Armaisamma Thalli Restaurant and Bar , Hyderabad V. Income Tax Officer, Ward-8(2), Hyderabad

ITA 799/Hyd/2019

• Counselvise Citation: [2020] 110 COUNSELVISE.COM (IT) 7231 (ITAT-HYDERABAD)
• Duration Of Justice: 1 year(s) 3 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-09-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB-B
• Assessment Year: 2015-2016
• Appeal Filed On: 17-05-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Business income
• Section: 143(3)

Judgement Text

1 IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH B - SMC, HYDERABAD BEFORE SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER ( THROUGH VI RTUAL HEARING) ITA NO.799/HYD/2019 ASSESSMENT YEAR:2015 - 16 ARAMAISAMMA THALLI RESTAURANT AND BAR, HYDERABAD. PAN: ACKFS 0876 L VS. INCOME TAX OFFICER, WARD - 8(2), HYDERABAD. (APPELLANT) (RESPONDENT) ASSESSEE BY: SRI V. SRIDHAR FOR SRI A. SRINIVAS REVENUE BY: SRI R.S. ARAVINDAKSHAN, DR DATE OF HEARING: 03/09/2020 DATE OF PRONOUNCEMENT: 04 /09/2020 ORDER THIS APPEAL IS FILED BY THE ASSESSEE AGAINST THE ORDER OF THE LD. CIT(A) - 4, HYDERABAD IN APPEAL NO. 10373/2017 - 18/CIT(A) - 2, DATED 30/01/2019 PASSED U/S. 143(3) OF THE ACT FOR THE A.Y. 2015 - 16. 2. ASSESSEE HAS RAISED THE FOLLOWING GROUNDS IN ITS APPEAL: - (1) THE ORDER OF THE APPELLATE COMMISSIONER IS CONTRARY TO LAW, FACTS AND CIRCUMSTANCES OF THE CASE. (2) THE APPELLATE COMMISSIONER ERRED IN CONFIRMING THE ESTIMATION OF BUSINESS INCOME AFTER REJECTING THE BOOKS OF ACCOUNTS. (3) THE APPELLATE COMMISSIONER ERRED IN NOT SEPARATING THE LIQUOR SALES WITH THE FOOD SALES, AND THEREBY ESTIMATING THE TOTAL INCOME @ 8%, THEREBY CONFIRMING AN AMOUNT OF RS. 17,72,359/ - . (4) ANY OTHER GROUND OR GROUNDS THAT MAY URGE EITHER AT O R BEFORE THE DATE OF HEARING. 2 3. AT THE OUTSET, THE LD. AR SUBMITTED BEFORE ME THAT THE LD. CIT (A) HAS PASSED EX - PARTE ORDER WITHOUT PROVIDING AN OPPORTUNITY TO THE ASSESSEE OF BEING HEARD. IT WAS THEREFORE PLEADED THAT THE MATTER MAY BE REMITTED BACK TO THE FILE OF THE LD CIT (A) IN ORDER TO PROVIDE ONE MORE OPPORTUNITY TO THE ASSESSEE OF BEING HEARD . LD. DR, ON THE OTH ER HAND, VEHEMENTLY OPPOSED TO THE SUBMISSIONS OF THE LD. AR AND ARGUED THAT PROPER OPPORTUNITY HAD BEEN PROVIDED TO THE ASSESSEE HOWEVER, ON THE GIVEN DATE OF HEARING, NEITHER THE ASSESSEE NOR ITS REPRESENTATIVE APPEARED BEFORE THE LD. CIT (A). IT WAS FU RTHER SUBMITTED THAT THE LD. CIT (A) HAD NO OTHER OPTION BUT TO PASS EX - PARTE ORDER BASED ON THE MATERIALS AVAILABLE ON RECORD. HENCE, IT WAS PLEADED THAT THE ORDER PASSED BY THE LD. CIT(A) DOES NOT CALL FOR ANY INTERFERENCE. 4. I HAVE HEARD THE RIVAL SU BMISSIONS AND CAREFULLY PERUSED THE MATERIALS ON RECORD. ON EXAMINING THE FACTS OF THE CASE, I FIND MERIT IN THE SUBMISSIONS OF THE LD. DR. THE LD. CIT (A) HAD POSTED THE CASE ON SEVERAL OCCASIONS. HOWEVER, NONE APPEARED ON BEHALF OF THE ASSESSEE BEFORE THE CIT(A) ON THE DATE OF HEARING. THEREFORE, THE LD. CIT (A) WAS LEFT WITH NO OTHER OPTION EXCEPT TO ADJUDICATE THE APPEAL EX - PARTE BASED ON THE MATERIAL AVAILABLE ON RECORD . IN THIS SITUATION, I DO NOT FIND MUCH STRENGTH IN THE ARGUMENTS ADVANCED BY T HE LD. AR. HOWEVER, CONSIDERING THE PRAYER OF THE LD. AR, AND IN THE INTEREST OF JUSTICE, I HEREBY REMIT 3 THE MATTER BACK TO THE FILE OF LD. CIT (A) IN ORDER TO CONSIDER THE APPEAL AFRESH ON MERITS BY PROVIDING ONE MORE OPPORTUNITY TO THE ASSESSEE OF BEING HEARD. AT THE SAME BREATH, I ALSO HEREBY CAUTION THE ASSESSEE TO PROMPTLY CO - OPERATE BEFORE THE LD. CIT (A) IN THE PROCEEDINGS FAILING WHICH THE LD. CIT (A) SHALL BE AT LIBERTY TO PASS APPROPRIATE ORDER IN ACCORDANCE WITH LAW AND MERITS BASED ON THE MATERI ALS ON THE RECORD. IT IS ORDERED ACCORDINGLY. 5. IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES AS INDICATED HEREINABOVE. PRONOUNCED IN THE OPEN COURT ON 04 TH SEPTEMBER, 2020. SD/ - ( A. MOHAN ALANKAMONY ) ACCOUNTANT MEMBER HYDERABAD, DATED: 04 TH SEPTEMBER, 2020. OKK COPY TO: - 1) ARAMAISAMMA THALLI RESTAURANT AND BAR, PLOT NO. 28, 4 - 1 - 141, DONBOSCO POST OFFICE, BANDLAGUDA JAGIR, RAJENDRA NAGAR, HYDERABAD 500 086. 2) INCOME TAX OFFICER, WARD - 8(2), HYDERABAD. 3) THE CIT(A) - 2 , HYDERABAD 4) THE PR. CIT - 2 , HYDERABAD 5) THE DR, ITAT, HYDERABAD 6) GUARD FILE