IQRA STEEL & TUBES P. LTD, MUMBAI V. DCIT 6(3)(1), MUMBAI

ITA 7624/MUM/2016

• Counselvise Citation: [2017] 126 COUNSELVISE.COM (IT) 7831 (ITAT-MUMBAI)
• Duration Of Justice: 11 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-12-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: Not Allotted
• Assessment Year: 2012-2013
• Appeal Filed On: 29-12-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: N HEMALATHADR
• Assessee Lawyers: UJJWALA PATIL
• Keywords: Opportunity of being heard
• Section: 142(1)

Judgement Text

, , , IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES, J MUMBAI , , , BEFORE SHRI JOGINDER SINGH, JUDICIAL MEMBER, AND SHRI RAJESH KUMAR, ACCOUNTANT MEMBER ITA NO.7624/MUM/2016 ASSESSMENT YEAR: 2012-13 IQRA STEEL & TUBES PVT. LTD. M/S. J.D. SANGHAVI & CO. CHARTERED ACCOUNTANTS, 409, JOLLY BHAVAN NO.2, 7, NEW MARINE LINES, MUMBAI-400020 / VS. DCIT-6(3)(1), AAYAKAR BHAVAN, NEW MARINE LINES, MUMBAI-400020 ( ! ' /ASSESSEE) ( # / REVENUE) P.A.NO . AABCI3088G #$ % ' & / DATE OF HEARING : 26/12/2017 % ' & / DATE OF ORDER: 26/12/2017 ! ' ! / ASSESSEE BY MS. UJJWALA PATIL # ! / REVENUE BY MS. N. HEMALATHA-DR ITA NO. 7624/MUM/2016 IQRA STEEL & TUBES PVT. LTD. 2 / O R D E R PER JOGINDER SINGH (JUDICIAL MEMBER) THE ASSESSEE IS AGGRIEVED BY THE IMPUGNED ORDER DAT ED 14/09/2016 OF THE LD. FIRST APPELLATE AUTHORITY, MU MBAI, CONFIRMING THE DISALLOWANCE OF TRANSPORTATION EXPEN SES U/S 40A(IA) OF THE INCOME TAX ACT, 1961 (HEREINAFTER TH E ACT) AMOUNTING TO RS.14,69,311/-. 2. DURING HEARING, SHRI UJJWALA PATIAL, LD. REPRESENTATIVE FOR THE ASSESSEE, CONTENDED THAT THE SUBMISSION MADE BY THE ASSESSEE WERE NOT CONSIDERED IN A REQUIRED MANNER AS THE DETAILS OF TRANSPORTATION EX PENSES AND PAN NUMBER OF THE TRANSPORTER WERE GIVEN BEFORE THE LD. COMMISSIONER OF INCOME TAX (APPEAL) BUT THE SAM E WERE NOT CONSIDERED. IT WAS CONTENDED THAT THE ASSESSEE IN A POSITION TO SUBSTANTIATE ITS CLAIM, IF ONE MORE OPP ORTUNITY IS PROVIDED TO THE ASSESSEE. ON THE OTHER HAND, MS. N. HEMALATHA, LD. DR, DEFENDED THE ADDITION MADE BY TH E LD. ASSESSING OFFICER AND CONFIRMED BY THE LD. COMMISSI ONER OF INCOME TAX (APPEAL). 2.1. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL AVAILABLE ON RECORD. THE FACTS , IN BRIEF, ITA NO. 7624/MUM/2016 IQRA STEEL & TUBES PVT. LTD. 3 ARE THAT THE ASSESSEE IS A PRIVATE LIMITED COMPANY, ENGAGED IN BUSINESS OF TRADING OF BUILDING MATERIAL ETC. DE CLARED TOTAL INCOME OF RS.76,34,211/- ON 27/09/2012 IN ITS RETUR N, WHICH WAS PROCESSED U/S 143(1) OF THE ACT. THE CASE OF THE ASSESSEE WAS SELECTED FOR SCRUTINY, THEREFORE, NOTI CES U/S 143(2) AND 142(1) WERE SERVED UPON THE ASSESSEE. TH E ASSESSEE ATTENDED THE PROCEEDINGS FROM TIME TO TIME AND FURNISHED THE DETAILS, CALLED FOR AS IS EVIDENT FRO M ASSESSMENT ORDER ITSELF. WHILE FRAMING THE ASSESSME NT, IT WAS OBSERVED BY THE LD. ASSESSING OFFICER THAT TDS HAS NOT BEEN DEDUCTED ON THE PAYMENTS MADE TO TRANSPORTERS. THE ASSESSEE DULY FURNISHED THE CHART SHOWING TRANSPORT ATION CHARGES PAID TO VARIOUS PARTIES ALONG WITH THEIR NA ME AND ADDRESSES, AS IS EVIDENCED FROM PARA-6 AND OBSERVAT ION MADE THEREIN. THE DISALLOWANCE WAS MADE BY THE LD. ASSESSING OFFICER ON THE PLEA THAT PAN NO. OF SUCH PARTIES WERE NOT FURNISHED. BEFORE US, IT WAS CONTENDED, ON BEHALF OF THE ASSESSEE, THAT THE NECESSARY DETAILS ALONG WITH PAN NOS. ARE VERY MUCH AVAILABLE WITH THE ASSESSEE AND IF ON E MORE CHANCES GIVEN, THE ASSESSEE IS IN POSITION TO SUBST ANTIATE ITS CLAIM. WE ARE OF THE VIEW THAT NO PERSON SHOULD BE ITA NO. 7624/MUM/2016 IQRA STEEL & TUBES PVT. LTD. 4 CONDEMNED UNHEARD AND EVEN OTHERWISE, AS PER ARTICL E-265 OF CONSTITUTION OF INDIA, ONLY DUE TAXES HAS TO BE LEVIED/COLLECTED, THEREFORE, WITHOUT GOING INTO MUC H DELIBERATION, WE REMAND THIS FILE TO THE FILE OF TH E LD. ASSESSING OFFICER TO EXAMINE THE CLAIM OF THE ASSES SEE AFRESH. THE ASSESSEE IS ALSO AT LIBERTY TO FURNISH NECESSARY DETAILS, IF ANY, TO SUBSTANTIATE ITS CLAIM. THE ASS ESSEE BE GIVEN OPPORTUNITY OF BEING HEARD. THUS, THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES ONLY. FINALLY, THE APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES ONLY. THIS ORDER WAS PRONOUNCED IN THE OPEN COURT IN THE PRESENCE OF LD. REPRESENTATIVES FROM BOTH SIDES AT THE CONCLUSION OF HEARING ON 26/12/2017. SD/- SD/- ( RAJESH K UMAR ) (JOGINDER SINGH) '!# / ACCOUNTANT MEMBER $!# /JUDICIAL MEMBER $ MUMBAI; ( DATED : 26/12/2017 F{X~{T? P.S / /. . . %$&'()(*& / COPY OF THE ORDER FORWARDED TO : 1. *+,- / THE APPELLANT (RESPECTIVE ASSESSEE) 2. ./,- / THE ASSESSEE. 3. 0 0 1' ( *+ ) / THE CIT, MUMBAI. ITA NO. 7624/MUM/2016 IQRA STEEL & TUBES PVT. LTD. 5 4. 0 0 1' / CIT(A)- , MUMBAI, 5. 3#4 .' , 0 *+& * 5 , $ / DR, ITAT, MUMBAI 6. 6 7$ / GUARD FILE. ! / BY ORDER, /3+' .' //TRUE COPY// /! (DY./ASSTT. REGISTRAR) , $ / ITAT, MUMBAI