE AN D ASSESSEE BY : SHRI M.P. RASTOGI, ADVOCATE DEPARTMENT BY: SHRI F.R. MEENA, SR. DR DATE OF HEARING 18//05/2017 DATE OF PRONOUNCEMENT 06/06/2017 ITA NOS. 274,275/DEL/2010 NOBO SHOE CO. PVT. LTD. VS. ITO PAGE 2 OF 4 ACCORDINGLY SAME WERE REJECTED. BEFORE THE LD. CIT( A), ASSESSEE TOOK THE PLEA OF LABOUR UNREST DUE TO WH ICH BOOKS OF ACCOUNTS COULD NOT BE PRODUCED BEFORE AO BUT THE LD . CIT(A) REJECTED THE CONTENTION OF THE ASSESSEE. THE MATTER TRAVELLED TO ITAT VIDE ITS ORDER DATED 3 RD JULY, 2006 RESTORED THE MATTER BACK TO THE FILE OF THE AO WITH DIRECTION TO DECIDE THE MATTER AFRESH WITH DIRECTION TO ASSESSEE TO PRODUCE THE BOOKS OF ACCOUNTS. THE AO IN VIEW OF THE ABOVE DIRECTIONS OF THE TRIBUNAL TAKEN UP THE ASSESSMENT PROCEEDINGS AFRESH . HOWEVER THE ASSESSS E DID NOT PRODUCE THE BOOKS OF ACCOUNTS. THEREFORE INCOME WAS ASSESSED AT RS. 3,48,530/-. ASSESSEE FILED APPEAL BEFORE LD. CIT(A). LD. CIT(A) NOTED THAT THE MATTER IS ADJOURNED MANY TIME S ON THE REQUEST OF ASSESSEE BUT ASSESSEE FAILED TO COMPLY W ITH THE DIRECTIONS OF THE TRIBUNAL. THEREFORE, IT WAS NOTED THAT ASSESSEE IS NOT INTERESTED IN PURSUING THE APPEAL. THEREFORE APPEAL OF ASSESSEE IS DISMISSED. 3. SAME IS THE POSITION IN THE PENALTY MATTER AND I N DEFAULT OF THE ASSESSEE LD. CIT(A) SIMILARLY NOTED THAT ASSESS EE IS NOT INTERESTED IN PURSUING THE APPEAL. THEREFORE LEVY O F PENALTY WAS CONFIRMED AND APPEAL OF ASSESSEE HAS BEEN DISMISSED . ITA NOS. 274,275/DEL/2010 NOBO SHOE CO. PVT. LTD. VS. ITO PAGE 3 OF 4 4. AFTER CONSIDERING RIVAL SUBMISSIONS WE ARE OF TH E VIEW MATTER REQUIRES RE CONSIDERATION AT THE LEVEL OF TH E LD. CIT(A). ACCORDING TO SECTION 250 (6) OF THE I.T. ACT, LD. C IT(A) IS REQUIRED TO PASS REASONED ORDER EVEN IF ASSESSEE AP PEARS BEFORE HIM OR NOT. MAY BE THE CONDUCT OF THE ASSESSEE IS NOT PROPER IN NOT COOPERATING THE LD. CIT(A) BUT LD. CIT(A) IS RE QUIRED TO PASS THE ORDER IN ACCORDANCE WITH LAW GIVING REASON S FOR DECISIONS IN THE APPELLATE ORDER. IN THIS VIEW OF T HIS MATTER, WE SET ASIDE BOTH THE IMPUGNED ORDERS AND RESTORE BOTH THE APPEALS TO THE FILE OF THE LD. CIT(A) WITH DIRECTION TO RED ECIDE BOTH THE APPEALS OF THE ASSESSEE IN ACCORDANCE WITH LAW BY G IVING REASONABLE SUFFICIENT OPPORTUNITY OF BEING HEARD TO THE ASSESSE AND AO. LD. CIT(A) SHALL PASS THE REASONED ORDER IN ACCORDANCE WITH LAW. BOTH THE APPEALS OF ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES. 5. IN THE RESULT BOTH THE APPEAL OF ASSESSEE ARE AL LOWED FOR STATISTICAL PURPOSES. PRONOUNCED IN THE OPEN COURT. SD/- SD/- (PRASHANT MAHARISHI) ( BHAVNESH SAINI ) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 06.6.2017 ITA NOS. 274,275/DEL/2010 NOBO SHOE CO. PVT. LTD. VS. ITO PAGE 4 OF 4 *VEENA* COPY FORWARDED TO: - 1. APPELLANT 2. RESPONDENT 3. PRINCIPAL CIT 4. CIT(A) 5. DR, ITAT TRUE COPY BY ORDER, ASSISTANT REGISTRAR