Jagdammba Farms, V. ITO Ward-2(1),

ITA 5583/DEL/2003

• Counselvise Citation: [2010] 136 COUNSELVISE.COM (IT) 9822 (ITAT-DELHI)
• Duration Of Justice: 6 year(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-01-2010
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 11-01-2010
• Assessment Year: 1998-1999
• Appeal Filed On: 29-12-2003
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: G S SAHOTA
• Assessee Lawyers: SURESH K GUPTA
• Section: 234B

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH E, NEW DELHI BEFORE SHRI I.P. BANSAL, JUDICIAL MEMBER & SHRI A.K. GARODIA, ACCOUNTANT MEMBER ITA NO. 5583 /DEL/2003 ASSESSMENT YEAR: 1998-99 M/S JAGDAMBA FARMS, VS. INCOME TAX OFFICER, C/O SH. DINESH GUPTA, WARD 29(1), HOUSE NO. 1127-28, SECTOR-13, NEW DELHI. URBAN ESTATES, KARNAL (HARYANA). (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI SURESH K. GUPTA, CA RESPONDENT BY : SH. G.S. SAHOTA, SR. DR ORDER PER I.P. BANSAL, J.M. THIS IS AN APPEAL FILED BY THE ASSESSEE. IT IS D IRECTED AGAINST THE ORDER OF CIT(A) DATED 26 TH MAY, 2003 FOR A.Y. 1998-99. GROUNDS OF APPEAL READ AS UNDER: - 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE THE AO HAS ERRED IN TREATING THE AGRICULTURE INCOME OF RS. 1403574/- AS INCOME FROM OTHER SOURCES AND THE CIT(A) HAS ERRED IN CONFIRMIN G THE SAME. 2. THE AO HAS ON THE FACTS AND CIRCUMSTANCES ON THE CASE IN TREATING RS. 4800/-AS INCOME OF THE APPELLANT FROM UNDISCLOS ED SOURCES. 3. THE LEVY OF INTEREST U/S 234B OF THE INCOME TAX ACT AMOUNTING TO RS. 309909/- IS BAD IN LAW AS THERE IS NO SPECIFIC DIRE CTION IN THE IMPUGNED ORDER TO CHARGE INTEREST U/S 234B. 4. THE IMPUGNED ORDER OF APPEAL HAS BEEN PASSED WIT HOUT AFFORDING THE APPELLANT REASONABLE OPPORTUNITY TO PUT FORTH HIS C ASE. ITA NO. 5583/DEL/03 2 2. THE ORDER OF CIT(A) IS AN EX-PARTE ORDER. LD. C IT(A) HAS MENTIONED REGARDING FAILURE OF THE ASSESSEE FOR NON-COMPLIANC E OF NOTICES ISSUED BY HIM FOR HEARING AND AFTER NON-COMPLIANCE, THE LD. C IT(A) HAS DECIDED THE APPEAL. 3. AT THE OUTSET, IT WAS SUBMITTED BY LD. AR THAT A S PER GROUND NO. 4 THE GRIEVANCE OF THE ASSESSEE IS THAT LD. CIT(A) HAS PA SSED THE ORDER WITHOUT AFFORDING THE ASSESSEE A REASONABLE OPPORTUNITY OF HEARING. IT WAS SUBMITTED THAT ASSESSEES BUSINESS WAS CLOSED, THER EFORE, THE NOTICES ISSUED BY CIT(A) COULD NOT BE SERVED ON ASSESSEE. IT WAS SUBMITTED THAT IN THE INTEREST OF JUSTICE, THE MATTER MAY BE RESTORED BACK TO THE FILE OF CIT(A) WITH A DIRECTION TO RE-DECIDE THE SAME AFTER GIVING THE ASSESSEE A REASONABLE OPPORTUNITY OF HEARING. 4. ON THE OTHER HAND, IT WAS SUBMITTED BY LD. DR TH AT THERE WAS A FAILURE ON THE PART OF ASSESSEE TO REPRESENT ITS CASE ON TH E VARIOUS DATES MENTIONED TO BY LD. CIT(A) IN HIS ORDER AND THUS, T HE MATTER SHOULD NOT BE RESTORED BACK TO THE FILE OF CIT(A). 5. WE HAVE CAREFULLY CONSIDERED THE SUBMISSIONS OF BOTH THE PARTIES IN THE LIGHT OF MATERIAL PLACED BEFORE US. CONSIDERIN G THE ENTIRETY OF FACTS AND CONSIDERING THE SUBMISSION OF ASSESSEE THAT NOTICES FOR HEARING COULD NOT BE SERVED ON ASSESSEE DUE TO CLOSURE OF BUSINESS, W E ARE OF THE OPINION THAT MATTER SHOULD BE RESTORED BACK TO THE FILE OF CIT(A) FOR RECONSIDERING THE SAME AFTER GIVING REASONABLE OPPORTUNITY OF HEA RING TO THE ASSESSEE. LD. AR HAS ASSURED US TO EXTEND ASSESSEES COOPERAT ION DURING THE COURSE ITA NO. 5583/DEL/03 3 OF HEARING BEFORE LD. CIT(A) AND HE HAS ALSO GIVEN IN WRITING THAT THE REASON FOR NON-COMPLIANCE BEFORE CIT(A) WAS NON-SERVICE OF THE NOTICE ON ASSESSEE. THEREFORE, WE RESTORE THIS APPEAL TO THE FILE OF CIT(A) WITH A DIRECTION THAT APPEAL OF THE ASSESSEE SHALL BE DECI DED AFTER GIVING THE ASSESSEE A REASONABLE OPPORTUNITY OF HEARING. WE D IRECT ACCORDINGLY. 6. AS WE ARE RESTORING THE ENTIRE APPEAL TO THE FIL E OF CIT(A). WE DO NOT EXPRESS ANY OPINION ON THE MERITS. AS THE SAME HAS TO BE RE-DECIDED BY LD. CIT(A) AS PER OUR ABOVE MENTIONED DIRECTIONS. 7. IN THE RESULT, FOR STATISTICAL PURPOSES THE APPE AL FILED BY THE ASSESSEE IS ALLOWED. ORDER WAS PRONOUNCED IN THE OPEN COURT ON 11.01.201 0 (A.K. GARODIA) (I.P. BANSAL ) ACCOUNTANT MEMBER JU DICIAL MEMBER DATED: *KAVITA CHOPRA COPY FORWARDED TO: - 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT TRUE COPY BY ORDER, DEPUTY REGISTRAR ITA NO. 5583/DEL/03 4