Navrangpura Organisers & Dev. Pvt. Ltd., Ahmedabad V. The Deputy Commissioner of Income Tax, Circle-3(1)(1), Ahmedabad

ITA 341/AHD/2017

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 5779 (ITAT-AHMEDABAD)
• Duration Of Justice: 1 year(s) 1 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-03-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: Not Allotted
• Assessment Year: 2003-2004
• Appeal Filed On: 08-02-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: T P HEMANI
• Section: 143(3); 144

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD C BENCH AHMEDABAD BEFORE, SHRI S. S. GODARA, JUDICIAL MEMBER AND SHRI AMARJIT SINGH, ACCOUNTANT MEMBER ITA NOS. 341 & 343/AHD/2017 (ASSESSMENT YEARS : 2003-04 & 2005-06) M/S. NAVRATNA ORGANIZERS & DEVELOPERS PVT. LTD., 2 ND FLOOR, KAYCREST, OPP. GUJARAT GAS CO. LTD., NR. PARIMAL CROSSING, C.G. ROAD, AHMEDABAD APPELLANT VS. THE DY. COMMISSIONER OF INCOME TAX, CIRCLE 3(1)(1), AHMEDABAD RESPONDENT PAN: AACCN21110 / BY ASSESSEE : SHRI T. P. HEMANI, A.R. / BY REVENUE : SHRI PRASOON KABRA, SR. D.R. /DATE OF HEARING : 15.03.2018 /DATE OF PRONOUNCEMENT : 28.03.2018 ORDER PER S. S. GODARA, JUDICIAL MEMBER THESE TWO ASSESSEES APPEALS FOR ASSESSMENT YEARS 20 03-04 & 2005-06 ARISE AGAINST CIT(A)-9, AHMEDABADS SEPARATE EX PAR TE ORDERS; BOTH DATED 26.12.2016, IN CASE NOS. CIT(A)-9/146/DCIT.CIR-3(1) (1)/15-16 & CIT(A)- 9/148/DCIT.CIR-3(1)(1)/15-16, IN PROCEEDINGS U/S. 1 43(3) R.W.S. 147 R.W.S. 144 & U/S. 143(3) OF THE INCOME TAX ACT, 1961; IN SHORT THE ACT; RESPECTIVELY. HEARD BOTH THE PARTIES. CASE FILES PERUSED. ITA NO. 341 & 343/AHD/17 [NAVRATNA ORGANISERS & DEV .P.LTD. VS. DCIT ] A.YS. 2003-04 & 2005-06 - 2 - 2. WE NOTICE AT THE OUTSET THAT THE CIT(A)S ORDERS UNDER CHALLENGE IN BOTH CASES HAVE BEEN PASSED EX PARTE THEREBY UPHOLDING A SSESSING OFFICERS ACTION ESTIMATING THE NET PROFIT IN QUESTION @ 8% RESULTIN G IN ADDITIONS OF RS.83,01,082/- AND RS.3,68,66,552/-; RESPECTIVELY. LEARNED LOWER AUTHORITY OBSERVES IN PARA 3 OF THE BOTH ORDERS UNDER CHALLEN GE THAT IT HAD ISSUED NOTICES DATED 26.05.2016, 24.06.2016, 08.08.2016 AND 20.10. 2016 FOR HEARINGS DATED 23.06.2016, 27.07.2016, 16.09.2016 AND 20.10.2016; RESPECTIVELY WHEREIN ASSESSEE DID NOT APPEAR NOR FILED ANY ADJOURNMENT O N FORMER TWO OCCASIONS, SOUGHT ADJOURNMENT ON THIRD HEARING AND AGAIN DID N OT PUT IN APPEARANCE ON THE LAST DATE COMING TO 20.10.2016. THIS HAS MADE THE C IT(A) TO AFFIRM BOTH THE IMPUGNED ADDITIONS UNDER CHALLENGE LEAVING HE ASSES SEE AGGRIEVED. 3. LEARNED COUNSEL REPRESENTING ASSESSEE REITERATES ITS PLEADINGS IN BOTH THE CASES RAISING IDENTICAL SUBSTANTIVE GROUND THAT THE CIT(A) HAS ERRED IN PASSING HIS EX PARTE LOWER APPELLATE ORDER(S) ALLEGING ITS NON ATTENDANCE WHEREAS ITS AUTHORIZED REPRESENTATIVE HAD BEEN PUT IN APPEARANC E REGULARLY DURING THE COURSE OF LOWER APPELLATE PROCEEDINGS. THE REVENUES CASE ON THE OTHER HAND IS THAT THE CASE RECORDS ALREADY SUGGEST THAT THE ASSESSEE NOT TO HAVE PUT IN APPEARANCE BEFORE THE CIT(A). MR. HEMANI ON THE OTHER HAND STA TES THAT THE ASSESSEE HAS ALWAYS BEEN DILIGENT IN PURSUING ITS REMEDIES EVEN IN FIRST ROUND OF LITIGATION AND THE FACTUAL POSITION REMAINS THE SAME IN THE INSTAN T SECOND ROUND AS WELL. WE OBSERVE IN THESE BACKDROP OF FACTS THAT IT WOULD BE IN THE LARGER INTEREST OF JUSTICE IN CASE LEARNED CIT(A) ADJUDICATES THE ENTIRE ISSUE AS PER LAW AFRESH AFTER AFFORDING ADEQUATE OPPORTUNITY OF HEARING TO THE AS SESSEE. IT IS MADE CLEAR THAT THE ASSESSEE SHALL PUT IN APPEARANCE BEFORE THE CIT( A) ALONGWITH THE COPY OF OUR INSTANT ORDER WITHIN EIGHT WEEKS FROM GETTING ITS C ERTIFIED COPY. LEARNED CIT(A) THEREAFTER SHALL MAKE ALL ENDEAVOR TO DECIDE THE TW O APPEALS WITHIN THREE EFFECTIVE OPPORTUNITIES OF HEARING. THE ASSESSEES FIRST SUBSTANTIVE GROUND IN THE TWO APPEALS CHALLENGING CORRECTNESS OF CIT(A)S ORDE R PROCEEDING EX PARTE IS ITA NO. 341 & 343/AHD/17 [NAVRATNA ORGANISERS & DEV .P.LTD. VS. DCIT ] A.YS. 2003-04 & 2005-06 - 3 - THUS ACCEPTED FOR STATISTICAL PURPOSES. SAME ORDER TO FOLLOW ON REMAINING ISSUE ON MERITS AS WELL. 4. THESE TWO ASSESSEES APPEALS ARE ALLOWED FOR STAT ISTICAL PURPOSES. [PRONOUNCED IN THE OPEN COURT ON THIS THE 28 TH DAY OF MARCH, 2018.] SD/- SD/- ( AMARJIT SINGH ) (S. S. GODARA) ACCOUNTANT MEMBER JUDICIAL MEMBER AHMEDABAD: DATED 28/03/2018 TRUE COPY S.K.SINHA / COPY OF ORDER FORWARDED TO:- / REVENUE 2 / ASSESSEE ! / CONCERNED CIT 4 !- / CIT (A) ( )* + ,--. . /0 / DR, ITAT, AHMEDABAD 1 + 23 4 5 / GUARD FILE. BY ORDER / . // . /0