ASHOKKUMAR KALUBHAI NAKRANI, SURAT V. ITO, WARD-3(1)(2), SURAT

ITA 419/SRT/2019

• Counselvise Citation: [2020] 110 COUNSELVISE.COM (IT) 8070 (ITAT-SURAT)
• Duration Of Justice: 11 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-08-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2014-2015
• Appeal Filed On: 04-09-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ANUPAMA SINGHLA
• Assessee Lawyers: VIRESH I RUDALAL
• Keywords: Application of stay; Set aside
• Section: 250

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, SURAT [CONDUCTED THROUGH VIRTUAL COURT AT AHMEDABAD] BEFORE SHRI RAJPAL YADAV, VICE-PRESIDENT AND SHRI WASEEM AHMED, ACCOUNTANT MEMBER STAY APPLICATION NO.05/SRT/2020 WITH ITA NO.419/SRT/2019 / ASSTT. YEAR: 2014-15 ASHOKKUMAR KALUBHAI NAKRANI 1, VANDANA SOCIETY SHYAM DHAM ROAD OPP: AMARDEEP SOCIETY NANA VARACHHA, VARACHHA ROAD SURAT.PAN : AEIPN 8731 K VS. ITO, WARD-3(1)(2) SURAT. ( APPLICANT ) (RESPONDENT) ASSESSEE BY : SHRI VIRESH I. RUDALAL, AR REVENUE BY : SMT.ANUPAMA SINGHLA, SR.DR / DATE OF HEARING : 24/08/2020 / DATE OF PRONOUNCEMENT: 24/08/2020 / O R D E R PER RAJPAL YADAV, VICE-PRESIDENT PRESENT STAY APPLICATION IS DIRECTED AT THE INSTANC E OF THE ASSESSEE FOR GRANT OF AD-INTERIM STAY OF OUTSTANDIN G DEMAND OF RS.62,26,284/-. 2. WITH THE ASSISTANCE OF LD.REPRESENTATIVES, WE HA VE GONE THROUGH THE RECORD CAREFULLY. IT EMERGES OUT FROM THE RECORD THAT THE PRESENT APPEAL IS FILED BY THE ASSESSEE AGAINST ORDER OF THE LD.CIT(A)-3, SURAT DATED 22.5.2019 PASSED FOR THE A SSTT.YEAR 2014-15. THE LD.CIT(A) HAS CONFIRMED ADDITION OF RS.1,69,16,325/-. A PERUSAL OF THE LD.CIT(A)S ORD ER WOULD REVEAL THAT THE LD.CIT(A) HAS NOT ADJUDICATED THE APPEAL O N MERIT, RATHER SP NO.05/SRT/2020 WITH ITA NO.419/SRT/2019 2 DISMISSED IT FOR WANT OF PROSECUTION. THEREFORE, W E PUT TO BOTH THE PARTIES AS TO WHY THE APPEAL ITSELF BE NOT TAKE N FOR HEARING. THE LD.REPRESENTATIVES DID NOT RAISE OBJECTION QUA THIS PROPOSITION, AND THEREFORE, WE TOOK THE APPEAL FOR HEARING. 3. A PERUSAL OF ORDER OF THE LD.FIRST APPELLATE AUT HORITY WOULD INDICATE THAT THE APPEAL WAS LISTED ON 12 OCCASIONS , BUT ACCORDING TO THE LD.CIT(A), THE ASSESSEE DID NOT COMPLY WITH THE SUMMONS ISSUED TO HIM AND DID NOT APPEAR BEFORE THE LD.FIRS T APPELLATE AUTHORITY. 4. SUB-SECTION (6) OF SECTION 250 HAS A DIRECT BEAR ING ON THE CONTROVERSY. THEREFORE, IT IS PERTINENT TO TAKE NO TE OF THIS CLAUSE WHICH READS AS UNDER: 6) THE ORDER OF THE COMMISSIONER (APPEALS) DISPOSI NG OF THE APPEAL SHALL BE IN WRITING AND SHALL STATE THE POIN TS FOR DETERMINATION, THE DECISION THEREON AND THE REASON FOR THE DECISION. 5. ON PERUSAL OF SECTION WOULD INDICATE THAT THE LD .CIT(A) WAS REQUIRED TO FORMULATE POINTS IN DISPUTE, AND THEREA FTER RECORD REASONS ON SUCH POINTS. NO DOUBT THE ASSESSEE FAIL ED TO APPEAR BEFORE THE LD.CIT(A) IN SPITE OF NOTICES ISSUED ON ELEVEN OCCASIONS, BUT IN THAT CASES ALSO THE LD.CIT(A) OUGHT TO HAVE DECIDED THE APPEAL ON MERIT INSTEAD OF DISMISSING IT LIMINE FOR WANT OF PROSECUTION. THE LD.CIT(A) FAILED TO ADHERE THE MA NDATORY PROCEDURE CONTEMPLATED IN SECTION 250(6) OF THE ACT , HENCE HIS ORDER IS NOT SUSTAINABLE. WE ALLOW THIS APPEAL OF THE ASSESSEE AND SET ASIDE THE ORDER OF THE LD.CIT(A). THE ISSUE IS REMITTED BACK TO THE FILE OF THE LD.CIT(A) FOR FRESH ADJUDICATION. NEEDLESS TO SAY, DURING THE SET ASIDE PROCEEDINGS, THE ASSESSEE SHAL L NOT INDULGE IN SP NO.05/SRT/2020 WITH ITA NO.419/SRT/2019 3 DILATORY TACTICS AS A STRATEGY TO PROLONG THE PROCE EDINGS AND SHALL COOPERATE FOR ADJUDICATION OF THE ISSUE BEFORE THE LD.CIT(A) IN ACCORDANCE WITH LAW. 6. IN THE RESULT, STAY APPLICATION OF THE ASSESSEE IS DISMISSED AS INFRUCTUOUS AND APPEAL OF THE ASSESSEE IS ALLOWED F OR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE COURT ON 24 TH AUGUST, 2020. SD/- SD/- (WASEEM AHMED) ACCOUNTANT MEMBER (RAJPAL YADAV) VICE-PRESIDENT