Rythm Media Works Pvt. Ltd., Hyderabad, Hyderabad V. ITO, Ward-3(2), Hyderabad, Hyderabad

ITA 522/HYD/2017

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 3763 (ITAT-HYDERABAD)
• Duration Of Justice: 4 year(s) 2 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-05-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB-A
• Next Hearing Date: 20-04-2021
• Assessment Year: 2012-2013
• Appeal Filed On: 21-03-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: S RAMA RAO
• Section: 143(3); 40(a)(ia); 201; 13

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD A BENCH, HYDERABAD. BEFORE SHRI S.S. GODARA, JUDICIAL MEMBER AND SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER (THROUGH VIRTUAL HEARING) ITA NO. 522 /HYD/201 7 (ASSESSMENT YEAR : 2012 - 13 ) M/S. RHYTHM MEDIA WORKS PVT. LTD., 2 - 293/82/A/1128, 5 TH FLOOR, JUBILEE SQUARE, ROAD NO.36, JUBILEE HILLS, HYDERABAD - 500 033 .APPELLANT. PAN AACCR4276J VS. INCOME TAX OFFICER, WARD 3(2), HYDERABAD. RESPONDENT. APPELLANT BY : SHRI S. RAMA RAO. RESPONDENT BY : SHRI SUNIL KUMAR PANDEY (D.R.) DATE OF HEARING : 20.04.2 021. DATE OF PRONOUNCEMENT : 25 .05. 2021. O R D E R PER SHRI S.S. GODARA, J.M. : THIS ASSESSEES APPEAL FOR ASST. YEAR 201 2 - 13 ARISES FROM THE COMMISSIONER OF INCOME TAX (APPEALS) - 3 , HYDERABAD S ORDER DT. 01.11.2016 PASSED IN CASE NO. 0171/CIT(A) - 3/15 - 16 I N PROCEEDINGS UNDER SECTION 143(3) OF INCOME TAX ACT, 1961 (THE ACT). 2 ITA NO. 522/HYD/2017 HEARD BOTH THE P ARTIES . C ASE FILE PERUSED. 2. IT TRANSPIRES AT THE OUTSET THAT THE CIT(APPEALS)S LOWER APPELLATE ORDER UNDER CHALLENGE ; AFFIRMING THE ASSESSMENT ORDER DT.26.3.2015 S FINDINGS INTER ALIA ADDING DEFICIT CASH BALANCE ( - )RS.1,21,20,616 FOLLOWED B Y SECTION 40(A)(IA) DISALLOWANCE OF RS.34,52,570; HAS BEEN PASSED EXPARTE. 3. L EARNED AUTHORISED REPRESENTATIVES ONLY CASE IS THAT IT WAS ON ACCOUNT OF SOME COMMUNICATION GAP BETWEEN ASSESSEE AND CHANGE IN THE CONCERNED AUDITORS OFFICE THAT NEITHER THE TAXPAYER ITSELF NOR ITS AUTHORIZED REPRESENTATIVE COULD APPEAR IN THE LOWER APPELLATE PROCEEDINGS BEFORE THE CIT(A). H E NEXT TOOK US TO THE ASSESSEE'S APPEARANCE ON 8 TH AND 29 TH JUNE,2016 THAT IT WAS VIGILANT ENOUGH IN THE BEGINNING BUT COULD NOT APPEAR LATER ON BECAUSE OF THE ABOVE STATED REAS ONS. FACED WITH THIS SITUATION, WE DECLINE R EVENUES ARGUMENT STRONGLY SUPPORTING THE CIT(APPEALS)S ACTION ON BOTH GROUNDS AND RESTORE THE INSTANT TWIN ISSUES BACK TO THE CIT(APPEALS) FOR HIS AFRESH ADJUDICATION AS PER LAW WITHIN THREE EFFECTIVE OPPORTUNITIES OF HEARING. 3 ITA NO. 522/HYD/2017 4. IT IS FURTHER MADE CLEAR THAT THE ASSESSEE OR THE LEARNED AUTHORISED REPRESENTATIVE SHALL APPEAR BEFORE THE CIT(A) ON OR BEFORE 31.08.2021 WITH ALL THE RELEVANT DETAILS OF THE IMPUGNED DEFICIT CASH BALANCES AS WELL AS SECTION 40(A)(IA) DISALLOWANCE (SUPRA); TO BE SUBJECTED TO THE NECESSARY FACTUAL VERIFICATION ; A T THE TAX PAYER RISK AND RESPONSIBILITY , WITHIN THREE EFFECTIVE OPPORTUNITIES OF HEARING. ORDERED ACCORDINGLY. 5. THE ASSESSEE'S APPEAL IS ALLOWED FOR STATISTICAL PURPOSES IN ABOVE TERMS . ORDER PRONOUNCED IN THE OPEN COURT ON 25TH MAY, 2021. SD/ - SD/ - (LAXMI PRASAD SAHU) (S.S. GODARA) ACCOUNTANT MEMBER JUDICIAL MEMBER HYDERABAD, DT. 25 .05 .2021. * REDDY GP COPY TO : 1. M/S. RHYTHM MEDIA WORKS PVT. LTD., 2 - 293/82/A/1128, 5 TH FLOOR, JUBILEE SQUARE, ROAD NO.36, JUBILEE HILLS, HYDERABAD - 500 033 2. ITO, WARD 3(2), HYDERABAD. 3. PR. C I T - 3 , HYDERABAD. 4. CIT(APPEALS) - 3, HYDERABAD. 5. DR, ITAT, HYDERABAD. 6. GUARD FILE. BY ORDER SR. PVT. SECRETARY, ITAT, HYDERABAD.