DCIT 24(2), MUMBAI V. PARESH B. VORA, MUMBAI

ITA 403/MUM/2013

• Counselvise Citation: [2014] 120 COUNSELVISE.COM (IT) 8154 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 8 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-09-2014
• Appeal Filed By: Department
• Bench Allotted: C
• Assessment Year: 2009-2010
• Appeal Filed On: 14-01-2013
• Court: TRIBUNAL
• Department Lawyers: DR K SHIVRAM; AJAY R SINGH
• Assessee Lawyers: SHRIKANT NAMDEO; SUNIL KR AGARWAL
• Keywords: Principle of natural justice

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNALC BENCH, MUMB AI BEFORE SHRI VIJAY PAL RAO, JM AND SHRI D.KARUNAKARA RAO, AM ITA NO. 6341/MUM/2012 ASSESSMENT YEAR-2008-09 DY. CIT - 24(2), C-13, 6 TH FLR. PRATYAKSHA KAR BHAVAN, BKC, BANDRA(EAST), MUMBAI-400051 / VS. PARESH B.VORA, 503, MAHARAJA APT. S.V. RD. MALAD(W), MUMBAI-400064 ./ PAN :AAAPV3819J ( / REVENUE ) .. ( /ASSESSEE ) ITA NO.6342/MUM/2012 ASSESSMENT YEAR-2008-09 DY. CIT - 24(2), C-13, 6 TH FLR. PRATYAKSHA KAR BHAVAN, BKC, BANDRA(EAST), MUMBAI-400051 / VS. PARESH B.VORA, 503, MAHARAJA APT. S.V. RD. MALAD(W), MUMBAI-400064 ./ PAN :AAAPV3819J ( / REVENUE ) .. ( / ASSESSEE ) ITA NO.403/MUM/2013 ASSESSM ENT YEAR-2009-10 DY. CIT - 24(2), C-13, 6 TH FLR. PRATYAKSHA KAR BHAVAN, BKC, BANDRA(EAST), MUMBAI-400051 / VS. PARESH B.VORA, 503, MAHARAJA APT. S.V. RD. MALAD(W), MUMBAI-400064 ./ PAN :AAAPV3819J ( / REVENUE ) .. ( / ASSESSEE ) / ASSESSEE BY : SHRI SUNIL KR. AGARWAL & SHRI SHRIKANT NAMDEO / REVENUE BY : DR. K.SHIVRAM & SHRI AJAY R.SINGH / DATE OF HEARING : 10/07/2014 / DATE OF PRONOUNCEMENT : 30/09/2014 / ORDER PER D. KARUNAKARA RAO, AM: THERE ARE THREE APPEALS UNDER CONSIDERATION RELATIN G TO THE ASSESSMENT YEARS 2008-09 AND 2009-10 INVOLVING QUAN TUM AS WELL AS PENALTY ORDERS BY THE AO. 2 SHRI PARESH B. VORA 2. ITA NO.6342/MUM/2012 RELATING TO QUANTUM ADDITIO NS AND 6341/MUM/2012 RELATING TO PENALTY U/S 271(1) OF TH E ACT ARE FILED BY THE REVENUE FOR A.Y. 2008-09. WE SHALL ADJUDICATE THESE APPEALS FIRST. ITA NO.6342/MUM/2012 3. THE REVENUE IS AGGRIEVED AGAINST THE ORDER OF TH E CIT(A) TO GRANTED RELIEF IN CONNECTION WITH THE ADDITION OF ` .23,80,317/-. THE AO MADE THIS ADDITION BEING IR-RECONCILED AMOUNT BE TWEEN THE ACCOUNTED CONTRACT RECEIPTS AND THE ACCOUNTED TDS C ERTIFICATES. THE AO MADE THIS ADDITION IN VIEW OF THE ASSESSEE FAILU RE TO RECONCILE THE DIFFERENCE. ASSESSEE SUBMITTED THAT THE DIFFERENCE IS RECONCILABLE RETENTION MONEY, WHICH NOT ACCRUED TO THE ASSESSEE IS TAKEN IN THE ACCOUNT. IN THE FIRST APPELLATE PROCEEDINGS, ASSES SEE FURNISHED VARIOUS SUBMISSION AND THE CONFIRMATION LETTER AND THE CERTIFICATES FROM THE AUTHORITIES OF MCGM. ON CONSIDERING THESE FACTS, CIT(A) DELETED THE ADDITION WITHOUT REMANDING THE SAID DOC UMENT TO THE ASSESSING OFFICER. IN THE APPEAL BEFORE US, REVENUE QUESTIONED THE VIOLATION OF PROVISION OF RULE 46A AND RAISED A SPE CIFIC GROUND IN THIS REGARD. IN THIS REGARD, LD. COUNSEL FOR THE ASSESS EE FAIRLY MENTIONED THAT THE NO REMANDING WAS DONE BY THE CIT(A) AND TH EREFORE, DOCUMENTS AND ISSUE CAN BE REMANDED TO THE AO CONSI DERING THE PRINCIPLE OF NATURAL JUSTICE. 4. ON HEARING OF BOTH THE PARTIES, WE ACCORDINGLY O RDER REMANDING TO THE AO. THE AO SHALL GRANT AN OPPORTUNITY OF BE ING HEARD TO THE ASSESSEE BEFORE FINALIZATION OF THE REMAND PROCEEDI NGS. ACCORDINGLY, WITHOUT GIVING INTO OTHER ISSUE RAISED, THE GROUNDS RAISED BY THE REVENUE ARE PARTLY ALLOWED. 3 SHRI PARESH B. VORA 5. IN THE RESULT, THE APPEAL OF THE REVENUE IS ALLO WED FOR STATISTICAL PURPOSE. ITA NO.6341/MUM/2012 (PENALTY U/S 271(1)(C) 6. ITA NO.6341/MUM/2012 RELATES TO PENALTY PROCEEDI NGS U/S 271(1)(C) OF THE ACT IN CONNECTION WITH THE ABOVE R EFERRED ADDITION MADE BY THE AO. 7. AT THE OUTSET, LD. COUNSEL MENTIONED THAT THIS A PPEAL, BEING CONNECTED TO THE ITA NO.6342/MUM/2012 ABOVE, SHOULD ALSO BE REMANDED FOR FRESH FINALIZATION BY THE AO. ACCORDI NGLY GROUND RAISED BY THE REVENUE IS ALLOWED FOR STATISTICAL PURPOSE. 8. IN THE RESULT, BOTH THE APPEALS OF THE REVENUE I S ALLOWED FOR STATISTICAL PURPOSE. ITA NO.403/MUM/2013 9. THE REVENUE FILED THIS APPEAL AGGRIEVED WITH THE ORDER OF THE CIT(A)-34, MUMBAI DATED 23/11/2012. 10. AT THE OUTSET, LD. COUNSEL MENTIONED THAT THE I SSUE RAISED IN THIS APPEAL BY THE REVENUE RELATES TO THE RECONCILI ATION OF FIGURES IN CONNECTION WITH CONTRACT RECEIPTS QUA THE TDS CERTI FICATES AND ALSO CONTRAVENTION TO THE PROVISION OF RULE 46A. THESE I SSUES ARE IDENTICAL TO THE ONE ALREADY DISCUSSED AND ADJUDICATED QUA TH E ITA NO. 6342/MUM/2012 (SUPRA). CONSIDERING THE COMMONNESS OF THE ISSUES AND THE GROUND RAISED IN THIS APPEAL, AFTER HEARING THE PARTIES, WE FIND THE GROUNDS SHOULD ALSO BE REMANDED TO THE FILE OF THE AO WITH IDENTICAL DIRECTION CONSIDERING THE PRINCIPLES OF NATURAL JUSTICE. ACCORDINGLY GROUNDS RAISED BY THE REVENUE ARE ALLOW ED FOR STATISTICAL PURPOSE. 4 SHRI PARESH B. VORA 11. IN THE RESULT, APPEAL OF THE REVENUE IS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT ON 30/09/ 2014 . ! '# $% 30 /09/2014 & ' SD/- S D/- VIJAY PAL RAO D.KARUNAKARA RAO (JUDICIAL MEMBER) (ACCOUNTANT MEMBER) MUMBAI , DATED: 30 /09/2014 F{X~{T? P.S. ()*+,+ / COPY OF THE ORDER FORWARDED TO : (1) )-./ / THE ASSESSEE; (2) / THE REVENUE; (3) 012 / THE CIT(A); (4) 0 / THE CIT, MUMBAI CITY CONCERNED; (5) + 3&())4-5 4- 5' 6 / THE DR, ITAT, MUMBAI; (6) &7.8 / GUARD FILE. 9+() / TRUE COPY / BY ORDER : / ; / (DY./ASSTT. REGISTRAR) 4- 5' 6 / ITAT, MUMBAI,