M/s Tadepallegudem Cold Storage Pvt Ltd, Tadepallegudem V. The ACIT, Circle-1, Eluru

ITA 404/VIZ/2007

• Counselvise Citation: [2010] 136 COUNSELVISE.COM (IT) 7045 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 2 year(s) 5 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-03-2010
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 29-01-2010
• Assessment Year: 1998-1999
• Appeal Filed On: 20-09-2007
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SUBRATA SARKAR
• Assessee Lawyers: S RAMA RAO
• Keywords: Opportunity of being heard; Principle of natural justice; Set aside

Judgement Text

PAGE 1 OF 2 IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH, VISAKHAPATNAM B EFORE: SHRI SUNIL KUMAR YADAV, JUDICIAL MEMBER AND SHRI B.R.BASKARAN, ACCOUNTANT MEMBER SL. NO CASE NO. ASST. YEAR/BP P.A.N.NO. APPELLANTS RESPONDENTS 1 IT (SS) A 3 / VIZ/200 7 25 - 9 - 95 TO 28-12-99 AACCT0971A TADEPALLIGUDEM COLD STORATE PVT. LTD., TADEPALLIGUDEM ACIT, CIRCLE - 1, ELURU 2 IT(SS)A 4/VIZ/2007 25 - 9 - 95 TO 28-12-99 AACCT0971A TADEPALLIGUDEM COLD STORATE PVT. LTD., TADEPALLIGUDEM ACIT, CIRCLE - 1, ELURU 3 IT A NO.404/VIZ/2007 1998 - 99 AACCT0971A TADEPALLIGUDEM COLD STORATE PVT. LTD., TADEPALLIGUDEM ACIT, CIRCLE - 1, ELURU 4 ITA NO405/VIZ/2007 1998 - 99 AACCT0971A TADEPALLIGUDEM COLD STORATE PVT. LTD., TADEPALLIGUDEM ACIT, CIRCLE - 1, ELURU 5 ITA NO.508/VIZ/2008 199 8 - 99 DCIT, CIRCLE - 1, RAJAHMUNDRY TADEPALLIGUDEM COLD STORATE PVT. LTD., TADEPALLIGUDEM 6 IT(SS)A 16/VIZ/2008 BP DCIT, CIRCLE - 1, RAJAHMUNDRY TADEPALLIGUDEM COLD STORATE PVT. LTD., TADEPALLIGUDEM APPELLANT BY : SHRI S. RAMA RAO, ADVOCATE RESPONDENT BY : SHRI SUBRATA SARKAR, CIT(DR) ORDER PER BENCH: ALL THE SIX APPEALS ARE DIRECTED AGAINST THE ORDER S PASSED BY THE LD CIT (A) RAJAHMUNDRY. SINCE THE ASSESSEE DID NOT APPEAR BEFO RE THE LD CIT (A), THE FIRST APPELLATE AUTHORITY HAS PASSED THE ORDERS EX-PARTE, QUA THE A SSESSEE. OF THE SIX APPEALS CITED ABOVE, FIRST FOUR APPEALS HAVE BEEN PREFERRED BY TH E ASSESSEE AND THE REMAINING TWO APPEALS HAVE BEEN PREFERRED BY THE REVENUE. 2. BEFORE US THE DIRECTOR OF THE ASSESSEE COMPANY S HRI KILARI VENKATA ROSAIAH HAS FILED AN AFFIDAVIT STATING THE FOLLOWING REASONS FO R NON-APPEARANCE BEFORE THE LD CIT (A). I AM THE DIRECTOR OF THE ABOVE MENTIONED COMPANY. I AM IN CHARGE OF THE AFFAIRS OF THE SAID COMPANY. HOWEVER, AFTER ACQUISI TION OF THE MANAGEMENT OF THE SAID COMPANY, THE SAID COMPANY DID NOT CARRY AN Y BUSINESS ACTIVITY. THE COLD STORAGE PLANT IS AT UPPAKAPADU VILLAGE, TADEPA LLIGUDEM AND I AM NOT IN A POSITION TO RUN THE ACTIVITY AND IT IS SICK UNIT. I AM NOT IN A POSITION TO MAINTAIN AN OFFICE AT THE SAID PREMISES AS IT IS A SMALL VILLAGE. I COULD ONLY EMPLOY WATCH AND WARD AT THE SAID PLACE. I AM RESID ING AT GUNTUR AND PAGE 2 OF 2 ATTENDING OTHER BUSINESS ACTIVITIES AS THE BUSINESS ACTIVITY OF THE COMPANY WAS TOTALLY CLOSED: I HUMBLY SUBMIT THAT THE NOTICES POSTING THE FOLLOW ING APPEALS WERE SENT BY THE COMMISSIONER OF INCOME-TAX (APPEALS), RAJAHMUN DRY TO THE TADEPALLIGUDEM ADDRESS: I) ITA NO.225/273/CI,ELR/CIT(A),RJY/04-05/06-07 FOR TH E BLOCK PERIOD II) ITA N0.224/272/C1,ELE(CIT(A)/RJY/04-05/06/07 FOR A. Y.1998-99 III) ITA NO.223/271/C1,ELR/CIT(A),RJY/04/05/06-06 FOR BL OCK PERIOD IV) ITA NO.222/0086/01-02/CIT(A),VJA/CIT(A),RJY/01-02/0 6-07 FOR THE ASSESSMENT YEAR 1998-99 I HUMBLY SUBMIT THAT THE NOTICES DATED 11-05-2007 W ERE SENT TO ME BY THE SAID WATCH AND WARD AND ADJOURNMENT PETITION WAS FI LED. SUBSEQUENT NOTICES WERE NOT RECEIVED BY ME IN TIME. I HUMBLY STATE THA T I COULD NOT REPRESENT THE COMPANY BEFORE THE LEARNED COMMISSIONER OF INCO ME-TAX (APPEALS), RAJAHMUNDRY AS I DID NOT RECEIVE THE SAID NOTICES I N TIME. 3. WE HAVE HEARD THE RIVAL SUBMISSIONS. AFTER TAKI NG INTO ACCOUNT THE RIVAL SUBMISSIONS AND ALSO BY CONSIDERING THE SUBMISSIONS MADE BY THE ASSESSEE IN THE AFFIDAVIT, IN THE INTEREST OF NATURAL JUSTICE, WE T HINK IT PROPER TO GIVE ONE MORE OPPORTUNITY TO THE ASSESSEE. ACCORDINGLY, WE SET ASIDE THE ORDE RS OF THE LD CIT(A) AND RESTORE ALL THE APPEALS TO THE FILE OF THE LD CIT (A) FOR ADJUDICAT ION OF THE APPEALS AFRESH AFTER AFFORDING NECESSARY OPPORTUNITY OF BEING HEARD TO THE ASSESSE E. 4. IN THE RESULT, THE APPEALS FILED BY THE ASSE SSEE AS WELL AS THE REVENUE ARE TREATED AS ALLOWED FOR STATISTICAL PURPOSES. PRONOUNCED ACCORDINGLY IN THE OPEN COURT ON 5-3-2010. SD/- SD/- (SUNIL KUMAR YADAV) (B.R.BASKARAN) JUDICIAL MEMBER ACCOUNTANT MEMBER PVV/SPS VISAKHAPATNAM DATE: 5 TH MARCH, 2010 COPY TO 1. M/S. TADEPALLIGUDEM COLD STORATE (P) LTD.,C/O P.MU RALI KRISHNA, TAX CONSULTANT, P. NAGESWERA RAO & CO.,ANJUMAN BUILDING, LALAPET, G UNTUR 522 003 2. THE ACIT, CIRCLE-1, ELURU 3. THE DCIT, CIRCLE-1, RAJAHMUNDRY 4. THE COMMISSIONER OF INCOME TAX (APPEALS) RAJAHMUND RY 5. THE COMMISSIONER OF INCOME TAX, RAJAHMUNDRY 6. THE DEPARTMENTAL REPRESENTATIVE, I.T.A.T., VISAKHAP ATNAM 7. GUARD FILE BY ORDER SENIOR PRIVATE SECRETARY INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM