DINESH H KANABAR, MUMBAI V. ASST CIT 11(2), MUMBAI

ITA 760/MUM/2013

• Counselvise Citation: [2014] 120 COUNSELVISE.COM (IT) 6641 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 2 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-04-2014
• Appeal Filed By: Assessee
• Bench Allotted: D
• Assessment Year: 2009-2010
• Appeal Filed On: 29-01-2013
• Court: TRIBUNAL
• Assessee Lawyers: R C JAIN
• Keywords: Opportunity of being heard
• Section: 143(3); 14A

Judgement Text

D IN THE INCOME TAX APPELLATE TRIBUNAL D BENCH, MUMBAI BEFORE SHRI D. KARUNAKARA RAO, AM AND VIVEK VARMA, JM ./I.T.A. NO.760/M/2013 ( / ASSESSMENT YEAR: 2009 - 2010 ) DINESH H KANABAR, 14A SETT MINAR, DR. GOPALRAO DESHMUKH ROAD, OPP. JASLOK HOSPITAL, MUMBAI 400 026. / VS. ASST. CIT - 11(2), MUMBAI. ./ PAN : AAGPK 7575 A ( / APPELLANT) .. ( / RESPONDENT ) / APPELLANT BY : SHRI R.C. JAIN / RESPONDENT BY : SHRI SANJEEV JAIN, DR / DATE OF HEARING : 23.04.2014 / DATE OF PRONOUNCEMENT : 23.04.2014 / O R D E R PER D. KARUNAKARA RAO, AM: THIS APPEAL FILED BY THE ASSESSEE ON 29.1.2013 IS AGAINST THE ORDER OF THE CIT (A) - 3, MUMBAI DATED 3.12.2012 FOR THE ASSESSMENT YEAR 2009 - 2010. 2. IN THIS APPEAL, ASSESSEE RAISED THE FOLLOWING GROUNDS WHICH READ AS UNDER: 1. THE LD CIT (A) ERRED IN SUSTAINING IN ESTIMATING THE RATEABLE VALUE AT RS. 1,75,173/ - IN RESPECT OF FLAT AT GHATKOPAR, MUMBAI PURCHASED DURING THE YEAR UNDER APPEAL. 1.1. THE LD CIT (A) DID NOT APPRECIATE THAT THE RATEABLE VALUE AS FIXED BY BOMBAY MUNICIPAL CORPORATION COULD NOT BE PRODUCED FOR WANT OF THE SAME. 1.2. THE LD CIT (A) ERRED IN NOT CONSIDERING THE SUBMISSION THAT THE FLAT WHICH WAS PURCHASED FOR INVESTMENT COULD NOT BE LET OUT HENCE RELIEF U/S 23(1) OF THE ACT OUGHT TO HAVE BEEN ALLOWED. 3. BRIEFLY STATED RELEVANT FACTS OF THE CASE ARE THAT T HE ASSESSEE IS AN INDIVIDUAL, A CHARTERED ACCOUNT ANT BY PROFESSION , FILED THE RETURN OF INCOME DECLARING THE TOTAL INCOME OF RS. 5,54,27,146/ - . ASSESSMENT WAS COMPLETED U/S 143(3) OF THE ACT AND THE TOTAL INCOME WAS DETERMINED AT RS. 5,55,81,550/ - . IN THE ASSESSMENT AO MADE AN ADDITION OF RS. 1,7 5,113/ - ON THE BASIS OF ESTIMATION OF RATEABLE VALUE OF HOUSE 2 PROPERTY. AGGRIEVED, ASSESSEE CARRIED THE MATTER IN APPEAL BEFORE THE FIRST APPELLATE AUTHORITY. 4. DURING THE PROCEEDIN GS BEFORE THE FIRST APPELLATE AUTHORITY, AFTER CONSIDERING THE SUBMISSIONS OF THE ASSESSEE, CIT (A) DISMISSED THE APPEAL BY HOLDING THAT THE ASSESSEE HAS FAILED TO PRODUCE THE MUNICIPAL RATEABLE VALUE CERTIFICATE AND THEREFORE, THE ASSESSMENT DONE @ 8% OF THE BOOK VALUE IS REASONABLE. AGGRIEVED WITH THE DECISION OF THE CIT (A), ASSESSEE IS FURTHER IN APPEAL BEFORE THE TRIBUNAL BY RAISING THE ABOVE MENTIONED GROUNDS. 5. DURING THE PROCEEDINGS BEFORE US, AT THE OUTSET, SHRI R.C. JAIN, LD COUNSEL FOR THE ASSE SSEE MENTIONED THAT THE AO HAD TO GO FOR ESTIMATION IN THE ABSENCE OF PROPER CORRESPONDENCE FROM THE MUNICIPAL AUTHORITIES ON THE RELEVANT RATEABLE VALUES OF THE PREMISES IN QUESTION. IN THIS REGARD, LD COUNSEL FILED A COPY OF THE SAME, WHICH IS NOW RECEI VED FROM THE CONCERNED AUTHORITIES AND MENTIONED THAT THE SAME MAY BE ADMITTED AND MATTER MAY BE REMANDED TO THE FILES OF THE AO FOR A FRESH ADJUDICATION. 6. ON THE OTHER HAND, LD DR RELIED ON THE ORDERS OF THE REVENUE AUTHORITIES. 7. WE HAVE HEARD BOTH THE PARTIES AND PERUSED THE ORDERS OF THE REVENUE AUTHORITIES AS WELL AS THE RELEVANT MATERIAL PLACED BEFORE US. ON PERUSAL OF THE SAID PAPERS FILED BEFORE US, W E FIND THAT THE SAME WERE NOT SUBMITTED BEFORE THE LOWER AUTHORITIES. WE, ACCORDINGLY, ADMIT THE SAID PAPERS RELATING TO THE RATEABLE VALUE OF THE PROPERTY (FLAT NO.501), WHOSE RATEABLE VALUE IS RS. 26,635/ - NPA R. CONSIDERING THE SAME, WE REMIT THE MATTER TO THE FILE OF THE AO WITH A DIRECTION TO ADMIT THE SAID PAPERS AND ADJUDICATE THE ISSUE AFRESH AFTER AFFORDING A REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. ACCORDINGLY, GROUNDS RAISED BY THE ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSES . 8. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNC ED IN THE OPEN COURT ON 23 RD APRIL, 2014. S D / - S D / - (VIVEK VARMA) (D. KARUNAKARA RAO) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI ; 23.4.2014 3 . . ./ OKK , SR. PS / COPY OF THE ORDER FORWARDED TO : 1. / THE APPELLANT 2. / THE RESPONDENT. 3. ( ) / THE CIT(A) - 4. / CIT 5. , , / DR, ITAT, MUMBAI 6. / GUARD FILE . //TRUE COPY// / BY ORDER, / (DY./ASSTT. REGISTRAR) , / ITAT, MUMBAI