M/s Can & Able Events Pvt. Ltd., Chandigarh V. ACIT, CC-II, Chandigarh

ITA 552/CHANDI/2018

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 3457 (ITAT-CHANDIGARH)
• Duration Of Justice: 3 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-08-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 02-08-2018
• Assessment Year: 2008-2009
• Appeal Filed On: 27-04-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: CHANDRA KANTA
• Section: 40A(3); 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH A, CHANDIGARH BEFORE SHRI. SANJAY GARG, JUDICIAL MEMBER AND DR. B.R.R. KUMAR, ACCOUNTANT MEMBER ITA NOS. 552, 556 & 560/CHD/2018 ASSESSMENT YEAR: 2008-09 M/S CAN & ABLE EVENTS PVT. LTD. VS. THE ASST. CIT 2175, 2 ND FLOOR, SECTOR 15-C CENTRAL CIRCLE-II CHANDIGARH CHANDIGARH PAN NO. AABCC8309C (APPEALS AGAINST THE ORDERS OF CIT(A) -3,GURGAON DA TED 29.12.2017, 19.2.2018 & 23.2.2018 RESPECTIVELY ) ITA NOS.553, 557 & 561/CHD/2018 ASSESSMENT YEAR: 2009-10 M/S CAN & ABLE EVENTS PVT. LTD. VS. THE ASST. CIT 2175, 2 ND FLOOR, SECTOR 15-C CENTRAL CIRCLE-II CHANDIGARH CHANDIGARH PAN NO. AABCC8309C (APPEALS AGAINST THE ORDERS OF CIT(A) -3,GURGAON DA TED 29.12.2017, 19.2.2018 & 23.2.2018 RESPECTIVELY ) ITA NOS.554, 558 & 562/CHD/2018 ASSESSMENT YEAR: 2011-12 M/S CAN & ABLE EVENTS PVT. LTD. VS. THE ASST. CIT 2175, 2 ND FLOOR, SECTOR 15-C CENTRAL CIRCLE-II CHANDIGARH CHANDIGARH PAN NO. AABCC8309C (APPEALS AGAINST THE ORDERS OF CIT(A) -3,GURGAON D ATED 29.12.2017, 19.2.2018 & 23.2.2018 RESPECTIVELY ) ITA NOS. 555, 559 & 563/CHD/2018 ASSESSMENT YEAR: 2012-13 M/S CAN & ABLE EVENTS PVT. LTD. VS. THE ASST. CIT 2175, 2 ND FLOOR, SECTOR 15-C CENTRAL CIRCLE-II CHANDIGARH CHANDIGARH PAN NO. AABCC8309C (APPEALS AGAINST THE ORDER OF CIT(A) -3,GURGAON DAT ED 29.12.2018, 19.2.2018 & 23.2.2018 RESPECTIVELY ) ITA NOS.552 TO564/CHD/2018- M/S CAN * ABLE EVENTS PVT. LTD, CHANDIGARH 2 ITA NO.564/CHD/2018 ASSESSMENT YEAR: 2013-14 M/S CAN & ABLE EVENTS PVT. LTD. VS. THE ASST. CIT 2175, 2 ND FLOOR, SECTOR 15-C CENTRAL CIRCLE-II CHANDIGARH CHANDIGARH PAN NO. AABCC8309C (APPEAL AGAINST THE ORDER OF CIT(A) -3,GURGAON DATE D 23.2.2018 ) & ITA NO.565 & 566/CHD/2018 ASSESSMENT YEAR: 2013-14 M/S CAN & ABLE ENTERTAINMENT PVT. LTD. VS. THE ASS T. CIT 2175, 2 ND FLOOR, SECTOR 15-C CENTRAL CIRCLE-II CHANDIGARH CHANDIGARH PAN NO. AAECC2134L (APPEALS AGAINST THE ORDER OF CIT(A) -3,GURGAON DAT ED 29.12.2017 & 23.2.2018 RESPECTIVELY ) (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI. TEJ MOHAN SINGH, ADVOCATE REVENUE BY : SMT. CHANDRAKANTA, SR.DR DATE OF HEARING : 02/08/2018 DATE OF PRONOUNCEMENT : 23/08/ 2018 ORDER PER BENCH: THE CAPTIONED APPEALS HAVE BEEN PREFERRED BY THE SA ME ASSESSEE FOR DIFFERENT ASSESSMENT YEARS. HOWEVER, THE FACTS AND ISSUES INVOLVED IN ALL THE APPEALS ARE IDENTICAL AN D EVEN IDENTICAL GROUNDS OF APPEALS HAVE BEEN TAKEN, HENCE, THESE AP PEALS ARE HEARD TOGETHER AND ARE BEING DISPOSED OF BY THIS COMMON O RDER. 2. FOR THE SAKE OF CONVENIENCE, ITA NO. 552/CHD/2018 FOR 2008- 09 IS TAKEN AS A LEAD CASE. THE ASSESSEE IN THIS AP PEAL HAS TAKEN THE FOLLOWING GROUNDS OF APPEAL:- ITA NOS.552 TO564/CHD/2018- M/S CAN * ABLE EVENTS PVT. LTD, CHANDIGARH 3 1. THAT THE ORDER OF THE LD. CIT(A)-3 IS NOT A SPEAKIN G ORDER, IS ERRONEOUS, ARBITRARY, OPPOSED TO LAW AND FACTS OF THE CASE. 2. THAT THE LD. CIT(A)-3 HAS GROSSLY ERRED IN CHARGING THE NET PROFIT RATE AT 11% AND MAKING AN ADDITION O F RS. 3,78,360/- THEREBY IGNORING THE RETURNED INCOME OF RS. 4,23,035/- DECLARED BY THE ASSESSEE. 3. THAT THE LD. CIT(A)-3 HAS ERRED IN DISALLOWING PAYMENTS MADE IN EXCESS OF LIMITS SPECIFIED UNDER SECTION 40A(3) TO THE TUNE OF RS. 43,350/- WITHOUT CORRECTLY APPRECIATING THE FACTS OF THE CASE. 4. THAT THE APPELLANT CRAVES LEAVE TO ADD, TO ALTER, T O AMEND OR VARY FROM THE AFORESAID GROUNDS OF APPEAL AT OR BEFORE THE TIME OF HEARING OF THE SAID APPEAL. 3. AT THE OUTSET, LD. COUNSEL FOR THE ASSESSEE HAS INVITED OUR ATTENTION TO THE IMPUGNED ORDER OF THE CIT(A) AND S UBMITTED THAT THE SAME IS AN EX-PARTE ORDER OF THE CIT(A). HE HAS FUR THER SUBMITTED THAT THOUGH IT HAS BEEN MENTIONED BY THE CIT(A) THA T THE NOTICES WERE ISSUED / SERVED UPON THE ASSESSEE, HOWEVER, NO SUCH NOTICE OF DATE OF HEARING OF APPEAL WERE EVER SERVED UPON TH E ASSESSEE. HE HAS FURTHER SUBMITTED THAT EVEN THE APPEAL OF THE ASSES SEE HAS BEEN DISMISSED FOR NON-APPEARANCE AND NO FINDINGS HAS BE EN RETURNED BY THE CIT(A) IN RESPECT OF THE CASE ON MERITS. 4. THOUGH THE ASSESSEE IN THIS CASE HAS TAKEN A PLE A THAT NO NOTICE OF HEARING OF APPEAL WAS EVER SERVED BY THE LD. CIT (A) ON THIS ASSESSEE, YET, WE FIND THAT EVEN OTHERWISE THE IMP UGNED ORDER OF THE CIT(A) IS NOT AN ORDER ON MERITS, RATHER, IT IS A SIMPLE DISPOSAL OF THE APPEAL FOR WANT OF PROSECUTION. THE POWERS OF T HE CIT(A) ARE CO- TERMINUS WITH THAT OF THE ASSESSING OFFICER AND HE WAS SUPPOSED TO DECIDE THE ISSUE ON MERITS EVEN OTHERWISE. ITA NOS.552 TO564/CHD/2018- M/S CAN * ABLE EVENTS PVT. LTD, CHANDIGARH 4 5. CONSIDERING THE ABOVE OVER ALL FACTS AND CIRCUMS TANCES OF THE CASE, IN OUR VIEW, THE INTEREST OF JUSTICE WILL BE WELL SERVED IF THE MATTER IS RESTORED TO THE FILE OF THE CIT(A) FOR D ECISION AFRESH ON MERITS, IN ACCORDANCE WITH LAW. WE ORDER ACCORDIN GLY. NEEDLESS TO SAY THAT CIT(A) WILL PROVIDE PROPER OPPORTUNITY TO THE ASSESSEE TO PRESENT ITSELF OR THROUGH HIS COUNSEL ON THE DAT E OF HEARING AND THE ASSESSEE WILL ALSO COOPERATE AND WILL NOT CONTRIBUT E TO ANY UNNECESSARY ADJOURNMENT OF THE CASE SINCE THE FACTS AND ISSUE INVOLVED IN ALL THE APPEA LS ARE IDENTICAL, HENCE, ALL THE APPEALS ARE ACCORDINGLY R ESTORED TO THE FILE OF THE CIT(A) FOR DECISION AFRESH IN THE ABOVE TERMS. IN VIEW OF THIS, ALL THE CAPTIONED APPEALS ARE TREA TED AS ALLOWED FOR STATISTICAL PURPOSES ORDER PRONOUNCED IN THE OPEN COURT ON 23/08/2018 SD/- SD/- (B.R.R KUMAR) (SANJAY GARG) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 23.08. 2018 RKK COPY TO: THE APPELLANT THE RESPONDENT THE CIT THE CIT(A) THE DR