Sh. Kamaldeep Singh, Ludhiana V. ACIT, C-6, Ludhiana

ITA 57/CHANDI/2019

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 1501 (ITAT-CHANDIGARH)
• Duration Of Justice: 4 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-06-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2013-2014
• Appeal Filed On: 17-01-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MODIT SRIVASTAVA SR DR
• Assessee Lawyers: DAVINDER PAL SINGH
• Keywords: Opportunity of being heard; TDS; Set aside; Audi alteram partem
• Section: 143(3); 40(a)(ia); 154

Judgement Text

, .. , IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BE NCHES, SMC CHANDIGARH .., ! BEFORE: SHRI. N.K.SAINI, VICE PRESIDENT ./ ITA NO. 57/CHD/2019 / ASSESSMENT YEAR : 2013-14 SHRI KAMAL DEEP SINGH 213, BASANT AVENUE, LUDHIANA ACIT, CIRCLE-6, LUDHIANA ./ PAN NO: ALNPK8906B / APPELLANT / RESPONDENT ! ' / ASSESSEE BY : SHRI DAVINDER PAL SINGH, CA # ! ' / REVENUE BY : SHRI MODIT SRIVASTAVA, SR. DR $ % ! &/ DATE OF HEARING : 11/06/2019 '()* ! &/ DATE OF PRONOUNCEMENT : 14/06/2019 '#/ ORDER PER N.K. SAINI, VICE PRESIDENT THIS IS AN APPEAL BY THE ASSESSEE AGAINST THE ORDER DT . 08/10/2018 OF LD. CIT(A)-3, LUDHIANA. 2. THE MAIN GRIEVANCE OF THE ASSESSEE IN THIS APPEAL RE LATES TO THE DISALLOWANCE OF INTEREST AMOUNTING TO RS. 3,32,261/- UNDER SECTION 40(A) (IA) OF THE INCOME TAX ACT, 1961 (HEREINAFTER REFERRED TO AS ACT). 3. FACTS OF THE CASE IN BRIEF ARE THAT THE ASSESSE FIL ED THE RETURN OF INCOME ON 30/09/2013 DECLARING NIL INCOME AND SHOWING LOSSES OF C URRENT YEAR TO BE CARRIED FORWARD AT RS. 37,19,235/-. THE A.O. PASSED THE ASSE SSMENT ORDER UNDER SECTION 143(3) OF THE ACT ON 22/03/2016 ACCEPTING THE RETURNED LOSS. LAT ER ON THE A.O. PASSED THE ORDER UNDER SECTION 154 OF THE ACT AND DISALLOWED INTEREST OF RS. 3,32,261/- UNDER SECTION 40(A)(IA) OF THE ACT FOR THE REASON THAT THE ASSESSEE HA D NOT DEDUCTED TDS ON INTEREST PAID TO M/S RELIANCE HOUSING FINANCE. 2 4. BEING AGGRIEVED THE ASSESSEE CARRIED THE MATTER TO THE LD. CIT(A) WHO DISMISSED THE APPEAL IN LIMINE BY OBSERVING THAT THE ASSESSEE HAD NOT ATTENDED WHEN THE CASE WAS FIXED FOR HEARING ON 08/10/2018. 5. NOW THE ASSESSEE IS IN APPEAL. 6. I HAVE CONSIDERED THE SUBMISSIONS OF BOTH THE PARTIE S AND PERUSED THE MATERIAL AVAILABLE ON THE RECORD. IN THE PRESENT CASE IT IS NOTI CED THAT THE LD. CIT(A) IN PARA 4 OF THE IMPUGNED ORDER MENTIONED THE DETAILS OF THE DATE ON WHICH HEARING WAS FIXED. THE LD. CIT(A) AT SL.NO. 10, 11 & 12 OF THE CHART REPRODU CED IN THE SAID PARA 4 MENTIONED THAT THE DATE OF HEARING WAS 10/09/2018, 18/09/2018 AND THE CASE WAS ADJOURNED TO 08/10/2018, HOWEVER IT IS NOT BROUGHT ON RECORD AS TO WHETHER THE DATE OF HEARING WAS COMMUNICATED TO THE ASSESSEE OR THE NOTICE OF HEARING W AS SERVED UPON THE ASSESSEE. IT IS ALSO NOTICED THAT THE LD. CIT(A) HAS NOT ADJUDICAT ED THE ISSUE AGITATED BY THE ASSESSEE ON MERIT, HE SIMPLY DISMISSED THE APPEAL IN L IMINE IN VIEW OF NON-ATTENDANCE. IT IS WELL SETTLED THAT NOBODY SHOULD BE CONDEMNED UNH EARD AS PER THE MAXIM AUDI ALTERAM PARTEM. I THEREFORE, KEEPING IN VIEW THE PRINCIPLES OF NATU RAL JUSTICE DEEM IT APPROPRIATE TO SET ASIDE THIS CASE BACK TO THE FILE OF THE LD. CIT(A) TO BE ADJUDICATED AFRESH IN ACCORDANCE WITH LAW AFTER PROVIDING DUE AND REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. 7. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED FOR STATISTICAL PURPOSES. (ORDER PRONOUNCED IN THE OPEN COURT ON 14/06/2019 ) SD/- .., ( N.K. SAINI) ! / VICE PRESIDENT AG DATE: 14/06/2019 COPY OF THE ORDER FORWARDED TO : 1. THE APPELLANT , 2. THE RESPONDENT , 3. CIT, 4. THE CIT(A), 5. DR, ITAT, CHANDIGARH, 6. GUARD FILE