Bharat Bobbins Ltd, Ahmedabad V. The Dy. Commissioner of Income Tax, Ahmedabad

ITA 947/AHD/2009

• Counselvise Citation: [2009] 114 COUNSELVISE.COM (IT) 9214 (ITAT-AHMEDABAD)
• Duration Of Justice: 5 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-09-2009
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 30-07-2009
• Assessment Year: 2002-2003
• Appeal Filed On: 30-03-2009
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: A R SHAH
• Keywords: Opportunity of being heard; Set aside

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD BENCH C AHMEDABAD BEFORE SHRI MAHAVIR SINGH, JUDICIAL MEMBER AND SHRI A.N.PHAUJA, ACCOUNTANT MEMBER ITA NO.947/AHD/2009 ASSESSMENT YEAR:2002-03 DATE OF HEARING:30.7.09 DRAFTED: 1.9.09 BHARAT BOBBINS LD. OPP. AJIT MILLS, RAKHIAL ROAD, AHMEDABAD, PAN NO.AAACB6172H V/S. DY. COMMISSIONER OF INCOME-TAX, CIRCLE-1, AHMEDABAD (APPELLANT) .. (RESPONDENT) APPELLANT BY :- SHRI A.R. SHAH, AR RESPONDENT BY:- SHRI SANJEEV KASHYAP, SR. DR O R D E R PER MAHAVIR SINGH, JUDICIAL MEMBER:- THIS APPEAL BY THE ASSESSEE IS ARISING OUT OF THE ORDER OF CIT(APPEALS)- VI, AHMEDABAD IN APPEAL NO.CIT(A)-VI/DCIT.CIR.1/101 /07-08 DATED 30-12- 2008. THE ASSESSMENT WAS FRAMED BY THE ACIT, CIRCLE -1, AHMEDABAD U/S.143(3) OF THE INCOME-TAX ACT, 1961 (HEREINAFTER REFERRED TO AS THE ACT) VIDE HIS ORDER DATED 31-01-2005 FOR THE ASSESSMENT YEAR 2002-03. THE PENALTY UNDER DISPUTE WAS LEVIED BY THE DCIT, CIRCL E-1, AHMEDABAD U/S.271(1)(C) OF THE ACT VIDE HIS ORDER DATED 07-03 -2007. 2. AT THE OUTSET, LD. COUNSEL FOR THE ASSESSEE STAT ED THAT THIS PENALTY WAS LEVIED BY THE ASSESSING OFFICER IN SPITE OF THE REQ UEST OF THE ASSESSEE THAT THE SAME BE KEPT PENDING TILL THE DISPOSAL OF QUANTUM A PPEAL BY ITAT. WE FIND THAT THE AO AFTER REPRODUCING THE PROVISO OF SECTIO N 275 OF THE ACT LEVIED THE PENALTY AND NO OPPORTUNITY OF HEARING HAS BEEN GRAN TED TO THE ASSESSEE FOR ITA NO.947/AHD/2009 A.Y. 2002-03 BHARAT BOBBINS LTD. V. DCIT CIR -1 ABD PAGE 2 PROVIDING EXPLANATION. UNTIL AND UNLESS THE ASSESS EE FILED THE EXPLANATION IN THIS REGARD, THIS ISSUE CANNOT BE DECIDED. ACCORDI NGLY, THE ISSUE NEEDS RE- VERIFICATION AT THE LEVEL OF THE AO AND THIS APPEAL OF THE ASSESSEE IS SET ASIDE TO THE FILE OF THE ASSESSING OFFICER TO RECONSIDER THE PENALTY PROCEEDINGS AFTER TAKING EXPLANATION FROM THE ASSESSEE AND ALSO PROVI DING REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. 3. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FO R STATISTICAL PURPOSES. ORDER PRONOUNCED IN OPEN COURT ON 04/09/2009 SD/- SD/- (A.N.PHAUJA) (MAHAVIR SINGH) (ACCOUNTANT MEMBER) (JUDICIAL MEMBER) AHMEDABAD, DATED : 04/09/2009 *DKP COPY OF THE ORDER FORWARDED TO :- 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT(APPEALS)- 4. THE CIT CONCERNS. 5. THE DR, ITAT, AHMEDABAD 6. GUARD FILE. BY ORDER, /TRUE COPY/ DEPUTY / ASSTT.REGISTRAR ITAT, AHMEDABAD