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ITA 6520/DEL/2016

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 7735 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 1 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-01-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Assessment Year: 2012-2013
• Appeal Filed On: 21-12-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SARAS KUMAR
• Keywords: Income from undisclosed sources; Opportunity of being heard; Set aside

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH G : NEW DELHI) BEFORE SHRI KULDIP SINGH, JUDICIAL MEMBER A ND DR. B.R.R. KUMAR, ACCOUNTANT MEMBER ITA NO.6520/DEL./2016, A.Y. 2012-13 S.S.DIGITAL POINT PVT. LTD., VS. ITO, DELHI-110092 WARD-22(1), NEW DELHI (APPELLANT) (RESPONDENT) ASSESSEE BY : SH. GURJEET SINGH, ADV. REVENUE BY : SHRI SARAS KUMAR, SR. DR DATE OF HEARING : 20.01.2020 DATE OF ORDER : 29.01.2020 O R D E R PER KULDIP SINGH, JUDICIAL MEMBER : THE APPELLANT S.S.DIGITAL POINT PVT. LTD., DELH I (HEREINAFTER REFERRED TO AS 'THE ASSESSEE) BY FILI NG THE AFORESAID APPEAL, SOUGHT TO SET ASIDE THE IMPUGNED ORDER DATE D 09/11/2016 PASSED BY LD. COMMISSIONER OF INCOME TAX(APPEALS)-1 7, NEW DELHI QUA THE ASSESSMENT YEAR 2012-13 ON THE GROU NDS INTER ALIA THAT : 1. BECAUSE THE ACTION IS UNDER CHALLENGE ON FACTS & LA W SINCE THE FINDINGS RECORDED QUA APPEAL DISMISSAL IS IN VI OLATION TO THE PRINCIPLES OF NATURAL & SUBSTANTIAL JUSTICE FOR A D ECISION IN ACCORDANCE WITH LAW. 2. BECAUSE THE ACTION IS BEING CHALLENGED ON FACTS & L AW, FOR UPHOLDING THE ADDITION OF RS. 39,69,861 FOR NOT SUB STANTIATING ITA NO. 6520/D EL./2016 2 THE CLAIMS OF CREDITORS/CREDIT BALANCES & TREATING THE SAME AS UNEXPLAINED INCOME FROM UNDISCLOSED SOURCES. 3. BECAUSE THE ACTION IS BEING CHALLENGED ON FACTS & L AW, FOR MAKING THE ADDITION AMOUNTING RS. 3,150/- ON ACCOUN T OF INTEREST RECEIVED U/S 244A. PRAYER FOR ANY CONSEQUENTIAL RELIEF AND/ OR L EGAL CLAIM ARISING OUT OF THIS APPEAL AND FOR ANY ADDITION, DE LETION, AMENDMENT AND MODIFICATION IN THE GROUNDS OF APPEAL BEFORE THE DISPOSAL OF THE SAME IN THE INTEREST OF SUBSTAN TIAL JUSTICE TO THE ASSESSEE. 4. BRIEFLY STATED THE FACTS NECESSARY FOR ADJUD ICATION OF THE CONTROVERSY AT HAND ARE : ASSESSEE COMPANY IS INTO BUSINESS OF DIGITAL PRINTING AND DIGITAL FABRICATION. ASSESSING OFFICER MADE ADDITION OF RS. 39,69,861/- AND RS. 3510/- ON ACCO UNT OF DISALLOWANCES OF EXPENSES AND FRAMED THE ASSESSMENT AT RS. 57,77,010/- U/S 143(3)/ 144 OF THE INCOME TAX ACT. 5. ASSESSEE CARRIED THE MATTER BEFORE LD. CIT(A) BY WAY OF FILING THE APPEAL BEFORE LD. CIT(A) WHO HAS DISMISS ED APPEAL EX PARTE. FEELING AGGRIEVED THE ASSESSEE HAS COME UP B EFORE THE TRIBUNAL BY WAY OF FILING THE PRESENT APPEAL. 6. WE HAVE HEARD THE LD. AUTHORIZED REPRESENTATI VES OF THE PARTIES TO THE APPEAL, GONE THROUGH THE DOCUMENTS R ELIED UPON AND ORDERS PASSED BY THE REVENUE AUTHORITIES BELOW IN T HE LIGHT OF THE FACTS AND CIRCUMSTANCES OF THE CASE. 7. AT THE VERY OUTSET THE LD. AR FOR THE ASSESSEE CONTENDED THAT THE LD. CIT(A) HAS PASSED THE ORDER AT THE BAC K OF ASSESSEE ITA NO. 6520/D EL./2016 3 WITHOUT PROVIDING OPPORTUNITY OF BEING HEARD AND TH E ASSESSEE HAS NEVER RECEIVED THE NOTICE ALLEGEDLY ISSUED BY LD. CIT(A) AND MADE A REQUEST FOR PROVIDING OPPORTUNITY OF BEING H EARD. 8. PERUSAL OF THE IMPUGNED ORDER PASSED BY LD. CI T(A) GOES TO PROVE THAT PURSUANT TO THE NOTICE DATED 19.07.20 16 ISSUED BY LD. CIT(A), ADJOURNMENT APPLICATION WAS MOVED BY THE A SSESSEE AND CASE WAS ADJOURNED TO 31.08.2016 AND AGAIN REQUEST FOR ADJOURNMENT WAS RECEIVED AND CASE WAS ADJOURNED TO 18.10.2016 ON WHICH DATE ANOTHER REQUESTS FOR ADJOURNMENT WAS RECEIVED AND ULTIMATELY CASE ADJOURNED TO 08.11.2016 ON WHICH DA TE NONE APPEARED ON BEHALF OF THE ASSESSEE. NO DOUBT THE AS SESSEE IS AT FAULT TO ARGUE ITS APPEAL BEFORE LD. CIT(A) BUT TO DECIDE THE ISSUE ONCE FOR ALL ON MERITS, WE ARE OF THE CONSIDERED VI EW THAT IN THE INTEREST OF JUSTICE ONE MORE OPPORTUNITY IS REQUIRE D TO BE GIVEN TO THE ASSESSEE. CONSEQUENTLY IMPUGNED ORDER PASSED BY LD. CIT(A) IS SET ASIDE AND CASE IS REMANDED BACK TO THE LD. C IT(A) TO DECIDE AFRESH AFTER PROVIDING ADEQUATE OPPORTUNITY OF BEIN G HEARD TO THE ASSESSEE, HENCE, APPEAL FILED BY THE ASSESSEE IS AL LOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN OPEN COURT ON THIS 29 TH JANUARY, 2020. SD/- SD/- (B.R.R.KUMAR) (K ULDIP SINGH) ACCOUNTANT MEMBER JUDICIALMEMBER ITA NO. 6520/D EL./2016 4 D ATED : /01/2020 *BR* COPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A)-17, NEW DELHI. 5. CIT(ITAT), NEW DELHI. AR, ITAT NEW DELHI DATE OF DICTATION 20.01.2020 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER 20.01.2020 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