ACIT RG 25(3), MUMBAI V. DILIP V. VARIYA, MUMBAI

ITA 4397/MUM/2010

• Counselvise Citation: [2013] 140 COUNSELVISE.COM (IT) 71250 (ITAT-MUMBAI)
• Duration Of Justice: 3 year(s) 4 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-10-2013
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 07-10-2013
• Assessment Year: 2007-2008
• Appeal Filed On: 28-05-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PRAKASH K JOTWANI
• Keywords: Principle of natural justice; Additional evidence

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH, MUMBAI . . , . ! , ' # BEFORE SHRI I.P. BANSAL, JM AND RAJENDRA, AM ./ I.T.A. NO.4497/MUM/2010 ( $ $ $ $ % % % % / ASSESSMENT YEAR : 2006-07 CMS DITL LTD ( FORMERLY KNOWN AS DATAXCESS INTEGRATED TECHNOLOGY LTD.) 70, LAKE ROAD, BHANDUP (W), MUMBAI 78 $ $ $ $ / VS. THE ACIT 8(1), AAYKAR BHAVAN, MK ROAD, MUMBAI - 400020 & ' ./ ' ./ PAN/GIR NO. : AAACH1424L ( &( / APPELLANT ) .. ( )*&( / RESPONDENT ) &( + / APPELLANT BY: SHRI PRAKASH K. JOTWANI )*&( , + / RESPONDENT BY : SHRI SANJEEV JAIN $ , -' / DATE OF HEARING : 10/10/2013 ./% , -' / DATE OF PRONOUNCEMENT : 10/10/2013 0 / O R D E R PER I.P.BANSAL,J.M: THIS IS AN APPEAL FILED BY THE REVENUE. IT IS D IRECTED AGAINST THE ORDER PASSED BY LD. CIT(A)-1 MUMBAI DATED 27/06/2012 FOR THE ASSESSMENT YEAR 2009-10. GROUNDS OF APPEAL READ AS UNDER: 1. THE LEARNED CIT (AS) HAS ERRED IN SUSTAINING T HE ADDITION MADE BY THE ASSESSING OFFICER IN RESPECT OF REIMBURSEMENT OF EX PENSES AMOUNTING TO RS.1,35,63,775/- U/S.40 (A) (I). THE APPELLANT SUBMITS THAT THE ADDITION MADE IS NOT AS PER LAW ERRONEOUS AND OUGHT TO BE DELETED. 2. THE LEARNED CIT (AS) HAS ERRED IN SUSTAINING TH E ADDITION OF RS.5,29,995/- RELATING TO AIR INFORMATION U/S.68 OF THE INCOME TA X ACT. THE APPELLANT SUBMITS THAT THE ADDITION SUSTAINED I S ERRONEOUS AND NOT AS PER LAW AND OUGHT TO BE DELETED. 3. THE APPELLANT PRAYS TO ADD, TO AMEND, ALTER, MOD IFY AND / OR DELETE ALL / ANY OF GROUND(S) OF APPEAL. ./ I.T.A. NO.4497/MUM/2010 ( $ $ $ $ % % % % / ASSESSMENT YEAR : 2006-07 2 2. AT THE OUTSET IT WAS SUBMITTED BY LD. AR THAT AS SESSEE HAS PRODUCED SEVERAL DOCUMENTS BEFORE LD. CIT(A) WHO REFUSED TO ADMIT THEM WITH HIS OBSERVATION CONTAINED IN PARA 2.4 AND 2.5 OF THE IM PUGNED ORDER. HE SUBMITTED THAT IN THE INTEREST OF JUSTICE THOSE DOCUMENTS WER E REQUIRED TO BE ADMITTED BY LD. CIT(A). HE SUBMITTED THAT ALL THESE DOCUMENTS ARE AGAIN FURNISHED BY THE ASSESSEE BEFORE THE TRIBUNAL AS ADDITIONAL EVIDENCE . THEREFORE, HE SUBMITTED THAT IN THE INTEREST OF NATURAL JUSTICE THE ISSUE RAISED BY THE ASSESSEE IN THE PRESENT APPEAL MAY BE RESTORED BACK TO THE FILE OF AO WITH A DIRECTION TO RE- ADJUDICATE THIS ISSUE AFTER GIVING THE ASSESSEE A R EASONABLE OPPORTUNITY FOR FILING ALL THE NECESSARY EVIDENCE AND EXPLANATION. 3. ON THE OTHER HAND, LD.DR RELIED UPON THE ORDER P ASSED BY LD. CIT(A). 4. WE HAVE HEARD BOTH THE PARTIES AND THEIR CONTENT IONS HAVE CAREFULLY BEEN CONSIDERED. IT WAS THE CASE OF LD. AR THAT THE ADD ITION WAS WRONGLY MADE AS THE ASSESSEE WAS NOT REQUIRED TO DEDUCT TDS ON THE AMOU NTS WHICH HAVE BEEN ADDED TO THE INCOME OF THE ASSESSEE ON THE GROUND THAT TD S WAS NOT DEDUCTED. LD. CIT(A) HAS REFUSED TO ADMIT THE ADDITIONAL EVIDENCE S SUBMITTED BY THE ASSESSEE. AFTER GOING THROUGH THE FILE AND HEARING THE PARTIE S, WE ARE OF THE OPINION THAT IT WILL SERVE THE INTEREST OF JUSTICE IF THE MATTER I S RESTORED BACK TO THE FILE OF AO WITH A DIRECTION TO GIVE AN OPPORTUNITY TO THE ASSE SSEE TO FILE EVIDENCES AND EXPLANATION. AFTER GIVING SUCH OPPORTUNITY TO THE ASSESSEE, LD. AO IS DIRECTED TO DECIDE THIS ISSUE AFRESH AS PER PROVISIONS OF LAW. WE DIRECT ACCORDINGLY. 5. IN THE RESULT, FOR STATISTICAL PURPOSES THE APPE AL FILED BY THE ASSESSEE IS CONSIDERED AS ALLOWED IN THE MANNER AFORESAID. ORDER PRONOUNCED IN THE OPEN COURT ON 10 /10/2013 . 0 , ./% ' 1 2$3 10 /10//2013 / , 4 SD/- SD/- ! (RAJENDRA) . . (I.P.BANSAL) ' /ACCOUNTANT MEMBER /JUDICIAL MEMBER MUMBAI; 2$ DATED 10/10/2013 ./ I.T.A. NO.4497/MUM/2010 ( $ $ $ $ % % % % / ASSESSMENT YEAR : 2006-07 3 . $ . .VM , SR. PS 0 0 0 0 , ,, , )-56 )-56 )-56 )-56 7 6%- 7 6%- 7 6%- 7 6%- / COPY OF THE ORDER FORWARDED TO : 1. &( / THE APPELLANT 2. )*&( / THE RESPONDENT. 3. 8 ( ) / THE CIT(A)- 4. 8 / CIT 5. 694 )-$ , , / DR, ITAT, MUMBAI 6. 4: ; / GUARD FILE. 0$ 0$ 0$ 0$ / BY ORDER, *6- )- //TRUE COPY// < << < / = = = = (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI