Myra Digital India P.Ltd, Delhi V. ITO, Ward-17(2), New Delhi

ITA 5194/DEL/2017

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 3745 (ITAT-DELHI)
• Duration Of Justice: 5 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-02-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2013-2014
• Appeal Filed On: 10-08-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SAMPOORANANAND
• Keywords: Opportunity of being heard
• Section: 154

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: SMC, NEW DELHI BEFORE SHRI H. S. SIDHU, JUDICIAL MEMBER I.T.A. NO. 5194/DEL/2017 ASSESSMENT YEAR: 2013-14 MYRA DIGITAL INDIA P. LTD. VS. ITO, WARD-17(2) 2325-26, TILAK GALI, NEW DELHI PAHARGANJ, DELHI 110 055 (PAN: AAHCM3994P) (ASSESSEE) (RESPONDENT) A SSESSEE BY : SH. RUCHESH SINHA, ADV. REVENUE BY : SH. SAMPOORANANAND, SR. DR ORDER THIS APPEAL IS FILED BY ASSESSEE AGAINST THE ORDER DATED 16.6.2017 PASSED BY THE LD. CIT(A)-37, NEW DELHI RELATING TO ASSESSMENT YEAR 2013-14 ON THE FOLLOWING GROUND:- 1. THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE, THE LD. CIT(A) HAS ERRED IN HOLDING THAT THE APPEAL IS DEFECTIVE AND IS NOT ADMITTED, THEREBY LEAVING THE SAME UN-ADJUDICATED ON MERITS. 2. THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE, THE ORDER OF THE LD. CIT(A) IS BAD IN LAW AS THE SAME IS NOT PASSED AS PER THE PROVISIONS OF SECTION 251(1)(A) OF THE INCOME TAX ACT, 1961. 3. THAT ON THE FACTS AND CIRCUMSTANCES OF THE CASE, THE CIT(A) HAS ERRED IN LAW IN IMPLIEDLY CONFIRMING THE ORDER OF THE AO WHEREIN THE AO HAS MADE THE ADDITION OF RS. 5,95,987/- THEREBY DISALLOWING 1/16 TH PORTION OF ADVERTISEMENT AND 2 EXHIBITION EXPENSES AND OF RS. 21,431/- BEING 1/10 TH PORTION OF TRAVELLING EXPENSES. 4. THE APPELLANT SEEKS TO CRAVE LEAVE TO MODIFY, ADD, DELETE OR TAKE ANY OTHER GROUNDS OF APPEAL AT THE TIME OF HEARING. 2. FACTS NARRATED BY THE REVENUE AUTHORITIES ARE NO T DISPUTED BY THE PARTIES, HENCE, THE SAME ARE NOT REPRODUCED HERE F OR THE SAKE OF BREVITY. 3. AT THE TIME OF HEARING, LD. COUNSEL OF THE ASSES SEE HAS STATED THAT LD. CIT(A) HAS DISMISSED THE APPEAL OF THE ASSESSE E SINCE THE FORM NO. 35, VERIFICATION PORTION IS NOT CONSONANCE WITH THE PROVISIONS OF SECTION 140 OF THE INCOME TAX ACT, 1961 (HEREINAFTER REFERR ED AS THE ACT) READ WITH APPLICABLE RULES (RULE 45) RELATING TO SECTION 249 OF THE ACT. IN THIS BEHALF, HE SUBMITTED THAT ASSESSEE HAS RECTIFIED TH E DEFECT IN DISPUTE BY FILING THE APPLICATION U/S. 154 OF THE ACT BEFORE T HE LD. CIT(A), NEW DELHI AND REQUESTED TO ADMIT THE APPEAL OF THE ASSESSEE A ND DECIDE THE SAME ON MERITS BY RECTIFYING THE ORDER OF THE LD. CIT(A) , BUT LD. CIT(A) DID NOT CONSIDER THE AFORESAID REQUEST. IN VIEW OF THE AB OVE, HE REQUESTED THAT ISSUES IN DISPUTE MAY BE SET ASIDE TO THE FILE OF THE LD. CIT(A) WITH THE DIRECTIONS TO DECIDE THE SAME AFRESH, UNDER THE PRO VISIONS OF THE ACT AND PASS A SPEAKING ORDER ON THE MERIT OF THE CASE. 4. ON THE CONTRARY, LD. DR RELIED UPON THE ORDER P ASSED BY THE LD. CIT(A) AND STATED THAT ASSESSEE WAS GIVEN SUFFICIE NT OPPORTUNITY, BUT HE COULD NOT AVAIL THE SAME. THEREFORE, THE ORDER OF T HE AUTHORITIES BELOW ESPECIALLY THE IMPUGNED ORDER MAY BE UPHELD AND APP EAL OF THE ASSESSEE MAY BE DISMISSED. 5. I HAVE HEARD BOTH THE PARTIES AND PERUSED THE RE CORDS, ESPECIALLY THE IMPUGNED ORDER PASSED BY THE LD. CI T(A). AFTER PERUSING THE IMPUGNED ORDER, I AM OF THE CONSIDERED VIEW THA T LD. CIT(A) HAS DISMISSED THE APPEAL OF THE ASSESSEE SINCE THE FOR M NO. 35, VERIFICATION PORTION IS NOT CONSONANCE WITH THE PROVISIONS OF SE CTION 140 OF THE 3 INCOME TAX ACT, 1961 READ WITH APPLICABLE RULES (RU LE 45) RELATING TO SECTION 249 OF THE ACT. KEEPING IN VIEW OF THE FAC TS AND CIRCUMSTANCES OF THE CASE AND IN THE INTEREST OF JUSTICE, I AM OF TH E VIEW THAT ISSUES IN DISPUTE MAY BE SET ASIDE TO THE FILE OF THE LD. C IT(A) WITH THE DIRECTIONS TO DECIDE THE SAME AFRESH, UNDER THE PROVISIONS OF THE ACT AND PASS A SPEAKING ORDER ON THE MERIT OF THE CASE AFTER GIVI NG ADEQUATE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. ASSESSEE THROUGH I TS COUNSEL IS DIRECTED TO RECTIFY THE DEFECT POINTED OUT BY THE LD. CIT(A) IMMEDIATELY AND TO COOPERATE IN THE APPELLATE PROCEEDINGS FOR SPEEDY DISPOSAL OF THE APPEAL. I HOLD AND DIRECT ACCORDINGLY. 6. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE STANDS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED ON 02/02/2018. SD/- [H.S. SIDHU] JUDICIAL MEMBER DATE 02/02/2018 SRBHATNAGAR COPY FORWARDED TO: - 1. APPELLANT - 2. RESPONDENT - 3. CIT 4. CIT (A) 5. DR, ITAT TRUE COPY BY ORDER, ASSISTANT REGISTRAR, ITAT, DELHI BENCHES