Associated Techno Plastic P. Ltd. , New Delhi V. DCIT, Circle- 3(2), New Delhi

ITA 7730/DEL/2018

AI Insights

The case involves Associated Techno Plastics Pvt. Ltd., which appealed against the penalty imposed by the A.O. for the assessment year 2008-09. The company had initially declared nil income but later claimed a business loss to be carried forward. The A.O. issued notices under sections 142(1) and 143(2) of the Income Tax Act, which went unanswered, leading to an ex parte assessment and a penalty for concealment of income. The CIT(A) upheld the penalty, noting the assessee's failure to respond to multiple opportunities for hearing. The Tribunal, observing the continued absence of the assessee and lack of any supporting evidence or arguments, dismissed the appeal.

• Counselvise Citation: [2022] 140 COUNSELVISE.COM (IT) 122138 (ITAT-DELHI)
• Duration Of Justice: 4 year(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-12-2022
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 27-11-2022
• Assessment Year: 2008-2009
• Appeal Filed On: 04-12-2018
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Depreciation
• Section: 271(1)(c); 144; 143(3); 142(1); 143(2)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES “A”: DELHI BEFORE SHRI ANIL CHATURVEDI, ACCOUNTANT MEMBER AND SHRI CHANDRA MOHAN GARG, JUDICIAL MEMBER ITA.No.7730/Del./2018 Assessment Year 2008-09 Associated Techno Plastics Pvt. Ltd., G-11, First Floor, Preet Vihar, Delhi – 110 092. PAN AAACA2525K [vs. Deputy Commissioner of Income Tax Circle 3(2) New Delhi (Appellant) (Respondent) For Assessee : -None- For Revenue : Shri Kanv Bali, Sr. DR Date of Hearing : 28.11.2022 Date of Pronouncement : 28.12.2022 ORDER PER ANIL CHATURVEDI, A.M. This appeal by Assessee has been directed against the Order of the Ld. CIT(A)-32, New Delhi, dated 31.07.2018 in Appeal No.183/2017-18 relating to the A.Y. 2008-2009. 2. The relevant facts as culled from the material on records are as under : 2 ITA.No.7730/Del./2018 Associated Techno Plastic P. Ltd. 2.1 Assessee is a company which is stated to be engaged in the business of investments in shares, debentures. The assessee filed its return of income for A.Y. 2008-09 on 22.09.2008 declaring nil income. The assessee thereafter vide letter dated 29.09.2010 filed a computation of income and claimed business loss of current assessment year to be carried forward to the tune of Rs. 1,89,21,306/-. The case of the assessee was selected for scrutiny. The A.O has noted that notices u/s. 142(1) and 143(2) were issued but there was no response from the side of the assessee. He therefore framed assessment u/s. 144 r.w.s 143(3) vide order dated 20.12.2012 computed the total income at Rs.1,41,04,290/- and after setoff of brought forward losses and depreciation determined the total taxable income at Rs. 13,92,540/-. On the additions made which was upheld in appellate proceedings A.O. vide order dated 13.09.2016 passed u/s. 271(1)(c) levied penalty of Rs. 1,12,25,400/-. 2.2. Aggrieved by the penalty order passed by the A.O., the assessee carried the matter in appeal before the 3 ITA.No.7730/Del./2018 Associated Techno Plastic P. Ltd. Ld. CIT(A) who vide order dated 31.07.2018 in Appeal No. 183/2017-18 dismissed the appeal of the assessee. While dismissing the appeal, he noted that various opportunities were granted to the assessee to appear and plead its case but there was no response from the side of assessee. He thus upheld the order of AO. 3. Aggrieved by the order of the Ld. CIT(A), the assessee now is in appeal before us. 4. The case file reveals that the matter for listed on two occasions but there was no representation from the side of assessee. Even of the date of present hearing there was no appearance from the side of assessee nor there was any adjournment application filed by assessee. The fact that the assessee has not appeared before the Tribunal shows the negligent approach of the assessee and it shows that assessee is not serious in pursuing the appeal filed by it. In the absence of any co-operation from the side of the assessee in helping to decide the appeal, we don’t find any 4 ITA.No.7730/Del./2018 Associated Techno Plastic P. Ltd. reason to keep the matter pending before us. Further considering the fact that there was no appearance by the assessee even before A.O. and CIT(A), we proceed to dispose of the appeal ex parte qua the assessee. 5. Before us, Ld. D.R took us through the order of A.O. and CIT(A) submitted that the assessment order would reveal that there has been no appearance by the assessee either during the assessment proceedings or penalty proceedings before the A.O. nor assessee was represented before the CIT(A) despite various opportunities. He further submitted that even before the Tribunal the assessee is not appearing. He therefore submitted that in such a situation the appeal of assessee be dismissed. 6. We have heard the Ld. D.R and perused the material on record. We find that the assessment of the assessee was framed u/s. 144 r.w.s 143(3) meaning thereby that there was no appearance or the required details called by the A.O. was not filed by the assessee. We further find 5 ITA.No.7730/Del./2018 Associated Techno Plastic P. Ltd. that even in the penalty proceedings before AO there has been no appearance from the side of assessee. We further find that Ld. CIT(A) has also noted that various notices for hearing were issued to the assessee but that there was no appearance from the side of the assessee. Even before us, there is no appearance from the side of the assessee. Preferring an appeal does not mean merely formally filing an appeal but also taking all the necessary steps to pursue the appeal. When an appeal is filed by the assesse before the Tribunal against the order of lower authorities, it is expected that the assessee may put forth some documentary evidences to support its contentions as it is the duty of the assessee to lead evidence in support of its claims. We find that A.O. has levied the penalty on the additions made by him. Before us, no material has been placed on record by the assessee to point out any fallacy in the findings of the lower authorities. In such a situation, we find no reason to interfere with the order of the CIT(A) and thus the grounds of assessee is dismissed. 6 ITA.No.7730/Del./2018 Associated Techno Plastic P. Ltd. 7. In the result, appeal of the assessee is dismissed. Order pronounced on 28 th day of December, 2022 Sd/- Sd/- [CHANDRA MOHAN GARG] [ANIL CHATURVEDI] JUDICIAL MEMBER ACCOUNTANT MEMBER Delhi, Dated 28 th December, 2022 NV/- Copy to 1. The appellant 2. The respondent 3. Ld. CIT(A) concerned 4. CIT concerned 5. DR ITAT “A” Bench, Delhi 6. Guard File //By Order// Assistant Registrar, ITAT, Delhi Benches, Delhi.