RUPMATA MULTISTATE CO-OPERATIVE SOCIETY LTD., OSMANABAD V. INCOME TAX OSSICER, WARD-1, LATUR, LATUR

ITA 320/PUN/2024

• Counselvise Citation: [2024] 101 COUNSELVISE.COM (IT) 7370 (ITAT-PUNE)
• Duration Of Justice: 2 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-05-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2018-2019
• Appeal Filed On: 15-02-2024
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 143(3); 143(1)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “B”, PUNE BEFORE SHRI R. K. PANDA, VICE PRESIDENT AND SHRI VINAY BHAMORE, JUDICIAL MEMBER ITA No.320/PUN/2024 Assessment Year : 2018-19 Rupmata Multistate Co-operative Credit Society Ltd., 26/671/ Rupmata Pride, Samarth Nagar, Osmanabad – 413501 Vs. ITO, Ward-1, Latur PAN : AABAR4836R (Appellant) (Respondent) Assessee by : Shri Pratik Sandhbhor Department by : Shri Sourabh Nayak, Addl.CIT Date of hearing : 02-05-2024 Date of pronouncement : 07-05-2024 O R D E R PER R. K. PANDA, VP : This appeal filed by the assessee is directed against the ex-parte order dated 16.10.2023 of the CIT(A) / National Faceless Appeal Centre (NFAC) relating to assessment year 2018-19. 2. There is a delay of 63 days in filing of this appeal, for which the assessee has filed a condonation application along with an affidavit explaining the reasons for such delay, according to which, the assessee could not verify the mail containing the appeal order. After considering the contents of the condonation application 2 ITA No.320/PUN/2024 filed along with affidavit and after hearing the Ld. DR, the delay in filing of the appeal is condoned and appeal is admitted for adjudication. 3. Although a number of grounds have been raised by the assessee, however, these all relate to the order of CIT(A)/NFAC in confirming the addition of Rs.59,61,016/- made by the Assessing Officer (AO) treating the same as ‘Income from other sources’. 4. Facts of the case, in brief, are that the assessee is a Co-operative Credit Society and filed its return of income on 04.10.2018 declaring total income of Rs.30,87,742/-. The same was claimed as deduction under Chapter VI-A of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) and accordingly nil taxable income was declared. The case was selected for ‘limited scrutiny’ under the E-assessment Scheme, 2019 on the following issues: “i. Investments/Advances/Loans ii. Deduction from Total Income under Chapter VI-A” 5. The AO completed the assessment u/s 143(3) r.w.s. 143(3A) & 143(3B) of the Act determining the total income of the assessee at Rs.60,68,699/-, wherein income of Rs.1,07,683/- was determined u/s 143(1) of the Act and addition of Rs.59,61,016/- was made treating the interest earned by the assessee from investments in banks, FDs in Co-operative banks and others treating the same as ‘Income from other sources’. 3 ITA No.320/PUN/2024 6. Since the assessee did not make any submission before the CIT(A) / NFAC despite number of opportunities granted, the CIT(A) / NFAC dismissed the appeal for want of prosecution. While doing so, the CIT(A) / NFAC has relied on various decisions. 7. Aggrieved with such order of CIT(A)/NFAC, the assessee is in appeal before the Tribunal. 8. The Ld. Counsel for the assessee submitted that although the CIT(A) / NFAC has issued various notices, however, due to lack of knowledge, the assessee society could not see the e-mails containing the notices, for which the appeal remained un-represented before the CIT(A) / NFAC. He submitted that in the interest of justice, the assessee should be given an opportunity to substantiate its case. 9. The Ld. DR on the other hand, referring to the order of CIT(A) / NFAC submitted that as many as seven opportunities were granted and therefore, no further opportunity should be granted to the assessee and the order of CIT(A) / NFAC should be upheld. 10. We have heard the rival arguments made by both the sides and perused the orders of the authorities below. It is an admitted fact that despite number of 4 ITA No.320/PUN/2024 opportunities granted by the Ld. CIT(A) / NFAC, the assessee did not make any submission, for which the CIT(A) / NFAC dismissed the appeal for want of prosecution. It is the submission of the Ld. Counsel for the assessee that an opportunity may be given to the assessee to substantiate its case by filing the requisite details before the CIT(A)/ NFAC. Considering the totality of the facts of the case and in the interest of justice, we deem it proper to restore the issue to the file of CIT(A) / NFAC with a direction to grant one final opportunity to the assessee to substantiate its case by filing the requisite details and decide the issue as per fact and law. The assessee is also hereby directed to submit the requisite details before the CIT(A) / NFAC on the appointed date without seeking any adjournment under any pretext, failing which the CIT(A)/NFAC is at liberty to pass appropriate order as per law. We hold and direct accordingly. The grounds raised by the assessee are accordingly allowed for statistical purposes. 11. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced in the open Court on this day of 7 th May, 2024. Sd/- Sd/- (VINAY BHAMORE) (R. K. PANDA) JUDICIAL MEMBER VICE PRESIDENT प ु णे Pune; दिन ांक Dated : 7 th May, 2024 GCVSR 5 ITA No.320/PUN/2024 आदेश की प्रतितिति अग्रेतिि/Copy of the Order is forwarded to: 1. अपीलार्थी / The Appellant; 2. प्रत्यर्थी / The Respondent 3. 4. The concerned Pr.CIT, Pune DR, ITAT, ‘B’ Bench, Pune 5. गार्ड फाईल / Guard file. आदेशानुसार/ BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अधिकरण ,पुणे / ITAT, Pune S.No. Details Date Initials Designation 1 Draft dictated on 06.05.2024 Sr. PS/PS 2 Draft placed before author 06.05.2024 Sr. PS/PS 3 Draft proposed & placed before the Second Member JM/AM 4 Draft discussed/approved by Second Member AM/AM 5 Approved Draft comes to the Sr. PS/PS Sr. PS/PS 6 Kept for pronouncement on Sr. PS/PS 7 Date of uploading of Order Sr. PS/PS 8 File sent to Bench Clerk Sr. PS/PS 9 Date on which the file goes to the Head Clerk 10 Date on which file goes to the A.R. 11 Date of Dispatch of order