SHRI GOVIND NARAIN JOHARI, Jaipur V. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-3, Jaipur

ITA 788/JPR/2017

• Counselvise Citation: [2017] 127 COUNSELVISE.COM (IT) 1817 (ITAT-JAIPUR)
• Duration Of Justice: 1 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-12-2017
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2012-2013
• Appeal Filed On: 31-10-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ROLLY AGARWAL CIT DHK
• Keywords: Depreciation; Opportunity of being heard; Principle of natural justice
• Section: 143(3); 142(1); 153A

Judgement Text

VK;DJ VIHYH; VF/KDJ.K] T;IQJ U;K;IHB] T;IQJ IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHE S, JAIPUR JH DQY HKKJR] U;KF;D LNL; ,OA JH FOE FLAG ;KNO] YS [KK LNL; DS LE{K BEFORE: SHRI KUL BHARAT, JM & SHRI VIKRAM SINGH YAD AV, AM VK;DJ VIHY LA-@ ITA NO. 788/JP/2017 FU/KZKJ.K O'K Z@ ASSESSMENT YEAR : 2012-13. SHRI GOVIND NARAIN JOHARI C-7, PRITHVI RAJ ROAD, C-SCHEME, JAIPUR. CUKE VS. DCIT CIRCLE-3, JAIPUR. LFKK;H YS[KK LA-@THVKBZVKJ LA-@ PAN NO. AAQPJ 4277 Q VIHYKFKHZ@ APPELLANT IZR;FKHZ@ RESPONDENT FU/KZKFJRH DH VKSJ LS@ ASSESSEE BY : SHRI SANDEEP JHANWAR (C.A) JKTLO DH VKSJ LS@ REVENUE BY : SMT. ROLLY AGARWAL (CIT) LQUOKBZ DH RKJH[K@ DATE OF HEARING : 20.12.2017. ?KKS'K .KK DH RKJH[K@ DATE OF PRONOUNCEMENT : 22/12/2017. VKNS'K@ ORDER PER SHRI KUL BHARAT, JM . THIS APPEAL BY THE ASSESSEE IS FILED AGAINST THE O RDER OF LD. CIT (A)-4, JAIPUR DATED 14.09.2017 PERTAINING TO ASSESSMENT YEAR 2012 -13. THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS OF AP PEAL:- 1. UNDER THE FACTS AND CIRCUMSTANCES OF THE CASE, THE ORDER OF LD. CIT(A)- 4, JAIPUR DATED 14.09.2017 IS BAD IN LAW AND DESERV E TO BE RESTORED. 2. UNDER THE FACTS AND CIRCUMSTANCES OF THE CASE T HE LD. CIT(A)-4, JAIPUR HAS ERRED IN NOT GIVING THE OPPORTUNITY OF HEARING JUDICIOUSLY AND ALSO ERRED IN NOT DECIDING THE ISSUES INVOLVED IN APPEAL ON MERITS ON THE BASIS OF INFORMATION AVAILABLE ON RECORDS. 2 ITA NO. 788/JP/2017. SHRI GOVIND NARAIN JOHARI, JAIPUR. 3. UNDER THE FACTS AND CIRCUMSTANCES OF THE CASE, THE LD. CIT(A)-4, JAIPUR, HAS ERRED IN NOT QUASHING THE ASSESSMENT OR DER U/S 143(3) OF THE I.T. ACT, 1961 PASSED BY DCIT, CIRCLE-6 JAIPUR WHICH IS ILLEGAL AND BAD IN LAW. 4. UNDER THE FACTS AND CIRCUMSTANCES OF THE CASE, T HE LD. CIT(A)-4, JAIPUR HAS ERRED ON FACT AND IN LAW IN CONFIRMING THE ADDI TION MADE BY NON ADMITTING THE CLAIM OF LOSS OF STOCK BY THEFT AMOUN TING TO RS. 3,49,28,890/-. 5. UNDER THE FACTS AND CIRCUMSTANCES OF THE CASE, T HE LD. CIT(A)-4, JAIPUR HAS ERRED ON FACT AND IN LAW IN CONFIRMING THE ADDI TION OF RS. 30,00,000/- MADE ON THE BASIS OF LOOSE PAPER OFFERE D IN THE RETURN ON PROTECTIVE BASIS, EVEN WHEN SUCH AMOUNT IS TAXED IN A.Y. 2011-12. 6. UNDER THE FACTS AND CIRCUMSTANCES OF THE CASE, T HE LD. CIT(A)-4, JAIPUR HAS ERRED ON FACT AND IN LAW IN CONFIRMING THE DISA LLOWANCE OF THE CLAIM OF DEPRECIATION OF RS. 3,834/- ON WEIGHING MACHINE U/S 40A(3). 7. UNDER THE FACTS AND CIRCUMSTANCES OF THE CASE, T HE LD. CIT(A)-4, HAS ERRED IN CONFIRMING CHARGING OF INTEREST UNDER VARI OUS SECTIONS OF THE ACT WITHOUT CONSIDERING THE CASH AND VALUABLE GOLD BAR SEIZED IN THE SEARCH AGAINST THE TAX DUE AS PER RETURN. 8. THE ASSESSEE CRAVES THE RIGHT TO ADD, AMEND, AL TER OR MODIFY ANY OF THE GROUND OF THE APPEAL. 2. BRIEFLY STATED THE FACTS OF THE CASE ARE THAT A SEARCH ACTION WAS CONDUCTED ON 05.09.2011 IN THE CASE OF JOHARI GROUP, JAIPUR. SU BSEQUENTLY, A NOTICE U/S 142(1) R.W.S. 153A OF THE INCOME TAX ACT, 1961 (HEREINAFTE R REFERRED TO AS THE ACT) WAS ISSUED TO ASSESSEE ON 14.09.2012 AND SAME WAS SERVE D UPON BY THE ASSESSEE ON 8/10/2012. IN COMPLIANCE, THEREOF, THE ASSESSEE FI LED RETURN THROUGH ELECTRONICALLY ON 26.03.2013 DECLARING TOTAL INCOME OF RS. 4,61,47 ,900/-. THE CASE WAS PICKED UP FOR SCRUTINY ASSESSMENT AND THE ASSESSMENT U/S 143( 3) R.W.S. 153B OF THE INCOME TAX ACT WAS FRAMED VIDE ORDER DATED 10/03/2015. TH E ASSESSING OFFICER MADE 3 ITA NO. 788/JP/2017. SHRI GOVIND NARAIN JOHARI, JAIPUR. ADDITION OF RS. 3,49,28,890/- AND RS. 3,834/- RESPE CTIVELY ON ACCOUNT OF INVENTORY OF GOLD, SILVER AND STONE JEWELLARY AND 6 KG GOLD BARS . THE ASSESSING OFFICER ALSO MADE ADDITION ON ACCOUNT OF DISALLOWANCE OF DEPRECI ATION OF RS. 3,834/- ON WEIGHING MACHINE. AGGRIEVED BY THIS, THE ASSESSEE PREFERRED AN APPEAL BEFORE LD. CIT(A). THE LD. CIT(A) NOTING THE NON-COMPLIANCE DISMISSED THE APPEAL EX PARTE. AGGRIEVED BY THIS, THE ASSESSEE IS IN FURTHER APPEAL BEFORE T HIS TRIBUNAL. 3. AT THE OUTSET, THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE ASSESSEE WAS NOT GIVEN REASONABLE OPPORTUNITY TO REPRESENT H IS CASE, AS THE APPEAL FILED BY HIM WAS DISMISSED EX PARTE. HE SUBMITTED THAT IN T HE INTEREST OF PRINCIPLE OF NATURAL JUSTICE THE ASSESSEE OUGHT TO HAVE BEEN GRANTED OPP ORTUNITY BY THE LD. CIT(A). 3.1 ON THE CONTRARY, LD. D/R OPPOSED THE SUBMISSION S AND DREW OUR ATTENTION TO THE IMPUGNED ORDER. 3.2 WE HAVE HEARD THE RIVAL CONTENTIONS, PERUSED TH E MATERIAL AVAILABLE ON RECORD. WE FIND THAT LD. CIT(A) HAS NOTED IN PARA 3 THAT ASSESSEE WAS GIVEN SUFFICIENT OPPORTUNITY. HOWEVER, KEEPING IN VIEW T HE MATERIAL PLACED ON RECORD, WE ARE OF THE CONSIDERED VIEW THAT THE ASSESSEE SHOULD BE GIVEN AN OPPORTUNITY IN THE INTEREST OF JUSTICE. THEREFORE, WE SET ASIDE THE I MPUGNED ORDER AND RESTORE THE ISSUE TO THE FILE OF THE LD. CIT(A) FOR DECISION AF RESH. THE ASSESSEE WOULD COLLECT A COPY OF THIS ORDER FROM THE REGISTRY AND APPEAR BEF ORE THE LD. CIT(A) ON 18.01.2018. THE LD. CIT(A) THEREAFTER, GIVING AN OPPORTUNITY OF BEING HEARD WOULD DECIDE THE APPEAL PREFERABLY WITHIN THREE MONTHS FROM THE RECE IPT OF THE ORDER. THUS, GROUNDS RAISED IN THIS APPEAL ARE ALLOWED FOR STATISTICAL P URPOSE. 4 ITA NO. 788/JP/2017. SHRI GOVIND NARAIN JOHARI, JAIPUR. 4. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT ON FRIDAY, THE 22 ND DAY OF DECEMBER 2017. SD/- SD/- FOE FLAG ;KNO ( DQY HKKJR ) (VIKRAM SINGH YADAV) ( KUL BHARAT ) YS[KK LNL;@ ACCOUNTANT MEMBER U;KF;D LNL;@ JUDICIAL MEMBER JAIPUR DATED:- 22/12/2017. POOJA/ VKNS'K DH IZFRFYFI VXZSF'KR@ COPY OF THE ORDER FORWARDED TO: 1. THE APPELLANT- SHRI GOVIND NARAIN JOHARI, JAIPUR . 2. THE RESPONDENT- DCIT, CIRCLE-3, JAIPUR. 3. THE CIT 4. THE CIT (A), 5. THE DR, ITAT, JAIPUR 6. GUARD FILE (ITA NO. 788/JP/2017) VKNS'KKUQLKJ@ BY ORDER, LGK;D IATHDKJ@ ASSISTANT. REGISTRAR 5 ITA NO. 788/JP/2017. SHRI GOVIND NARAIN JOHARI, JAIPUR.