SSVS Buildcon Pvt. Ltd., New Delhi V. ACIT, Circle- 24(1), New Delhi

ITA 6458/DEL/2017

• Counselvise Citation: [2018] 126 COUNSELVISE.COM (IT) 3510 (ITAT-DELHI)
• Duration Of Justice: 3 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-02-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2010-2011
• Appeal Filed On: 25-10-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B R MISHRA
• Keywords: Opportunity of being heard; Reasonable cause
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH SMC, NEW DELHI BEFORE SHRI R. K. PANDA, ACCOUNTANT MEMBER ITA NO.6458/DEL/2017 ASSESSMENT YEAR : 2014-15 SSVS BUILDCON PVT. LTD., C/O AKHILESH KUMAR, ADVOCATE, CHAMBER NO.206-207, ANSAL SATYAM, RDC RAJ NAGAR, GHAZIABAD. VS. ACIT, CIRCLE- 24(1), NEW DELHI. PAN : AAKCS6929D (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI PUSHKAR PANDEY, ADV. DEPARTMENT BY : SHRI B. R. MISHRA, SR.DR DATE OF HEARING : 12-02-2018 DATE OF PRONOUNCEMENT : 13-02-2018 O R D E R PER R. K. PANDA, AM : THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAIN ST THE ORDER DATED 01.09.2017 OF CIT(A)- 28, NEW DELHI RELATING TO ASS ESSMENT YEAR 2014-15. 2. THE GROUNDS RAISED BY THE ASSESSEE ARE AS UNDER :- 1. THAT, LEARNED CIT(A) ERRED IN DISMISSING THE AP PEAL IN LIMINE WITHOUT PROVIDING PROPER OPPORTUNITY OF BEING HEARD AS THE AR ENGAGED FOR REPRESENTING APPEAL HAD FALLEN ILL AND COULD NOT ATTEND ON THE L AST DATE OF HEARING ON 1.09.2017 AND HENCE ASSESSEE WAS PREVENTED WITH SUFFICIENT CAUSE FOR NON-COMPLIANCE. 2. THAT, LEARNED CIT(A) ERRED IN NOT CONSIDERING TH E GROUND OF APPEAL AT LEAST WITH MATERIAL ON THE RECORD AND DISMISSED THE APPEA L IN LIMINE WHICH IS AGAINST THE SETTLED LAW. 3. THAT, WITHOUT PREJUDICE TO ABOVE AND AS AN ALTER NATIVE, LD. AO ERRED IN LAW AND ON FACTS IN TAXING THE AGRICULTURE LAND BY HOLD ING THE SAME AS INVENTORY. 4. THAT, IN ADDITION TO ABOVE LD. AO HAS FURTHER ER RED IN NOT ALLOWING SET OFF OF CARRY FORWARD AND CURRENT YEAR BUSINESS LOSSES WITH OUT ANY FINDING OR MATERIAL AGAINST THE ASSESSEE. 2 ITA NO.6458/DEL/2017 3. FACTS OF THE CASE, IN BRIEF, ARE THAT THE ASSESS EE IS A COMPANY AND FILED ITS RETURN OF INCOME ON 27.09.2015 DECLARING NIL INCOME AND AGRICULTURAL INCOME OF RS.48,81,435/-. THE ASSESSING OFFICER COMPLETED TH E ASSESSMENT U/S 143(3) DETERMINING THE TOTAL INCOME AT RS.33,68,276/-. TH E ASSESSEE PREFERRED AN APPEAL BEFORE THE LD. CIT(A). SINCE THERE WAS NON- APPEARANCE BY THE ASSESSEE BEFORE THE LD. CIT(A), HE DISMISSED THE APPEAL FILE D BY THE ASSESSEE ON THE GROUND THAT THE ASSESSEE IS NOT INTERESTED IN PURSU ING THE APPEAL FILED BY IT. 4. LD. COUNSEL FOR THE ASSESSEE APPEARED AND EXPLAI NED THE REASONS FOR NON- APPEARANCE BEFORE THE LD. CIT(A), ACCORDING TO WHIC H, THE THEN COUNSEL FOR THE ASSESSEE WAS SUFFERING FROM FEVER. HE SUBMITTED TH AT THE LD. CIT(A) HAS NOT PASSED THE ORDER ON MERIT AND HAS SIMPLY DISMISSED THE APPEAL FOR WANT OF PROSECUTION. HE SUBMITTED THAT IN THE INTEREST OF JUSTICE, THE ASSESSEE SHOULD BE GIVEN AN OPPORTUNITY TO SUBSTANTIATE ITS CASE BEFOR E THE LD. CIT(A). HE, ACCORDINGLY, SUBMITTED THAT THE MATTER MAY BE RESTO RED TO THE FILE OF THE LD. CIT(A) FOR ADJUDICATION OF THE ISSUE AFRESH ON MERI T AFTER GIVING DUE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. 5. LD. DR STRONGLY OPPOSED THE ARGUMENT ADVANCED BY THE LD. COUNSEL FOR THE ASSESSEE AND SUBMITTED THAT SINCE THERE WAS NON -COMPLIANCE, LD. CIT(A) HAS RIGHTLY DISMISSED THE APPEAL FILED BY THE ASSESSEE. 6. AFTER HEARING BOTH THE SIDES, I FIND THE LD. CIT (A) HAS DISMISSED THE APPEAL FILED BY THE ASSESSEE DUE TO NON-APPEARANCE AND HE HAS NOT DECIDED THE 3 ITA NO.6458/DEL/2017 APPEAL ON MERIT. LD. COUNSEL OF THE ASSESSEE HAS E XPLAINED THE REASONS FOR SUCH NON-APPEARANCE WHICH IN MY OPINION WAS A REASONABLE CAUSE. CONSIDERING THE TOTALITY OF THE FACTS OF THE CASE AND IN THE INTERE ST OF JUSTICE, I DEEM IT PROPER TO RESTORE THE ISSUE TO THE FILE OF THE LD. CIT(A) WIT H A DIRECTION TO GIVE ONE FINAL OPPORTUNITY TO THE ASSESSEE TO SUBSTANTIATE ITS CAS E. THE ASSESSEE IS ALSO HEREBY DIRECTED NOT TO SEEK ANY ADJOURNMENT AND APPEAR BEF ORE THE LD. CIT(A) FOR EARLY COMPLETION OF THE HEARING. THE GROUNDS RAISED BY T HE ASSESSEE ARE ACCORDINGLY ALLOWED FOR STATISTICAL PURPOSES. 7. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 13 TH FEBRUARY, 2018. SD/- (R. K. PANDA) ACCOUNTANT MEMBER DATED: 13-02-2018. SUJEET COPY OF ORDER TO: - 1) THE APPELLANT 2) THE RESPONDENT 3) THE CIT 4) THE CIT(A) 5) THE DR, I.T.A.T., NEW DELHI BY ORDER //TRUE COPY// ASSISTANT REGISTRAR ITAT, NEW DELHI