Dudheshwarnath Steels P.Ltd, Nvi Mumbai V. DCIT, Circle-24(1), New Delhi

ITA 5396/DEL/2018

• Counselvise Citation: [2022] 105 COUNSELVISE.COM (IT) 4358 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 8 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-04-2022
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: 2009-2010
• Appeal Filed On: 15-08-2018
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Non compliance
• Section: 148; 10; 142(1); 143(2)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI (DELHI BENCH ‘B’ : NEW DELHI) BEFORE SH. R.K.PANDA, ACCOUNTANT MEMBER AND SH. ANUBHAV SHARMA, JUDICIAL MEMBER ITA No.5396/Del/2018 (Assessment Year : 2009-10) M/s. Dudheshwarnath Steels (P) Ltd. 1101 Lily, Regency Garden Plot No. 10 Sector 06, Kharghar, Navi Mumbai PAN : AAICS0289G Vs. DCIT, Circle-24(1), New Delhi (APPELLANT) (RESPONDENT) Assessee by None Revenue by Sh. Rajesh Kumar Dhanesta, Sr. DR Date of hearing: 20.04.2022 Date of Pronouncement: 20.04.2022 ORDER PER ANUBHAV SHARMA, JM: The appeal has filed by assessee against order dated 05.09.2017 in appeal no. 22/17-18 passed by Commissioner of Income Tax (Appeal)-28, New Delhi in appeal before him against order dated 23.03.2015 passed u/s 271(1)(b) of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) passed by DCIT, Circle 24(1), New Delhi. 2. The Facts in brief are the assessment was completed u/s 147/144 of the Act on 27/06/2014 and in the order, the penalty proceedings were initiated by 2 ITA No. 5396/Del/2018 M/s. Dudheshwarnath Steels (P) Ltd. serving a notice u/s 271(1) (b) of the income Tax Act, 1961 for non compliance of notices issued from time to time during the assessment proceedings. The issue on which said penalty proceedings were initiated is narrated in brief here below. After issue of notice u/s 148, the assessee had not filed any return or any submission. Further, the assessee was issued notices u/s 142(1) on 20-05-2014 fixing the case for 30-05-2014. But, on the given dates nobody appeared nor any reply was filed. Again a Notice u/s 143(2) was issued to assessee fixing the case for 23/06/2014. In reply to the said notices, no one attended the proceedings nor any submissions were submitted. Hence assessment was completed ex-parte u/s 147/144 of the Act. A show cause notice as final opportunity for being heard and show cause why penalty proceedings may not be levied u/s 271(1) (b) was issued to assessee on 11/03/2015 fixing the case for 17/03/2015. In response to this show cause also, none attended on the given date nor any reply was filed. Hence, Ld. AO levied a minimum penalty of Rs.10,000/- for non-compliance of notice issued u/s 142(1) of the I.T. Act. In appeal, Ld. CIT(A) has upheld the levy of penalty. 3. Now before the Tribunal the assessee has raised following grounds of appeal :- “1. The Learned Commissioner of Income Tax, (Appeals) (CIT(A)) erred in confirming penalty of Rs. 10,000/- u/s 271(1)(b) of I.T.Act. 2. The ld. CIT(A) erred in confirming levy of penalty without there being any finding either by LAO or by Ld. CIT(A) that any notice in assessment or in penalty proceedings was ever served on the assessee. 3. The appellant craves, leave to add, to amend and/ or to alter the above grounds.” 3 ITA No. 5396/Del/2018 M/s. Dudheshwarnath Steels (P) Ltd. 4. As the case was called for hearing today on 20.04.2022, non-appeared for the assessee. The record shows that notices that on 01.09.2021 non appeared for assessee and the Bench issued notices. Thereafter on 17.11.2021 and 20.01.2022 also non-appeared. The notices issued were returned unclaimed for date of hearing 17.11.2021 and further the notices have been issued but have not returned. It appears assessee is not interested to prosecute its appeal. Therefore, arguments of ld. Sr. DR were heard. He submitted that the order passed is justified. 5. Appreciating the matter on record it can be observed that before Ld. CIT(A), no reasonable cause was submitted explaining non-compliance of the proceedings. The claim that notices u/s 148 or 142(1) were not served is not substantiated by any evidences or even an affidavit in that regard. There is a presumption of truth attached to facts of services of notice mentioned in the orders of the Ld. AO and the same required to be rebutted with evidences which has not been led before the Ld. CIT(A) or made part of the present appeal in the form of any paper book on record. There is no merit in the appeal, the same is dismissed ex parte. 6. Consequently, the appeal of assessee is dismissed ex parte. Order pronounced in open court on conclusion of hearing on this 20 th day of April, 2022. Sd/- Sd/- (R.K.PANDA) (ANUBHAV SHARMA) ACCOUNTANT MEMBER JUDICIAL MEMBER Date:- 20 .04.2022 *Binita, SR.P.S* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI