M/s Shubham Chemicals & Solvent Ltd., New Delhi V. JCIT, New Delhi

ITA 2790/DEL/2011

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 58751 (ITAT-DELHI)
• Duration Of Justice: 9 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-03-2012
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Next Hearing Date: 01-03-2012
• Assessment Year: 2007-2008
• Appeal Filed On: 30-05-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DK MISHR A
• Assessee Lawyers: NARENDER ARORA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH :G : NEW DELHI BEFORE SHRI I.P. BANSAL, JUDICIAL MEMBER AND SHRI T.S. KAPOOR, ACCOUNTANT MEMBER ITA NO.2790/DEL/2011 ASSESSMENT YEAR : 2007-08 SHUBHAM CHEMICALS & SOLVENT LTD., 1/26, ROOP NAGAR, NEW DELHI. PAN : AAFS2969C VS. JCIT, RANGE-8, NEW DELHI. (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI NARENDER ARORA, CA REVENUE BY : SHRI D.K. MISHRA, CIT, DR ORDER PER I.P. BANSAL, JUDICIAL MEMBER THIS IS AN APPEAL FILED BY THE ASSESSEE. IT IS DIRECTED AGAINST THE ORDER PASSED BY THE CIT (A) DATED 4 TH FEBRUARY, 2011 FOR ASSESSMENT YEAR 2007-08. THE GROUNDS OF APPEAL READ AS UNDER:- 1. THE ORDER UNDER APPEAL HAS BEEN PASSED BY THE LD. CIT (A) WITHOUT AFFORDING PROPER OPPORTUNITY TO THE APPELLANT TO SUPPORT THE GROUNDS OF APPEAL. 2. THE LD. CIT (A) HAS ERRED BOTH IN LAW AND ON FACTS IN CONFIRMING THE DISALLOWANCE OF RS.40,490/-BEING THE C REDIT CARD EXPENSES CLAIMED BY THE APPELLANT AS PER THE P&L ACCOUNT. 3. THE LD. CIT (A) HAS ERRED BOTH IN LAW AND ON FACTS IN CONFIRMING THE ADDITION OF RS.6,81,828/- BEING THE AMO UNT OF THE SUSPENSE ACCOUNT APPEARING IN THE CREDIT SIDE IN THE BOOKS OF ACCOUNT OF THE APPELLANT BEING THE AMOUNTS ITA NO.2790/DEL/2011 2 RECEIVED FROM THE PARTIES WHOSE IDENTIFICATION COULD NO T BE MADE TILL THE FINALIZATION OF THE BALANCE SHEET. 4. THE APPELLANT CRAVES LEAVE TO ADD, DELETE, MODIFY O R AMEND THE ABOVE GROUNDS OF APPEAL. 2. THE IMPUGNED ORDER PASSED BY LEARNED CIT (A) IS AN EX PARTE ORDER. IT WAS SUBMITTED BY THE LEARNED AR THAT THE OR DER HAS BEEN PASSED BY LEARNED CIT (A) WITHOUT GIVING THE ASSESSEE A R EASONABLE OPPORTUNITY OF HEARING. REFERRING TO PARA 2.2 OF T HE ORDER OF THE CIT (A), IT WAS SUBMITTED THAT THOUGH IT HAS BEEN MENTIONE D IN THE ORDER OF THE CIT (A) THAT THE NOTICE VIDE WHICH THE HEARING WAS FIXED ON 25 TH JANUARY, 2011 WAS DULY SERVED THROUGH SPEED POST, BUT I T WAS NOT SERVED UPON THE ASSESSEE AND IT WAS REQUESTED THAT THE MAT TER SHOULD BE RESTORED BACK TO THE FILE OF CIT (A) FOR RE-ADJUD ICATION OF THE APPEAL AFTER GIVING THE ASSESSEE A REASONABLE OPPORTUNITY OF H EARING. 3. ON THE OTHER HAND, THE LEARNED DR OBJECTED TO SUC H SUBMISSION OF THE LEARNED AR AND PLEADED THAT ON ACCOUNT OF FA ILURE OF THE ASSESSEE TO ATTEND THE PROCEEDINGS BEFORE THE CIT (A), L EARNED CIT (A) WAS JUSTIFIED IN PASSING AN EX PARTE ORDER. 4. WE HAVE HEARD BOTH THE PARTIES AND THEIR CONTENTI ONS HAVE CAREFULLY BEEN CONSIDERED. AFTER CONSIDERING THE FAC TS OF THE CASE, WE ARE OF THE OPINION THAT IT WILL SERVE THE INTEREST OF JUSTICE IF THE MATTER IS RESTORED BACK TO THE FILE OF CIT (A) WITH A DIRECTIO N TO RE-ADJUDICATE THE APPEAL AFTER GIVING THE ASSESSEE A REASONABLE OPPORTUNIT Y OF HEARING. TO ENSURE APPEARANCE OF THE ASSESSEE BEFORE CIT (A), THE LEARNED AR WAS DIRECTED TO APPEAR BEFORE THE CIT (A) ON 9 TH APRIL, 2012 WHEN THE CIT (A) WILL HEAR THE APPEAL. THE LEARNED AR OF TH E ASSESSEE HAS NOTED THE SAID DATE AND HE ASSURED THAT THE ASSESSEE WILL APPEAR BEFORE THE CIT (A) ON THE 9 TH APRIL, 2012. AS WE HAVE RESTORED THIS APPEAL TO THE FILE OF CIT (A) FOR RE-ADJUDICATION, WE DO NOT EXPR ESS ANY OPINION ON THE ITA NO.2790/DEL/2011 3 MERITS OF THE ADDITIONS WHICH WILL BE RE-ADJUDICATED BY THE LEARNED CIT (A) AS PER OUR ABOVE DIRECTIONS. 5. IN THE RESULT, FOR STATISTICAL PURPOSES THE APPEAL FI LED BY THE ASSESSEE IS ALLOWED IN THE MANNER AFORESAID. THE ORDER PRONOUNCED IN THE OPEN COURT ON 01.03.20 12. SD/- SD/- [T.S. KAPOOR] [I.P. BANSAL] ACCOUNTANT MEMBER JUDICIAL MEMBER DATED, 01.03.2012. DK COPY FORWARDED TO: - 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT TRUE COPY BY ORDER, DEPUTY REGISTRAR, ITAT, DELHI BENCHES