Ravat Sahakarsakhar Karakhana Ltd, Satara V. The Income Tax Officer, Ward-1, Satara

ITA 415/PUN/2023

AI Insights

The case involves two appeals by Rayat Sahakari Sakhar Karkhana Ltd. against the orders of the Commissioner of Income Tax (Appeals) for the assessment years 2010-11 and 2011-12. The appeals were directed against the disallowance and addition of certain income and interest charges by the Assessing Officer under section 143(3) of the Income Tax Act. The primary contention of the assessee was the lack of opportunity to present their case before the CIT(A), attributed to the non-availability of staff and disruptions caused by the COVID-19 pandemic. The Tribunal found merit in the assessee's plea and decided to set aside the CIT(A)'s orders for a fresh hearing.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 134462 (ITAT-PUNE)
• Duration Of Justice: 2 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-06-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 15-05-2023
• Assessment Year: 2011-2012
• Appeal Filed On: 10-04-2023
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: HANMANT DHALVE
• Section: 43B; 143(3)

Judgement Text

आयकर अपीलीय अिधकरण ”बी” Ɋायपीठ पुणेमŐ। IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCHES “B” :: PUNE BEFORE SHRI S.S.GODARA, JUDICIAL MEMBER AND DR. DIPAK P. RIPOTE, ACCOUNTANT MEMBER आयकर अपील सं. / ITA No.414& 415/PUN/2023 िनधाᭅरण वषᭅ / Assessment Year : 2010-11& 2011-12 Rayat Sahakari Sakhar Karkhana Ltd., A/p. Shewalewadi, Mhaso, Tal. Karad, Dist. Satara – 415111. PAN: AABAR 0241 C Vs The Tax Recovery Officer, Satara. Appellant/ Assessee Respondent /Revenue Assessee by Shri Hanmant Dhalve – AR Revenue by Shri M.G.Jasnani – DR Date of hearing 16/05/2023 Date of pronouncement 13/06/2023 आदेश/ ORDER PER DR. DIPAK P. RIPOTE, AM: These two appeals filed by the assessee are directed against the separate orders of ld.Commissioner of Income of Tax(Appeals)[NFAC] dated 28.02.2023 for A.Y.2010-11 and 21.03.2023 for A.Y.2011-12 emanating from Assessing Officer’s separate orders under section 143(3) of the Act. The Assessee in ITA No.414/PUN/2023 has raised the following grounds of appeal as under : “1. On the fact and in the circumstance of the case and in law of the learned NFAC-Commissioner of Income Tax (Appeals) Delhi, ITA No’s.414 & 415/PUN/2023 Rayat Sahakari Sakhar Karkhana Ltd., [A] 2 has grievously erred in deciding the appeal dismissed, without providing sufficient opportunity to appellate. 2. On the fact and in the circumstance of the case and in law of the learned NFAC-Commissioner of Income Tax (Appeals) Delhi, has erred in disallowing and adding back on account of Usercharges (Business Income of karkahan) received Treat as a Income from other Sources 3. On the fact and in the circumstance of the case and in law of the learned NFAC-Commissioner of Income Tax (Appeals) Delhi, has erred in disallowing and adding back an amount of Rs.86.92.814/- on account of Interest disallowed u/s. 43B 4. The appellant craves for the leave, add, alter, amend, modify and delete any or all the above grounds of appeals before or at the time of hearing.” Submission of ld.AR : 2. The ld.AR pleaded that ld.CIT(A) had passed ex-parte order. The ld.AR pleaded that assessee could not file details before the ld.CIT(A) due to non-availability of staff and due to COVID-19 Pandemic. The ld.AR pleaded that one more opportunity may kindly be given to file the necessary details before the ld.CIT(A). 3. The ld.DR relied on the order of lower authorities. Findings and Analysis : 4. It is observed that assessee had failed to file submission before ld.CIT(A). The ld.CIT(A) has passed an ex-parte order. We are convinced that assessee could not file relevant details due to valid reason. In the interest of justice, we deem it fit to set-aside the order to ld.CIT(A) for denovo adjudication. The ld.CIT(A) shall provide ITA No’s.414 & 415/PUN/2023 Rayat Sahakari Sakhar Karkhana Ltd., [A] 3 opportunity of hearing to the assessee. The assessee shall file all the necessary details before the ld.CIT(A). Accordingly, grounds of appeal are allowed for statistical purpose. 5. In the result, appeal of the assessee is allowed for statistical purpose. ITA No.415/PUN/2023 : 6. Since we have already decided the appeal of the Assessee above, and we note that similar facts are involved in this appeal of the assessee, therefore, our decision in ITA No.415/PUN/2023 shall apply mutatis-mutandis to this appeal also. Accordingly, grounds of appeal are allowed for statistical purpose. 7. In the result, appeal of the assessee is allowed for statistical purpose. Order pronounced in the open Court on 13 th June, 2023. Sd/- Sd/- (S.S.GODARA) (DR. DIPAK P. RIPOTE) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; ᳰदनांक / Dated : 13 th June, 2023/ SGR* आदेशकᳱᮧितिलिपअᮕेिषत / Copy of the Order forwarded to : 1. अपीलाथᱮ / The Appellant. 2. ᮧ᭜यथᱮ / The Respondent. 3. The CIT(A), concerned. 4. The Pr. CIT, concerned. ITA No’s.414 & 415/PUN/2023 Rayat Sahakari Sakhar Karkhana Ltd., [A] 4 5. िवभागीयᮧितिनिध, आयकर अपीलीय अिधकरण, “बी” बᱶच, पुणे / DR, ITAT, “B” Bench, Pune. 6. गाडᭅफ़ाइल / Guard File. आदेशानुसार / BY ORDER, // TRUE COPY // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे/ITAT, Pune.