Shri Servesh Singhi, Indore V. The I..T.O., Indore

ITA 47/IND/2010

• Counselvise Citation: [2010] 136 COUNSELVISE.COM (IT) 2726 (ITAT-INDORE)
• Duration Of Justice: 5 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-06-2010
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 29-06-2010
• Assessment Year: 2006-2007
• Appeal Filed On: 25-01-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: P K MITRA
• Assessee Lawyers: C P RAWKA
• Keywords: Opportunity of being heard; Principle of natural justice; TDS

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL, INDORE BENCH, INDORE BEFORE SHRI JOGINDER SINGH, JUDICIAL MEMBER AND SHRI V.K. GUPTA, ACCOUNTANT MEMBER ITA NO.47/IND/2010 A.Y. - 2006-07 SERVESH SINGHAI, AH-228, SCHEME NO. 54, VIJAY NAGAR, INDORE PAN APLPS 7436 Q APPELLANT VS INCOME TAX OFFICER, 3(1), INDORE RESPONDENT APPELLANT BY : SHRI C.P. RAWKA, FCA RESPONDENTS BY : SHRI P.K. MITRA, SR. DR O R D E R PER JOGINDER SINGH, JUDICIAL MEMBER THIS APPEAL IS BY THE ASSESSEE AGAINST THE ORDER OF THE LEARNED CIT(A)-I, INDORE, DATED 1.10.2009 ON THE FOLLOWING GROUNDS: 1. THAT THE LD. CIT(A) ERRED IN LAW AND FACTS OF THE CASE AND WHILE PASSING THE ORDER FAILED TO PROVIDE FULL OPPORTUNITY OF HEARING. 2. THAT THE LD. CIT(A) ERRED IN LAW AND FACTS OF THE CASE AND CONFIRMED THE ADDITION MADE BY ASSESSING OFFICER TO THE INCOME OF ASSESSEE AT RS.880334/- WITHOUT CONSIDERING FULL FACTS. THE ADDITION MADE BY ASSESSING OFFICER AND CONFIRMED BY CIT(A) THEREFORE IS TOTALLY WRONG AND ILLEGAL ON THE FACTS OF THE CASE 2 2. DURING THE COURSE OF THE HEARING, WE HAVE HEARD SHRI C.P. RAWKA, LD. COUNSEL FOR THE ASSESSEE AND SHRI P.K. MITRA, L D. SR. DR. THE CRUX OF ARGUMENTS ON BEHALF OF THE ASSESSEE IS THAT NO OPPO RTUNITY WAS GIVEN TO THE ASSESSEE BY THE LD. CIT(A) TO MAKE A PROPER REP RESENTATION WHICH IS AGAINST THE PRINCIPLES OF NATURAL JUSTICE. IT WAS P LEADED THAT SINCE NECESSARY FACTS WERE NOT AVAILABLE EVEN DURING ASSE SSMENT, THEREFORE, THIS APPEAL MAY BE REMANDED TO THE FILE OF THE ASSE SSING OFFICER. ON THE OTHER HAND, THE LD. SR. DR THOUGH DEFENDED THE IMPU GNED ORDER BUT HAD NO OBJECTION IF THE FILE IS REMANDED FOR FRESH ADJU DICATION TO THE FILE OF THE LD. ASSESSING OFFICER. 3. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS OF LD. REPRESENTATIVES OF BOTH SIDES AND PERUSED THE MATERIAL AVAILABLE ON RE CORD. BRIEF FACTS ARE THAT THE ASSESSEE IS A INDIVIDUAL DERIVING INCOME F ROM JOB WORK FOR INSTALLATION OF BHARTI TELE VENTURES LTD. DECLARED INCOME OF RS.1,48,270/- WHICH WAS ULTIMATELY COMPLETED AT RS.10,28,600/- RE SULTING INTO ADDITION OF RS.8,80,334/-. THE IMPUGNED ADDITION WAS MADE ON THE BASIS OF INFORMATION OF AIR WHEREIN BHARTI TELE VENTURES LTD . ALLEGED TO HAVE PAID RS.1,10,04,171/- TO THE ASSESSEE. AS PER THE A SSESSEE, WHILE COMPLETING THE ASSESSMENT, NO CREDIT OF TDS WAS ALL OWED TO THE ASSESSEE ON THE ALLEGED RECEIPTS AS THE ALLEGED INF ORMATION WAS NOT ON AIR INFORMATION. IT IS SEEN THAT THE APPEAL BEFORE THE LD. CIT(A) WAS FIXED FOR 17.9.2009 AND THE ORDER WAS PASSED ON 1.10.2009 WHICH WAS DULY 3 RECEIVED BY THE ASSESSEE ON 28.11.2009. IT WAS THE CLAIM OF THE ASSESSEE THAT ONE SHRI DINESH KASAT, APPEARED ON BE HALF OF THE ASSESSEE ON 17.9.2009 AND WAS DIRECTED TO APPEAR ON 18.9.2009 AND ON THAT DAY, HE WAS INFORMED THAT ORDER HAS BEEN PASSE D. WHAT MAY THE REASONS, THE FACT REMAINS THAT THERE WAS NO PROPER REPRESENTATION BEFORE THE LD. CIT(A), THEREFORE, KEEPING IN VIEW THE PRIN CIPLE OF NATURAL JUSTICE THAT NO PERSON SHOULD BE CONDEMNED UNHEARD, WE REMA ND THIS FILE TO THE FILE OF THE LD. ASSESSING OFFICER FOR FRESH ADJUDIC ATION IN ACCORDANCE WITH LAW FOR WHICH DUE OPPORTUNITY OF BEING HEARD BE PRO VIDED TO THE ASSESSEE WITH FURTHER LIBERTY TO FURNISH EVIDENCE, IF ANY, TO SUBSTANTIATE HIS CLAIM. FINALLY, THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES ONLY. ORDER PRONOUNCED IN OPEN COURT IN THE PRESENCE OF L EARNED REPRESENTATIVES OF BOTH THE SIDES AT THE CONCLUSION OF HEARING ON 29 TH JUNE, 2010. (V.K. GUPTA) (JOGINDER SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 29.6.2010 COPY TO: APPELLANT, RESPONDENT, CIT, CIT(A), DR, G UARD FILE !VYAS!