M/s. Pushpanjali Promoters Pvt. Ltd., New Delhi V. ITO, New Delhi

ITA 525/DEL/2010

• Counselvise Citation: [2010] 136 COUNSELVISE.COM (IT) 4240 (ITAT-DELHI)
• Duration Of Justice: 2 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-04-2010
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: F
• Next Hearing Date: 05-04-2010
• Assessment Year: 2005-2006
• Appeal Filed On: 04-02-2010
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: H K LAL
• Keywords: Opportunity of being heard; Principle of natural justice; Non passing of speaking order

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH F DELHI) BEFORE SHRI A.D. JAIN AND SHRI R.C. SHARMA ITA NO. 525(DEL)2010 ASSESSMENT YEAR: 2005-06 M/S. PUSHPANJALI PROMOTERS PVT. LTD. INCOME TA X OFFICER, 7, SOUTH PATEL NAGAR, NEW DELHI. V. WARD 14(4 ), NEW DELHI. (APPELLANT) (RESPONDENT) APPELLANT BY: SHRI SALIL AGGARWAL, ADVOCATE RESPONDENT BY: SHRI H.K . LAL, SR. DR ORDER PER A.D. JAIN, J.M . THIS IS ASSESSEES APPEAL FOR THE ASSESSMENT YEAR 2 005-06 TAKING THE FOLLOWING GROUNDS:- 1. THAT THE LD. CIT(A) HAS GROSSLY ERRED IN PASSIN G AN ORDER U/S 250(6) BY DISMISSING THE APPELLANTS APPEAL EX -PARTE THEREBY VIOLATING THE PRINCIPLES OF NATURAL JUSTICE . 2. THAT THE LD. CIT(A) HAS OVERLOOKED THE PROVISI ONS OF SECTION 250(6) AS THE ORDER PASSED BY HIM IS NON SP EAKING AND WITHOUT GIVING PROPER OPPORTUNITY OF BEING HEARD TO THE APPELLANT. 3. THAT THE LEARNED CIT(A) COMPLETELY FAILED TO A PPRECIATE THE SUBMISSIONS FILED BY APPELLANT AND PASSED AN OR DER BASED ON ASSUMPTIONS AND SURMISES. THE LD. CIT(A) COMPL ETELY IGNORED THE FACTS AND GROUNDS RAISED BY THE APPELLA NT AND HAS PASSED A NON SPEAKING ORDER. ITA 525(DEL)2010 2 4. THAT LD. CIT(A) IGNORED THE JUDICIAL RULING IN GUJARAT THEMIS BIOSYN LTD. [74 ITD 339](AHD) (ITAT) WHEREI N IT WAS HELD THAT SECTION 250(6) IS OBLIGATORY FOR CIT(A) A ND THUS THEY SHOULD PASS A SPEAKING ORDER STATING POINTS RAISED IN APPEAL, HIS DECISION THEREON AND REASONS FOR SUCH DECISION. 5. THAT THE LD. CIT(A) OUGHT NOT TO HAVE DECIDED THE APPEAL EX-PARTE WITHOUT APPRECIATING THAT THE NOTICE ISSUE D ON 15 TH OCTOBER, 2009 FIXING THE HEARING FOR 5 TH OF NOVEMBER, 2009 WAS NEVER SERVED UPON THE ASSESSEE AND AS SUCH NO COMPLIANCE COULD BE MADE ON THE STIPULATED DATE. 2. THE LEARNED CIT(A) DISMISSED THE ASSESSEES APPE AL BY OBSERVING AS FOLLOWS:- 3. LOOKING INTO THE PAST RECORDS OF NON-ATTENDANCE ON THE PART OF THE APPELLANT COMPANY, MY CONSIDERED VIEW I S THAT THE APPELLANT IS NOT REALLY INTERESTED TO PURSUE THE AP PEAL FILED BY HIM. IN ABSENCE OF ANY WRITTEN SUBMISSIONS ON VAR IOUS GROUNDS OF APPEAL, I HAVE NO OTHER OPTION BUT TO UP HOLD THE ADDITION MADE BY THE AO. ACCORDINGLY, ALL THE GRO UNDS OF APPEAL ARE TAKEN AS REJECTED. 3. THE LD. CIT(A), IT IS SEEN, WHILE DISMISSING THE ASSESSEES APPEAL EX-PARTE QUA THE ASSESSEE, HAS NOT DEALT WIT H THE MERITS OF THE CASE. IN GUJARAT THEMIS BIOSYN LTD. V. JCIT [200 0] 74 ITD 339(AHD), IT HAS BEEN HELD THAT THE PROVISIONS OF S ECTION 250(6) OF THE I.T. ACT ARE MANDATORY AND IT IS OBLIGATORY FOR THE CIT(A) TO PASS A SPEAKING ORDER STATING THE POINTS RAISED IN APPEA L, THE DECISION THEREON AND THE REASON FOR SUCH DECISION. IN THE PRESENT CASE, IT IS SEEN, THE ORDER PASSED BY THE CIT(A) IS A NON SPEAK ING ORDER ITA 525(DEL)2010 3 INASMUCH AS THE LD. CIT(A) HAS NOT GONE INTO THE ME RITS OF THE MATTER. 4. FOR THIS REASON, WE REMIT THIS MATTER TO THE FIL E OF THE LD. CIT(A) TO BE DECIDED AFRESH ON MERITS BY PASSING A SPEAKING ORDER IN KEEPING WITH GUJARAT THEMIS BIOSYN LTD. V. JCIT (SUPRA), ON AFFORDING ADEQUATE OPPORTUNITY OF HEARING TO THE AS SESSEE. THE ASSESSEE, NO DOUBT, SHALL CO-OPERATE WITH THE LD. C IT(A). 5. IN THE RESULT, FOR STATISTICAL PURPOSES, THE APP EAL OF THE ASSESSEE IS TREATED AS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 5.04.2010. SD/- SD/- (R.C. SHARMA) (A.D. JAIN) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 5.04.2010 *RM COPY FORWARDED TO: 1. M/S. PUSHPANJALI PROMOTERS PVT. LTD. 7, SOUTH PATEL NAGAR, NEW DELHI. 2, ITO, WARD 14(4), NEW DELHI. 3. CIT 4. CIT(A) 5. DR TRUE COPY BY ORDER DEPUTY REGISTRAR