Rajendra Premchand Ghodawat, Sangli V. Pr. Commissioner of Income-tax -1, Kolhapur

ITA 661/PUN/2019

• Counselvise Citation: [2021] 107 COUNSELVISE.COM (IT) 2994 (ITAT-PUNE)
• Duration Of Justice: 2 year(s) 6 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-10-2021
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 25-10-2021
• Assessment Year: 2014-2015
• Appeal Filed On: 26-04-2019
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: N O N E
• Keywords: Assessment record
• Section: 143(3); 14A; 37; 263

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, PUNE BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI S.S. VISWANETHRA RAVI, J UDICIAL MEMBER . / ITA NO. 661 /PUN/201 9 / ASSESSMENT YEAR : 20 14 - 15 RAJENDRA PREMCHAND GHODAWAT, 509/11, JUBILEE HOUSE, MAIN ROAD, MADHAVNAGAR, SANGLI - 416406 PAN : ABBPG8136H ....... / APPELLANT / V/S. PRINCIPAL COMMISSIONER OF INCOME TAX - 1, KOLHAPUR / RESPONDENT ASSESSEE BY : N O N E REVENUE BY : SHRI DEEPAK GARG / DATE OF HEARING : 25 - 10 - 2021 / DATE OF PRONOUNCEMENT : 26 - 10 - 202 1 / ORDER PER S.S. VISWANETHRA RAVI, JM : THIS APPEAL BY THE ASSESSEE AGAINST THE ORDER DATED 08 - 03 - 2019 PASSED BY THE PRINCIPAL COMMISSIONER OF INCOME TAX - 1, KOLHAPUR U/S. 263(1) OF THE ACT FOR ASSESSMENT YEAR 2014 - 15. 2. THE ASSESSEE RAISED MANY GROUNDS IN 1.1 TO 1.7 AMONGST WHICH THE ONLY ISSUE EMANATES FOR OUR CONSIDERATION IS AS TO WHETHER THE PR. CIT IS RIGHTLY INVOKED THE JURISDICTION U/S. 263 OF THE ACT IN THE FACTS AND CIRCUMSTANCES OF THE CASE. 2 ITA NO .661/PUN/2019, A.Y. 2014 - 15 3. WE FIND NO REPRESENTATION ON BEHALF OF THE ASSESSEE NOR ANY APPLICATION FILED SEEKING ADJOURNMENT. THUS, THE ASSESSEE CALLED ABSENT AND SET EX - PARTE. THEREFORE, WE PROCEED TO DISPOSE OF THE CASE BY HE ARING THE LD. DR AND PERUSING THE MATERIAL AVAILABLE ON RECORD. 4. HEARD LD. DR AND PERUSED THE MATERIAL AVAILABLE ON RECORD. THE CONTENTION OF LD. DR , SHRI DEEPAK GARG IS THAT THE PR. CIT, KOLHAPUR FOUND SEVERAL LAPSES ON THE PART OF AO DURING THE EXAMINATION OF ASSESSMENT RECORD PERTAINING TO ORDER U/S. 143(3) OF THE ACT PASSED BY THE AO FOR A.Y. 2014 - 15 . HE SUBMITS THAT THE AO DID NOT EXAMINE PROPERLY NECESSARY INFORMATION BY CALLING RELEVANT EVIDENCES FROM THE ASSESSEE. THE ASSESSEE IN THE ASSE SSMENT PROCEEDINGS SIMPLY SUBMITTED THAT THE REASONS FOR CASS ARE BASELESS AND THE AO ACCEPTED THE SAME WITHOUT ANY PROPER EXAMINATION. FURTHER, HE DID NOT EXAMINE THE DISALLOWANCE RELATING TO INTEREST U/S. 14A OF THE ACT AND ALSO OTHER EXPENSES CLAIMED U /S. 37 OF THE ACT. HE ARGUED THAT THE AO OUGHT TO HAVE EXAMINED THE SAID ISSUES BY CALLING RELEVANT DOCUMENTS FOR VERIFICATION AND THE AO WITHOUT BRINGING PROPER AND FULL INFORMATION ON RECORD, APPLICABILITY OF PROVISIONS OF THE ACT COMPLETED ASSESSMENT W ITHOUT PROPER APPLICATION OF MIND AND THE PR. CIT RIGHTLY EXERCISED THE JURISDICTION U/S. 263 OF THE ACT. 5. FURTHER, HE PLACED ON RECORD THE ORDER DATED 30 - 12 - 2019 PASSED BY THE AO IN PURSUANCE OF DIRECTIONS OF PR. CIT UNDER 263 PROCEEDINGS. ACCORDING TO HIM, THE AO DISALLOWED RS.66,997/ - AND REFERRED TO PARA NO. 5 AND ARGUED THE DISALLOWANCE OF WHICH CLEARLY PROVES THAT THERE WAS NO EXAMINATION BY THE AO AND WITHOUT APPLICATION OF MIND COMPLETED THE ORIGINAL ASSESSMENT U/S. 143(3) OF THE ACT. HE FURT HER ARGUED SINCE PR. CIT RIGHTLY INVOKED JURISDICTION U/S. 263 OF THE ACT THE PRESET APPEAL FILED BY THE ASSESSEE AGAINST SUCH ORDER IS TO BE DISMISSED. WE NOTE ON AN 3 ITA NO .661/PUN/2019, A.Y. 2014 - 15 EXAMINATION OF ORDER PASSED U/S. 263 OF THE ACT TOGETHER WITH THE CONSEQUENTIAL ORDER PA SSED BY THE AO IN PURSUANCE OF DIRECTIONS GIVEN UNDER 263 PROCEEDINGS BY THE PR. CIT , WE FIND FORCE IN THE ARGUMENTS OF LD. DR FOR THE REASON THAT THE PR. CIT CLEARLY HELD IN HIS ORDER IN PAGE NO. 1 AT PARA NO. 2 THAT THE CASE OF THE ASSESSEE SELECTED FOR SCRUTINY UNDER CASS FOR 8 REASONS AND WITHOUT CALLING FOR NECESSARY INFORMATION AO COMPLETED THE ASSESSMENT. THE DISALLOWANCE MADE BY THE AO UNDER GIVING EFFECT PROCEEDINGS WHICH CLEARLY SHOWS THE FINDING OF PR. CIT IS CORRECT TO THE EFFECT THAT THE AO WI THOUT PROPER APPLICATION OF MIND COMPLETED ASSESSMENT U/S. 143(3) OF THE ACT. THUS, WE DO NOT FIND ANY INFIRMITY IN THE ORDER OF PR. CIT PASSED U/S. 263 OF THE ACT AND THE GROUND RAISED BY THE ASSESSEE IS DISMISSED. 6. IN THE RESULT, THE APPEAL OF ASSE SSEE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 26 TH OCTOBER, 2021 . SD/ - SD/ - ( INTURI RAMA RAO ) ( S.S. VISWANETHRA RAVI ) ACCOUNTANT MEMBER JUDICIAL MEMBER / PUNE; / DATED : 26 TH OCTOBER, 202 1 . RK / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT. 2. / THE RESPONDENT. 3 . THE PR. CIT - 1, KOLHAPUR 4 . , , , / DR, ITAT, B BENCH, PUNE. 5 . / GUARD FILE. // // TRUE COPY// / BY ORDER, / PRIVATE SECRETARY, , / ITAT, PUNE