Hansraj Merchants (P) Ltd., New Delhi V. DCIT, New Delhi

ITA 4001/DEL/2015

• Counselvise Citation: [2018] 119 COUNSELVISE.COM (IT) 4466 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 4 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-10-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: H
• Assessment Year: 2010-2011
• Appeal Filed On: 16-06-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: JAMES SINGSONG
• Assessee Lawyers: J P SHARMA
• Section: 143(3); 68; 6

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH : A : NEW DELHI BEFORE SHRI R.K. PANDA, ACCOUNTANT MEMBER AND SHRI KULDIP SINGH, JUDICIAL MEMBER ITA NO.4001/DEL/2015 ASSESSMENT YEAR: 2010-11 HANSRAJ MERCHANTS (P) LTD., C/O RAJ KUMAR & ASSOCIATES, CA, L-7A, SOUTH EXT. PART-2, NEW DELHI. PAN: AAECM5633Q VS. DCIT, CENTRAL CIRCLE-19, NEW DELHI. (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI J.P. SHARMA, CA REVENUE BY : SHRI JAMES SINGSONG, SR.DR DATE OF HEARING : 25.10.2018 DATE OF PRONOUNCEMENT : 25.10.2018 ORDER PER R.K. PANDA, AM: THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER DATED 26 TH MARCH, 2015 OF THE CIT(A)-30, NEW DELHI RELATING TO ASSESSMENT YEAR 2010-11. 2. THE ASSESSEE IN THE VARIOUS GROUNDS OF APPEAL CHALLENGED THE EX PARTE ORDER OF THE CIT(A) SUSTAINING THE ADDITION OF RS.3 CRORES U/S 6 8 OF THE ACT. ITA NO.4001/DEL/2015 2 3. THE FACTS OF THE CASE, IN BRIEF, ARE THAT THE AS SESSEE IS A COMPANY AND FILED ITS RETURN OF INCOME ON 4 TH OCTOBER, 2010 DECLARING TAXABLE INCOME OF RS.1,74, 340/-. THE ASSESSING OFFICER, IN THE ORDER PASSED U/S 143(3) O F THE ACT DATED 22 ND MARCH, 2013, MADE ADDITION OF RS.3 CRORES U/S 68 OF THE IT ACT O N THE GROUND THAT THE ASSESSEE HAS INTRODUCED ITS UNACCOUNTED MONEY THROUGH SHARE APPL ICATION AND SHOWN THE SAME UNDER THE HEAD CAPITAL RESERVE IN THE BALANCE SHE ET. THE ASSESSEE FILED APPEAL BEFORE THE CIT(A). HOWEVER, DUE TO NON-APPEARANCE OF THE A SSESSEE BEFORE THE CIT(A) DESPITE THREE OPPORTUNITIES GIVEN, THE LD.CIT(A) IN THE EX PARTE ORDER PASSED BY HIM, SUSTAINED THE ADDITION MADE BY THE ASSESSING OFFICE R. AGGRIEVED WITH SUCH ORDER OF THE CIT(A), THE ASSESSEE IS IN APPEAL BEFORE THE TR IBUNAL. 4. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS MADE BY BOTH THE SIDES AND PERUSED THE MATERIAL AVAILABLE ON RECORD. IT IS AN ADMITTE D FACT THAT DUE TO NON-APPEARANCE BEFORE THE CIT(A) DESPITE THREE OPPORTUNITIES GRANT ED BY HIM, HE WAS CONSTRAINED TO PASS THE EX PARTE ORDER WHEREIN HE HAS SUSTAINED THE ADDITION MADE B Y THE ASSESSING OFFICER AMOUNTING TO RS.3 CRORE U/S 68 OF THE IT AC T. CONSIDERING THE TOTALITY OF THE FACTS OF THE CASE AND IN THE INTEREST OF JUSTICE, W E DEEM IT APPROPRIATE TO RESTORE THE ISSUE TO THE FILE OF THE CIT(A) WITH A DIRECTION TO GRANT ONE FINAL OPPORTUNITY TO THE ASSESSEE TO SUBSTANTIATE ITS CASE. THE ASSESSEE IS ALSO HEREBY DIRECTED TO APPEAR BEFORE THE CIT(A) AND SUBSTANTIATE ITS CASE WITHOUT SEEKIN G ANY ADJOURNMENT UNDER ANY PRETEXT, FAILING WHICH THE LD.CIT(A) IS AT LIBERTY TO PASS APPROPRIATE ORDER AS PER LAW. ITA NO.4001/DEL/2015 3 WE HOLD AND DIRECT ACCORDINGLY. THE GROUNDS RAISED BY THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES. 5. IN THE RESULT, THE APPEAL FILED BY THE ASS ESSEE IS ALLOWED FOR STATISTICAL PURPOSES. THE DECISION WAS PRONOUNCED IN THE OPEN COURT ON 2 5.10.2018 ITSELF AT THE TIME OF HEARING. SD/- SD/- (KULDIP SINGH) (R. K. PANDA) JUDICIAL MEMBER ACCOUNTANT MEMF BER DATED: 25 TH OCTOBER, 2018 DK COPY FORWARDED TO 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR ASSTT. REGISTRAR, ITAT, NEW DELHI