HARAKCHAND G. PATEL, MUMBAI V. ITO 25(1)(1), MUMBAI

ITA 3533/MUM/2016

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 7743 (ITAT-MUMBAI)
• Duration Of Justice: 10 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-03-2017
• Appeal Filed By: Assessee
• Bench Allotted: SMC
• Assessment Year: 2007-2008
• Appeal Filed On: 20-05-2016
• Court: TRIBUNAL
• Department Lawyers: BEENA SANTOSH
• Keywords: Sale consideration of property below Jantri Value; Opportunity of being heard; Principle of natural justice
• Section: 50C

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH, MUMBAI BEFORE SHRI D. KARUNAKARA RAO, ACCOUNTANT MEMBER ITA NO. 3533/M/2016 (AY 2007 - 2008 ) MR. HARAKCHAND G. PATEL, 201 - A, PARK AVENUE, MAHATMA PHULE CROSS ROAD, VILE PARLE (E), MUMBAI 400 057. / VS. INCOME TAX OFFICER - 32(1)(5), MUMBAI. ./ PAN : ABUPP8331N ( / APPELLANT) .. ( / RESPONDENT ) / APPELLANT BY : SHRI HIRO RAI / RESPONDENT BY : MS. BEENA SANTOSH, DR / DATE OF HEARING : 21 .03.2017 / DATE OF PRONOUNCEMENT : 29 .03.2017 / O R D E R PER D. KARUNAKARA RAO, AM: THIS APPEAL FILED BY THE ASSESSEE ON 20.5.2016 IS AGAINST THE ORDER OF THE CIT (A) - 44, MUMBAI DATED 18.3.2016 FOR THE ASSESSMENT YEAR 2007 - 2008. 2. IN THIS APPEAL, ASSESSEE RAISED SIX GROUNDS IN TOTO. AT THE OUTSET, LD COUNSEL FOR THE ASSESSEE BRIEFLY NARRATED THE FACTS OF THE CASE AND SUBMITTED THAT THE ASSESSMENT UNDER CONSIDERATI ON WAS FINALIZED WITH GRAVE MISTAKES WITH REFERENCE TO THE SHARE OF THE ASSESSEE IN THE PROPERTY, WHICH IS THE SUBJECT MATTER OF ADDITION U/S 50C OF THE ACT. BRINGING MY ATTENTION TO THE AFFIDAVIT DATED 12.5.2016, LD COUNSEL FOR THE ASSESSEE SUBMITTED THA T THE CIT (A) DECIDED THE FIRST APPEAL EX - PARTE BASING ON THE FACT THAT THE NOTICES WERE ISSUED ON 21.4.2015; 4.2.2016 AND 01.03.2016. BUT THE FACT IS THAT THESE NOTICES WERE NEVER SERVED ON THE ASSESSEE. BASED ON THE SAID AFFIDAVIT, LD COUNSEL FOR THE A SSESSEE MENTIONED THAT THE ASSESSEE MOVED HIS ADDRESS TO VILE PARLE WAY BACK IN THE YEAR 2010 - 2011. CONSIDERING THE ABOVE, LD COUNSEL FOR THE ASSESSEE REQUESTED FOR REMANDING THE MATTER TO THE FILE OF THE CIT (A) FOR FRESH ADJUDICATION AFTER GRANTING A RE ASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE AFTER SERVING NOTICE TO THE NEW ADDRESS AT VILE PARLE (E). 2 3. ON HEARING BOTH THE PARTIES AND ON PERUSAL OF THE ORDERS OF THE REVENUE AUTHORITIES AS WELL AS THE RELEVANT MATERIAL PLACED BEFORE THE TRIBUNA L, I FIND, TH E ASSESSEE HAS A REASONABLE AND SUFFICIENT CAUSE FOR HIS NON - ATTENDANCE. CONSIDERING THE SAME AS WELL AS FOLLOWING THE PRINCIPLES OF NATURAL JUSTICE, I AM OF THE OPINION, THE MATTER SHOULD BE REMANDED TO THE FILE OF THE CIT (A) TO DECIDE THE ISSUE AFRESH AS PER THE LAW. I ORDER ACCORDINGLY. THUS, THE GROUNDS RAISED BY THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES. 4. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUN CED IN THE OPEN COURT ON 29 TH MARCH, 2017. SD/ - (D. KARUNAKARA RAO) ACCOUNTANT MEMBER MUMBAI ; 29.03.2017 . . ./ OKK , SR. PS / 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// / BY ORDER, / (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI