Ashok Kumar Arora, New Delhi V. ACIT, New Delhi

ITA 841/DEL/2014

• Counselvise Citation: 84120114 RSA 2014
• Duration Of Justice: 1 year(s) 7 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-09-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC 1
• Next Hearing Date: 09-09-2015
• Assessment Year: 2008-2009
• Appeal Filed On: 13-02-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR B R R KUMAR
• Assessee Lawyers: SALIL KAPOOR
• Keywords: Opportunity of being heard
• Section: 132; 142(1); 153A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH: SMC - I NEW DELHI BEFORE SMT DIVA SINGH, JUDICIAL MEMBER I.T.A .NO. - 841 /DEL/201 4 (ASSESSMENT YEAR - 20 08 - 09) ASHOK KUMAR ARORA, UNIT NO. - 134, 1 ST FLOOR, RECTANGLE 1, SAKET DISTRICT CENTRE, SAKET, NEW DELHI - 110017 . PAN - AAAFK5195J ( APPELLANT) VS A CIT, CENTRAL CIRCLE - 19, NEW DELHI. (RESPONDENT ) APPELLANT BY SH. SALIL KAPOOR, ADV. RESPONDENT BY DR.B.R.R.KUMAR, SR.DR ORDER BY T HE PRESENT APPEAL THE ASSESSEE ASSAIL S THE CORRECTNESS OF THE ORDER DATED 10 .1 0 .201 3 OF CIT(A) - XXXIII , NEW DELHI PERTAINING TO 2008 - 09 ASSESSMENT YEAR WHEREIN THE PENALTY OF RS. 1,36,066/ - IMPOSED BY THE AO HAS BEEN UPHELD BY THE CIT(A) . 2. VARIOUS GROUNDS HAVE BEEN RAISED BY THE ASSESSEE IN THE PRESENT APPEAL. H OWEVER, REFERENCE THERETO IS BEING ABSTAINED FROM I N VIEW O F THE PECULIAR FACTS AND CIRCUMST ANCES OF THE CASE WHICH ARE BEING REFERRED TO HEREIN AFTER. A PERUSAL O F THE RECORD SHOWS THAT IN THE ORIGINAL RETURN OF INCOME FILED BY THE ASSESSEE ON 26.07.2008 INCOME OF RS.9,93,800/ - WAS DECLARED . THE ASSESSEE ALONGWITH DAWAT GROUP OF CASES WAS SUB JECTED TO SEARCH ON 10.02.2009 U/S 132 O F THE INCOME TAX ACT, 1961. ACCORDINGLY N OTICE U/S 153A WAS ISSUED ON 07.10.2009 REQUIRING THE ASSESSEE TO FILE ITS RETURN OF INCOME FOR THE YEAR UNDER CONSIDERATION AS IT WAS ONE OF THE 6 ASSESSMENT YEARS PRECEDING THE ASSESSMENT YEAR RELEVANT TO THE PREVIOUS YEAR IN WHICH THE SEARCH WAS CONDUCTED. PURSUANT TO THE NOTICE U/S 153A AND 142(1) ALONGWITH QUESTIONNAIRE ETC. THE ASSESSEE DECLARED AN INCOME OF RS.13,94,120/ - WHICH WAS ACCEPTED. AS A RESULT OF THIS, PEN ALTY U/S DATE OF HEARING 09 .0 9 .2015 DATE OF PRONOUNCEMENT 23 .0 9 .2015 I.T.A .NO. - 8 4 1/ DEL/201 4 PAGE 2 OF 2 271(1)(C) WAS INITIATED AND LEVIED AND IN APPEAL CONFIRMED BY THE CIT(A). HOWEVER A PERUSAL OF THE RECORD SHOWS THAT THE EXPLANATION OFFERED BY THE ASSESSEE THOUGH REPRODUCED IN THE PENALTY ORDER HAS NOT BEEN CONSIDERED IN THE PENALTY PROCEEDIN GS. THIS WAS ASSAILED BEFORE THE CIT(A) WHERE APART FROM OTHER ARGUMENTS ASSAILING THE PENALTY ORDER THE ASSESSEE IS ALSO FOUND TO HAVE RELIED UPON THE DECISION IN THE CASE OF PREM A R ORA VS DCIT [2012] 24 TAXMANN.COM 260 (DEL.). THE LD. CIT(A) IT IS SEEN HAS HELD THAT THE DECISION INFACT IS AGAINST THE ASSESSEE AND UPHELD THE PENALTY ORDER. IT IS SEEN THAT THE EXPLANATION OF THE ASSESSEE HAS NOT BEEN CONSIDERED INDEPENDENTLY . IN VIEW THEREOF AFTER HEARING THE PARTIES, IT IS CONSIDER ED APPROPRIATE TO SET ASIDE THE IMPUGNED ORDER IN ORDER TO BRING OUT THE REASONS THE DECISION ADDRESSING THE ARGUMENTS OF THE ASSESSEE WHICH EXERCISE IS FOUND MISSING. A CCORDINGLY THE IMPUGNED ORDER IS SET ASIDE AND THE ISSUE IS RESTORED BACK TO THE F ILE TO THE CIT(A) WITH THE DIRECTION TO DECIDE THE SAME IN ACCORDANCE WITH LAW AFTER GIVING THE ASSESSEE A REASONABLE OPPORTUNITY OF BEING HEARD IN TERMS OF THE STATUTORY MANDATE AS SET OUT IN SECTION 250(6) OF THE INCOME TAX ACT, 1961. 3. IN THE RESULT, T HE APPEAL OF THE ASSESSEE IS ALLOWED . THE ORDER IS PRONOUNCED IN THE OPEN COURT ON 2 3 R D OF SEPTEMBER, 2015. S D / - (DIVA SINGH) JUDICIAL MEMBER DATED: 2 3 / 09 /2015 * AMIT KUMAR * C OPY FORWARDED TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(APPEALS) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI