M/s Shubham Ginning Pressing Pvt. Ltd., Jasdan V. The Commr. of Income Tax-II, RAJKOT-GUJARAT

ITA 622/RJT/2014

• Counselvise Citation: [2018] 125 COUNSELVISE.COM (IT) 8882 (ITAT-RAJKOT)
• Duration Of Justice: 3 year(s) 4 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 01-03-2018
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: DB
• Assessment Year: 2010-2011
• Appeal Filed On: 31-10-2014
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: MJ RANPURA
• Section: 143(3); 263

Judgement Text

, IN THE INCOME TAX APPELLATE TRIBUNAL, RAJKOT [CONDUCTED THROUGH E COURT AT AHMEDABAD] BEFORE SHRI RAJPAL YADAV, JUDICIAL MEMBER AND SHRI AMARJIT SINGH, ACCOUNTANT MEMBER ./ I TA.NO.622/RJT/2014 ASSTT.YEAR 2010-2011 SHUBHAM GINNING PRESSING P.LTD. GEETA NAGAR ATKOT ROAD JASDAN 360 050. VS THE CIT - II RAJKOT. %& / (APPELLANT) '( %& / (RESPONDENT) ASSESSEE BY : SHRI M.J. RANPURA, AR REVENUE BY : SHRI JITENDRA KUMAR, CIT-DR / DATE OF HEARING : 07/12/2017 / DATE OF PRONOUNCEMENT: 01 /03/2018 )*+/ O R D E R PER RAJPAL YADAV, JUDICIAL MEMBER: PRESENT APPEAL IS DIRECTED AT THE INSTANCE OF THE A SSESSEE AGAINST ORDER OF LD.CIT-II, RAJKOT DATED 1.9.2014 PASSED UNDER SE CTION 263 OF INCOME TAX ACT, 1961. 2. THOUGH THE ASSESSEE HAS TAKEN FOUR GROUNDS OF AP PEAL, ITS GRIEVANCE REVOLVES AROUND A SINGLE ISSUE VIZ. THE LD.CIT(A) H AS ERRED IN TAKING COGNIZANCE UNDER SECTION 263 OF THE ACT AND SETTING ASIDE ASSESSMENT ORDER FOR FRAMING FRESH ASSESSMENT ORDER AFTER EXAMINING ALL ISSUES. 3. IT IS PERTINENT TO NOTE THAT THE ASSESSMENT ORDE R UNDER SECTION 143(3) WAS PASSED IN THE CASE OF ASSESSEE FOR THE ASSTT.YE AR 2010-11 ON 25.3.2013. ITA NO.622/RJT/2014 2 THEREAFTER, THE LD.CIT TOOK COGNIZANCE UNDER SECTIO N 263 AND OBSERVED THAT THE CASE OF THE ASSESSEE WAS SELECTED FOR SCRUTINY AFTER APPROVAL OF CCIT FOR VERIFYING FRESH UNSECURED LOAN AND SHARE CAPITAL RECEIVED IN THIS YEAR. THESE ISSUES HAVE NOT BEEN EXAMINED BY THE AO THORO UGHLY, THEREFORE, HE ISSUED A DETAILED SHOW CAUSE NOTICE RUNNING IN TO 5 PAGES ON 15.10.2013. AFTER HEARING THE ASSESSEE, THE LD.COMMISSIONER HAS SET ASIDE ORIGINAL ASSESSMENT ORDER AND DIRECTED THE AO TO FRAME FRESH ASSESSMENT ORDER AFTER CONSIDERING ALL THESE ISSUES. THE LD.AO HAS PASSED AN ASSESSMENT ORDER ON 3.11.2015 UNDER SECTION 143(3) R.W.S. 263 OF THE AC T. HE HAS EXAMINED ISSUES OF SHARE CAPITAL AS WELL AS OTHER ISSUES. TOTAL IN COME HAS BEEN DETERMINED AT RS.12,22,010/- AS AGAINST RETURNED INCOME OF RS.1,2 2,010/-. THE LD.CIT DIRECTED THE AO TO EXAMINE UNSECURED LOAN OF RS.98, 83,700/- RECEIVED FROM TRADERS. IT APPEARS THAT BOTH THESE ISSUES HAVE BE EN EXAMINED BY THE AO AND HE PARTLY ACCEPTED THE STAND OF THE ASSESSEE. DISS ATISFIED WITH THE ASSESSMENT ORDER PASSED UNDER SECTION 143(3) R.W.S. 263, THE A SSESSEE CARRIED THE MATTER IN APPEAL BEFORE THE LD.CIT(A). THE LD.CIT(A) HAS DEL ETED THE ADDITION MADE BY THE AO VIDE ORDER DATED 1.9.2017. THUS ALL GRIEVANC ES OF THE ASSESSEE HAVE BEEN REDRESSED BY THE LD.CIT(A). 4. CONSIDERING THE ABOVE DEVELOPMENTS, WE ARE OF TH E VIEW THAT THIS APPEAL DESERVES TO BE DISMISSED BECAUSE IN PURSUANC E OF THE IMPUGNED ORDER PASSED UNDER SECTION 263 THE AO HAS FRAMED ASSESSME NT. HE HAS NOT MADE MUCH ADDITIONS AS DISCUSSED IN 263-ORDER AS WELL AS IN THE SHOW CAUSE NOTICE. THEREAFTER, GRIEVANCE OF THE ASSESSEE HAS BEEN REDR ESSED BY THE LD.CIT(A). TECHNICALLY, THIS APPEAL IS REDUNDANT AND ONLY AN A CADEMIC EXERCISE WOULD BE THERE TO ADJUDICATE IT. THEREFORE, WE DO NOT DEEM IT NECESSARY TO GO THROUGH ITA NO.622/RJT/2014 3 VARIOUS CONTENTIONS OF THE ASSESSEE AND CONFIRM THE ORDER PASSED BY THE LD.COMMISSIONER. ACCORDINGLY, APPEAL OF THE ASSESS EE IS DISMISSED. 5. IN THE RESULT, APPEAL OF THE ASSESSEE IS DISMISS ED. ORDER PRONOUNCED IN THE COURT ON 1 ST MARCH, 2018 AT AHMEDABAD. SD/- SD/- (AMARJIT SINGH) ACCOUNTANT MEMBER (RAJPAL YADAV) JUDICIAL MEMBER AHMEDABAD; DATED 01/03/2018