DCIT, Kottayam V. Smt Claramma Varghese, Kottayam

ITA 527/COCH/2004

• Counselvise Citation: [2012] 140 COUNSELVISE.COM (IT) 61549 (ITAT-COCHIN)
• Duration Of Justice: 8 year(s) 1 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 05-07-2012
• Appeal Filed By: Department
• Bench Allotted: DB
• Next Hearing Date: 29-05-2012
• Assessment Year: 1993-1994
• Appeal Filed On: 24-05-2004
• Court: TRIBUNAL
• Department Lawyers: S VIJAYAPRABHA
• Assessee Lawyers: A S NARAYANAMOORTHY
• Section: 147; 148

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH, COCHIN BEFORE S/SHRI N.R.S.GANESAN, JM AND B.R.BASKAR AN, AM I.T.A. NOS. 258 /COCH/2002 & 509-513/COCH/2004, I.T .A. NO. 263/COCH/2002, I.T.A. NOS.260 & 261/COCH/2002, 257/COCH/2002 & 523-527/CO CH/2004 ASSESSMENT YEARS : 1988-8 9 TO1993-94 1.THE ASSISTANT COMMISSIONER OF INCOME-TAX, CIRCLE-1, KOTTAYAM. 2. THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-1, KOTTAYAM. VS. 1.SMT. ANNAMMA CHACKO, C/O MANGALAM PUBLICATIONS, S.H. MOUNT P.O., KOTTAYAM. 2.SHRI SAJAN VARGHESE, C/O MANGALAM PUBLICATIONS, S.H. MOUNT P.O., KOTTAYAM. 3.SHRI SAJI VARGHESE C/O MANGALAM PUBLICATIONS, S.H. MOUNT, P.O. KOTTAYAM. 4.SHRI SABU VARGHESE, C/O MANGALAM PUBLICATIONS, S.H. MOUNT, P.O. KOTTAYAM. 5. SMT. CLARAMMA VARGHESE, C/O MANGALAM PUBLICATIONS, S.H. MOUNT, P.O., KOTTAYAM. (REVENUE-APPELLANT) (ASSESSEE-RESPONDENTS ) REVENUE BY SMT. S. VIJAYAPRABHA, JR. DR ASSESSEE BY SHRI A.S. NARAYANAMOORTHY, CA DATE OF HEARING 29/05/2012 DATE OF PRONOUNCEMENT 05/07/2012 SMT. ANNAMMA CHACKO & OTHERS 2 O R D E R PER B.R.BASKARAN, ACCOUNTANT MEMBER: THESE APPEALS WERE DISPOSED OFF BY THE TRIBUNAL EA RLIER. THE REVENUE CHALLENGED THE ORDERS PASSED BY THE TRIBUNAL BEFORE THE HONBL E HIGH COURT OF KERALA. THE HONBLE HIGH COURT REVERSED THE ORDERS PASSED BY THE TRIBUN AL AND RESTORED THESE APPEALS TO THE TRIBUNAL FOR TAKING A DECISION ON THE MERITS OF THE ISSUES. SINCE THE FACTS SURROUNDING THESE APPEALS ARE IDENTICAL IN NATURE, THEY WERE HE ARD TOGETHER AND ARE BEING DISPOSED OF BY THIS COMMON ORDER. 2. THE FACTS RELATING TO THESE CASES ARE STATED IN BRIEF. IN ALL THESE CASES, THE ASSESSING OFFICER INITIATED REASSESSMENT PROCEEDING S BY ISSUING NOTICE U/S. 148 OF THE ACT IN ALL THE YEARS UNDER CONSIDERATION AND COMPLETED THE ASSESSMENTS BY MAKING VARIOUS ADDITIONS. IN THE APPEALS FILED BEFORE THE LD. CIT (A), ALL THESE ASSESSES CHALLENGED THE VALIDITY OF RE-OPENING OF THE ASSESSMENTS. THE LD. CIT(A) AGREED WITH THE CONTENTIONS OF THE ASSESSEE AND HELD THAT THE INITIATION OF THE RE -ASSESSMENT PROCEEDINGS IS NOT VALID. ACCORDINGLY, HE FOUND IT NOT NECESSARY TO DISPOSE T HE GROUNDS RAISED ON MERIT. THE DEPARTMENT CHALLENGED THE ORDERS OF THE LD. CIT(A) BEFORE THE TRIBUNAL AND THE TRIBUNAL UPHELD VIEW EXPRESSED BY THE LD. CIT(A) IN ALL THES E CASES. THEN THE DEPARTMENT CARRIED THE MATTER IN APPEAL BEFORE THE HONBLE HIGH COURT OF KERALA AND THE HIGH COURT, BY FOLLOWING ITS DECISION IN THE CASE OF CIT VS. BIJU VARGHESE REPORTED IN (2010) 323 ITR 36 (KER.), HELD THAT THE IMPUGNED REASSESSMENTS ARE N OT BARRED BY LIMITATION. ACCORDINGLY THE HONBLE HIGH COURT REVERSED THE ORDERS PASSED B Y THE TRIBUNAL IN THESE CASES AND RESTORED THEM BEFORE THE TRIBUNAL FOR TAKING DECISI ON ON MERITS. 3. THE LD. DR SUBMITTED THAT THE FIRST APPELLATE AU THORITY HAS NOT DISPOSED THE GROUNDS RAISED ON MERITS AND ACCORDINGLY, SUGGESTED THAT THESE APPEALS MAY BE RESTORED TO HIS FILE IN ORDER TO ENABLE HIM TO DISPOSE THE GROU NDS RAISED ON MERIT. THOUGH THE LD. AR INITIALLY SUBMITTED THAT THERE IS NO NECESSITY FOR SENDING THE CASES BACK TO THE LD. CIT(A), SMT. ANNAMMA CHACKO & OTHERS 3 BUT ON POINTING OUT THAT THE HONBLE HIGH COURT HAS REVERSED THE ORDERS PASSED BY THE TRIBUNAL, HE AGREED WITH THE SUGGESTION MADE BY T HE LD. DR. 4. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE RECORD. WE NOTICE THAT THE HONBLE JURISDICTIONAL KERALA HIGH COURT HAS FOLLOW ED ITS OWN ORDER PASSED IN THE CASE OF BIJU VARGHESE, REFERRED SUPRA, WHICH WAS PASSED ON IDENTICAL SET OF FACTS. IN THE SAID CASE, THE HIGH COURT HAS OBSERVED AS UNDER:- FOLLOWING OUR JUDGEMENT IN THE FIRMS CASE ABOVE R EFERRED TO, WE HOLD THAT THE REASSESSMENTS COMPLETED U/S. 147 IN THE CASE O F RESPONDENT-ASSESSEES ARE WITHIN TIME AND CONSEQUENTLY ALLOW THE APPEALS BY VACATING THE ORDERS OF THE TRIBUNAL AND THOSE OF THE FIRST APPELLATE AUTHORIT Y . HOWEVER, THE MATTER WILL STAND REMANDED TO THE FIRST APPELLATE AUTHORITY FO R DECIDING THE APPEALS ON THE MERITS PERTAINING TO THE ADDITIONS MADE IN THE ASSESSMENTS. SINCE THE ADDITIONS ARE BASED ON DATA GATHERED FROM THE ACCO UNTS OF THE FIRM FOR THE SAME YEARS, WE FEEL THE FIRST APPELLATE AUTHORITY SHOULD TAKE UP THE MATTER AFRESH AFTER THE TRIBUNAL DECIDES THE APPEALS IN T HE HANDS OF THE FIRM AFTER REMAND. IN THE INSTANT CASES ALSO, THE LD CIT(A) HAS NOT DE CIDED THE GROUNDS RAISED BY THESE ASSESSEES ON MERITS. HENCE, WE FIND MERIT IN THE S UGGESTION MADE BY LD D.R TO RESTORE THE APPEALS TO THE FILE OF LD CIT(A). ACCORDINGLY, WE RESTORE ALL THE APPEALS TO THE FILE OF THE LD. CIT(A) WITH THE DIRECTION TO DISPOSE THE GR OUNDS RAISED BY THESE ASSESSES ON MERITS. 5. IN THE RESULT, ALL THE APPEALS FILED BY THE REVE NUE ARE TREATED AS ALLOWED FOR STATISTICAL PURPOSES. PRONOUNCED ACCORDINGLY O N 05-07-2012 SD/- SD/- (N.R.S.GANESAN) (B.R.BASKARAN) JUDICIAL MEMBER ACCOUNTANT MEMBER PLACE: ERNAKULAM DATED: 5TH JULY, 2012 GJ SMT. ANNAMMA CHACKO & OTHERS 4 COPY TO: 1. SMT. ANNAMMA CHACKO, C/O MANGALAM PUBLICATIONS, S.H. MOUNT, P.O., KOTTAYAM. 2. SHRI SAJAN VARGHESE, C/O M/S. MANGALAM PUBLICATI ONS, S.H. MOUNT P.O.,KOTTYAM. 3. SHRI SAJI VARGHESE, C/O M/S. MANGALAM PUBLICATIO NS, S.H. MOUNT P.O., KOTTAYAM. 4. SHRI SABU VARGHESE, C/O MANGALAM PUBLICATIONS (P ) LTD., S.H. MOUNT P.O.,KOTTAYAM. 5.SMT. CLARAMMA VARGHESE, C/O MANGALAM PUBLICATIONS (P) LTD., S.H. MOUNT P.O., KOTTAYAM. 6.THE ASSISTANT COMMISSIONER OF INCOME-TAX, CIRCLE- 1, KOTTAYAM. 7.THE DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE-1, KOTTAYAM. 8.THE COMMISSIONER OF INCOME-TAX(APPEALS)-IV, KOCHI . 9.THE COMMISSIONER OF INCOME-TAX, KOTTAYAM. 10. D.R., I.T.A.T., COCHIN BENCH, COCHIN. 11. GUARD FILE . BY ORDER (ASSISTANT REGISTRAR) I.T.A.T, COCHIN