Paras Sports & Educational Society, Adampur V. THE Commissioner of Income Tax (Exemption), Chandigarh

ITA 652/ASR/2016

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 3295 (ITAT-AMRITSAR)
• Duration Of Justice: 2 year(s) 3 month(s) 22 day(s)
• Appeal Type: Income Tax (International Taxation) Appeal
• Pronouncement Date: 20-04-2019
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 28-02-2019
• Assessment Year: 2015-2016
• Appeal Filed On: 29-12-2016
• Result in Favour of: Revenue
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR BEFORE SH. SANJAY ARORA, ACCOUNTANT MEMBER AND SH. N. K. CHOUDHRY, JUDICIAL MEMBER ITA NO. 652(ASR)/2016 ASSESSMENT YE AR: 2015-16 PARAS SPORTS & EDUCATIONAL SOCIETY, AMRITSAR. [PAN: AABTP 0679J] VS. COMMISSIONER OF INCOME TAX (EXEMPTIONS), CHANDIGARH. (APPELLANT) (RESPONDENT) APPELLANT BY : NONE RESPONDENT BY: SH. CHARAN DASS (LD.DR) DATE OF HEARING: 28.02.2019 DATE OF PRONOUNCEMENT: 28.02.2019 ORDER PER N.K.CHOUDHRY, JM: THE ASSESSEE HAS CHALLENGED THE ORDER DATED 28.10.2016 IM PUGNED HEREIN PASSED BY THE LD. CIT(EXEMPTIONS), CHANDIGARH, U/S 10(23C)(VI) OF THE I.T. ACT, 1961 (HEREINAFTER CALLED AS THE ACT) FO R ASST. YEAR: 2015-16. 2. AT THE TIME OF HEARING ON TODAY I.E. 28.02.2019, T HE ASSESSEE/SOCIETY NEITHER ATTENDED THE PROCEEDINGS THROUGH ITS AUTHORIZE D REPRESENTATIVE NOR FILED ANY APPLICATION FOR ADJOURNMENT. FROM COLUMN-1 0 OF FORM-36, IT APPEARS THAT THE ASSESSEE HAS GIVEN TWO ADDRESSES FOR RECEIVI NG THE NOTICES WHICH ARE AS UNDER: (I) PARAS SPORTS & EDUCATIONAL SOCIETY, JK BUILDI NG, OPP. KHALSA COLLEGE FOR WOMEN, AMRITSAR. (II) C.A. RAJESH SHARMA, C/O RAJESH KRISHAN SHARMA & CO., SCO 167-186, GUJRAL NAGAR MARKET, JALANDHAR CITY-14 4001. ITA NO. 652/ASR/2016 (AY 2015-16) PARAS SPORTS & EDUCATIONAL SOCIETY V. CIT(E) 2 3. THAT FOR COMMUNICATING THE LAST DATE HEARING ON DATE D 31.12.2018, NOTICE WAS SENT AT THE ADDRESS -1, THROUGH REGISTERED PO ST AD, HOWEVER THE SAME WAS RETURNED BACK UN-SERVED AND THEREFORE THE NOTI CE FOR TODAY'S HEARING I.E. FOR 28.02.2019 WAS SENT AT ADDRESS NO.2 O F THE ASSESSEE THROUGH REGISTERED POST AD WHICH ALSO RETURNED UN-SERVE D WITH THE POSTAL REMARKS SHOP LOCKED'/11.01.2019. 4. RULE 19(2) OF THE INCOME-TAX (APPELLATE TRIBUNAL) R ULES, 1963, ENUMERATED THE CONDITIONS QUA ADMISSIBILITY OF APPEAL FOR HEARING, WHICH FOR THE SAKE OF BREVITY AND READY REFERENCE REPRODUCED HER EIN BELOW. '19(1) THE TRIBUNAL SHALL NOTIFY TO THE PARTIES SPE CIFYING THE DATE AND PLACE OF HEARING OF THE APPEAL AND SEND A COPY OF THE MEMORANDUM OF APPEAL TO THE RESPONDENT EITHER BEFORE OR WITH SUCH NOTICE. (2) THE ISSUE OF THE NOTICE REFERRED TO IN SUB-RULE (1) SHALL NOT BY ITSELF BE DEEMED TO MEAN THAT THE APPEAL HAS BEEN ADMITTED. ' 4.1 THE TRIBUNAL IN THE CASE OF CIT VS. MULTIPLAN INDIA L TD, REPORTED IN 38 ITD 320(DEL.), WHILE DEALING WITH THE IDENTICAL SITUA TION CONSIDERED THE PARA METERS FOR ADMISSIBILITY OF APPEAL FOR HEARING, AND DI SMISSED THE APPEAL OF THE ASSESSEE BEING UN-ADMITTED BY OBSERVING AS UNDER: '4. A JUDICIAL BODY HAS CERTAIN INHERENT POWERS. DE CISIONS ARE TAKEN FOR THE PURPOSE OF PROPER AND EXPEDITIOUS DISPOSAL OF T HE APPEALS IN PRESENT CLIMATE OF MOUNTING ARREARS PARTLY DUE TO APPEALS B EING FILED WITHOUT PROPER APPLICATION OF MIND TO FACTS AND LAW AND ALS O AT TIMES FOR ALTOGETHER EXTRANEOUS CONSIDERATIONS. THEREFORE, ON THE BASIS OF INHERENT POWERS THE TRIBUNAL TREATED THE APPEAL AS UNADMITTE D. THE PROVISIONS OF RULE 19 OF THE APPELLATE TRIBUNAL RULES SUPPORT SUC H ACTION BY STATING THAT MERE ISSUE OF NOTICE COULD NOT BY ITSELF MEAN THAT APPEAL HAD BEEN ADMITTED. THIS RULE ONLY CLARIFIED THE POSITION. TH ERE IS JUSTIFICATION FOR RULE 19(2). WHEN THE APPEAL IS PRESENTED THE SAME IS ACC EPTED. THEREAFTER THE CONCERNED CLERK IN REGISTRY VERIFIES WHETHER ACCOMP ANYING DOCUMENTS ARE RECEIVED OR NOT AND IF NOT A MEMO IS ISSUED CALLING FOR THE PAPERS WHICH ARE ALSO REQUIRED TO BE ATTACHED TO APPEAL MEMO. BU T AT NO STAGE USUALLY ITA NO. 652/ASR/2016 (AY 2015-16) PARAS SPORTS & EDUCATIONAL SOCIETY V. CIT(E) 3 THE SCRUTINY IS MADE ON POINTS WHETHER THE APPEAL M EMO AND CONTENTS REALLY CONFORM TO VARIOUS APPELLATE TRIBUNAL RULES OR IS IT A LEGALLY VALID APPEAL UNDER SECTION 253 OF THE ACT. THOSE POINTS I F ARISING CAN BE CONSIDERED ONLY AT A TIME OF HEARING. AND THAT IS WHY THE RULE PRESCRIBES THAT MERE ISSUE OF NOTICE DOES NOT MEAN APPEAL IS ADMITTED. THIS ACCORDING TO US, IS T HE SIGNIFICANCE OF RULE 19(2). 5. IT WAS SUBMITTED AT THE TIME OF HEARING OF THE R EFERENCE APPLICATION THAT THE LANGUAGE OF RULE 24 OF THE APPELLATE TRIBU NAL RULES REQUIRED THE TRIBUNAL TO DISPOSE OF THE APPEAL ON MERITS AFTER H EARING THE RESPONDENT. IT MAY BE STATED HERE THAT THE TRIBUNAL HAS NOT PAS SED ANY ORDER ON THE BASIS OF RULE 24 OF THE TRIBUNAL RIDES WHICH PRESUP POSES ADMISSION OF APPEAL UNDER SECTION 253 OF THE ACT BESIDES THERE W AS NO QUESTION OF HEARING THE RESPONDENT SINCE NONE COULD BE NOTIFIED BECAUSE OF INCORRECT ADDRESS GIVEN BY THE APPELLANT AND PROPER PARTICULA RS NOT FURNISHED SO FAR. ' 5. THE HONBLE MADHYA PRADESH HIGH COURT IN THE CASE OF EST ATE OF LATE TUKOJIRAO HOLKAR VS. CWT (223 ITR 480) ON NON-APPEAR ANCE OF THE PARTY, AT WHOSE INSTANCE THE REFERENCE WAS MADE, HELD AS UNDER: IF THE PARTY, AT WHOSE INSTANCE THE REFERENCE IS MADE, FAILS TO APPEAR AT THE HEARING, OR FAILS IN TAKING STEPS FOR PREPARATION OF THE PAPER BOOKS SO AS TO ENABLE HEARING OF THE REFERENC E, THE COURT IS NOT BOUND TO ANSWER THE REFERENCE. 5.1 THE HONBLE JURISDICTIONAL HIGH COURT IN NEW DIWAN OIL MILLS VS. CIT [2008] 296 ITR 495, ON NON-ATTENDANCE AND NON-ASSISTA NCE OF THE ASSESSEE, RETURNED THE REFERENCE UN-ANSWERED. 6. THE HONBLE APEX COURT ALSO IN THE CASE OF CIT VS. B. BHATTACHARJEE AND ANOTHER. (118 ITR 461), LAID DOWN THE DICTUM THA T 'PURPOSEFULLY INTERPRETED, PREFERRING AN APPEAL MEANS MORE THAN F ORMALLY FILING IT BUT EFFECTIVELY PURSUING IT ' . ITA NO. 652/ASR/2016 (AY 2015-16) PARAS SPORTS & EDUCATIONAL SOCIETY V. CIT(E) 4 7. RECENTLY THE LARGER BENCH (THREE JUDGES) OF APEX COUR T, IN THE CASE OF RAM SIROMANI TRIPATHI & ORS VS. STATE OF U.P & ORS. (C IVIL APPEAL NO. 9142- 9144/2010) VIDE JUDGMENT DATED 07.02.2019 BY TAKING STERN VIEW, NOT ONLY DISMISSED THE APPEAL FOR NON-PROSECUTION BUT ALSO DEBARR ED THE ENTERTAINMENT OF APPLICATION FOR RESTORATION. THE CONCL UDING PART OF THE JUDGMENT IS REPRODUCED HEREIN BELOW FOR THE SAKE OF BR EVITY AND READY REFERENCE. MR. R.K. OJHA, LEARNED COUNSEL APPEARS ON BEHALF O F THE COUNSEL FOR THE APPELLANTS AND SUBMITS THAT THE LEA RNED COUNSEL FOR THE APPELLANTS IS NOT PRESENT IN THE COURT TODAY. I T IS STATED THAT HE IS OUT OF STATION. THIS IS NO GROUND TO SEEK ADJOUR NMENT. WE THEREFORE REJECT THE REQUEST FOR ADJOURNMENT. WE HA VE ASKED THE LEARNED COUNSEL TO ARGUE THE MATTER. HE SUBMITS THA T HE DOES NOT KNOW ANYTHING ABOUT THE CASE. IN THESE CIRCUMSTANCES, WE DISMISS THE APPEALS FOR NON- PROSECUTION. WE MAKE IT CLEAR THAT SINCE WE HAVE NOT FOUND IT TO BE A GOOD GROUND FOR ADJOURNMENT, UNDER NO CIRCUMSTANCES, APP LICATION FOR RESTORATION SHALL BE ENTERTAINED. 8. FROM RULE 19(2) OF THE INCOME-TAX (APPELLATE TRIBUN AL) RULES 1963 IT IS CLEAR THAT MERE ISSUANCE OF NOTICE ITSELF DOES NOT MAKE T HE APPEAL ADMISSIBLE AND FROM THE DICTUM OF THE ITAT, HIGH COURT S AND THE APEX COURT, IT IS IMPERATIVE FOR THE PARTY AT WHOSE INSTANCE THE APPEAL IS FILED, TO EFFECTIVELY PURSUE THE SAME. HENCE CONSIDERING THE PECULIAR FACTS AND CIRCUMSTANCE WE TREAT THIS APPEAL UN-ADMITTED AND ACCORDIN GLY THE SAME IS DISMISSED FOR WANT OF PROSECUTION WITH LIBERTY TO THE ASSE SSEE, IF SO ADVISED TO SEEK RECALL OF THIS ORDER BY EXPLAINING THE REASONS F OR NON-COMPLIANCE ETC. AND BY SUBMITTING THE PROPER AND COMPLETE ADDRESS FOR SECURING ITS ATTENDANCE FOR PROPER ADJUDICATION OF THE APPEAL. ITA NO. 652/ASR/2016 (AY 2015-16) PARAS SPORTS & EDUCATIONAL SOCIETY V. CIT(E) 5 9. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE I S DISMISSED FOR WANT OF PROSECUTION. ORDER PRONOUNCED IN THE OPEN COURT ON 28.02.2019. SD/- SD/- (SANJAY ARORA) (N.K.CHOUDHRY) ACCOUNTANT MEMBER JUDIC IAL MEMBER DATED: 28.02.2019 /PK/ PS. COPY OF THE ORDER FORWARDED TO: (1) PARAS SPORTS & EDUCATIONAL SOCIETY, AMRITSAR (2) THE CIT(EXEMPTIONS), CHANDIGARH (3) THE SR DR, I.T.A.T., AMRITSAR TRUE COPY BY ORDER FILENAME: PARAS SPORTS & EDUCATIONAL SOCIETY, 652 - 16 DIRECTORY: C:\USERS\ETC PARMOD\DESKTOP TEMPLATE: C:\USERS\ETC PARMOD\APPDATA\ROAMING\MICROSOFT\TEMPLATES\NORMAL.D OT TITLE: IN THE INCOME TAX APPELLATE TRIBUNAL SUBJECT: AUTHOR: STUDENT KEYWORDS: COMMENTS: CREATION DATE: 2/28/2019 1:23:00 PM CHANGE NUMBER: 80 LAST SAVED ON: 3/6/2019 2:57:00 PM LAST SAVED BY: ETC PARMOD TOTAL EDITING TIME: 122 MINUTES LAST PRINTED ON: 3/6/2019 2:57:00 PM AS OF LAST COMPLETE PRINTING NUMBER OF PAGES: 6 (APPROX.) NUMBER OF WORDS: 1,292 (APPROX.) NUMBER OF CHARACTERS: 7,366 (APPROX.)