Geetanjali Color Creations, Faridabad V. ITO, Faridabad

ITA 3205/DEL/2011

• Counselvise Citation: 320520114 RSA 2011
• Duration Of Justice: 1 year(s) 4 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-10-2012
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 31-10-2012
• Assessment Year: 2005-2006
• Appeal Filed On: 14-06-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SATPAL SINGH SENIOR
• Keywords: Additional evidence
• Section: 144

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH C : NEW DELHI) SHRI I.C. SUDHIR, JUDICIAL MEMBER AND BEFORE SHRI B.C. MEENA, ACCOUNTANT MEMEBR ITA NO.3205/DEL./2011 (ASSESSMENT YEAR : 2005-06) GEETANJALI COLOUR CREATIONS, VS. ITO, WARD 1 (1) , FCA 170, EAST CHAWLA COLONY, FARIDABAD. BALLABGARH, NOW PLOT NO.1 5, BADOLI EXTENSION, BEHIND SECTOR 9, FARIDABAD. (PAN : AAFFG2235G) (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI GURJEET SINGH, ADVOCATE REVENUE BY : SHRI SATPAL SINGH, SENIOR DR O R D E R PER B.C. MEENA, ACCOUNTANT MEMBER THIS APPEAL FILED BY THE ASSESSEE EMANATES FROM TH E ORDER OF THE CIT (APPEALS), FARIDABAD DATED 08.04.2011. 2. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE IS A PARTNERSHIP FIRM. THE RETURN OF INCOME WAS FILED ON 31.10.2005. THIS RETURN WAS ACCOMPANIED WITH PROFIT & LOSS ACCOUNT, BALANCE SHEET, ETC. ON THE NON-COMPL IANCE OF THE NOTICES AND NOT ITA NO.3205/DEL/2011 2 FURNISHING THE INFORMATION, THE ASSESSING OFFICER M ADE THE BEST JUDGMENT IN ACCORDANCE WITH THE PROVISIONS OF SECTION 144 OF TH E INCOME-TAX ACT, 1961. THE ASSESSEE FILED AN APPEAL BEFORE THE CIT (A) AND DUR ING THE APPELLATE PROCEEDINGS, ASSESSEE FILED DOCUMENTS AND EVIDENCES AND ALSO SUB MITTED THE APPLICATION FOR ADMITTING THE ADDITIONAL EVIDENCES. THESE ADDITION AL EVIDENCES WERE IN THE FORM OF TAX AUDIT REPORT IN FORM NO.3CB AND 3CD, COPY OF PA RTNERSHIP DEED, COPIES OF CAPITAL ACCOUNTS OF PARTNERS, ACKNOWLEDGEMENT OF TH EIR RETURNS AN STATEMENTS OF INCOME FOR ASSESSMENT YEAR 2005-06, COPIES OF SALES AND PURCHASES ACCOUNT, COPIES OF ACCOUNTS OF LOAN CREDITORS, THEIR CONFIRM ATION AND COPY OF CREDIT CARD STATEMENT, COPIES OF BILLS FOR ADDITIONS IN THE ASS ETS, ETC. THE CIT (A) DID NOT ADMIT THE ADDITIONAL EVIDENCES UNDER RULE 46A. THE CIT ( A) ALSO MENTIONED THAT TAKING A LENIENT VIEW AND FOR A FAIR DECISION, HE PROCEED TO CONSIDER THE DETAILS AND EVIDENCES TO THE EXTENT WHICH CAN BE ACCEPTED WITHO UT ANY VERIFICATION OF ASSESSING OFFICER OR THERE IS NO DOUBT AS TO THE VE RACITY OF THE EVIDENCES. 3. BEFORE US, THE ASSESSEE HAS COME IN APPEAL BY TA KING THE GROUND THAT BEST JUDGMENT ORDER PASSED BY THE ASSESSING OFFICER U/S 144 OF THE ACT WAS ATTRIBUTABLE TO THE DEATH OF ONE OF THE PARTNERS. THE ASSESSEE HAS SUBMITTED AN AFFIDAVIT IN THIS REGARD. THE LD. AR ALSO SUBMITTED THAT ONE OF THE PARTNERS WAS SUFFERING FROM CANCER AND LOT OF MONEY SPENT ON THE TREATMENT AND DUE TO THE DEATH OF PARTNER, THE ASSESSEE FIRM WENT INTO FINANCIAL CRISIS AS LOT OF AMOUNT WAS SPENT ON THE TREATMENT ITA NO.3205/DEL/2011 3 AND ASSESSEE DEFAULTED IN MAKING THE PAYMENTS TO TH E BANK. IN SUPPORT OF THIS CLAIM, THE ASSESSEE HAS SUBMITTED THE ORDER OF THE HON'BLE PUNJAB & HARYANA HIGH COURT IN CWP NO.1208 OF 2009 DATED 27.01.2009 AND P LEADED THAT THERE WAS SUFFICIENT CAUSE FOR NON-COMPLIANCE OF THE NOTICES AND ALSO NOT SUBMITTING THE NECESSARY DETAILS BEFORE THE ASSESSING OFFICER. HE VEHEMENTLY PLEADED THAT THE ADDITIONAL EVIDENCES MAY BE ADMITTED AND MATTER MAY BE RESTORED TO ASSESSING OFFICER. LD. DR WAS ALSO NOT HAVING ANY SERIOUS OB JECTION TO IT. 4. AFTER HEARING BOTH THE SIDES ON THE ISSUE, WE FI ND IT APPROPRIATE TO ADMIT THE ADDITIONAL EVIDENCES AND SET ASIDE ALL THE ISSUES T O THE FILE OF THE ASSESSING OFFICER FOR MAKING THE ASSESSMENT AFRESH. ASSESSEE WILL CO OPERATE IN THE PROCEEDINGS BEFORE THE ASSESSING OFFICER BY WAY OF FILING THE N ECESSARY DETAILS. 5. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN OPEN COURT ON THIS 31 ST DAY OF OCTOBER, 2012 AFTER THE CONCLUSION OF THE HEARING.. SD/- SD/- (I.C. SUDHIR) (B.C. MEENA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED THE 31 ST DAY OF OCTOBER, 2012/TS COPY FORWARDED TO: 1.APPELLANT 2.RESPONDENT 3.CIT 4.CIT(A), FARIDABAD.. 5.CIT(ITAT), NEW DELHI. AR/ITAT NEW DELHI