LAXMI NARAYAN PODDAR,DURGAPUR V. ITO, , DURGAPUR

ITA 693/KOL/2024

AI Insights

The case involves Laxmi Narayan Poddar, who appealed against the order of the Learned Commissioner of Income Tax (Appeals)-NFAC, Delhi, which had dismissed his appeal due to non-response to notices. The AO had initially assessed Poddar's income significantly higher than declared, based on the difference between the actual sale value and the notional stamp duty value of immovable property. The ITAT found that the AO had not referred the matter to the valuation cell to resolve the dispute and noted that the assessee, being a senior citizen, might not have had the income he was assessed for. The ITAT decided to remit the case back to the AO for a fresh assessment, allowing the assessee to present his case with the necessary documents.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 668952 (ITAT-KOLKATA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-06-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: C
• Assessment Year: 2018-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Sale consideration of property below Jantri Value
• Section: 142(1)

Judgement Text

"आयकर अपीलȣय अͬधकरण, कोलकाता पीठ “सी’’, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH: KOLKATA Įी Ĥदȣप क ुमार चौबे, ÛयाǓयक सदèय एवं Įी राक ेश ͧमĮ, लेखा सटèय क े सम¢ [Before Shri Pradip Kumar Choubey, Judicial Member &Shri Rakesh Mishra, Accountant Member] I.T.A. No. 693/Kol/2024 Assessment Year: 2015-16 Laxmi Narayan Poddar (PAN: AWCPP 1657 Q) Vs. ITO, Durgapur Appellant / ) अपीलाथȸ ( Respondent / Ĥ×यथȸ Date of Hearing / सुनवाई कȧ Ǔतͬथ 12.06.2025 Date of Pronouncement/ आदेश उɮघोषणा कȧ Ǔतͬथ 23.06.2025 For the assessee / Ǔनधा[ǐरती कȧ ओर से Shri Arvind Agarwal, Advocate For the revenue / राजèव कȧ ओर से Shri S. B Chakraborthy, Sr. D.R ORDER / आदेश Per Pradip Kumar Choubey, JM: This is the appeal preferred by the assessee against the order of Learned Commissioner of Income Tax (Appeals)-NFAC, Delhi (hereinafter referred to as the Ld. CIT(A)] dated 05.02.2024 for AY 2018-19. 2. Brief facts of the case of the assessee is that the assessee filed return of income for AY 2018-19 declaring total income of Rs. 2,25,700/-. The return of income filed was 2 I.T.A. No. 693/Kol/2024 Assessment Year: 2018-19 Laxmi Narayan Poddar selected for limited scrutiny, notice u/s 143(2) was issued and subsequently notices u/s 142(1) were also issued requesting the assessee to furnish certain details but there was no response from the assessee. The assessee finally responded in the statutory notices issued and requesting for adjournment and furnish sale and purchase deed, letter, injunction order. The AO assessed the income of the assessee at Rs. 38,25,700/- by making addition of Rs. 36,00,000/- on account of difference between actual sale value and notional stamp duty value of immovable property. 3. Aggrieved by the said order, the assessee preferred an appeal before the Ld. CIT(A) wherein the appeal of the assessee has been dismissed as the assessee did not respond to any of the notices. Being aggrieved and dissatisfied the assessee preferred an appeal before us. 4. The Ld. A. R instead of arguing into the merit of the case has only prayed that the matter be remitted back to the file of AO for fresh consideration as in this case the assessee has sufficient documentary evidences to place the same before the AO to come to right conclusion. The Ld. A.R further submits that the AO is a competent person for verification and computation hence, the matter be remitted back to the file of AO instead of Ld. CIT(A). 5. Contrary to that the ld. D.R though supports the impugned order but did not raise any objection in remitting the appeal of the assessee to the AO for fresh adjudication. 6. Upon hearing the submission of the counsel for the respective parties, we have perused the order passed by the lower authorities and find that the AO has assessed the income of the assessee without referring the matter to the valuation cell to resolve the dispute. We further find that the assessee is a senior citizen and as per submission of the assessee and he has no such income at present. We further find that the Ld. CIT(A) has passed the order when there was no response from the side of the assessee. It appears that from the AO’s order that the assessee did not file reply to the findings discussed by 3 I.T.A. No. 693/Kol/2024 Assessment Year: 2018-19 Laxmi Narayan Poddar the AO, as a result of which, the assessment order was passed. The order of AO reveals thus: “Now, since after expiring of almost four more days, the assessee did not file reply to the above discussed findings. This shows that the assessee has nothing to submit further on the proposed addition intimated in advance through show cause notice.” 7. Keeping in view, the submission made by the assessee as well as order passed by the AO and the Ld. CIT(A), we are inclined to restore the appeal of the assessee to the file of AO for fresh adjudication after affording an opportunity to the assessee to be heard. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order is pronounced in the open court on 23rd June , 2025 Sd/- Sd/- (Rakesh Mishra /राक ेश ͧमĮ) (Pradip Kumar Choubey /Ĥदȣप क ुमार चौबे) Accountant Member/लेखा सदèय Judicial Member/ÛयाǓयक सदèय Dated: 23rd June, 2025 SM, Sr. PS Copy of the order forwarded to: 1. Appellant- Laxmi Narayan Poddar, 1215, D. Sector Market, Durgapur, gurunanak Road, A Zone, Durgapur, District-Burdwan-713204. 2. Respondent – ITO, Durgapur 3. Ld. CIT(A)- NFAC, Delhi 4. Ld. Pr. CIT- , Kolkata 5. DR, Kolkata Benches, Kolkata (sent through e-mail) True Copy By Order Assistant Registrar ITAT, Kolkata Benches, Kolkata "