Smt. Laxmi Devi Gupta, UDAIPUR V. ITO, UDAIPUR

ITA 302/JODH/2013

• Counselvise Citation: 30223314 RSA 2013
• Duration Of Justice: 6 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-12-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 02-12-2013
• Assessment Year: 2009-2010
• Appeal Filed On: 09-05-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: N A JOSHI
• Keywords: Opportunity of being heard; Principle of natural justice
• Section: 80C; 144

Judgement Text

IN THE INCOME TAX APPELALTE TRIBUNAL : JODHPUR BENC H : JODHPUR BEFORE SHRI HARI OM MARATHA, JUDICIAL MEMBER AND SHRI N.K. SAINI, ACCOUNTANT MEMBER. ITA NO. 302/JODH/2013 (A.Y. 2009-10) SMT. LAXMI DEVI GUPTA VS. THE I.T.O., 17, SHREE NIKETAN, ROAD NO. 10 WARD 1(1) ASHOK NAGAR, UDAIPUR. UDAIPUR. PAN NO. AHYPG1556A (APPELLANT) (RESPONDENT) ASSESSEE BY : NONE (W.S.) DEPARTMENT BY : SHRI N.A. JOSHI, D.R. DATE OF HEARING : 02/12/2013. DATE OF PRONOUNCEMENT : 05/12/2013. O R D E R PER N.K.SAINI, A.M THIS IS AN APPEAL BY THE ASSESSEE AGAINST THE ORDE R DATED 01.02.2013 OF LD. CIT(A), UDAIPUR. DURING THE COURSE OF HEARIN G, NO BODY WAS PRESENT ON BEHALF OF THE ASSESSEE. HOWEVER, A WRITTEN SUBMISSI ON HAS BEEN FURNISHED, WHICH WAS CONSIDERED AND THE CASE WAS DECIDED EX PA RTE QUA THE ASSESSEE. FOLLOWING GROUNDS HAVE BEEN RAISED IN THIS APPEAL. 2 1. THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS ), UDAIPUR HAS ERRED IN LAW AS WELL AS ON THE FACTS AND CIRCU MSTANCES OF THE CASE IN HOLDING THAT THE ASSESSING OFFICER HAS COM PLETED THE IMPUGNED ASSESSMENT ORDER COMPLYING WITH THE MANDA TORY CONDITIONS OF SECTION 144 OF THE INCOME TAX ACT. 2. THE IMPUGNED ASSESSMENT ORDER U/S 144 OF THE INC OME TAX ACT 1961 WAS PASSED WITHOUT SERVING ANY SHOW CAUSE NOT ICE ON THE APPELLANT AND THUS IS ILLEGAL AND BAD IN LAW IN VI EW OF THE PRINCIPLE OF NATURAL JUSTICE. 3. THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) HAS ERRED IN LAW AS WELL AS ON THE FACTS AND CIRCUMSTANCES O F THE CASE IN CONFIRMING THE ADDITION OF UNDISCLOSED INCOME OF RS. 12,37,021/- MADE BY THE ASSESSING OFFICER WITHOUT GIVING ANY S HOW CAUSE NOTICE TO THE APPELLANT. 4. THE APPELLANT RESERVED THE RIGHT TO ADD TO THE A BOVE GROUNDS OF APPEAL AND/OR TO AMEND, MODIFY AND TO DELETE ANY O F THEM ON OR BEFORE THE HEARING OF APPEAL. 2. FROM THE ABOVE GROUNDS, IT IS GATHERED THAT ONLY GRIEVANCE OF THE ASSESSEE RELATES TO CONFIRMATION OF ADDITION OF RS. 12,37,021/- MADE BY THE ASSESSING OFFICER. 3. FACTS OF THE CASE IN BRIEF ARE THAT THE ASSESSEE FILED THE RETURN OF INCOME ON 26/4/2010 SHOWING INCOME FROM OTHER SOUR CES AT RS. 4,51,366/- AND AFTER CLAIMING DEDUCTION U/S 80C OF THE I.T. AC T, 1961 (HEREINAFTER TO BE REFERRED AS THE ACT) FOR A SUM OF RS. 1,00,000/-, T HE TAXABLE INCOME WAS SHOWN AT RS. 3,51,370/-. APART FROM THIS, THE ASSES SEE HAD SHOWN AN 3 EXEMPTED INCOME OF RS. 3,15,979/- AS SHARE OF PROFI T FROM AOPS. THE RETURN WAS PROCESSED U/S 143(1) OF THE ACT ON 20/10/2010. LATER ON THE CASE WAS SELECTED FOR SCRUTINY. THE ASSESSING OFFICER FRAMED THE ASSESSMENT U/S 144 OF THE ACT AT AN INCOME OF RS. 60,62,660/- BY MAKING T HE VARIOUS ADDITIONS. 4. THE ASSESSEE CARRIED THE MATTER TO THE LD. CIT(A ), WHO SUSTAINED THE ADDITION OF RS. 12,37,021/- AND DELETED THE OTHER A DDITIONS MADE BY THE ASSESSING OFFICER. THE AFORESAID ADDITION AMOUNTING TO RS.12,37,021/- WAS MADE BY THE ASSESSING OFFICER BY OBSERVING THAT IN THE DETAILS APPEARING IN FORM 26AS OBTAINED FROM THE DEPARTMENTAL SOFTWARE, THE ASSESSEE HAD SHOWN TO HAVE CREDITED RS. 12,37,021/- FROM M/S SUN DIRECT PVT. LTD., BUT DID NOT SHOW THESE RECEIPTS IN HER RETURN OF INCOME. SI NCE THE ASSESSEE HAD NOT PROVIDED ANY DETAILS OF THIS RECEIPT, WHOLE OF THE RECEIPT WAS ADDED TO THE INCOME OF THE ASSESSEE. 5. THE ASSESSEE CARRIED THE MATTER TO THE LD. CIT(A ) AND SUBMISSIONS MADE, HAVE BEEN INCORPORATED IN PAGE NOS. 6 TO 18 O F THE IMPUGNED ORDER, FOR THE COST OF REPETITION, THE SAME IS NOT REPRODUCED HEREIN. THE LD. CIT(A) CONFIRMED THE IMPUGNED ADDITION MADE BY THE ASSESSI NG OFFICER BY OBSERVING AS UNDER:- I HAVE CONSIDERED THE FACTS AND CIRCUMSTANCES OF THE CASE, AND FINDINGS OF THE LEARNED ASSESSING OFFICER, EVIDENCES AND THE SUBMISSION OF THE LEARNED A.R. AND FOUND THAT THE ASSESSEE HAS FAILED TO DISCLOSE THE 4 CREDIT ENTRY AMOUNTING TO RS.12,37,021/- AS INCOME IN HER RETURN OF INCOME AND THE LEARNED ASSESSING OFFICER IS JUSTIF IED IN MAKING THE ADDITION OF THE SAID AMOUNT IN THE INCOME OF THE AP PELLANT AND ACCORDINGLY, I CONFIRM THE SAME. HENCE, THE GROUND OF APPEAL IS DISMISSED. NOW THE ASSESSEE IS IN APPEAL. 6. IN THE WRITTEN SUBMISSION, THE ASSESSEE HAD REPE ATED THE SUBMISSIONS MADE BEFORE THE LD. CIT(A) AND HAD ALSO STATED THA T THE LD. CIT(A) COMPLETELY OVERLOOKED THE FACTS MENTIONED BY THE AS SESSING OFFICER IN THE REMAND REPORT AND ILLEGALLY UPHELD THE ADDITION MAD E BY THE ASSESSING OFFICER, AS SUCH HAD VIOLATED THE PRINCIPLES OF NATURAL JUST ICE. 7. IN HIS RIVAL SUBMISSIONS, THE LEARNED D.R. SUPPO RTED THE ORDERS OF THE AUTHORITIES BELOW. 8. AFTER CONSIDERING THE SUBMISSIONS OF THE LEARNED D.R. AND THE WRITTEN SUBMISSIONS FURNISHED BY THE ASSESSEE ALONGWITH MAT ERIAL AVAILABLE ON RECORD, IT APPEARS THAT THE LD. CIT(A) HAD NOT PAS SED A SPEAKING ORDER. EVEN HE HAS NOT DISCUSSED THE CONTENTS OF WRITTEN SUBMIS SIONS FURNISHED BY THE ASSESSEE AND THE REMAND REPORT OF THE ASSESSING OFF ICER. THEREFORE, WE ARE OF THE OPINION THAT THIS ISSUE REQUIRES A FRESH ADJ UDICATION AT THE LEVEL OF THE ASSESSING OFFICER. IN THAT VIEW OF THE MATTER, THE IMPUGNED ISSUE UNDER CONSIDERATION IS REMANDED TO THE FILE OF THE ASSESS ING OFFICER TO BE 5 ADJUDICATED AFRESH IN ACCORDANCE WITH LAW AFTER PRO VIDING DUE AND REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. 9. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. (ORDER PRONOUNCED IN THE COURT ON 05/12/2013). SD/- SD/- (HARI OM MARATHA) (N.K.SAINI) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 05/12/2013 RANJAN* COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE LD.CIT 4. THE CIT(A) 5. THE D.R ASSISTANT REGISTRAR, ITAT, JODHPUR.