Richi Interiors , Hyderabad V. Asst. Commissioner of Income Tax, Circle-14(1), Hyderabad

ITA 663/Hyd/2019

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 0930 (ITAT-HYDERABAD)
• Duration Of Justice: 3 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-08-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB-B
• Assessment Year: 2014-2015
• Appeal Filed On: 03-05-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Opportunity of being heard; Application of stay
• Section: 201

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES B : HYDERABAD BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER I.T.A. NO. 66 3/HYD/201 9 ASSESSMENT YEAR: 2014 - 15 M/S. RICHI INTERIORS , HYDERABAD [PAN: AA GFR1384L ] VS ASST . COMMISSIONER OF INCOME TAX, CIRCLE - 14 (1), HYDERABAD (APPELLANT) (RESPONDENT) STAY APPLICATION NO. 1 98 /HYD/2019 (ARISING OUT OF ITA NO. 663 /HYD/201 9 ) ASSESSMENT YEAR : 2014 - 15 M/S.RICHI INTERIORS, HYDERABAD [PAN: AAGFR1384L] VS. ASST. COMMISSIONER OF INCOME TAX, CIRCLE - 14(1), HYDERABAD (APPLICANT) (RESPONDENT) FOR ASSESSEE : SHRI K.C.DEVDAS, AR FOR REVENUE : SHRI S OL GY JOSE T.KOTTARAM , DR DATE OF HEARING : 2 9 - 08 - 2019 DATE OF PRONOUNCEMENT : 29 - 08 - 2019 O R D E R PER A. MOHAN ALANKAMONY , A .M. : T HIS APPEAL IS FILED BY THE ASSESSEE AGGRIEVED BY THE ORDER OF LD.CIT(A) - 6 , HYDERABAD, DATED 0 1 - 0 2 - 201 9 FOR THE AY. 2014 - 15 IN ITA NO. 10235/2017 - 18/A3 CIT(A) - 6. IT A. NO. 663 / HYD / 201 9 SA NO. 198/HYD/2019 : - 2 - : 2. THE ASSESSEE HAS RAISED SEVERAL GROUNDS IN HIS APPEAL . H OWEVER, THE CRUX OF THE ISSUE IS THAT THE LD.CIT(A) HAS ERRED BY DISMISS ING THE APPEAL OF THE ASSESSEE IN LIMINE FOR NON - PROSECUTION . 3. AT THE OUTSET, LD.AR SUBMITTED BEFORE US THAT DUE TO UNAVOIDABLE CIRCUMSTANCES, NEITHER THE ASSESSEE NOR ITS COUNSEL COULD APPEAR BEFORE THE LD.CIT(A) ON THE DATE OF HEARING. IT WAS FURTHER SUBMITTED THAT THE LD.CIT(A) WITHOUT GRANTING SUFFICIENT OPPORTUNITY TO THE ASSESSEE, DISMISSED THE APPEAL OF THE ASSESSEE FOR NON - PROSECUTION. IT WAS THEREFORE PLEADED THAT THE MATTER MAY BE REMITTED BACK TO THE FILE OF LD.CIT(A) , THEREBY PROVIDING THE ASSESSEE WITH ANOTH ER OPPORTUNITY OF BEING HEARD. 4. THE LD.DR VEHEMENTLY OPPOSED TO THE SUBMISSIONS OF THE LD.AR AND POINTED OUT THAT THE LD.CIT(A) HAS GRANTED THREE OPPORTUNITIES TO THE ASSESSEE OF BEING HEARD. HOWEVER, NEITHER THE ASSESSEE NOR ITS LD.DR CO - OPERATED IN THE PROCEEDINGS . THE LD.DR FURTHER ARGUED STATING THAT IN SUCH SITUATION, THE LD.CIT(A) HAD NO OTHER OPTION BUT TO DISMISS THE APPEAL OF THE ASSESSEE IN LIMINE. 5. WE HAVE HEARD THE RIVAL SUBMISSIONS AND CAREFULLY PERUSED THE MATERIAL ON RECORD. FROM THE FACTS OF THE CASE IT IS APPARENT THAT THE ASSESSEE HAS GROSSLY FAILED TO COMPLY WITH ITS OBLIGATION IN CO - OPERATING BEFORE THE LD.CIT(A) FOR PROMPT DISPOSAL OF THE APPEAL. HOWEVER, W E ALSO FIND THAT THE LD.CIT(A) IT A. NO. 663 / HYD / 201 9 SA NO. 198/HYD/2019 : - 3 - : HAS NOT ADDRESSED THE APPEAL ON MERITS , B UT, DISPOSED THE APPEAL IN LIMINE FOR NON - PROSECUTION. THEREFORE, IN THE INTEREST OF JUSTICE, WE HEREBY REMIT THE MATTER BACK TO THE FILE OF LD.CIT(A) FOR FRESH CONSIDERATION , THEREBY GRANTING ONE MORE OPPORTUNITY TO THE ASSESSEE OF BEING HEARD. WE ALSO MAKE IT CLEAR THAT IF THE ASSESSEE OR ITS LD.AR DO NOT CO - OPERATE BEFORE THE LD.CIT(A) IN THE PROCEEDINGS PROMPTLY, THEN, THE LD.CIT(A) SHALL BE AT LIBERTY TO DIS POSE - OF THE APPEAL ON MERITS AND AS PER LAW BASED ON THE MATERIALS ON RECORD. 6. SINCE WE HAVE REMITTED BACK THE ISSUE TO THE FILE OF LD.CIT(A) FOR DENOVO CONSIDERATION, THE STAY APPLICATION FILED BY THE ASSESSEE DO NOT SURVIVE. ACCORDINGLY, THE STAY PE TITION IS DISMISSED. 7 . IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES, AS INDICATED HEREIN ABOVE AND THE STAY APPLICATION IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 29 TH AUGUST , 2019 SD/ - SD/ - ( P. MADHAVI DEVI ) ( A. MOHAN ALANKAMONY ) JUDICIAL MEMBER ACCOUNTANT MEMBER HYDERABAD, DATED 29 TH AUGUST , 2019 TNMM IT A. NO. 663 / HYD / 201 9 SA NO. 198/HYD/2019 : - 4 - : COPY TO : 1. M/S.RICHI INTERIORS, C/O. M/S.SEKHAR & CO., 133/4, R.P.ROAD, SECUN DERABAD. 2. ASST. COMMISSIONER OF INCOME TAX , CIRCLE - 14 ( 1 ) , HYDERABAD . 3. THE CIT(APPEALS) - 6 , HYDERABAD . 4. THE PR.C IT - 6 , HYDERABAD . 5 . D.R. ITAT, HYDERABAD. 6 . GUARD FILE.