Ranco Industries, Bhavnagar V. The Income tax Officer,Ward-2(3), Bhavnagar

ITA 743/AHD/2011

• Counselvise Citation: 74320514 RSA 2011
• Duration Of Justice: 5 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-08-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 25-08-2011
• Assessment Year: 2005-2006
• Appeal Filed On: 08-03-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VINOD TANWANI
• Assessee Lawyers: CO; ASTHA GOYAL AR B R POPAT
• Keywords: Opportunity of being heard; Principle of natural justice; Set aside
• Section: 147

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH AHMEDABAD (BEFORE SHRI BHAVNESH SAINI, JUDICIAL MEMBER) ITA NO.743/AHD/2011 A. Y.: 2005-06 RANCO INDUSTRIES, G-16, RADHESHYAM COMPLEX, WAGHAWADI ROAD, BHAVNAGAR VS INCOME TAX OFFICER, WARD 2 (3), BHAVNAGAR PA NO. AAEFR 7351 M (APPELLANT) (RESPONDENT) APPELLANT BY MS. ASTHA GOYAL, AR FOR B. R. POPAT & CO., AR RESPONDENT BY SHRI VINOD TANWANI, DR DATE OF HEARING: 25-08-2011 DATE OF PRONOUNCEMENT: 25-08-2011 O R D E R PER BHAVNESH SAINI, JM: THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST ORDER OF THE CIT(A)-XX, AHMEDABAD DATED 13 TH JANUARY, 2011 FOR ASSESSMENT YEAR 2005-06, CHALLENG ING THE REOPENING OF THE ASSESSMENT U/S 147 OF THE IT ACT A ND CONFIRMING ADDITION OF RS.3,18,044/- TO THE RETURNED INCOME. 2. THE LEARNED COUNSEL FOR THE ASSESSEE AT THE OUTS ET SUBMITTED THAT THE ORDER OF THE LEARNED CIT(A) IS LIABLE TO B E SET ASIDE BECAUSE ADMITTEDLY NO NOTICE OF HEARING OF THE APPEAL WAS S ERVED UPON THE ASSESSEE. THE LEARNED COUNSEL FOR THE ASSESSEE REFE RRED TO PARA 2 OF THE IMPUGNED ORDER IN WHICH THE LEARNED CIT(A) M ENTIONED THAT ITA NO. 743/AHD/2011 RANCO INDUSTRIES VS ITO, W- 2 (3), BHAVNAGAR 2 NOTICE WAS ISSUED ON 24 TH DECEMBER, 2010 FIXING THE CASE ON 13-01-2011 AND THE SAID NOTICE RETURNED UN-SERVED. THE LEARNED COUNSEL FOR THE ASSESSEE, THEREFORE, SUBMITTED THAT PRINCIPLE OF NATURAL JUSTICE IS VIOLATED AND THE MATTER REQUIRES RECONSIDERATION AT THE LEVEL OF THE LEARNED CIT(A). THE LEARNED DR DI D NOT DISPUTE THE CONTENTION OF THE LEARNED COUNSEL FOR THE ASSESSEE. 3. ON CONSIDERATION OF THE ABOVE FACTS AND SUBMISSI ON OF THE PARTIES I AM OF THE VIEW THE MATTER REQUIRES RECONS IDERATION AT THE LEVEL OF THE LEARNED CIT(A). ADMITTEDLY, NOTICE OF HEARING OF THE APPEAL FOR 13-01-2011 WAS NOT SERVED UPON THE ASSES SEE AS PER FINDINGS GIVEN BY THE LEARNED CIT(A) AS PER PARA 2 OF THE APPELLATE ORDER. IN THE ABSENCE OF SERVICE OF NOTICE, THE APP EAL OF THE ASSESSEE SHOULD NOT HAVE BEEN DECIDED EX-PARTE ON MERIT. I A CCORDINGLY, AGREE THAT PRINCIPLE OF NATURAL JUSTICE IS VIOLATED IN TH E MATTER. THE ORDER OF THE LEARNED CIT(A) IS SET ASIDE AND THE APPEAL OF T HE ASSESSEE IS RESTORED TO THE FILE OF THE LEARNED CIT(A) WITH DIR ECTION TO DECIDE THE APPEAL OF THE ASSESSEE AFRESH BY GIVING REASONABLE SUFFICIENT OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. 4. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS ALL OWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT. SD/- (BHAVNESH SAINI) JUDICIAL MEMBER LAKSHMIKANT/- ITA NO. 743/AHD/2011 RANCO INDUSTRIES VS ITO, W- 2 (3), BHAVNAGAR 3 COPY OF THE ORDER FORWARDED TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT CONCERNED 4. THE CIT(A)- CONCERNED 5. THE DR, ITAT, CONCERNED 6. GUARD FILE BY ORDER D Y. REGISTRAR, ITAT, AHMEDABAD