M.N.Padmanabhan (HUF), Coimbatore V. ACIT Non Corporate Circel 2, Coimbatore

ITA 727/CHNY/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 3825 (ITAT-CHENNAI)
• Duration Of Justice: 10 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-02-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2013-2014
• Appeal Filed On: 20-03-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: K RAGHU
• Keywords: Set aside
• Section: 251

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNALB BENCH: CHEN NAI (CAMP AT COIMBATORE) . . . , , BEFORE SHRI N.R.S. GANESAN , JUDICIAL MEMBER AND SHRI S. JAYARAMAN, ACCOUNTANT MEMBE R ./ ITA NO.727/CHNY/2019 /ASSESSMENT YEAR: 2013-14 SHRI M.N. PADMANABHAN (HUF), NEW NO.122, OLD NO.95, PONNURANGAM ROAD WEST, RS PURAM, COIMBATORE 641 002. VS. THE ASST. COMMISSIONER OF INCOME TAX, NON-CORPORATE CIRCLE-2, COIMBATORE. [PAN: AAHHP 6773Q] ( /APPELLANT) ( !' /RESPONDENT) # $ / ASSESSEE BY : SHRI K.RAGHU, C.A !' # $ /REVENUE BY : SHRI J.PAVITRAN KUMAR, JCIT % & # '( /DATE OF HEARING : 06.02.2020 )* # '( /DATE OF PRONOUNCEMENT : 06.02.2020 / O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER :: THIS APPEAL OF THE ASSESSEE IS DIRECTED AGAINST TH E ORDER PASSED BY THE COMMISSIONER OF INCOME TAX (APPEALS)-2, COIM BATORE DATED 25.02.2019 AND PERTAINS TO THE ASSESSMENT YEAR 2013 -14. 2. SHRI K. RAGHU, THE LD. REPRESENTATIVE FOR THE AS SESSEE SUBMITTED THAT THE CIT(A) HAS DISMISSED THE APPEAL FOR NON- ITA NO.727/CHNY/2019 :- 2 -: PROSECUTION WITHOUT CONSIDERING THE GROUNDS RAISED BY THE ASSESSEE ON MERIT. THEREFORE, THE MATTER MAY BE REMITTED BA CK TO THE FILE OF AO FOR RE-CONSIDERATION. 3. SHRI J. PAVITRAN KUMAR, THE LD. DEPARTMENTAL REP RESENTATIVE SUBMITTED THAT THE MATTER MAY BE REMITTED BACK TO C IT(A) FOR RE- CONSIDERATION. 4. HAVING HEARD THE LD. REPRESENTATIVE FOR THE ASSE SSEE AND THE LD. DEPARTMENTAL REPRESENTATIVE, THIS TRIBUNAL IS O F THE CONSIDERED OPINION THAT THAT THE CIT(A) HAS NO AUTHORITY OR JU RISDICTION TO DISMISS THE APPEAL FOR NON-PROSECUTION. SECTION 250(4) AND 251 OF THE INCOME TAX ACT, 1961 (IN SHORT THE ACT) GIVES ENORMOUS P OWER TO THE CIT(A) TO RE-EXAMINE THE MATTER IF NECESSARY MAKE FURTHER ENQUIRY AND PASS AN ORDER ON MERIT BY ENHANCING THE ASSESSMENT. SUCH AN ONEROUS RESPONSIBILITY CONFERRED ON CIT(A) HAS BEEN SIMPLY IGNORED BY CIT(A) WITHOUT CONSIDERING THE GROUNDS RAISED BY THE ASSES SEE. THERE MAY BE VARIOUS REASONS FOR THE ASSESSEE NOT APPEARING B EFORE CIT(A) AFTER RECEIVING THE NOTICES. ONE OF THE REASONS, PRESUMA BLY THE ASSESSEE MIGHT HAVE INTENDED TO AVOID ENHANCEMENT OF ASSESSM ENT. THEREFORE, THE CIT(A) IS EXPECTED TO EXERCISE HIS S TATUTORY POWER CONFERRED U/S. 250(4) OF THE ACT. EVEN THOUGH, THIS TRIBUNAL TIME AND ITA NO.727/CHNY/2019 :- 3 -: AGAIN POINTED OUT THAT THE CIT(A) HAS NO POWER TO D ISMISS THE APPEAL FOR NON-PROSECUTION, THE PRESENT TREND OF THE CIT(A )S APPEAR TO DISMISS THE APPEALS FOR NON-PROSECUTION, PRESUMABLY TO REACH THE TARGET FIXED BY THE CBDT FOR DISPOSAL OF APPEALS. T HIS KIND OF TENDENCY CANNOT BE ALLOWED TO CONTINUE ANY FURTHER. HOPING THAT THE CIT(A) WILL TAKE INTO CONSIDERATION ALL THE STATUTO RY PROVISIONS WHILE CONSIDERING THE APPEAL FILED BY THE ASSESSEE, WE AR E NOT COMMENTING ANYTHING FURTHER. SUFFIX TO SET ASIDE THE ORDER OF CIT(A) AND REMIT THE MATTER BACK TO THE FILE OF CIT(A) FOR RE-CONSIDERAT ION. ACCORDINGLY, THE ORDERS OF CIT(A) IS SET ASIDE AND THE ENTIRE ISSUE RAISED BY THE ASSESSEE ON MERIT IS REMITTED BACK TO THE FILE OF T HE CIT(A). THE CIT(A) SHALL GIVE SUFFICIENT OPPORTUNITY OF HEARING TO THE ASSESSEE AND DISPOSE OF THE APPEAL ON MERIT IRRESPECTIVE OF THE FACT WHETHER THE ASSESSEE APPEARED BEFORE HIM OR NOT. IF THE ASSESS EE HAS NOT APPEARED BEFORE THE CIT(A) AFTER RECEIVING NOTICE O F HEARING, IT IS OPEN TO THE CIT(A) TO CALL FOR THE RECORDS OF THE AO AND RE-APPRECIATE THE MATERIAL AVAILABLE ON RECORD THEREAFTER, DISPOSE TH E APPEAL ON MERIT BY A SPEAKING ORDER. WITH THE ABOVE OBSERVATION, THE A PPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSE. ITA NO.727/CHNY/2019 :- 4 -: 5. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE STANDS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT 06 TH FEBRUARY, 2020 AT CHENNAI (CAMP AT COIMBATORE). SD/- SD/- ( . ) (S. JAYARAMAN) /ACCOUNTANT MEMBER ( . . . ) (N.R.S. GANESAN) /JUDICIAL MEMBER / & /CHENNAI, 0 /DATED: 06 TH FEBRUARY, 2020 . EDN, SR. P.S # !'12 32' /COPY TO: 1. /APPELLANT 2. !' /RESPONDENT 3. % 4' ( )/CIT(A) 4. % 4' /CIT 5. 25 !'6 /DR 6. 7 8& /GF