M/S R R COAL AGENCIES PVT. LTD.,KOLKATA V. ITO, WARD-1(1), KOLKATA

ITA 1378/KOL/2023

AI Insights

The case involves M/s R R Coal Agencies Pvt. Ltd., which appealed against the order of the Commissioner of Income Tax (Appeals) - NFAC, Delhi, for the Assessment Year 2022-23. Initially, the assessee filed a return for AY 2013-14 disclosing a total income of Rs. 35,230. However, following credible information, the case was reopened under section 147 of the Income Tax Act, and a notice under section 148 was issued. The assessee failed to respond to the notices, leading to a disallowance of Rs. 40,00,000 under section 68, which was added to the assessee's income. The appeal to the CIT(A) was dismissed due to non-prosecution. The assessee, dissatisfied with this decision, approached the Income Tax Appellate Tribunal, which decided to restore the case to the CIT(A) for a fresh examination on merits.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 469714 (ITAT-KOLKATA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-02-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2013-2014
• Laws Referred To: Income Tax Act
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Set aside
• Section: 147; 148; 68

Judgement Text

"आयकर अपीलȣय अͬधकरण, कोलकाता पीठ “ए’’, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “A” 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. 1378/Kol/2023 Assessment Year: 2013-14 M/s R. R. Coal Agencies Pvt. Ltd. (PAN: AABCR 3061 L) Vs. ITO, Ward-1(1), Kolkata Appellant / ) अपीलाथȸ ( Respondent / Ĥ×यथȸ Date of Hearing / सुनवाई कȧ Ǔतͬथ 27.01.2025 Date of Pronouncement/ आदेश उɮघोषणा कȧ Ǔतͬथ 13.02.2025 For the assessee / Ǔनधा[ǐरती कȧ ओर से Shri Ayush Jain, FCA For the revenue / राजèव कȧ ओर से Shri Abhijit Adhikari, JCIT, Sr. D.R ORDER / आदेश Per Pradip Kumar Choubey, JM: This is the appeal preferred by the assessee against order of Commissioner of Income Tax (Appeal)- NFAC, Delhi (hereinafter referred to as the Ld. CIT(A)] dated 29.08.2024 for AY 2022-23. 2 I.T.A. No. 1378/Kol/2023 Assessment Year: 2013-14 M/s R R Coal Agencies Pvt. Ltd. 2. Brief facts of the case of the assessee is that the assessee filed return of income for AY 2013-14 disclosing total income of Rs. 35,230/-. Subsequently on credible information the case was reopened u/s 147 of the Act by issuing notice u/s 148 of the Act. The assessee did not file any return, show cause notice has also been issued but in spite of several opportunities provided to the assessee company, he failed to file any reason or explanation, as a result of which, the AO added disallowance u/s 68 of the Act of Rs. 40,00,000/- and added the same in the income of the assessee. 3. The said order has been challenged by the assessee before the Ld. CIT(A) wherein the appeal of the assessee has been dismissed for want of non-prosecution. Being aggrieved and dissatisfied the present appeal preferred by the assessee. 4. The Ld. Counsel of the assessee instead of arguing into merit of the case has submitted that the Ld. CIT(A) has passed an order in laminae not on merit. His prayer is that the assessee has to give an opportunity to place its case before the Ld. CIT(A). 5. Contrary to that the Ld. D.R supports the impugned order. 6. Upon hearing the ld. Counsel for the respective rival parties, we perused the order passed by the AO as well as Ld. CIT(A). It appears that the AO has also passed the order when there was non-compliance on behalf of the assessee and further the Ld. CIT(A) has also passed an order ex-parte without discussing the merit of the case. The Ld. CIT(A) has dismissed and confirmed the order of the AO on the ground that the assessee did not opt to reply the above notice for the reason best known to him. Before us the assessee wants to afford an opportunity to place his case before the Ld. CIT(A). Interest of justice demands to give an opportunity to the assessee to place his case before the Ld. CIT(A). Accordingly, the appeal of the assessee restored in the file of Ld. CIT(A) for fresh adjudication. The order passed by the CIT(A) is hereby set aside. 3 I.T.A. No. 1378/Kol/2023 Assessment Year: 2013-14 M/s R R Coal Agencies Pvt. Ltd. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order is pronounced in the open court on 13th February, 2025 Sd/- Sd/- (Rakesh Mishra/राक ेश ͧमĮ) (Pradip Kumar Choubey /Ĥदȣप क ुमार चौबे) Accountant Member/लेखा सदèय Judicial Member/ÛयाǓयक सदèय Dated: 13th February, 2025 SM, Sr. PS Copy of the order forwarded to: 1. Appellant- M/s R R Coal Agencies Pvt. Ltd., 167/4, Lenin Sarani, Kolkata- 700072. 2. Respondent – ITO, Ward-1(1), Kolkata 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 "