DHAIRESH K. SANGHVI, MUMBAI V. ACIT CIR 17(1), MUMBAI

ITA 3955/MUM/2017

• Counselvise Citation: [2019] 115 COUNSELVISE.COM (IT) 4060 (ITAT-MUMBAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-03-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Assessment Year: 2012-2013
• Appeal Filed On: 30-05-2017
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH D, MUMBAI BEFORE SHRI G.S. PANNU, VICE PRESIDENT AND SHRI RAM LAL NEGI, JUDICIAL MEMBER ITA NO. 3955/MUM/2017 : A.Y : 2012 - 13 DHAIRESH K. SANGHVI 3 RD FLOOR, UNION CO - OP. INSURANCE BUILDING, P.M. ROAD, FORT, MUMBAI 400 001. PAN : AAFPS2488B (APPELLANT) VS. ACIT, CIRCLE - 17(1), MUMBAI. (RESPONDENT) APPELLANT BY : SHRI PARESH SHAPARIA RESPONDENT BY : SHRI RAJEEV GUBGOTRA DATE OF HEARING : 08/03/2019 DATE OF PRONOUNCEMENT : 08/03/2019 O R D E R PER G.S. PANNU , VICE PRESIDENT : THE CAPTIONED APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF CIT(A) - 28 , MUMBAI DATED 17.03.2017 , PERTAINING TO THE ASSESSMENT YEAR 201 2 - 1 3 , WHICH IN TURN HAS ARISEN FROM THE ORDER DATED 2 5 .03.201 5 PASSED BY THE ASSESSING OFFICER, MUMBAI UNDER SECTION 143(3) OF THE INCOME TAX ACT, 1961 (IN SHORT THE ACT). 2. ALTHOUGH THE ASSESSEE HAS TAKEN MULTIPLE GROUNDS OF APPEAL, THE FIRST AND THE FORE MOST ISSUE IS AGAINST THE DECISION OF CIT(A) FOR DISMISSING THE 2 ITA NO. 3955/MUM/2017 DHAIRESH K. SANGHVI APPEAL OF THE ASSESSEE EX PARTE . THE BASIC GRIEVANCE OF THE ASSESSEE IS THAT EX PARTE ORDER HAS BEEN PASSED BY THE CIT(A) WITHOUT AFFORDING THE ASSESSEE A REASONABLE OPPORTUNITY OF BEING HEAR D. 3. IT HAS BEEN POINTED OUT BY REFERRING TO THE DISCUSSION MADE BY THE CIT(A) IN PAGE 7 OF HIS ORDER THAT ASSESSEE SOUGHT ADJOURNMENT ON THE GROUND THAT THE APPELLATE PROCEEDINGS FOR ASSESSMENT YEAR 2010 - 11 WERE PENDING FOR DETERMINATION. IT HAS BEEN P OINTED OUT THAT THE CIT(A) PROCEEDED TO DISPOSE OF THE INSTANT APPEAL FOR ASSESSMENT YEAR 2012 - 13 WITHOUT AWAITING FOR DECISION IN ASSESSMENT YEAR 2010 - 11. THE LEARNED REPRESENTATIVE EXPLAINED THAT ASSESSEE WAS UNDER A BONA FIDE BELIEF THAT THE APPEAL FOR ASSESSMENT YEAR 2012 - 13 WOULD BE TAKEN - UP ONCE APPEAL OF ASSESSEE FOR EARLIER YEAR, I.E. ASSESSMENT YEAR 2010 - 11, IS DECIDED BY THE CIT(A). HOWEVER, THE CIT(A) FOR INEXPLICABLE REASONS PROCEEDED TO DISPOSE OF THE APPEAL OF ASSESSEE FOR ASSESSMENT YEAR 20 12 - 13, THUS DENYING THE ASSESSEE A REASONABLE OPPORTUNITY OF BEING HEARD. 4. THE LD. DR APPEARING FOR THE REVENUE DID NOT DISPUTE THE FACTUAL MATRIX BROUGHT OUT BY THE LEARNED REPRESENTATIVE. 5. HAVING CONSIDERED THE RIVAL STANDS IN THE ABOVE CONTEXT, WE DEEM IT FIT AND PROPER TO SET - ASIDE THE IMPUGNED ORDER OF CIT(A) AND RESTORE THE MATTER BACK TO HIS FILE FOR ADJUDICATION AFRESH. AT THE TIME OF HEARING, THE LEARNED REPRESENTATIVE FOR THE ASSESSEE ALSO BROUGHT TO THE NOTICE OF THE BENCH THAT ASSESSEE S APPEAL FOR ASSESSMENT YEAR 2010 - 11, WHEREIN SIMILAR ISSUE HA D ARISEN FROM ORDER OF CIT(A) DATED 06.07.2017, HAS BEEN ADJUDICATED BY THE TRIBUNAL VIDE ORDER DATED 25.01.2019 . WHILE WE ARE REMANDING THE MATTER 3 ITA NO. 3955/MUM/2017 DHAIRESH K. SANGHVI BACK TO THE FILE OF CIT(A), WE ALSO EXPECT TH AT THE DECISION OF THE TRIBUNAL DATED 25.01.20 19 (SUPRA) SHALL BE DULY CONSIDERED BY THE CIT(A) IN ACCORDANCE WITH LAW. NEEDLESS TO MENTION, THE ASSESSEE SHALL BE ALLOWED A REASONABLE OPPORTUNITY OF BEING HEARD BEFORE PROCEEDING TO ADJUDICATE THE GROUNDS OF APPEAL RAISED BY THE ASSESSEE. 6. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED, AS ABOVE. THE A BOVE DECISION WAS PRONOUNCED IN THE OPEN COURT IN THE PRESENCE OF BOTH THE PARTIES AT THE CONCLUSION OF THE HEARING ON 8 TH MARCH, 2019. SD/ - SD/ - ( RAM LAL NEGI ) JUDICIAL MEMBER ( G.S. PANNU ) VICE PRESIDENT MUMBAI, DATE : 8 T H MARCH, 201 9 *SSL* COPY TO : 1) THE APPELLANT 2) THE RESPONDENT 3) THE CIT(A) CONCERNED 4) THE CIT CONCERNED 5) THE D.R, D BENCH, MUMBAI 6) GUARD FILE BY ORDER DY./ASSTT. REGISTRAR I.T.A.T, MUMBAI