Smt.Surajdevi Sipani , Bangalore V. The Joint Commissioner of Income Tax Range-4(3), Bangalore

ITA 551/BANG/2018

• Counselvise Citation: [2019] 112 COUNSELVISE.COM (IT) 2173 (ITAT-BANGALORE)
• Duration Of Justice: 1 year(s) 8 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-11-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2012-2013
• Appeal Filed On: 28-02-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: V SRINIVASAN
• Keywords: Principle of natural justice; Cost of acquisition; Capital Gains
• Section: 143(3); 133A; 40(a)(ia); 250; 201

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL BANGALORE BENCHES A BENCH: BANGALORE BEFORE SHRI A.K. GARODIA, ACCOUNTANT MEMBER AND SHRI PAVAN KUMAR GADALE, JUDICIAL MEMBER ITA NO. 551 /BANG/2018 (ASSESSMENT YEAR: 201 2 - 13 ) SMT. SURAJDEVI SIPANI, PROP. SURAJ PROPERTIES, NO.868, SIPANI GRAND, 5THCROSS, 17 TH E MAIN, 6 TH BLOCK, KORAMANGALA, BENGALURU - 560 034 .APPELLANT PAN ACIPS 8754K VS. JT . COMMISSIONER OF INCOME TAX, RANGE 4(3), BANGALORE. RESPONDENT. ASSESSEE BY: SHRI V. SRINIVASAN, ADVOCATE. REVENUE BY: SHRI SUNIL KUMAR AGARWAL, ADDL. CIT (D.R) DATE OF HEARING : 25.11 .2019 DATE OF PRONOUNCEMENT : 27 .11 .2019 O R D E R PER SHRI PAVAN KUMAR GADALE, JM : THE ASSESSEE HAS FILED AN APPEAL AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX (APPEALS) - 4 , BANGALORE PASSED U/S . 143(3) AND U/S 250 OF THE INCOME TAX ACT, 1961 (THE ACT) . 2 ITA NO.551/BANG/2018 2. THE ASSESSEE HAS RAISED THE FOLL OWING GROUNDS OF APPEAL : 3 ITA NO.551/BANG/2018 3. THE BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE IS IN REAL ESTATE BUSINESS AND FILED RETURN OF INCOME ON 28.09.2012 WITH TOTAL INCOME OF RS.3,10,11,130 AND SURVEY UNDER SECTION 133A WAS CONDUCTED IN THE PREMISES OF ASSESSEE ON 23.08.2011. THE ASSESSING OFFICER CONSIDERING THE SUBMISSIONS MADE BY THE ASSESSEE DEALT ON THE DISPUTED ISSUE OF LONG TERM CAPITAL GAINS (LTCG) AND COST OF ACQUISITION AND DISALLOWANCE UNDER SECTION 40(A)(IA) OF THE ACT AND ASSESSED 4 ITA NO.551/BANG/2018 THE TOTAL INCOME UNDER SECTION 143(3) DT.27.02.2015 COMPUTING THE LTCG RS.6,41,94,232. AGGRIEVED BY ASSESSMENT ORDER THE ASSESSEE HAS FILED AN APPEAL WITH THE CIT (APPEALS) WHEREAS THE CIT (APPEALS) HAS POSTED THE CASE FOR HEARING ON 21.9.2016, 24.11.2017 AND 8.12.2017. BUT THE ASSESSEE THOUGH APPEARED ON 23.9.2016 AND 29.12.2017 BUT THERE ARE NO WRITTEN SUBMISSIONS OR DOCUMENTARY EVIDENCES FILED OR FURNISHED DETAILS INSPITE OF GRANTING OPPORTUNIT IES. HENCE THE LEARNED CIT (APPEALS) BA SED ON THE MATERIAL AVAILABLE ON RECORD AND THE FINDINGS OF THE ASSESSING OFFICER HAS DISMISSED THE ASSESSEE'S APPEAL. AGGRIEVED BY THE ORDER OF CIT (APPEALS) THE ASSESSEE HAS FILED AN APPEAL BEFORE THE TRIBUNAL. 4. AT THE TIME OF HEARING, THE LEARNED AUTHORISED REPRESENTATIVE OF THE ASSESSEE SUBMITTED THAT THE LEARNED CIT (APPEALS) HAS ERRED IN DISMISSING THE APPEAL EXPARTE AND PRAYED FOR ONE MORE OPPORTUNITY TO SUBSTANTIATE THE MERITS OF CASE . CONTRA, THE LEARNED DEPARTMENTAL REPRESENTATIVE SUPPORTED THE ORDERS OF CIT (APPEALS). 5. WE HEARD THE RIVAL CONTENTIONS AND PERUSED THE MATERIAL ON RECORD. ON PERUSAL OF THE CIT (APPEALS) ORDER, WE FOUND THAT THE ASSESSEE WAS PROVIDED OPPORTUNITY OF HEARING BUT COULD NOT SUBMIT THE WRITTEN SUBMISSIONS. WE, CONSIDERING THE PRINCIPLES OF NATURAL JUSTICE AND THE REASONS ENVISAGED BY LEARNED AR, CONSIDER IT APPROPRIATE TO RESTORE THE ENTIRE DISPUTED ISSUE TO THE FILE OF THE CIT(A) BUT CONSIDERING THE FACTS ON RECORD WITH RESPECT TO NON - APPEARANCE OF THE 5 ITA NO.551/BANG/2018 ASSESSEE OR LEARNED AR IN SPITE OF POSTING THE CASE ON VARIOUS DATES IN APPELLATE PROCEEDINGS AND THE ASSESSEE CHOSE NOT TO APPEAR WI TH EVIDENCE AND DETAILS WHICH CANNOT BE OVERLOOKED. THEREFORE, WE ARE OF THE SUBSTANTIVE OPINION THAT THE ASSESSEE SHOULD BE PROVIDED AN OPPORTUNITY OF HEARING WITH PAYMENT OF COST OF RS.5,000/ - TO THE INCOME - TAX DEPARTMENT WITHIN A PERIOD OF ONE MONTH FRO M THE DATE OF RECEIPT OF THIS ORDER. SUBJECT TO THE PAYMENT OF ABOVE COST, WE RESTORE THE ENTIRE DISPUTED ISSUE TO THE FILE OF THE CIT(A) TO CONSIDER THE MATTER AFRESH AND ADJUDICATE ON MERITS. FURTHER, THE ASSESSEE SHALL SUBMIT PROOF OF PAYMENT OF COST WI TH TRIBUNAL AND APPELLATE AUTHORIT IES . IT IS NEVERTHELESS TO MENTION THAT THE CIT(A) SHOULD PROVIDE REASONABLE OPPORTUNITY TO THE ASSESSEE TO FILE DOCUMENTS /EVIDENCES IN SUPPORT OF CASE AND THE ASSESSEE SHALL ALSO CO - OPERATE IN SUBMITTING THE INFORMATION F OR EARLY DISPOSAL OF THE APPEAL AND WE ORDER ACCORDINGLY. 6. IN THE RESULT, THE ASSESSEE'S APPEAL IS TREATED AS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 27TH NOV., 2019. SD/ - SD/ - (A.K. G ARODIA) (PAVAN KUMAR GADALE) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 27 .11. 2019. *REDDY GP 6 ITA NO.551/BANG/2018 COPY TO 1. THE APPELLANT 2. THE RESPONDENT 3. CIT (A) 4. PR. CIT 5. DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR INCOME - TAX APPELLATE TRIBUNAL BANGALORE