Akhil Ribbons Pvt Ltd, New Delhi V. ITO WARD - 2(1), New Delhi

ITA 6054/DEL/2019

• Counselvise Citation: [2021] 109 COUNSELVISE.COM (IT) 9060 (ITAT-DELHI)
• Duration Of Justice: 1 year(s) 5 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-01-2021
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2016-2017
• Appeal Filed On: 15-07-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: SHIVANI BANSAL
• Section: 69C; 143(3); 250

Judgement Text

INCOME TAX APPELLATE TRIBUNAL DELHI BENCH SMC-2: NEW DELHI (THROUGH VIDEO CONFERENCING) BEFORE SHRI R.K. PANDA, ACCOUNTANT MEMBER ITA NO. 6054/DEL/2019 ASSTT. YEAR 2016-17 AKHIL RIBBONS PVT. LTD. 487/21, PEERAGARHI OPP. JANTA FLATS, ROHTAK ROAD, NEW DELHI 110 041 VS. ITO, WARD 2(1) NEW DELHI. (APPELLANT) (RESPONDENT) O R D E R PER R.K. PANDA, AM THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAINST THE EX PARTE ORDER DATED 17 TH MAY 2019 PASSED BY THE LD. CIT(A)-1 , NEW DELHI RELATING TO ASSESSMENT YEAR 2016-17. ASSESSEE BY: NONE DEPARTMENT BY : MS. SHIVANI BANSAL, SR. DR DATE OF HEARING 04/01 /20 2 1 DATE OF PRONOUNCEMENT 04 / 01 /202 1 ITA NO. 6054/DEL 2019 2 2. NONE APPEARED ON BEHALF OF THE ASSESSEE DESPITE SERVICE OF NOTICE. THEREFORE, THIS APPEAL IS BEING DECIDED ON THE BASIS OF MATERIAL AVAILABLE ON RECORD AND AFTER HEARING LD. SR. DR. 3. THE ASSESSEE IN THE GROUNDS OF APPEAL HAS CHALLENGED THE EX PARTE ORDER OF THE LD. CIT(A) IN CONFIRMING THE ADDITION OF RS. 29,73,600/- MADE BY THE AO U/S 69C OF THE I.T. ACT 1961. 4. FACTS OF THE CASE, IN BRIEF, ARE THAT THE ASSESSEE IS A COMPANY AND FILED ITS RETURN OF INCOME ON 17 TH OCTOBER, 2016 DECLARING TOTAL LOSS OF RS. 5,35,026/-. THE CASE OF THE ASSESSEE WAS SELECTED FOR LIMITED SCRUTINY THROUGH CASS. THE AO IN THE ORDER PASSED U/S 143(3) MADE ADDITION OF RS. 29,73,600/- ON THE GROUND THAT THE ADVANCE PAYMENT OF 40000 EURO MADE BY THE ASSESSEE REMAINED UNEXPLAINED ON ACCOUNT OF NON SUBMISSION OF ANY DETAILS. 4.1 IN APPEAL THE LD. CIT(A) IN THE EX PARTE ORDER PASSED BY HIM SUSTAINED THE ADDITION MADE BY THE AO. ITA NO. 6054/DEL 2019 3 4.2 AGGRIEVED WITH SUCH ORDER OF THE LD. CIT(A), THE ASSESSEE IS IN APPEAL BEFORE THE TRIBUNAL. 5. I HAVE HEARD THE LD. SR. DR AND PERUSED THE RECORD. A PERUSAL OF THE ORDER OF THE CIT(A) SHOWS THAT HE HAS DISMISSED THE APPEAL ON ACCOUNT OF NON APPEARANCE OF THE ASSESSEE BY FOLLOWING THE DECISION OF HONBLE MADHYA PRADESH HIGH COURT IN THE CASE OF ESTATE OF LATE TUKOJIRAO HOLKAR VS. CWT 223 ITR 480. HE, HOWEVER, HAS NOT DECIDED THE APPEAL ON MERIT. AS PER THE PROVISIONS OF SECTION 250 (6) THE ORDER OF THE CIT(A) DISPOSING OF THE APPEAL SHALL BE IN WRITING AND SHALL STATE THE POINTS FOR DETERMINATION, THE DECISION THEREON AND THE REASON FOR THE DECISION. HOWEVER, IN THE INSTANT CASE THE LD. CIT(A) HAS NOT GIVEN ANY REASON FOR HIS DECISION ON MERITS BUT HAS SIMPLY DISMISSED THE APPEAL ON ACCOUNT OF NON APPEARANCE WHICH IS NOT AS PER THE STATUTE. I, THEREFORE, DEEM IT PROPER TO RESTORE THE ISSUE TO THE FILE OF THE LD. CIT(A) WITH A DIRECTION TO DECIDE THE APPEAL ON MERIT BY PASSING A SPEAKING ORDER AFTER GIVING ONE LAST OPPORTUNITY TO THE ASSESSEE TO SUBSTANTIATE ITS CASE. THE ASSESSEE IS ALSO HEREBY DIRECTED TO APPEAR BEFORE THE LD. CIT(A) AND SUBSTANTIATE ITS CASE FAILING WHICH THE LD. CIT(A) IS AT LIBERTY TO PASS APPROPRIATE ORDER AS PER LAW. I HOLD AND DIRECT ACCORDINGLY. ITA NO. 6054/DEL 2019 4 6. IN THE RESULT THE APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT AT TIME OF HEARING ITSELF I.E. ON 04 TH JANUARY, 2021. SD/- (R.K. PANDA) ACCOUNTANT MEMBER DATED: 04/01/2021 VEENA COPY FORWARDED TO 1. APPLICANT 2. RESPONDENT 3. CIT 4. CIT (A) 5. DR:ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI DATE OF DICTATION 04 / 01 /202 1 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 04 / 01 /202 1 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR. PS/PS DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. PS/PS DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT DATE ON WHICH THE FILE GOES TO THE BENCH CLERK DATE ON WHICH THE FILE GOES TO THE HEAD CLERK THE DATE ON WHICH THE FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER