Shri Sanjeev Kumar Mathiyan, Muzaffarnagar V. Assistant Commissioner of Income Tax, Central Circle, Panaji

ITSSA 7/PAN/2019

AI Insights

The case involves two appeals by the assessee, Sanjeev Kumar Mathiyan, against the orders passed by the Commissioner of Income Tax (Appeals)-2, Panaji, for the assessment years 2013-14 and 2014-15. The appeals were consolidated due to the commonality of the issues involved. The primary legal contention was the absence of a Document Identification Number (DIN) on the orders communicated to the assessee, which is a mandatory requirement as per CBDT Circular 19/2019. The Tribunal, after considering the legal precedents and the provisions of the circular, concluded that the lack of DIN rendered the orders non-est in law, leading to the allowance of the appeals.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 136149 (ITAT-PANAJI)
• Duration Of Justice: 3 year(s) 9 month(s) 9 day(s)
• Appeal Type: Income Tax (Search & Seizure) Appeal
• Pronouncement Date: 31-08-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: WT(D)
• Next Hearing Date: 06-08-2023
• Assessment Year: 2014-2015
• Appeal Filed On: 21-11-2019
• Other Referred Cases: CIT Vs Brandix Mauritius Holdings Ltd., K.P. Varghese Vs ITO, Ernakulum, Back Office IT Solutions Pvt. Ltd. Vs UOI
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 143(3); 153A; 250

Judgement Text

॥ आयकर अपीलीय न्यायाधिकरण, पणजी न्यायपीठ, पणजी में ॥ ITAT-Panaji Page 1 of 4 IN THE INCOME TAX APPELLATE TRIBUNAL, PANAJI BENCH, PANAJI BEFORE HON’BLE SHRI S. S. GODARA, JUDICIAL MEMBER AND SHRI G. D. PADMAHSHALI, ACCOUNTANT MEMBER (Through Virtual Hearing at Pune) आयकरअपील सं. / ITSS No’s. 06 & 07/PAN/2019 निर्धारण वर्ा / Assessment Years : 2013-14 & 2014-15 Sanjeev Kumar Mathiyan 830-South Civil Lines, Muzaffar Nagar, UP-251001 . . . . . . . Appellant बनाम / Vs Asstt. Commissioner of Income Tax, Central Circle, Panaji Goa. . . . . . . . Respondent द्वारा / Appearances Assessee by : None Revenue by : Shri B. Y. Chavan सुनवाई की तारीख / Date of conclusive Hearing : 07/08/2023 घोषणा की तारीख / Date of Pronouncement : 01/09/2023 आदेश / ORDER PER G. D. PADMAHSHALI, AM; These two appeals of the assessee are assailed against separate orders of Commissioner of Income Tax (Appeals)- 2, Panaji both dt. 04/10/2019 passed u/s 250 of The Income Tax Act, 1961 [for short ‘the Act’] which emanated out of orders passed u/s 143(3) r.w.s 153A of the Act for assessment year [for short ‘AY’] 2013-14 & 2014-15. Shri Sanjeev Kumar Mathiyan IT(SS)A No’s.06 & 07/PAN/2019 AY : 2013-14 & 14-15 ITAT-Panaji Page 2 of 4 2. As issue involved in these appeals being common, hence taken up together for the sake of brevity and convenience for to be disposed of by a common & consolidated order. 3. During the course of physical hearing, in the absence of assessee, after hearing the Ld. DR we proceeded to dispose of these appeals ex-parte u/r 24 of Income Tax Appellate Tribunal Rules, 1963 [‘ITAT-Rules’ hereinafter]. Subject to the provisions of rule 18 of ITAT-Rules, perused material placed on record, and duly considered facts of the case in the light of settled legal position which are forewarned to parties present. 4. In so far as the maintainability of present appeals are concerned, it is noted that, the impugned separate orders of Ld. CIT(A) were passed on 04/10/2019 and communicated to assessee does bear neither Document Identification Number [for short ‘DIN’] nor find annexed any documentary evidence to showcase post compliance of DIN requirement in terms of CBDT Circular 19/2019 dt. 14/08/2019. Shri Sanjeev Kumar Mathiyan IT(SS)A No’s.06 & 07/PAN/2019 AY : 2013-14 & 14-15 ITAT-Panaji Page 3 of 4 5. Admittedly, impugned orders communicated by the Ld. CIT(A) after 01/10/2019 have suffered from compliance in terms of CBDT Circular (supra), for the reason neither any appeal against such non-est order is maintainable nor any adjudication can be founded on such non-est communication. In holding so, the bench noted that, while vouching effect of non-generation vis-à-vis non-quoting of DIN, the Hon’ble Delhi High Court while dealing with similar issue in ‘CIT Vs Brandix Mauritius Holdings Ltd.’ (163/2023 dt. 20/03/2023), has held that the communication in relation to assessments, appeals, orders etc., which finds mention in paragraph 2 of the 2019 circular, albeit without DIN, can have no standing in law, having regard to the provisions of paragraph 4 of the 2019 circular. Their lordships have also observed that in view of the decision of Hon’ble Supreme Court in the case of ‘K.P. Varghese Vs ITO, Ernakulum (1981) 4 SCC 173 and in the case of ‘Back Office IT Solutions Pvt. Ltd. Vs UOI (2021) SCC online Del 2742, the circulars issued by CBDT binds the Revenue in administration or implementation of law, and such circulars cannot be side- stepped causing prejudice by bringing to naught the object for which such circulars are issued. Shri Sanjeev Kumar Mathiyan IT(SS)A No’s.06 & 07/PAN/2019 AY : 2013-14 & 14-15 ITAT-Panaji Page 4 of 4 6. In the light of aforestated legal position, in the extant appeals undisputedly the impugned orders were communicated in violation of Para-2 of CBDT Circular (supra) and no material showcasing post compliance in terms of Para 3 & 5 are laid before us. For the want of DIN, impugned orders suffered from compliance hence rendered itself invalid as if never been issued, therefore gives rise to no cause for action to either party. In these circumstances, in our considered view, the impugned orders are to be treated as never been issued therefore ceases to have any effect in the eyes of law. 7. In result, twin appeals of the assessee are ALLOWED. U/r 34 of ITAT Rules, the order is pronounced in open court on this Friday 01 st day of September, 2023. -S/d- - S/d- S. S. GODARA G. D. PADMAHSHALI JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे/ PUNE ; नििधंक / Dated : 01 st day of September, 2023. आदेशकीप्रधिधलधपअग्रेधिि / Copy of the Order forwarded to : 1.अपीलधर्थी / The Appellant. 2. प्रत्यर्थी / The Respondent. 3. The CIT(A), Panaji-Goa 4. The Pr. CIT, Panaji 5. DR, ITAT, Panaji Bench 6.गधर्ाफ़धइल / Guard File. SGR* आिेशधिुसधर / By Order, वऩरष्ठनिजीसनिव / Sr. Private Secretary आयकरअपीलीयन्यधयधनर्करण, पुणे / ITAT, Pune.