Kumar Builders, Pune V. Deputy Commissioner of Income-tax, Circle - 7, Pune

ITA 567/PUN/2018

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 4492 (ITAT-PUNE)
• Duration Of Justice: 3 year(s) 1 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-05-2021
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 17-05-2021
• Assessment Year: 2014-2015
• Appeal Filed On: 28-03-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Unexplained cash credit; TDS

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, PUNE (THROUGH VIRTUAL COURT) BEFORE SHRI R.S.SYAL, VICE PRESIDENT AND SHRI S.S. VISWANETHRA RAVI , J UDICIAL M EMBER . / I TA NO. 567 /PUN/20 18 / ASSESSMENT YEAR : 2014 - 15 KUMAR BUILDERS, 10 TH FLOOR, KUMAR BUSINESS CENTRE (KBC) OPP. PUNE CENTRAL, BUND GARDEN ROAD, PUNE - 411 001 . PAN : AACFK1478L ....... / APPELLANT / V/S. THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE - 7, PUNE. / RESPONDENT A SSESSEE BY : NONE REVENUE BY : SHRI DEEPAK GARG / DATE OF HEARING : 17.05.2021 / DATE OF PRONOUNCEMENT : 25 .05 .202 1 / ORDER PER S.S. VISWANETHRA RAVI , JM : THIS APPEAL BY THE ASSESSE IS DIRECTED AGAINST THE ORDER DATED 21.11.2017 PASSED BY THE LD. CIT(APPEALS), PUNE - 5, PUNE FOR THE ASSESSMENT YEAR 2014 - 15. 2. THE ONLY ISSUE IS TO BE DECIDED AS TO WHETHER THE LD. CIT(APPEALS) IS JUSTIFIED IN CONFIRMING THE ADDITION S MADE BY THE ASSESSING OFFICER , IN ABSENCE OF THE ASSESSE IN THE FACTS AND CIRCUMSTANCES IN THIS CASE. 2 ITA NO. 567 /PUN/20 18 A.Y. 2014 - 15 3. WE FIND NO REPRESENTATION ON BEHALF OF THE ASSESSEE NOR ANY APPLICATION SEEKING ADJOURNMENT. THE ASSESSEE CALLED ABSENT AND SAID EX - PARTE AND THEREFORE, WE PROCEED TO HEAR THE LD. DR AND PASS THE ORDER USING MATERIAL AVAILABLE ON RECORD. 4. HEARD THE LD. DR AND PERUSED THE MATERIALS AVAILABLE ON RECORD. WE NOTE THAT THE ASSESSE IS ENGAGED IN THE BUSINESS OF REAL ESTATE AND FILED RETURN OF INCOME DECLARING TOTAL INCOME OF RS.1,00,94,909/ - WHEREIN UNDER SCRUTINY ASSESSMENT PROCEEDINGS, THE ASSESSING OFFICER DE TERMINED TOTAL INCOME OF THE ASSESSEE AT RS.13,25,75,521/ - AFTER MAKING ADDITIONS ON ACCOUNT OF UNEXPLAINED CASH CREDIT, DISALLOWANCE OF EXPENDITURE U/S.36(1)(III) OF THE INCOME TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT), DISALLOWANCE ON COMMISSI ON PAYMENT, DISALLOWANCE OF INCOME FROM HOUSE PROPERTY AND DISALLOWANCE OF INCORRECT CLAIM OF TDS CREDIT VIDE HIS ORDER DATED 29.12.2016 PASSED U/S.143(3) OF THE ACT. 5. AGGRIEVED BY THE ORDER OF THE ASSESSING OFFICER, THE ASSESSE CHALLENGED THE SAME BEFO RE THE LD. CIT(APPEALS) AND AS IT APPEARS FROM THE RECORD, THE LD. CIT(APPEALS) HAS GIVEN OPPORTUNITY TO THE ASSESSE BUT THE ASSESSEE COULD NOT MAKE ITS PRESENCE BEFORE THE LD. CIT(APPEALS) TO PROSECUTE THE GROUNDS OF APPEAL RAISED BEFORE HIM. 6. THE LD. DR VEHEMENTLY SUBMITTED THAT THE LD. CIT(APPEALS) HAS GIVEN FIVE OPPORTUNITIES TO THE ASSESSEE BUT THE ASSESSEE FAILED TO APPEAR BEFORE HIM. THE ASSESSEE HAS TO EXPLAIN THE REASON FOR NON - APPEARANCE BEFORE THE LD. CIT(APPEALS). WE NOTE THAT AS DISCUSSED AB OVE, THE ASSESSING O FFICER MADE ADDITION ON ACCOUNT OF UNEXPLAINED CASH CREDIT, DISALLOWANCE OF EXPENDITURE U/S.36(1)(III) OF THE ACT, DISALLOWANCE ON COMMISSION PAYMENT, DISALLOWANCE OF INCOME FROM HOUSE PROPERTY AND DISALLOWANCE OF INCORRECT 3 ITA NO. 567 /PUN/20 18 A.Y. 2014 - 15 CLAIM OF TDS AND THE LD. CIT(APPEALS) CONFIRMED THE SAME F OR NON - APPEARANCE OF THE ASSESSEE . FURTHER, WE NOTE THAT THE LD. CIT(APPEALS) DID NOT ADJUDICATE THE ISSUES RAISED BEFORE HIM ON MERITS. THEREFORE, IT CLEARLY ESTABLISH THAT THE APPEAL OF THE ASSESSEE WAS DISPO SED OF BY THE LD. CIT(APPEALS) FOR NON - APPEARANCE OF THE ASSESSEE WITHOUT ADJUDICATING THE ISSUES ON MERITS. THEREFORE, IN OUR OPINION, THE ASSESSEE SHOULD BE GIVEN ONE FINAL OPPORTUNITY BEFORE THE LD. CIT(APPEAL) TO PROSECUTE ITS GROUNDS AND THEREFORE, WE REMAND THE MATTER BACK TO THE FILE OF THE LD. CIT(A) FOR HIS FRESH ADJUDICATION. NEEDLESS TO SAY, THE LD. CIT(A) SHALL GRANT REASONABLE OPPORTUNITY OF HEARING TO THE ASSESSEE IN ACCORDANCE WITH LAW . 7. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRO NOUNCED ON 25 TH DAY OF MAY, 2021 . S D/ - S D/ - R.S.SYAL S.S. VISWANETHRA RAVI VICE PRESIDENT JUDICIAL MEMBER / PUNE; / DATED : 25 TH MAY, 2021 . SB / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. THE CIT(APPEALS), PUNE - 5, PUNE. 4. THE PR. CIT, PUNE - 4, PUNE. 5. , , , / DR, ITAT, B BENCH, PUNE. 6 . / GUARD FILE. / BY ORDER, // T RUE C OPY // / PRIVATE SECRETARY , / ITAT, PUNE . 4 ITA NO. 567 /PUN/20 18 A.Y. 2014 - 15 DATE 1 DRAFT DICTATED ON 17.05.2021 SR.PS/PS 2 DRAFT PLACED BEFORE AUTHOR 25 .05.2021 SR.PS/PS 3 DRAFT PROPOSED AND PLACED BEFORE THE SECOND MEMBER JM/AM 4 DRAFT DISCUSSED/APPROVED BY SECOND MEMBER AM/JM 5 APPROVED DRAFT COMES TO THE SR. PS/PS SR.PS/PS 6 KEPT FOR PRONOUNCEMENT ON SR.PS/PS 7 DATE OF UPLOADING OF ORDER SR.PS/PS 8 FILE SENT TO BENCH CLERK SR.PS/PS 9 DATE ON WHICH THE FILE GOES TO THE HEAD CLERK 10 DATE ON WHICH FILE GOES TO THE A.R 11 DATE OF DISPATCH OF ORDER