Smt. Arun Kumar Suganthi, CHENNAI V. ACIT, Non Corp Cir7(1), CHENNAI

ITA 446/CHNY/2019

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 1509 (ITAT-CHENNAI)
• Duration Of Justice: 3 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-06-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2015-2016
• Appeal Filed On: 22-02-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B. SAGADEVAN
• Keywords: Set aside

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, CHENNAI . . . , ! ' # , % #& BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER ./ ITA NO.446/CHNY/2019 ) *) / ASSESSMENT YEAR : 2015-16 SMT. ARUN KUMAR SUGANTHI, G-1080, 2 ND FLOOR, 17 TH STREET, NEAR CHINMAYA VIDYALAYA SCHOOL, ANNA NAGAR, CHENNAI - 600 040. PAN : BDKPS 6180 D V. THE ASSISTANT COMMISSIONER OF INCOME TAX, NON-CORPORATE CIRCLE 7(1), CHENNAI - 600 034. (,-/ APPELLANT) (./,-/ RESPONDENT) ,- 0 1 / APPELLANT BY : NONE ./,- 0 1 / RESPONDENT BY : SHRI B. SAGADEVAN, JCIT 2 0 3% / DATE OF HEARING : 04.06.2019 45* 0 3% / DATE OF PRONOUNCEMENT : 14.06.2019 / O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER : THIS APPEAL OF THE ASSESSEE IS DIRECTED AGAINST T HE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS) -7, CHENNA I, DATED 26.09.2018 AND PERTAINS TO ASSESSMENT YEAR 2015-16. 2. THE NOTICE OF HEARING WAS ISSUED TO THE ASSESSEE BY RPAD. THE POSTAL AUTHORITIES RETURNED THE NOTICE WITH AN ENDORSEMENT UNCLAIMED RETURNED TO SENDER. THEREFORE, WE HEAR D THE LD. 2 I.T.A. NO.446/CHNY/19 DEPARTMENTAL REPRESENTATIVE AND PROCEEDED TO DISPOS E OF THE APPEAL ON MERIT. 3. SHRI B. SAGADEVAN, THE LD. DEPARTMENTAL REPRESEN TATIVE, SUBMITTED THAT THE ASSESSEE HAS RAISED THREE ISSUES IN THIS APPEAL. ACCORDING TO THE LD. D.R., THE FIRST ISSUE IS WITH REGARD TO ADDITION ON ACCOUNT OF CAPITAL INTRODUCTION TO THE EXTENT OF 20,00,000/-. THE SECOND ADDITION IS WITH REGARD TO COMPOUND WALL AND LEVELING EXPENSES TO THE EXTENT OF 15,32,272/-. THE THIRD ADDITION IS WITH REGARD TO CASH DEPOSITS IN THE BANK TO THE EXTENT O F 11,91,78,000/-. ACCORDING TO THE LD. D.R., THE ASSESSEE HAS NOT FIL ED ANY DOCUMENTARY EVIDENCE AND PROPER EXPLANATION BEFORE THE ASSESSING OFFICER. THEREFORE, THE ASSESSING OFFICER DISALLOW ED THESE CLAIMS MADE BY THE ASSESSEE. 4. HAVING HEARD THE LD. DEPARTMENTAL REPRESENTATIVE , WE PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD I NCLUDING THE IMPUGNED ORDER OF THE CIT(APPEALS). THE CIT(APPEAL S) DISMISSED THE APPEAL OF THE ASSESSEE SINCE THE ASSESSEE DID N OT APPEAR BEFORE HIM. NO DOUBT, THE ASSESSEE DID NOT APPEAR BEFORE THE CIT(APPEALS) INSPITE OF REPEATED OPPORTUNITIES. IR RESPECTIVE OF THE FACT WHETHER THE ASSESSEE APPEARED OR NOT, THE CIT( APPEALS) IS 3 I.T.A. NO.446/CHNY/19 BOUND TO DISPOSE OF THE APPEAL ON MERIT. HOWEVER, IN THIS CASE, THE CIT(APPEALS) AFTER NARRATING THE FACTS OF THE CASE, HAS SIMPLY REPRODUCED SOME OF THE DECISIONS OF THIS TRIBUNAL A ND CONFIRMED THE ORDER OF THE ASSESSING OFFICER WITHOUT ANY DISCUSSI ON ON MERIT. THE ORDER PASSED BY THE CIT(APPEALS) HAS TO SPEAK ITSEL F DISCLOSING THE REASONS FOR THE CONCLUSION REACHED THEREIN. THE C IT(APPEALS) HAS NOT RECORDED ANY REASON OR DISCUSSED ANYTHING ON ME RIT. THEREFORE, THIS TRIBUNAL IS OF THE CONSIDERED OPINION THAT THE MATTER NEEDS TO BE RE-EXAMINED BY THE CIT(APPEALS). ACCORDINGLY, THE ORDER OF THE CIT(APPEALS) IS SET ASIDE AND THE ENTIRE ISSUE IS R EMITTED BACK TO THE ORDER OF THE CIT(APPEALS). THE CIT(APPEALS) SH ALL RE-EXAMINE THE MATTER IN THE LIGHT OF THE MATERIAL THAT MAY BE AVAILABLE ON RECORD AFTER GIVING A REASONABLE OPPORTUNITY TO THE ASSESS EE. IN CASE THE ASSESSEE FAILED TO APPEAR BEFORE THE CIT(APPEALS) E VEN AFTER DUE NOTICE, IT IS OPEN TO THE CIT(APPEALS) TO DISPOSE T HE APPEAL ON MERIT AFTER BRINGING MATERIAL FACTS ON RECORD AND RECORDI NG THE REASONS FOR THE CONCLUSION REACHED THEREIN. 5. WITH THE ABOVE OBSERVATION, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. 4 I.T.A. NO.446/CHNY/19 ORDER PRONOUNCED IN THE COURT ON 14 TH JUNE, 2019 AT CHENNAI. SD/- SD/- ( ! ' # ) ( . . . ) (INTURI RAMA RAO) (N.R.S. GANESAN) % / ACCOUNTANT MEMBER /JUDICIAL MEMBER /CHENNAI, 7 /DATED, THE 14 TH JUNE, 2019. KRI. 0 .389 :9*3 /COPY TO: 1. ,- /APPELLANT 2. ./,- /RESPONDENT 3. 2 ;3 () /CIT(A)-7, CHENNAI 4. PRINCIPAL CIT- 2, CHENNAI 5. 9< .3 /DR 6. =) > /GF.