M/s. B.S. Industries, Aurangabad V. Deputy Commissioner of Income-tax, Circle - 1, Aurangabad

ITA 585/PUN/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 5212 (ITAT-PUNE)
• Duration Of Justice: 10 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-02-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2010-2011
• Appeal Filed On: 15-04-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Assessee Lawyers: R G NAHAR
• Keywords: Reopening of assessment; Opportunity of being heard; Set aside
• Section: 143(3); 201; 148

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, PUNE BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI ANIL CHATURVEDI, ACCOUNTANT MEMBER . / ITA NO . 585 /PUN/201 9 / ASSESSMENT YEAR : 20 1 0 - 1 1 M/S. B.S. INDUSTRIES, GATE NO.86, VAIRAGARH, LASUR STATION, TALUKA - GANGAPUR, DIST. AURANGABAD. PAN: AAIFB6144N ....... / APPELLANT / V/S. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 1, AURANGABAD / RESPONDENT ASSESSEE BY : SHRI R.G. NAHAR REVENUE BY : SHRI DEEPAK GARG / DATE OF HEARING : 1 9 - 02 - 2020 / DATE OF PRONOUNCEMENT : 19 - 0 2 - 20 20 / ORDER PER GEORGE MATHAN, JM : THIS IS AN APPEAL FILED BY THE ASSESSEE AGAINST THE ORDER OF THE LD. COMMISSIONER OF INCOME TAX (APPEALS) - 1 , AURANGABAD IN APPEAL NO. ABD /CIT(A) - 1 / 315/2017 - 18 DATED 30.01.2018, DATED 3 1 - 0 1 - 201 9 FOR THE ASSESSMENT YEAR 201 0 - 1 1 . 2 ITA NO.585/PUN/2019 M/S. B.S. INDUSTRIES 2 . SHRI R.G. NAHAR REPRESENTED ON BEHALF OF THE ASSESSEE AND SHRI DEEPAK GARG REPRESENTED ON BEHALF OF THE REVENUE. 3 . IT WAS SUBMITTED BY THE LD. AR THAT THE LD. CIT(A) HAD DISMISSED ASSESSEES APPEAL. IT WAS THE SUBMISSION BY LD. AR THAT IN PARAS 2 & 3 OF THE ORDER OF LD. CIT(A), LD. CIT(A) HAS RECORDED EIGHT OPPORTUNITIES. IT WAS THE SUBMISSION THAT AS THE ASSESSEE HAD NOT BEEN REPRESENTED, LD. CIT(A) HAD ON THE BASIS OF EVIDENCES AVAILABLE ON RECORD, DECIDED THE APPEAL. IT WAS THE PRAYER THAT THE ASSESSEE MAY BE GRA NTED ANOTHER OPPORTUNITY TO REPRESENT ITS CASE BEFORE THE LD. CIT(A). IT WAS ALSO THE SUBMISSION THAT THE REOPENING OF ASSESSMENT WAS BAD IN LAW IN SO FAR AS THE ORIGINAL ASSESSMENT HAD BEEN COMPLETED U/S 143(3) OF THE INCOME - TAX ACT, 1961 (HEREINAFTER RE FERRED TO AS THE ACT) ON 18.03.2013 AND THE NOTICE U/S 148 OF THE ACT HAD BEEN ISSUED ON 31.03.2017 WHICH IS BEYOND THE PERIOD OF FOUR YEARS. IT WAS THE SUBMISSION THAT IN THE REASONS RECORDED , THERE IS NO FINDING THAT THERE WAS FAILURE ON THE PART OF A SSESSEE TO DISCLOSE FULLY AND TRULY ALL MATERIAL FACTS REQUIRED FOR THE PURPOSE OF ITS ASSESSMENT. IT WAS THE PRAYER THAT THE REOPENING OF ASSESSMENT MAY BE QUASHED. 4. IN REPLY, THE LD. DR VEHEMENTLY SUPPORTED THE ORDERS OF ASSESSING OFFICER AND LD. CIT (A) . I T WAS THE SUBMISSION THAT LD. CIT(A) HAD GRANTED ASSESSEE SUBSTANTIAL NUMBER OF OPPORTUNITIES AND THE ASSESSEE HAD NOT MADE USE OF ANY OF THESE OPPORTUNITIES. IT WAS THE SUBMISSION THAT THE ARGUMENTS WHICH HAVE NOT BEEN RAISED BEFORE THE LD. CIT(A) OR ASSESSING OFFICER SHOULD NOT BE NOW PERMITTED TO BE TAKEN BEFORE THE TRIBUNAL. IT WAS THE SUBMISSION THAT HE HAS NO OBJECTION IF THE ASSESSEE IS GRANTED ANOTHER OPPORTUNITY TO REPRESENT ITS CASE BEFORE LD. CIT(A), SUBJECT TO PAYMENT OF COSTS. 3 ITA NO.585/PUN/2019 M/S. B.S. INDUSTRIES 5. WE H AVE CONSIDERED THE RIVAL SUBMISSIONS. ADMITTEDLY, LD. CIT(A) HAS GRANTED MULTIPLE OPPORTUNITIES TO THE ASSESSEE FOR REPRESENTING ITS APPEAL BEFORE HIM, WHICH IS SPECIFICALLY RECORDED IN PARAS 2 AND 3 OF THE ORDER OF LD. CIT(A). IT IS AN ADMITTED FACT THA T THE ASSESSEE HAS NOT COOPERATED IN THE DISPOSAL OF APPEAL. THIS BEING SO, CONSIDERING THE PRAYER OF LD. AR THAT THERE WAS DEATH IN THE FAMILY OF PARTNERS OF THE ASSESSEE WHICH HAD LED TO THE NON - COMPLIANCE AND CONSIDERING THE PRINCIPLES OF NATURAL JUSTI CE, WE ARE OF THE VIEW THAT THE ASSESSEE MUST BE GRANTED ANOTHER OPPORTUNITY TO REPRESENT ITS CASE BEFORE THE LD. CIT(A). HOWEVER, THIS MUST BE AT A COST AS HAS BEEN PLEADED BY LD. DR. UNDER THE SAID CIRCUMSTANCES, THE IMPUGNED ORDER OF LD. CIT(A) IS SET ASIDE AND THE ISSUES IN APPEAL ARE RESTORED TO THE FILE OF LD. CIT(A) FOR RE - ADJUDICATION AFTER GRANTING THE ASSESSEE AN ADEQUATE OPPORTUNITY OF BEING HEARD. THIS IS SUBJECT TO THE ASSESSEE PAYING COST OF RS.5,000/ - TO THE PRIME MINISTERS NATIONAL RELIE F FUND AND PRODUCE THE RECEIPT OF THE SAME BEFORE LD. CIT(A) ON THE FIRST DATE OF HEARING, TO BE PROVIDED BY THE LD. CIT(A). IF THE ASSESSEE DOES NOT COMPLY WITH THE ABOVE DIRECTIONS ON THE FIRST DATE OF HEARING AS PROVIDED BY THE LD. CIT(A), LIBERTY IS GRANTED TO LD. CIT(A) TO DISMISS THE APPEAL OF ASSESSEE FOR NON - COMPLIANCE. 6 . IN THE RESULT, THE APPEAL OF ASSESSEE IS PARTLY ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 1 9 T H FEBRUARY, 2020 . SD/ - SD/ - (ANIL CHATURVEDI) ( GEORGE MATHAN ) ACCOUNTANT MEMBER JUDICIAL MEMBE R / PUNE; / DATED : 1 9 T H F EBRUARY, 20 20 GCVSR 4 ITA NO.585/PUN/2019 M/S. B.S. INDUSTRIES / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3. ( ) / THE CIT(A) - 1 , AURANGABAD 4. THE PR. CIT - 1, AURANGABAD 5. , , , / DR, ITAT, A BENCH, PUNE. 6. / GUARD FILE. / BY ORDER, // // TRUE COPY// / SR. PRIVATE SECRETARY , / ITAT, PUNE