Prime Quality Consultants (P) Ltd., Delhi V. ITO, New Delhi

ITA 2828/DEL/2010

• Counselvise Citation: [2016] 131 COUNSELVISE.COM (IT) 7076 (ITAT-DELHI)
• Duration Of Justice: 6 year(s) 2 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-09-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: F
• Next Hearing Date: 17-08-2016
• Assessment Year: 2006-2007
• Appeal Filed On: 07-06-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: V K TULSIYAN
• Keywords: Opportunity of being heard; Additional evidence
• Section: 143(3); 68; 144

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: F NEW DELHI BEFORE SHRI H. S. SIDHU, JUDICIAL MEMBER AND SHRI O.P. KANT, ACCOUNTANT MEMBER I.T.A. NO. 2828/DEL/2010 ASSESSMENT YEAR: 2006-07 M/S PRIME QUALITY CONSULTANTS VS. ITO, WARD 14(4), (P) LTD., NEW DELHI 1313, KUNDWALAN, AJMERI GATE, INDL. AREA, DELHI 110 035 (PAN: AACCP8427H) (ASSESSEE) (RESPONDENT) ASSESSEE BY : SH. V.K. TULSIYAN, FCA REVENUE BY : NONE DATE OF HEARING ON : 17/08/2016 ORDER PRONOUNCED ON : 05/09/20 16 PER H.S. SIDHU, JM ORDER THIS APPEAL IS FILED BY ASSESSEE AGAINST THE ORDER DATED 31.3.2010 PASSED BY THE LD. CIT(A)-XVII, NEW DELHI RELATING T O ASSESSMENT YEAR 2006-07 ON THE FOLLOWING GROUNDS:- 1. WHETHER THE LD.CIT(A) WAS JUSTIFIED BY UPHOLDING TH E LD. AO'S ORDER DT. 22.12.08, SERVED ON 31.12.08 , AS VALID U /S 143(3) INSTEAD OF SECTION 144 CAUSE THERE WAS NO APPEARANCE ON THE LAST DATE I.E ON 19.12.08 AND MOREOVER WHILE PASSING THE ORDER TH E SUBMISSION DATED 23.12.08 OF THE ASSESSEE WAS NOT CONSIDERED. . 2. WHETHER THE LD.CIT(A) WAS JUSTIFIED BY UPHOLDING THE ENTIRE CREDIT BY WAY OF CASH DEPOSITED RS.1,84,45,OOO/- AN D CHEQUES DEPOSITED RS. 44,78,400/- AS UNEXPLAINED UNDER DEEM ING SECTION 68 WITHOUT EVEN DISPUTING THE FACTS/SUBMISSION ON RECO RD THAT CREDITS 2 IN ETC WERE NOTHING BUT THE SALES PROCEEDS OF SHARE S ALTHOUGH THERE WAS NO DENIAL AS TO PURCHASES AS DULY CONFIRMED BY THE PARTIES. 3. WHETHER THE LD.CIT(A) WAS JUSTIFIED BY NOT ADMIT TING THE EVIDENCE FILED BEFORE HIM ALONG WITH THE REQUEST FO R ADMISSION OF ADDITIONAL EVIDENCE DESPITE THE FACT THAT IN THE RE MAND REPORT THE LD. AO HAS NOT DISPUTED THE ADDITIONAL EVIDENCE FIL ED. 4. WHETHER THE LD.CIT(A) WAS JUSTIFIED AFTER NOT AC CEPTING THE ADDITIONAL EVIDENCE AND PROCEEDING FURTHER BY SUO-M OTU EXERCISING THE JURISDICTION OF THE LD.AO FOR FURTHER AND MORE DETAILS BASED UPON THE ADDITIONAL EVIDENCE FILED. THAT THE APPELLANT CRAVES LEAVE TO AMEND, ALTER OR TO RAISE ANY OTHER GROUND AT THE TIME OF HEARING. 2. FACTS NARRATED BY THE REVENUE AUTHORITIES ARE NO T DISPUTED BY THE LD. AR OF THE ASSESSEE, HENCE, THE SAME ARE NOT R EPEATED HERE FOR THE SAKE OF BREVITY. 3. AT THE TIME OF HEARING, LD. A.R. OF THE ASSESSEE HAS FILED AN APPLICATION UNDER RULE 29 OF THE ITAT RULES, 1963 SEEKING PERMISSION FOR ADMISSION OF ALREADY FILED ADDITIONAL EVIDENCE BEF ORE THE LOWER AUTHORITIES. HE REQUESTED THAT THE ADDITIONAL EVIDE NCE BY WAY OF PAPER BOOK NO. 2 FROM PAGE NO. 80 TO 158 ARE OF LEGAL IN NATURE DOCUMENTS IN ADDITIONS OF THE ALREADY FILED EVIDENCES BEFORE THE AUTHORITIES BELOW AND THE SOLE PURPOSE OF THESE EVIDENCE W.R.T. DETAILS O F INVESTED / INVESTING COMPANIES JUST TO FURTHER DISCHARGE THE ONUS UPON T HE ASSESSEE. HE ALSO STATED THAT PAPER BOOK NO. 2 CONTAINING PAGES 80 TO 158 MAY BE ADMITTED BECAUSE IT GOES VERY ROOT OF THE MATER AS WELL AS IN SUPPORT OF EVIDENCES FILED THROUGH PAPER BOOK NO. 1 IN THE INT EREST OF 3 JUSTICE AND ISSUE IN DISPUTE MAY BE REMITTED BACK T O THE FILE OF THE AO FOR DECIDING THE SAME AFRESH, UNDER THE LAW, AFTER GIVI NG ADEQUATE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. 4. IN THIS CASE, NOTICE OF HEARING TO THE PARTIES WAS SENT, IN SPITE OF THE SAME, NONE APPEARED ON BEHALF OF THE DEPARTMEN T TO PROSECUTE THE MATTER IN DISPUTE, NOR FILED ANY APPLICATION FOR A DJOURNMENT BY THE DEPARTMENT. KEEPING IN VIEW THE FACTS AND CIRCUM STANCES OF THE PRESENT CASE AND THE ISSUE INVOLVED IN THE PRESENT APPEAL, WE AM OF THE VIEW THAT NO USEFUL PURPOSE WOULD BE SERVED TO ISSUE NOTICE A GAIN AND AGAIN TO THE DEPARTMENT, THEREFORE, WE ARE DECIDING THE PRESENT APPEAL EXPARTE QUA REVENUE, AFTER HEARING THE LD. A.R. OF THE ASSESSEE AND PERUSING THE RECORDS. 5. WE HAVE HEARD THE LD. A.R. OF THE ASSESSEE AND PERUSED THE RECORDS. IN THE INTEREST OF JUSTICE AND THE CONTENT ION RAISED BY THE ASSESSEES COUNSEL THAT ADDITIONAL EVIDENCE FILED B Y THE ASSESSEE BY WAY OF PAPER BOOK NO. 2 FROM PAGES NO. 80 TO 158 I.E. C ONFIRMATION AND ACKNOWLEDGEMENT FROM SELLER OF SHARES WITH THEIR IT R ETC. PROVIDED BY IT OF SUREN ELECTRONIC & ELECTRICAL (P) LTD. ETC....; CONFIRMATION AND ACKNOWLEDGEMENT FROM SELLER OF SHARES WITH THEIR IT R ETC. PROVIDED BY IT OF SUREN ELECTRONIC & ELECTRICAL (P) LTD. ETC.... C ONFIRMATION AND ACKNOWLEDGEMENT FROM SELLER OF SHARES WITH THEIR IT R ETC. PROVIDED BY IT OF AMARDEEP CONST. (P) LTD. ETC..... BALANCE SHEET FROM SELLER OF SHARES PROVIDED BY YANSAN PLASTIC (P) LTD. ETC.; CONFIRMA TION AND ACKNOWLEDGEMENT FROM SELLER OF SHARES WITH THEIR IT R ETC. PROVIDED BY IT 4 OF SUNSTAR SECURITIES (P) LTD. ETC. AND CONFIRMATIO N AND ACKNOWLEDGEMENT FROM SELLER OF SHARES WITH THEIR IT R ETC. PROVIDED BY IT OF METRO FINCAP (P) LTD., KAZIRANGA GARMENTS, ARDEN T CONSULTANCY SERVICE PVT. LTD........ ARE VERY ESSENTIAL AND GOE S TO THE ROOT OF THE MATTER, HENCE, THE SAME ARE ADMITTED. WE ARE ALSO OF THE VIEW THAT THE ADDITIONAL EVIDENCES FILED BY THE ASSESSEE REQUIRE S THOROUGH EXAMINATION AT THE LEVEL OF THE AO, THEREFORE, IN THE INTEREST OF JUSTICE, WE ARE SETTING ASIDE THE ISSUES IN DISPUTE TO THE FILE OF THE AO T O EXAMINE THE ADDITIONAL EVIDENCES FILED BY THE ASSESSEE AND DECIDE THE SAME AFRESH, AS PER LAW, AFTER GIVING ADEQUATE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE STANDS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 05/09/2016 . SD/- SD/- (O.P. KANT) [H.S. SIDHU] ACCOUNTANT MEMBER JUDICIAL MEMBER DATE 05/09/2016 SRBHATNAGAR COPY FORWARDED TO: - 1. APPELLANT - 2. RESPONDENT - 3. CIT 4. CIT (A) 5. DR, ITAT TRUE COPY BY ORDER, ASSISTANT REGISTRAR, ITAT, DELHI BENCHES