KPG COTTSPINN INDIA PRIVATE LIMITED,SOMANUR V. .DCIT, CORPORATE CIRCLE- 1, COIMBATORE

ITA 1299/CHNY/2023

AI Insights

The case involves KPG Cottspinn India Private Limited, the appellant, contesting decisions made by the Deputy Commissioner of Income Tax, Corporate Circle-1, Coimbatore, the respondent, regarding the assessment year 2014-15. The primary issues in the appeal were the disallowance of a business loss and an addition under section 68 of the Income Tax Act, 1961. The appellant argued that they were not given adequate opportunity to present their case at the assessment and first appellate stages. The Tribunal noted the absence of any findings or discussions by the Assessing Officer on these issues and decided to remand the case for a fresh assessment.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 107330 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-12-2024
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2014-2015
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: SAMANTHA MULLAMUDI
• Assessee Lawyers: G. BASKAR
• Section: 68

Judgement Text

"आयकर अपीलीय अिधकरण, ’ए’ Ɋायपीठ, चेɄई IN THE INCOME-TAX APPELLATE TRIBUNAL ‘A’ BENCH, CHENNAI ŵी एस.एस. िवʷनेũ रिव, Ɋाियक सद˟ एवं ŵी एस.आर. रगुनाथॎ, लेखा सद˟ क े समƗ Before Shri S.S. Viswanethra Ravi, Judicial Member & Shri S.R. Raghunatha, Accountant Member आयकर अपील सं./I.T.A. No.1299/Chny/2023 िनधाŊरण वषŊ/Assessment Year: 2014-15 KPG Cottspinn India Private Limited, 77, Authupalayam Road, Somanur, Tamil Nadu 641 668. [PAN:AACCK6505H] Vs. The Deputy Commissioner of Income Tax, Corporate Circle-1, Coimbatore. (अपीलाथŎ/Appellant) (ŮȑथŎ/Respondent) अपीलाथŎ की ओर से / Appellant by : Shri G. Baskar, Advocate ŮȑथŎ की ओर से/Respondent by : Smt. Samantha Mullamudi, Addl. CIT सुनवाई की तारीख/ Date of hearing : 12.12.2024 घोषणा की तारीख /Date of Pronouncement : 18.12.2024 आदेश /O R D E R PER S.S. VISWANETHRA RAVI, JUDICIAL MEMBER: This appeal filed by the assessee is directed against the order dated 31.10.2023 passed by the ld. Commissioner of Income Tax (Appeals) 18, Chennai for the assessment year 2014-15. 2. Ground No. 1 is general in nature and requires no adjudication. 3. Ground No. 2 raised by the assessee in challenging the action of the ld. CIT(A) in upholding the disallowance made on account of business loss in the facts and circumstances of the case. I.T.A. No.1299/Chny/23 2 4. The ld. AR Shri G. Baskar, Advocate drew our attention to para 2.1 of the assessment order and submits that there was no opportunity for the assessee before the Assessing Officer. Referring to para 6 in page 10 of the impugned order, it was submitted that no opportunity was given in first appellate proceeding. The ld. AR submits that the assessee is ready to prosecute its case before the Assessing Officer if the Tribunal afford one more opportunity for fresh adjudication. 5. The ld. DR Smt. Samantha Mullamudi, Addl. CIT controverts that the Assessing Officer and the ld. CIT(A) given ample opportunity to the assessee, but the assessee could not avail the same. 6. Heard both the parties and perused the material available on record. The ld. AR drew our attention to paper book containing 65 pages, wherein, we note that the assessee filed relevant evidences before the Assessing Officer. On perusal of the assessment order, we note that no finding or discussion whatsoever made by the Assessing Officer. The ld. DR has also admitted the same. Under these facts and circumstances, we deem it proper to remand the matter to the file of the Assessing Officer for fresh consideration and the assessee is at liberty to file the evidences in support of its claim. Thus, the ground No. 2 raised by the assessee is allowed for statistical purposes. I.T.A. No.1299/Chny/23 3 7. Ground No. 3 raised by the assessee in challenging the action of the ld. CIT(A) in challenging the action of the ld. CIT(A) in sustaining the addition made under section 68 of the Income Tax Act, 1961 [“Act” in short]. 8. The ld. AR drew our attention to para 3 of the assessment order and submits that there was no finding given by the Assessing Officer. Further he referred to page 11 of the impugned order. On perusal of the same and taking into consideration the submissions of the ld. DR, we deem it proper to remand the matter to the file of the Assessing Officer for fresh consideration and the assessee is at liberty to file the evidences in support of its claim. Thus, ground No. 3 raised by the assessee is allowed for statistical purposes. 9. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced on 18th December, 2024 at Chennai. Sd/- Sd/- (S.R. RAGHUNATHA) ACCOUNTANT MEMBER (S.S. VISWANETHRA RAVI) JUDICIAL MEMBER Chennai, Dated, 18.12.2024 Vm/- I.T.A. No.1299/Chny/23 4 आदेश की Ůितिलिप अŤेिषत/Copy to: 1. अपीलाथŎ/Appellant, 2.ŮȑथŎ/ Respondent, 3. आयकर आयुƅ/CIT, Chennai/Madurai/Coimbatore/Salem 4. िवभागीय Ůितिनिध/DR & 5. गाडŊ फाईल/GF. "