GAUTAM R. GUPTA, MUMBAI V. ACIT- 27 (1), MUMBAI

ITA 2929/MUM/2022

AI Insights

The case involves an appeal by Gautam Rakesh Gupta against the order of the CIT(A), which confirmed several additions and disallowances made by the Assessing Officer (AO) for the assessment year 2012-13. The additions included amounts for unexplained income and disallowed expenses, totaling significant sums. The CIT(A) dismissed the appeal primarily due to the assessee's failure to provide explanations or evidence to substantiate his claims during the appeal process. The ITAT, however, noted the absence of a proper opportunity for the assessee to present his case and thus decided to remand the case back to the CIT(A) for a comprehensive re-evaluation.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 123628 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-02-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: G
• Next Hearing Date: 21-02-2023
• Assessment Year: misc
• Appeal Filed On: 16-11-2022
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH “G” MUMBAI BEFORE SHRI OM PRAKASH KANT (ACCOUNTANT MEMBER) AND SHRI PAVAN KUMAR GADALE (JUDICIAL MEMBER) ITA No. 2929/MUM/2022 Assessment Year: 2012-13 Gautam Rakesh Gupta, 5-Casa Grande, Opp. Jain Temple, 10 th Road, Chembur East, Mumbai-400071. Vs. CIT(A) Mumbai 25 10339/2015-16 Delhi & NFAC and Asstt. CIT-27(1), Mumbai. PAN No. AECPG 2253 H Appellant Respondent Assessee by : None Revenue by : Shri Harmesh Lal, DR Date of Hearing : 22/02/2023 Date of pronouncement : 23/02/2023 ORDER PER OM PRAKASH KANT, AM This appeal has been preferred by the assessee against order dated 10.02.2022 passed by the Ld. National Faceless Appeal Centre, Delhi [in short ‘the Ld. CIT(A)’] for assessment year 2012- 13, raising following grounds: 1. The Ld. AO and Ld. Comm. Erred in ad-hoc addition of Rs.53,0125/-. 2. The Ld. AO and Ld. Comm. Erred in ad disallowance of Rs.30946/ 3. The Ld. AO and Ld. Comm. Erred in making addition of Rs.48820/ 4. The Ld. AO and Ld. Comm. Erred in disallowance of Rs.37500/ 5. The Ld. AO and Ld. Comm. Erred while disallowing of interest paid in making addition of Rs.113110/ 6. The Ld. AO and Ld. Comm. Also erred in violating natural justice as no show cause notice was received. 2. None attended on behalf of the assessee despite hearing. At the outset, on perusal of the order of the Ld. CIT(A) we find that the Ld. CIT(A) has decided the appeal assessee. The relevant finding of the Ld. CIT(A) is reproduced as under: “The contention of the assessee of interest of Rs. 1,13,110/ any opportunity is not acceptable as the assessee did not furnish any explanation through written submissions/documentary evidences etc before the CIT(A) also regarding the exces detected in the AIR data. Hence, this addition is also confirmed Despite the above findings, the assessee was given one final opportunity to substantiate his grounds of appeal before the CIT(A) through written submission/documentary ev etc, on or before 03.11.2022. The assessee, however, has not responded to this show cause notice till date. The appeal filed by the assessee stands dismissed. 2.1 In our opinion the Ld. CIT(A) is and speaking order on merit after taking into consideration, the submission of the assessee. Therefore, in the interest of substantial The Ld. AO and Ld. Comm. Erred in ad disallowance of Rs.30946/-. The Ld. AO and Ld. Comm. Erred in making addition of Rs.48820/- without giving adequate opportunity. The Ld. AO and Ld. Comm. Erred in disallowance of Rs.37500/-. The Ld. AO and Ld. Comm. Erred while disallowing of interest paid in making addition of Rs.113110/ The Ld. AO and Ld. Comm. Also erred in violating natural justice as no show cause notice was received. None attended on behalf of the assessee despite At the outset, on perusal of the order of the Ld. CIT(A) we find that the Ld. CIT(A) has decided the appeal ex . The relevant finding of the Ld. CIT(A) is reproduced as The contention of the assessee that the excess amount of interest of Rs. 1,13,110/- was added without giving any opportunity is not acceptable as the assessee did not furnish any explanation through written submissions/documentary evidences etc before the CIT(A) also regarding the excess amount of interest detected in the AIR data. Hence, this addition is also Despite the above findings, the assessee was given one final opportunity to substantiate his grounds of appeal before the CIT(A) through written submission/documentary evidences/statement of facts etc, on or before 03.11.2022. The assessee, however, has not responded to this show cause notice till date. The appeal filed by the assessee stands dismissed. In our opinion the Ld. CIT(A) is required to pass order on merit after taking into consideration, the submission of the assessee. Therefore, in the interest of substantial Gautam Rakesh Gupta ITA No. 2929/M/2022 2 AY 2012-13 The Ld. AO and Ld. Comm. Erred in ad-hoc The Ld. AO and Ld. Comm. Erred in making addition without giving adequate opportunity. The Ld. AO and Ld. Comm. Erred in disallowance of The Ld. AO and Ld. Comm. Erred while disallowing of interest paid in making addition of Rs.113110/-. The Ld. AO and Ld. Comm. Also erred in violating natural justice as no show cause notice was None attended on behalf of the assessee despite notifying for At the outset, on perusal of the order of the Ld. CIT(A) we ex-parte qua the . The relevant finding of the Ld. CIT(A) is reproduced as that the excess amount was added without giving any opportunity is not acceptable as the assessee did not furnish any explanation through written submissions/documentary evidences etc before the s amount of interest detected in the AIR data. Hence, this addition is also Despite the above findings, the assessee was given one final opportunity to substantiate his grounds of appeal before the CIT(A) through written idences/statement of facts etc, on or before 03.11.2022. The assessee, however, has not responded to this show cause notice till date. The appeal filed by the assessee stands dismissed. to pass a reasoned order on merit after taking into consideration, the submission of the assessee. Therefore, in the interest of substantial justice, we feel it appropriate to restore this appeal back to the Ld. CIT(A) for deciding afresh after providing one more opp being heard to the assessee 3. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced under Rule 34(4) of the ITAT Rules, 1963 on 23/02/2023. Sd/- (PAVAN KUMAR GADALE JUDICIAL MEMBER Mumbai; Dated: 23/02/2023 Rahul Sharma, Sr. P.S. Copy of the Order forwarded to 1. The Appellant 2. The Respondent. 3. The CIT(A)- 4. CIT 5. DR, ITAT, Mumbai 6. Guard file. //True Copy// justice, we feel it appropriate to restore this appeal back to the Ld. CIT(A) for deciding afresh after providing one more opp to the assessee. In the result, the appeal filed by the assessee is allowed for Order pronounced under Rule 34(4) of the ITAT Rules, 02/2023. Sd/- PAVAN KUMAR GADALE) (OM PRAKASH JUDICIAL MEMBER ACCOUNTANT MEMBER Copy of the Order forwarded to : BY ORDER, (Assistant Registrar) ITAT, Mumbai Gautam Rakesh Gupta ITA No. 2929/M/2022 3 AY 2012-13 justice, we feel it appropriate to restore this appeal back to the Ld. CIT(A) for deciding afresh after providing one more opportunity of In the result, the appeal filed by the assessee is allowed for Order pronounced under Rule 34(4) of the ITAT Rules, - OM PRAKASH KANT) ACCOUNTANT MEMBER BY ORDER, (Assistant Registrar) ITAT, Mumbai