Rupesh Aggarwal , Ghaziabad V. ITO ward 2(2), Ghaziabad

ITA 5480/DEL/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 1118 (ITAT-DELHI)
• Duration Of Justice: 11 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-06-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2010-2011
• Appeal Filed On: 21-06-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Opportunity of being heard
• Section: 147; 69; 148

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI SMC-2 BENCH, NEW DELHI [THROUGH VIDEO CONFERENCE] BEFORE SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER, AND MS. SUCHITRA KAMBLE, JUDICIAL M EMBER ITA NO. 5480/DEL/2019 [ASSESSMENT YEAR: 2010-11] SHRI RUPESH AGGARWAL VS. THE INCOME TAX OFF ICER 187, NANDINI APARTMENT WARD 2 (2) MODEL TOWN WEST GHAZIABAD GHAZIABAD PAN: ALZPA 7694 L [APPELLANT] [RESPONDENT] DATE OF HEARING : 02.06.2020 DATE OF PRONOUNCEMENT : 03.06.2020 ASSESSEE BY : SHRI GAUTAM JAIN, ADV REVENUE BY : SHRI R.K. GUPTA, SR. DR ORDER PER N.K. BILLAIYA, ACCOUNTANT MEMBER, THIS APPEAL BY THE ASSESSEE IS PREFERRED AGAINST T HE ORDER OF THE CIT(A), GHAZIABAD DATED 10.04.2019 PERTAINING TO AS SESSMENT YEAR 2010-11. 2 2. VIDE GROUND NOS 1 TO 1.4, THE ASSESSEE HAS CHALL ENGED THE INITIATION OF PROCEEDINGS U/S 147 OF THE INCOME TAX ACT, 1961 [HEREINAFTER REFERRED TO AS 'THE ACT' FOR SHORT]. VIDE GROUND NO. 2 WITH ITS SUB GROUNDS, THE ASSESSEE HAS CHALLENGED THE AD DITIONS MADE U/S 69 OF THE ACT AND GROUND NO. 3 WITH ITS SUB GROUNDS, RELATES TO THE DISPOSAL OF THE APPEAL EXPARTE WITHOUT GRANTING ANY FAIR AND PROPER OF BEING HEARD TO THE ASSESSEE. 3. AT THE VERY OUTSET, THE LD. COUNSEL FOR THE ASSE SSEE DREW OUR ATTENTION TO PAGE 5 OF THE ORDER OF THE FIRST APPEL LATE AUTHORITY AND POINTED OUT THAT THE FIRST APPELLATE AUTHORITY SERV ED NOTICES ON TWO OCCASIONS, I.E. ON 22.2.2019 AND 15.03.2019 AND ON BOTH DATES, THE APPELLANT SOUGHT ADJOURNMENT. IT IS THE SAY OF THE LD. COUNSEL FOR THE ASSESSEE THAT THEREAFTER, THE LD. CIT(A) PROCEEDED TO DISMISS THE APPEAL EXPARTE. 4. BRIEFLY STATED, THE FACTS OF THE CASE ARE THAT R ETURN OF INCOME WAS SELECTED FOR SCRUTINY ASSESSMENT AS PER AIR INF ORMATION IN RELATION TO CASH OF RS. 14.35 LAKHS DEPOSITED IN THE SB A/C WITH CORPORATION BANK. NOTICE U/S 148 OF THE ACT WAS ISSUED AND SER VED UPON THE ASSESSEE. THE ASSESSEE WAS ASKED TO EXPLAIN THE SO URCE OF CASH DEPOSIT 3 IN THE SAVINGS BANK A/C. THE ASSESSEE CHALLENGED T HE REOPENING OF THE ASSESSMENT. 5. THE ASSESSING OFFICER OBSERVED THAT THOUGH THE R EOPENING WAS CHALLENGED, BUT NO EXPLANATION WAS GIVEN RELATING T O SOURCE OF DEPOSITS IN CASH IN THE SAVINGS BANK A/C. MOREOVER, IT HAS BEEN POINTED OUT BY THE ASSESSING OFFICER THAT THE ASSESSEE IS USING TW O PAN NUMBERS ONE FOR FILING HIS RETURN OF INCOME AND THE OTHER FOR C ASH DEPOSITS. ACCORDINGLY, THE ADDITION OF RS. 14.35 LAKHS WAS MA DE. 6. WE FIND THAT THE FIRST APPELLATE AUTHORITY, THOU GH SERVED NOTICE ON TWO OCCASIONS, AS MENTIONED HEREINABOVE, BUT HAS HIMSELF ADMITTED THAT THE ASSESSEE SOUGHT ADJOURNMENTS. WE FAIL TO U NDERSTAND AS TO WHAT WAS THE URGENCY IN DISMISSING THE APPEAL EXPAR TE. THEREFORE, IN THE INTEREST OF JUSTICE AND FAIR PLAY, WE DEEM IT F IT TO RESTORE THE ENTIRE ISSUES BEFORE THE LD. CIT(A). THE LD. CIT(A ) IS DIRECTED TO DISPOSE OF THE APPEAL ON MERITS OF THE CASE AFTER A FFORDING REASONABLE AND FAIR OPPORTUNITY OF BEING HEARD TO THE ASSESSEE . 4 7. IN THE RESULT, THE APPEAL OF THE ASSESSEE IN ITA NO. 5480/DEL/2019 IS TREATED AS ALLOWED FOR STATISTICAL PURPOSES. THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 03.06 .2020. SD/- SD/- [SUCHITRA KAMBLE ] [N.K. BILLAIYA] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 03 RD JUNE, 2020. VL/ COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT ASST. REGISTRAR 4. CIT(A) ITAT, NEW DELHI 5. DR 5 DATE OF DICTATION DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR.PS/PS DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR.PS/PS DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT DATE ON WHICH THE FILE GOES TO THE BENCH CLERK DATE ON WHICH THE FILE GOES TO THE HEAD CLERK THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER