BRIGGS TRADING CO. P.LTD, MUMBAI V. ITO 6(1)(4), MUMBAI

ITA 5291/MUM/2015

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 0420 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 9 month(s) 2 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-08-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2010-2011
• Appeal Filed On: 09-11-2015
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SUMAN KUMAR LD
• Assessee Lawyers: POOJA KAKU LD
• Keywords: Opportunity of being heard; Principle of natural justice
• Section: 143(3); 14A; 115JB

Judgement Text

ITA NO 5291/MUM/2015 BRIGGS TRADING CO.PVT.LTD ASSESSMENT YEAR 2010-11 IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, MUMBAI . . , , BEFORE SHRI D.T. GARASIA, JM AND SHRI MANOJ KUMAR AGGARWAL, AM ./I.T.A. NO.5291/MUM/2015 ( / ASSESSMENT YEAR: 2010-11) BRIGGS TRADING CO.PVT.LTD 18 TH FLOOR, A WING MARATHON FUTUREX, N.M.JOSHI MARG LOWER PAREL MUMBAI 400 013 / VS. INCOME TAX OFFICER 6(1)(4) 5 TH FLOOR AAYAKAR BHAVAN M.K.ROAD MUMBAI -400 020 ! ./ ./PAN/GIR NO. AAACB-4674-J ( !# /APPELLANT ) : ( $%!# / RESPONDENT ) ASSESSEE BY : POOJA KAKU, LD. AR REVENUE BY : SUMAN KUMAR, LD. DR / DATE OF HEARING : 09/08/2017 / DATE OF PRONOUNCEMENT : 11/08/2017 ITA NO 5291/MUM/2015 BRIGGS TRADING CO.PVT.LTD ASSESSMENT YEAR 2010-11 2 / O R D E R PER MANOJ KUMAR AGGARWAL (ACCOUNTANT MEMBER) 1. THE CAPTIONED APPEAL BY ASSESSEE FOR ASSESSMENT YEAR [AY] 2010-11 ASSAILS THE EX-PARTE ORDER OF THE LD. COMMISSIONER OF INCOME- TAX (APPEALS)- 12 [CIT(A)], MUMBAI DATED 30/09/2015 QUA CONFIRMATION OF CERTAIN ADDITIONS U/S 14A & 36(1)(III). 2. BRIEFLY STATED, THE ASSESSEE BEING RESIDENT CORPORATE ASSESSEE HAS BEEN ASSESSED FOR IMPUGNED AY U/S 143(3) ON 25/03/2 013 AT RS.8,65,94,734/- U/S 115JB AS AGAINST RETURNED INCO ME OF RS.8.44 CRORES U/S 115JB E-FILED BY THE ASSESSEE ON 14/10/2010. THE ASSESSEE HAS SUFFERED ADDITION OF RS.32.81 LACS U/S 14A AND RS.59.43 INTEREST DISALLOWANCE U/S 36(1)(III) IN THE NORMAL INCOME AN D BOTH THE ADDITIONS ARE THE SUBJECT MATTER OF THIS APPEAL. 3. THE ASSESSEE CONTESTED THE SAME WITHOUT ANY SUCC ESS BEFORE LD. CIT(A) VIDE IMPUGNED ORDER DATED 30/09/2015 WHICH I S AN EX-PARTE ORDER SINCE THE ASSESSEE FAILED TO ATTEND THE PROCEEDINGS ON VARIOUS OCCASIONS AS NOTED BY LD. CIT(A) AND FAILED TO SUBS TANTIATE HIS CLAIM. THE LD. CIT(A) UPHELD THE ACTION OF LD. AO FOR NON- APPEARANCE AS WELL AS ON MERITS. AGGRIEVED, THE ASSESSEE IS IN APPEAL BEFORE US. 4. THE LD. REPRESENTATIVE FOR ASSESSEE [AR] DREW O UR ATTENTION TO THE FACT THAT LD. CIT(A) ERRED IN PASSING EX-PARTE ORDER IN VIOLATION OF PRINCIPAL OF NATURAL JUSTICE AND THEREFORE, ANOTHER OPPORTUNITY MAY BE PROVIDED TO THE ASSESSEE TO SUBSTANTIATE HIS CLAIM. THE LD. DR OPPOSED ITA NO 5291/MUM/2015 BRIGGS TRADING CO.PVT.LTD ASSESSMENT YEAR 2010-11 3 THE SAME ON THE GROUND THAT ADEQUATE OPPORTUNITY WA S ALREADY PROVIDED BY LD. CIT(A) TO REPRESENT THE CASE BUT THE ASSESSE E FAILED TO AVAIL THE SAME AND THEREFORE, NO FURTHER OPPORTUNITY COULD BE GRANTED TO HIM. 5. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE RELEVANT MATERIAL ON RECORD. SINCE THE ORDER OF LD. CIT(A) I S AN EX-PARTE ORDER, THE ASSESSEE, IN OUR OPINION , DESERVES ANOTHER OPPORTUNITY OF BEING HEARD AND SUBSTANTIATE HIS CLAIM. THEREFORE, WITHOUT DELV ING MUCH DEEPER INTO THE ISSUE, WE SEE NO HARM IN PROVIDING A FINAL OPPO RTUNITY TO THE ASSESSEE TO SUBSTANTIATE HIS CLAIM, IF ANY, BEFORE LD. CIT(A). THEREFORE, THE MATTER IS RESTORED BACK TO LD. CIT(A) FOR FRESH ADJUDICATION AFTER AFFORDING ADEQUATE OPPORTUNITY OF BEING HEARD TO TH E ASSESSEE AND THE ASSESSEE, IN TURN, IS ALSO DIRECTED TO SUBSTANTIATE HIS CLAIM FORTHWITH FAILING WHICH LD. CIT(A) SHALL BE AT LIBERTY TO DEC IDE THE SAME ON THE BASIS OF MATERIAL AVAILABLE ON RECORD. 6. RESULTANTLY, THE ASSESSEES APPEAL STANDS ALLOWE D FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 11 TH AUGUST, 2017. SD/- SD/- (D.T. GARASIA) (MANOJ KUMAR AGGARWAL) / JUDICIAL MEMBER / ACCOUNTANT MEMBER MUMBAI; DATED : 11. 08.2017 SR.PS:- THIRUMALESH ITA NO 5291/MUM/2015 BRIGGS TRADING CO.PVT.LTD ASSESSMENT YEAR 2010-11 4 ! / COPY OF THE ORDER FORWARDED TO : 1. !# / THE APPELLANT 2. $%!# / THE RESPONDENT 3. , ( ) / THE CIT(A) 4. , / CIT CONCERNED 5. $'. , . , / DR, ITAT, MUMBAI 6. / / GUARD FILE / BY ORDER, / (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI