Satya phani dattatreya divakar rampalli, East vipparru V. DEPUTY COMMISSIONER OF INCOME TAX, Rajahmundry

ITA 66/VIZ/2024

• Counselvise Citation: [2024] 101 COUNSELVISE.COM (IT) 7021 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 3 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-05-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 08-05-2024
• Assessment Year: 2017-2018
• Appeal Filed On: 23-02-2024
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: APARNA VILLURI
• Keywords: Unexplained investment; Opportunity of being heard
• Section: 143(3); 234B; 69A

Judgement Text

आयकरअपीलीयअधिकरण, धिशाखापटणम पीठ, धिशाखापटणम IN THE INCOME TAX APPELLATE TRIBUNAL, VISAKHAPATNAM BENCH, VISAKHAPATNAM श्री द ु व्वूरु आर एल रेड्डी, न्याधयक सदस्य एिं श्री एस बालाकृ ष्णन, लेखा सदस्य के समक्ष BEFORE SHRI DUVVURU RL REDDY, HON’BLE JUDICIAL MEMBER & SHRI S BALAKRISHNAN, HON’BLE ACCOUNTANT MEMBER आयकर अपील सं./I.T.A.No.66/Viz/2024 (ननधधारण वर्ा / Assessment Year : 2017-18) Satya Phani Dattatreya Diwakar Rampalli D.No.2-2, East Vipparru Iragavaram Mandal West Godavari Dist. [PAN :ALEPR8329N] Vs. Dy.Commissioner of Income Tax Rajahmundry (अपीलार्थी/ Appellant) (प्रत्यर्थी/ Respondent) अपीलधथी की ओर से/ Appellant by : None प्रत्यधथी की ओर से / Respondent by : Dr.Aparna Villuri, DR सुनवधई की तधरीख / Date of Hearing : 09.05.2024 घोर्णध की तधरीख/Date of Pronouncement : 28.05.2024 आदेश /O R D E R Per Shri Duvvuru RL Reddy, Judicial Member : This appeal is filed by the assessee against the order of Commissioner of Income Tax (Appeals) [CIT(A)], National Faceless Appeal Centre (NFAC), Delhi in DIN & Order No. ITBA/NFAC/S/250/2023-24/1059050551(1) dated 26.12.2023, arising 2 I.T.A. No.66/Viz/2024, A.Y.2017-18 Satyaphani Dattatreya Divakar Rampalli, Tanuku out of order passed u/s 143(3) r.w.s.147 of the Income Tax Act, 1961 (in short ‘Act’) dated 09.09.2021 for the Assessment Year (A.Y.) 2017-18. 2. Brief facts of the case are that the assessee had filed return of income for the year under consideration declaring returned income of Rs.14,14,880/- on 02.08.2017. The case was selected for scrutiny under CASS and the assessment was completed u/s 143(3) r.w.s. 144B of the Act and the income of the assessee was assessed at Rs.26699080/- after making additions of Rs.1,77,84,200/- u/s 69A in respect of cash deposits made in the bank accounts of the assessee and Rs.75,00,000/- u/s 69 in respect of estimated value of Godown at Bhimolu(V). 3. On being aggrieved, the assessee preferred appeal before the CIT(A) and the Ld.CIT(A) sustained the addition made by the AO and dismissed the appeal of the assessee ex-parte. 4. On being aggrieved, the assessee preferred appeal before the Tribunal, by raising the following grounds of appeal : 1. The CIT(A) is not justified in passing the order ex-party without giving proper opportunity to the assessee. 2. The CIT(A) has not considered the facts and circumstances of the case while passing the order and hence unjustified. 3. The CIT(A) is incorrect in sustaining the addition on the account of unexplained money 3 I.T.A. No.66/Viz/2024, A.Y.2017-18 Satyaphani Dattatreya Divakar Rampalli, Tanuku 4. The CIT(A) is incorrect in sustaining the addition on the account of unexplained investment 5. For the above and other grounds that may be urged at the time of hearing the present appeal is preferred. 6. The CIT(A) is not justified in not affording proper opportunity to the assessee is unjustified. 5. The only issue as per the grounds of appeal is that the Ld.AO is not justified in making the addition and raising tax demand of Rs.3,04,31,352/- including interest u/s. 234B and 234C and the Ld.CIT(A) is also not justified in passing the order ex-parte without giving proper opportunity to the assessee. 6. The Ld.DR argued that the assessee was given sufficient opportunities before the revenue authorities, but the assessee did not try to controvert the findings of the AO by adducing supporting details / evidences. She, therefore, pleaded to uphold the order passed by the Ld.CIT(A) and dismiss the appeal of the assessee. 7. We have heard the Ld.DR and perused the material available on record. In the instant case, assessment in the case of the assessee was completed u/s 143(3) r.w.s. 144B and the income of the assessee was assessed at Rs.2,66,99,080/- . On appeal before the Ld.CIT(A), assessee’s appeal was dismissed ex-parte. As per the grounds of appeal, the only 4 I.T.A. No.66/Viz/2024, A.Y.2017-18 Satyaphani Dattatreya Divakar Rampalli, Tanuku issue of the assessee is that the assessee was not given proper opportunity of being heard before the Ld.CIT(A) to substantiate his claim in support of the grounds raised before the Ld.CIT(A) and hence pleaded for an opportunity of being heard before the Ld.CIT(A) to meet the ends of justice. In view of the foregoing facts and circumstances of the case and in order to meet the principles of natural justice, we are inclined to remit the matter back to the file of the Ld.CIT(A) with a direction to afford an opportunity of being heard to the assessee. The assessee is also directed to adhere to the notices issued and cooperate with the department during the proceedings. 8. In the result, appeal of the assessee is allowed for statistical purpose. Order pronounced in the open court on 28 th May, 2024. Sd/- Sd/- (एस बालाकृ ष्णन) (द ु व्वूरु आर.एल रेड्डी) (S.BALAKRISHNAN) (DUVVURU RL REDDY) लेखा सदस्य/ACCOUNTANT MEMBER न्याधयक सदस्य/JUDICIAL MEMBER Dated : 28.05.2024 L.Rama, SPS 5 I.T.A. No.66/Viz/2024, A.Y.2017-18 Satyaphani Dattatreya Divakar Rampalli, Tanuku आदेश की प्रतितिति अग्रेतिि/Copy of the order forwarded to:- 1. ननधधाऩरती/ The Assessee– Satya Phani Dattatreya Diwakar Rampalli D.No.2-2, East Vipparru, Iragavaram Mandal, Tanuku, West Godavari Dist. 2. रधजस्व/The Revenue – The Dy.Commissioner of Income, Aayakar Bhavan, Near Kambala Tank, Veerbhadrapuram, Rajahmundry 3. The Principal Commissioner of Income Tax, Rajahmundry 4. नवभधगीय प्रनतनननध, आयकर अपीलीय अनधकरण, नवशधखधपटणम / DR,ITAT, Visakhapatnam 5..गधर्ा फ़धईल / Guard file आदेशधनुसधर / BY ORDER Sr. Private Secretary ITAT, Visakhapatnam