LIZARD TRADING PVT. LTD.,KOLKATA V. INCOME TAX OFFICER, WARD-1, RAIGARH, RAIGARH

ITA 182/RPR/2022

AI Insights

The case involves Lizard Trading Private Limited, which appealed against the orders of the CIT(A), National Faceless Appeal Centre, Delhi, for three consecutive assessment years. The appeals were initially filed with the ITAT Raipur Bench but were transferred to ITAT Kolkata. The primary contention in the appeals revolved around the proceedings initiated under section 148 of the Income Tax Act, concerning share premium, share application receipts, and long-term capital gains. The assessee did not represent itself at multiple hearings, and the Tribunal noted a pattern of evasive tactics by the assessee in providing necessary details both before the AO and the CIT(A). The Tribunal decided to restore the matter to the AO for a fresh assessment, emphasizing the need for the assessee to substantiate the genuineness of the transactions and the details of share applicants.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 786786 (ITAT-KOLKATA)
• Duration Of Justice: 3 year(s) 2 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-11-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2016-2017
• Appeal Filed On: 15-09-2022
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: SANTANU GHOSH
• Keywords: Opportunity of being heard; Reassessment proceedings; Capital Gains; Principle of natural justice

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, KOLKATA BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI RAKESH MISHRA, ACCOUNTANT MEMBER आयकर अपील सं/ITA No.179, 180 & 182/RPR/2022 (निर्धारण वर्ा / Assessment Year : 2013-2014, 2014-2015 & 2016-2017) Lizard Trading Private Limited, 1st Floor, 95/A, Chittaranjan Avenue, Kolkata-700073 Vs ITO, Ward-1, Raigarh, Chhattisgarh PAN No. :AABCL 6975 D (अपीलधर्थी /Appellant) .. (प्रत्यर्थी / Respondent) निर्धाररती की ओर से /Assessee by : None रधजस्व की ओर से /Revenue by : Shri Santanu Ghosh, Sr. DR सुनवाई की तारीख / Date of Hearing : 17/11/2025 घोषणा की तारीख/Date of Pronouncement : 17/11/2025 आदेश / O R D E R Per George Mathan, JM : These are the appeals filed by the assessee against the orders of the ld. CIT(A), National Faceless Appeal Centre (NFAC), Delhi, all dated 28.07.2022 for the assessment years 2013-2014, 2014-2015 & 2016-2017. 2. None represented on behalf of the assessee. Shri Santanu Ghosh, Sr. DR appeared on behalf of the revenue. 3. The facts in the present case are that the appeals have been filed by the assessee before the ITAT Raipur Bench. The said appeals were transferred from ITAT Raipur Bench to ITAT Kolkata Benches. Notices have been sent on multiple occasions, however, none has represented on behalf of the assessee. The assessee has raised various grounds including the grounds against the proceedings initiated u/s.148 of the Act. A perusal of the facts in the present case shows that even before the Assessing Officer the assessee has not provided any of the details in respect of the Printed from counselvise.com ITA No.179, 180, 182/RPR/2022 2 share premium received, share application received as also the long term capital gains. A perusal of the assessment orders in all the three cases shows that the assessee has been using evasive tactics to evade the production of details before the Assessing Officer. The same process seems having been done before the ld. CIT(A). Before the ld.CIT(A) the claim of natural justice has been raised. Before the Tribunal again the assessee has raised the ground that reasonable opportunity of being heard has not been given to the assessee. This being so, in the interest of justice, the issues in these appeals are restored to the file of ld.AO for readjudication. Liberty is granted to the assessee to challenge all legal issues that it so desires to raise before the Assessing Officer. The assessee shall be deemed to have completed all its legal issues raised before the Assessing Officer, once the reassessment order is passed by the Assessing Officer other than such legal issues which may come up after the assessment order is passed on account of judicial decisions. The assessee shall also produce the responsible persons of the share applicant companies and such other persons as are required to prove the genuineness of the transactions before the Assessing Officer. The Assessing Officer is not to issue notice u/s.131 of the Act as required by the assessee. The witnesses are those of the assessee and the cross examinations is to be done by the Assessing Officer. With these directions, the issues in all these appeals are restored to the file of ld. Assessing Officer for readjudication after granting the assessee adequate opportunity of being heard. Should the assessee not cooperate or provide details in the Printed from counselvise.com ITA No.179, 180, 182/RPR/2022 3 reassessment proceedings, liberty is granted to Assessing Officer to draw adverse inference. 4. In the result, all the three appeals of the assessee are partly allowed for statistical purposes. Order pronounced in the open court on 17/11/2025. Sd/- (RAKESH MISHRA) Sd/- (GEORGE MATHAN) लेखा सदस्य/ ACCOUNTANT MEMBER न्यधनयक सदस्य / JUDICIAL MEMBER कोलकाता Kolkata; ददनाांक Dated 17/11/2025 Prakash Kumar Mishra, Sr.P.S. आदेश की प्रनतललपप अग्रेपर्त/Copy of the Order forwarded to : आदेशधिुसधर/ BY ORDER, (Assistant Registrar) Income Tax Appellate Tribunal, Kolkata 1. अपीलार्थी / The Appellant- 2. प्रत्यर्थी / The Respondent- 3. आयकर आयुक्त(अपील) / The CIT(A), 4. आयकर आयुक्त / CIT 5. विभागीय प्रविविवि, आयकर अपीलीय अविकरण, कोलकाता / DR, ITAT, Kolkata 6. गार्ड फाईल / Guard file. सत्यापपत प्रतत //True Copy// Printed from counselvise.com "