NARENDRA MOHAN SINGH, Mumbai V. CIT 21(1), Mumbai

ITA 803/MUM/2019

• Counselvise Citation: [2020] 111 COUNSELVISE.COM (IT) 5787 (ITAT-MUMBAI)
• Duration Of Justice: 11 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-01-2020
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: B
• Assessment Year: 2011-2012
• Appeal Filed On: 13-02-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Assessee Lawyers: MALTHY PILLAI
• Keywords: Opportunity of being heard; Set aside
• Section: 143(3); 131

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH B, MUMBAI BEFORE SHRI MAHAVIR SINGH, VICE PRESIDENT AND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER ITA NO. 803/MUM/2019 : A.Y : 2011 - 12 NARENDRA MOHAN SINGH 601, JUPITER, SWAMI NARAYAN MANDIR , VILE PARLE (E), MUMBAI 400 057. PAN : ARIPS5027L (APPELLANT) VS. ACIT 2 1( 1 ), MUMBAI. (RESPONDENT) APPELLANT BY : MS. MALTHY PILLAI RESPONDENT BY : SHRI RAHUL RAMAN DATE OF HEARING : 28/01/2020 DATE OF PRONOUNCEMENT : 28 /01/2020 O R D E R PER MAHAVIR SINGH , VICE PRESIDENT TH I S APPEAL IS FILED BY THE ASSESSEE AGAINST ORDER OF CIT(A) - 37 , MUMBAI DATED 19 . 1 0.201 6 FOR ASSESSMENT YEAR 20 11 - 12 WHICH IN TURN HA S ARISEN FROM ORDER OF ASSESSING OFFICER PASSED UNDER SECTION 143(3) R.W.S. 144 OF THE INCOME TAX ACT, 1961 (IN SHORT THE ACT) DATED 25 . 03 .201 4 . 2. AT THE OUTSET, THE LEARNED COUNSEL FOR THE ASSESSEE DREW OUR ATTENTION TO GROUND NOS. 1 & 2 STATING THAT THE CIT(A) HAS PASSED AN EX PARTE ORDER WITHOUT PROVIDING ASSESSEE ADEQUATE OPPORTUNITY OF BEING HEARD. SIMILARLY, THE LEARNED COUNSEL FURTHER STATED THAT EVEN THE ORDER PASSED BY THE ASSESSING OFFICER 2 ITA NO. 803/MUM/2019 NARENDRA MOHAN SINGH UNDER SECTION 144 OF THE ACT IS AN EX PARTE ORDER. HE REFERRED TO THE FOLLOWING GROUND NOS. 1 & 2 : 1. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW THE LD. COMMISSIONER OF INCOME TAX (APPEALS) ERRED IN PASSING THE IMPUGNED ORDER WITHOUT AFFORDING ADEQUATE OPPORTUNITY OF BEING HEARD, AS PER THE GROUND STATED IN THE ORDER OR OTHERWISE. 2. ON THE FACTS AND CIRCUMSTANCES OF THE CASE A ND IN LAW THE LD. COMMISSIONER OF INCOME TAX (APPEALS) ERRED IN CONFIRMING THE ACTION OF LD. ASSESSING OFFICER IN PASSING AN EX - PARTE ORDER U/S 144 OF THE ACT, AS PER THE GROUND STATED IN THE ORDER OR OTHERWISE. 3. THE LEARNED COUNSEL FOR THE ASSESSEE TO OK US THROUGH THE ASSESSMENT ORDER AND STATED THAT ASSESSMENT WAS COMPLETED UNDER SECTION 144 OF THE ACT VIDE ORDER DATED 25.03.2014 WHEREIN THE ASSESSING OFFICER HAS NOTED IN PARA 3.2 AS UNDER : - 3.2 THE SEQUENCE OF EVENTS NARRATED ABOVE CLEARLY BRING O N RECORD THAT INSPITE OF SERVICE OF NOTICES U/S. 142(1), SUMMON U/S. 131 AND SHOW CAUSE NOTICES ISSUED BY THIS OFFICE, THE ASSESSEE HAS NOT COMPLIED TO ANY OF THE COMMUNICATIONS MADE BY THIS OFFICE. IT IS, THEREFORE, CONCLUDED THAT THE ASSESSEE HAS NO EXP LANATION/SUBMISSIONS TO OFFER IN RESPECT OF HIS RETURN OF INCOME FILED FOR THE YEAR UNDER CONSIDERATION. THE UNDERSIGNED IS, THEREFORE, LEFT WITH NO OPTION BUT TO COMPLETE THE ASSESSMENT U/S. 144 OF THE INCOME TAX ACT, 1961 TO THE BEST OF MY JUDGEMENT ON THE BASIS OF MATERIAL AVAILABLE ON RECORD. FURTHER, THE LEARNED COUNSEL TOOK US THROUGH THE ORDER OF CIT(A) AND STATED THAT EVEN THE ORDER OF CIT(A) IS EX PARTE . IT SEEMS THAT BOTH THE AUTHORITIES BELOW HAVE PASSED EX PARTE ORDER S FOR NON - APPEARANCE OF ASSESSEE. WE NOTED THAT BOTH THE AUTHORITIES BELOW HAVE NOT PROVIDED SUFFICIENT OPPO RTUNITY OF HEARING TO ASSESSEE. WHEN THIS FACT WAS CONFRONTED TO THE LEARNED SENIOR DR, HE STATED THAT DECIDING THE ISSUE HERE WILL NOT SERVE ANY P URPOSE AND ONE MORE 3 ITA NO. 803/MUM/2019 NARENDRA MOHAN SINGH CHANCE CAN BE GIVEN TO THE ASSESSEE. THE LEARNED COUNSEL FOR THE ASSESSEE ALSO PLEADED THAT ONE MORE OPPORTUNITY BE PROVIDED. 4. AFTER HEARING BOTH SIDES AND GOING THROUGH THE FACTS OF THE CASE, WE, IN THE INTEREST OF JUSTICE, PROVIDE ONE MORE OPPORTUNITY TO THE ASSESSEE. NEEDLESS TO SAY, THIS OPPORTUNITY IS AT A COST OF RS.10,000/ - . THIS AMOUNT OF RS.10,000/ - WILL BE DEPOSITED BY ASSESSEE WITH THE LEGAL AID SERVICES OF MAHARASHTRA AT BOMBAY HIGH COURT. ACCORDINGLY, WE SET ASIDE THE ORDERS OF AUTHORITIES BELOW AND REMAND THE MATTER BACK TO THE FILE OF ASSESSING OFFICER FOR AFRESH ADJUDICATION DE NOVO . 5. IN THE RESULT, APPEAL OF ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES SUBJECT TO PAYMENT OF COSTS. ORDER PRONOUNCED IN THE OPEN COURT ON 28 TH JANUARY, 2020. SD/ - SD/ - ( MANOJ KUMAR AGGARWAL ) ACCOUNTANT MEMBER (MAHAVIR SINGH) VICE PRESIDENT MUMBAI, DATE : 28 TH JANUARY, 2020 *SSL* COPY TO : 1) THE APPELLANT 2) THE RESPONDENT 3) THE CIT(A) CONCERNED 4) THE CIT CONCERNED 5) THE D.R, B BENCH, MUMBAI 6) GUARD FILE BY ORDER DY./ASSTT. REGISTRAR I.T.A.T, MUMBAI