MANICKAM RAVICHANDRAN, TIRUPPUR V. ITO, WARD-2(1), TIRUPPUR

ITA 426/CHNY/2023

AI Insights

This case involves an appeal by Shri Manickam Ravichandran against the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi. The original assessment was made by the Income Tax Officer, Ward-2(1), Tirupur for the assessment year 2012-13 under sections 144 read with section 147 of the Income Tax Act, 1961. The primary contention in the appeal was the jurisdictional issue regarding the notice issued under section 148 of the Act, which the assessee argued was beyond the reasonable period of limitation and improperly served. However, this ground was later withdrawn by the assessee's counsel. The main issue that remained was the explanation for a substantial cash deposit in the assessee's bank account, which the assessee sought to address with an additional opportunity to explain.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 134944 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-06-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 19-06-2023
• Assessment Year: 2012-2013
• Appeal Filed On: 30-03-2023
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Opportunity of being heard; Set aside

Judgement Text

आयकर अपीलीय अिधकरण, ‘बी’ (एस एम सी) ᭠यायपीठ,चे᳖ई IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ (SMC) BENCH, CHENNAI ᮰ी महावीर ᳲसह, उपा᭟यᭃ के समᭃ BEFORE SHRI MAHAVIR SINGH, VICE PRESIDENT आयकर अपील सं./ITA No.: 426/CHNY/2023 िनधाᭅरण वषᭅ/Assessment Year: 2012-13 Shri Manickam Ravichandran, 4/120, Rangagoundampalayam, Muthanampalayam Post, Tirupur – 641 605. PAN: AGHPR 6578F Vs. The Income Tax Officer, Ward – 2(1), Tirupur. (अपीलाथᱮ/Appellant) (ᮧ᭜यथᱮ/Respondent) अपीलाथᱮ कᳱ ओर से/Appellant by : Shri S. Sridhar, Advocate ᮧ᭜यथᱮ कᳱ ओर से/Respondent by : Shri D. Hema Bhupal, JCIT सुनवाई कᳱ तारीख/Date of Hearing : 20.06.2023 घोषणा कᳱ तारीख/Date of Pronouncement : 20.06.2023 आदेश /O R D E R This appeal by the assessee is arising out of the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi in Appeal No.NFAC/2011-12/10060753 dated 24.02.2023. The assessment was framed by the Income Tax Officer, Ward-2(1), Tirupur for the assessment year 2012-13 u/s.144 r.w.s. 147 of the Income Tax Act, 1961 (hereinafter the ‘Act’) vide order dated 20.12.2019. - 2 - ITA No.426/Chny/2023 2. The first issue raised by assessee on jurisdictional issue that the notice issued u/s.148 of the Act is beyond the reasonable period of limitation and service by affixture is also not as per the provisions of section 282 of the Act read with rule 27 of the Income Tax Rules, 1962. 2. When it was confronted to ld.counsel for the assessee that had he ever communicated the correct address to the Revenue, he withdrew this ground and only submission that one more opportunity be provided to assessee to explain the cash deposit made of Rs.31.88 lakhs in his bank account. The ld. Senior DR has not raised the issue of jurisdiction because the ld.counsel for the assessee has withdrawn the ground but as regards to setting aside the issue on merits, he opposed the plea of the assessee’s counsel for the reason that the assessee never submitted any details or even initial onus casted upon him is not discharged. 3. After hearing both the sides, I’m of the view that in the interest of justice, the assessee should be provided one more opportunity on the issue of merits i.e., to explain the cash deposit of Rs.31.88 lakhs in his bank account. In term of the above, I remit the issue on merits back to the file of the AO, who will re-decide the issue after - 3 - ITA No.426/Chny/2023 allowing reasonable opportunity of being heard to the assessee. The assessee will also co-operate with the AO in set aside proceedings and will provide the details as and when called for in the first instance. Accordingly, the appeal of the assessee is allowed for statistical purposes. 4. In the result, the appeal filed by the assessee is allowed for statistical purposes Order pronounced in the open court on 20 th June, 2023 at Chennai. Sd/- (महावीर ᳲसह ) (MAHAVIR SINGH) उपा᭟यᭃ /VICE PRESIDENT चे᳖ई/Chennai, ᳰदनांक/Dated, the 20 th June, 2023 RSR आदेश कᳱ ᮧितिलिप अᮕेिषत/Copy to: 1. अपीलाथᱮ/Appellant 2. ᮧ᭜यथᱮ/Respondent 3. आयकर आयुᲦ /CIT 4. िवभागीय ᮧितिनिध/DR 5. गाडᭅ फाईल/GF.