Neerabhima Sahakari Sakhar Karkhana Ltd, Pune V. Income-tax Officer, Ward - 14(5), Pune

ITA 757/PUN/2018

• Counselvise Citation: [2022] 105 COUNSELVISE.COM (IT) 1091 (ITAT-PUNE)
• Duration Of Justice: 4 year(s) 1 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-05-2022
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: A
• Assessment Year: 2014-2015
• Appeal Filed On: 24-04-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Principle of natural justice
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “A”, PUNE BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI PARTHA SARATHI CHAUDHURY, JUDICIAL MEMBER आयकर अपील सं. / ITA No.757/PUN/2018 िनधाᭅरण वषᭅ / Assessment Year: 2014-15 Neerabhima Sahakari Sakhar Karkhana Ltd., A/p. Shahajinagar, Tal. Indapur, Dist. Pune-413114. PAN : AAAAN1256C Vs. ITO, Ward-14(5), Pune. Appellant Respondent आदेश / ORDER PER INTURI RAMA RAO, AM: This is an appeal filed by the assessee directed against the order of ld. Commissioner of Income Tax (Appeals)- 7, Pune [‘CIT(A)’ for short] dated 02.01.2018 for the assessment year 2014-15. 2. Briefly, the facts of the case are that the appellant is a co- operative society engaged in the business of manufacture and sale of sugar. The return of income for the assessment year 2014-15 was filed on 28.11.2014 declaring loss of Rs.3,92,85,302/-. Against the said return of income, the assessment was completed by the Income Assessee by : None Revenue by : Shri S. P. Walimbe Date of hearing : 23.05.2022 Date of pronouncement : 26.05.2022 ITA No.757/PUN/2018 2 Tax Officer, Ward-14(1), Pune (‘the Assessing Officer’) vide order dated 10.12.2016 passed u/s 143(3) of the Income Tax Act, 1961 (‘the Act’) at total loss of Rs.3,63,08,638/-. While doing so, the Assessing Officer made addition of Rs.26,05,059/- on account of sale of sugar at concessional price and addition of Rs.3,71,605/- on account of VSI contribution. 3. Being aggrieved by the above order of assessment, an appeal was filed before the ld. CIT(A) contesting the above additions. During the course of hearing before the ld. CIT(A), no appearance was caused before the ld. CIT(A) despite grant of several opportunities of hearing to the appellant-assessee. The ld. CIT(A) dismissed the appeal for non-prosecution of appeal. 4. Being aggrieved by the above decision of the ld. CIT(A), the appellant is in appeal before us. 5. Even before us, despite due service of notice of hearing, none appeared on behalf of the appellant-assessee. Therefore, after hearing the ld. Sr. DR, we proceed to dispose of this appeal on merits. 6. From reading of para 4 of the order of the ld. CIT(A), it is clear that the notice of hearing is dated 28.12.2017 and the order was passed by the ld. CIT(A) on 02.01.2018. Thus, the ld. CIT(A) granted unreasonably short period of time i.e. only 3 days to comply ITA No.757/PUN/2018 3 with the notice of hearing and it is also born out record that only one hearing was granted by the ld. CIT(A). This clearly shows that the ld. CIT(A) had not given reasonable opportunity of hearing to represent the matter before him resulting in violation of principles of natural justice. In the circumstances, we remand the matter to the file of the ld. CIT(A) with the direction to re-adjudicate the issue in the present appeal de-novo after affording reasonable opportunity of being heard to the appellant-assessee. 7. In the result, the appeal filed by the assessee stands partly allowed for statistical purposes. Order pronounced on this 26 th day of May, 2022. Sd/- Sd/- (PARTHA SARATHI CHAUDHURY) (INTURI RAMA RAO) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; ᳰदनांक / Dated : 26 th May, 2022. Sujeet आदेश कᳱ ᮧितिलिप अᮕेिषत / Copy of the Order forwarded to : 1. अपीलाथᱮ / The Appellant. 2. ᮧ᭜यथᱮ / The Respondent. 3. The CIT(A)-7, Pune. 4. The Pr. CIT-6, Pune. 5. िवभागीय ᮧितिनिध, आयकर अपीलीय अिधकरण, “A” बᱶच, पुणे / DR, ITAT, “A” Bench, Pune. 6. गाडᭅ फ़ाइल / Guard File. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune.