MR.VIMAL CHAMPALAL JAIN, MUMBAI V. INCOME TAX OFFICER 15(1)(1), MUMBAI

ITA 4513/MUM/2018

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 5931 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-07-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2006-2007
• Appeal Filed On: 17-07-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: CHAITANYA ANJARIA
• Keywords: Opportunity of being heard

Judgement Text

T HE INCOME TAX APPELLATE TRIBUNAL SMC BENCH, MUMBAI BEFORE SHRI SHAMIM YAHYA ( A M) I.T.A. NO. 4513 /MUM/ 201 8 (ASSESSMENT YEAR 20 0 6 - 07 ) MR. VIMAL CHAMPALAL JAIN 201/C, MAHAVIR DARSHAN 2 ND FLOOR, SAID H AM COMPLEX 8 TH KHETWADI BACK ROAD MUMBAI - 400 004 . PAN : ADMPJ7641M V S . ITO 15(1)(1) AAYAKAR BHAVAN M.K. ROAD MUMBAI - 400 020. ( APPELLANT ) ( RESPONDENT ) ASSESSEE BY NONE DEPARTMENT BY SHRI CHAITANYA ANJARIA DATE OF HEARING 3 .7 . 201 9 DATE OF PRONOUNCEMENT 29 . 7 . 201 9 O R D E R THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST ORDER OF LEARNED CIT - A DATED 16.5.2018 AND PERTAIN S TO ASSESSMENT YEAR 2006 - 07. 2. I N THE GROUNDS OF APPEAL ASSESSEE HAS CHALLENGED THE VALIDITY OF REOPENING AS WELL AS THE MERITS OF ADDITION OF RS. 11,13,982/ - , BEING SALE PROCEED OF T ALENT INFOWAYS LTD. SHARES. 3. B RIEF FACTS OF THE CASE ARE THAT THE ASSESSMENT WAS REOPENED TO CONSIDER THE ISSUE OF ACCOMMODATION ENTRY RECEIVED FROM MUKESH CHOKSI GROUP COMPANY I N THE FORM OF SALE PROCEEDS OF SHARES. THE ASSESSIN G OFFICER DISCUSSED THE GENERAL MODUS OPERAND I AND THE SWORN STATEMENT OF MUKESH CHOKSI . HE DID NOT ADVERT TO THE SUBMISSIONS OF THE ASSESSEE AND SUMMARILY REJECTED THE SAME BY REFERRING TO SOME CASE LAWS. 4. UPON ASSESSEE'S APPEAL LEARNED CIT - A ALSO NO TED THAT THERE WAS REQUEST FOR ADJOURNMENT FROM THE ASSESSEE BUT HE PROCEEDED TO UPHOLD THE ORDER OF THE ASSESSING OFFICER. MR. VIMAL CHAMPALAL JA IN 2 5. AGAINST ABOVE ORDER ASSESSEE IS IN APPEAL BEFORE THE ITAT. 6. I HAVE HEARD THE LEARNED DEPARTMENTAL REPRESENTATIVE. NONE APPEAR ED ON BEHALF OF THE ASSESSEE DESPITE NOTICE. 7. UP ON CAREFUL CONSIDERATION AS REGARDS THE CHALLENGE TO REOPENING, I NOTE THAT THIS ISSUE WAS NOT RAISED BEFORE THE LEARNED CIT - A. NOTHING HAS BEEN SUBMITTED BEFORE THE ITAT AS TO WHY THIS GROUND WAS NOT TAK EN BEFORE THE LEARNED CIT - A. THERE IS ALSO NO PRAYER FOR ADMISSION OF ANY ADDITIONAL GROUND. ACCORDINGLY THE GROUND RELATING TO CHALLENGE TO JURISDICTION IS DISMISSED. 8. AS REGARDS THE MERITS OF THE CASE I NOTE THAT IT IS THE PLEA OF THE ASSESSEE THAT AS SESSEE S S UBMISSIONS HA VE NOT BEEN CONSIDERED. I FIND CONSIDERABLE COGENCY IN THIS REGARD. THE ASSESSING OFFICER HAS REFERRED TO THE GENERAL MODUS OPERAND I AND A STATEMENT OF MUKESH CHOKSI. H E HAS NOT BOTHERED TO ADVERT TO THE SUBMISSIONS OF THE ASSESSEE, LEAVE ALONE REBUT THE SAME. IN MY CONSIDERED OPINION SUCH SUMMARY REJECTION WITHOUT DEALING WITH THE SUBMISSIONS OF THE ASSESSEE IS NOT SUSTAINABLE. ACCORDINGLY IN THE INTEREST OF JUSTICE I REMIT THE ISSUE ON MERITS THE FILE OF THE ASSESSING OFFICER THE AS SESSING OFFICER IS DIRECTED TO CONSIDER THE ISSUE A FRESH AND PASS A SPEAKING ORDER AFTER GIVING THE ASSESSEE PROPER OPPORTUNITY OF BEING HEARD. 9. IN THE RESULT APP EAL FILED BY THE ASSESSEE STAND PARTLY ALLOWED FOR STATISTICAL PURPOSES ORDER HAS BE EN P RONOUNCED IN THE COURT ON 29 . 7 . 201 9 . SD/ - (SH A MIM YAHYA ) ACCOUNTANT MEMBER MUMBAI ; DATED : 29 / 7 / 20 1 9 COPY OF THE ORDER FORWA RDED TO : 1. THE APPELLANT MR. VIMAL CHAMPALAL JA IN 3 2. THE RESPONDENT 3. THE CIT(A) 4. CIT 5. DR, ITAT, MUMBAI 6. GUARD FILE. BY ORDER, //TRUE COPY// ( ASSISTANT REGISTRAR ) PS ITAT, MUMBAI