M/S. Kusvin Vyapaar Pvt. Ltd., Kolkata V. A.C.I.T., Central Circle - 3(1), Kolkata, Kolkata

ITSSA 66/KOL/2022

AI Insights

The case involves M/s Kusvin Vyapaar Pvt. Ltd., which appealed against the order of the Ld. Commissioner of Income Tax (Appeals)-21, Kolkata, dated 04.08.2022, for the Assessment Year 2014-15. The primary contention was the incorrect dismissal of their appeal by the Ld. CIT(A), who mistakenly believed that the assessee had opted for the Direct Tax Vivad-Se-Viswas Scheme, 2022, leading to the ex-parte dismissal of their appeal. The assessee clarified that they had not entered into the said scheme concerning the assessment framed under section 153A of the Income Tax Act, 1961, following a search action. The Tribunal found that the Ld. CIT(A) had indeed dismissed the appeal based on a misapprehension of facts and thus restored the matter for a decision on merits.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 127337 (ITAT-KOLKATA)
• Duration Of Justice: 5 month(s) 15 day(s)
• Appeal Type: Income Tax (Search & Seizure) Appeal
• Pronouncement Date: 16-02-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: C
• Next Hearing Date: 12-02-2023
• Assessment Year: 2014-2015
• Appeal Filed On: 01-09-2022
• Laws Referred To: Direct Tax Vivad-Se-Viswas Act, 2020
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 143(3); 153A

Judgement Text

आयकर अपील य अ धकरण, कोलकाता पीठ ‘‘सी’’, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH: KOLKATA ी राजेश क ु मार, लेखा सद य एवं ी संजय शमा या यक सद यके सम [Before Shri Rajesh Kumar, Accountant Member & Shri Sonjoy Sarma, Judicial Member] I.T.(SS).A. No. 66/Kol/2022 Assessment Year: 2014-15 M/s Kusvin Vyapaar Pvt. Ltd. (PAN: AABCK 9724 F) Vs. ACIT, Central Circle-3(1), Kolkata Appellant / (अपीलाथ ) Respondent / ( !यथ ) Date of Hearing / स ु नवाई क$ त&थ 13.02.2023 Date of Pronouncement/ आदेश उ)घोषणा क$ त&थ 17.02.2023 For the Appellant/ नधा /रती क$ ओर से Shri S. Jhajharia, A.R For the Respondent/ राज व क$ ओर से G. Hukugha Sema, CIT ORDER / आदेश Per Rajesh Kumar, AM: This is the appeal preferred by the assessee against the order of the Ld. Commissioner of Income Tax (Appeals)-21, Kolkata (hereinafter referred to as the Ld. CIT(A)”] dated 04.08.2022 for the AY 2014-15. 2. The assessee has challenged dismissal of ex-parte appeal by Ld. CIT(A) by mis-construing the facts that the assessee has gone into Direct Tax Vivad-Se-Viswas Scheme, 2022 (hereinafter referred to as the Scheme) and thus dismissed the appeal. 2 I.T.(SS).A. No. 66/Kol/2022 Assessment Year: 2014-15 M/s Kusvin Vyapar Pvt. Ltd. 3. The Ld. Counsel for the assessee brought to the notice of the Bench that in this case two assessments were framed. First assessment u/s 143(3) dated 30.12.2016 against which the assessee had gone into the VSVS. Thereafter a search action was conducted on the assessee and assessment was again framed u/s 153A of the Act vide order dated 30.03.2022 against which the appeal was filed before the Ld. CIT(A) which was dismissed in liminie upon the wrong understanding that the assesse has gone into VSVS. The assessee has filed an appeal before the Tribunal against the ex- parte dismissal of the appeal of the assessee on the wrong appreciation of facts that the assessee had gone into the Scheme. The Ld. Counsel for the assessee therefore prayed that the appeal may kindly be restored to the file of the ld CIT(A) so that the same can be decided on merit as the assessee has not gone into VSVS Scheme against the assessment framed u/s 153A dated 30.03.2022. 4. The Ld. D.R. on the other hand left the issue to the decision of the Bench. 5. After examining the facts and perusing the material on record, we find that the Ld. CIT(A) has dismissed the appeal of the assessee on wrong appreciation of facts that the assessee has gone into VSVS Scheme and thus dismissed the appeal by giving the following observations: “ 2.0. It is noted that the appellant opted for the Vivad Se Vishwas Scheme vide application dated 21.12.2020. Pursuant thereto, the Pr. CIT, Central, Kolkata-2, has certified the full and final payment of Rs. 19,59,438/-as taxes in terms of Form No. 5 dated 03/06/2022. In view of the above, the appeal is treated as infructuous as per section 4(2) of the Direct Tax Vivad-Se- Vishwas Act, 2020.” We observe that the Ld. CIT(A) has wrongly dismissed the appeal of the assessee and therefore the ends of justice would be met if the issue is restored to the file of the Ld. CIT(A) to decide the same on merit after affording a reasonable opportunity of hearing to the assessee. 3 I.T.(SS).A. No. 66/Kol/2022 Assessment Year: 2014-15 M/s Kusvin Vyapar Pvt. Ltd. 6. In the result, the appeal of the assessee is allowed for statistical purposes. Order is pronounced in the open court on 17 th February, 2023 Sd/- Sd/- (Sonjoy Sarma /संजय शमा ) (Rajesh Kumar/राजेश क ु मार) Judicial Member/ या यक सद य Accountant Member/लेखा सद य Dated: 17 th February, 2023 SB, Sr. PS Copy of the order forwarded to: 1. Appellant- M/s Kusvin Vyapar Pvt. Ltd., C/O, Salarpuria Jajodia & Co., 7, C.R. Avenue, 3 rd Floor, Kolkata-700072. 2. Respondent – ACIT, Central Circle-3(1), Kolkata 3. Ld. CIT(A)-21, Kolkata (Sent through e-mail) 4. Pr. CIT- , Kolkata 5. DR, Kolkata Benches, Kolkata (sent through e-mail) True Copy By Order Assistant Registrar ITAT, Kolkata Benches, Kolkata