Shri. P.N. Manjunath, Bangalore V. Deputy Commissioner of Income Tax, Central Circle-2(1), Bangalore

MA 128/BANG/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 1833 (ITAT-BANGALORE)
• Duration Of Justice: 1 year(s) 1 month(s) 6 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 14-06-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2006-2007
• Appeal Filed On: 08-05-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: DR K R SUBASH
• Assessee Lawyers: K MALLAHARAO
• Keywords: Reasonable cause
• Section: 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH : BANGALORE BEFORE SHRI ARUN KUMAR GARODIA, ACCOUNTANT MEMBER AND SHRI PAVAN KUMAR GADALE, JUDICIAL MEMBER M.P. NOS. 128 & 129/BANG/2018 (IN ITA NO S . 29 & 30/BA NG/201 5 ) ASSESSMENT YEAR S : 2 2006 - 07 & 2008 - 09 SHRI P.N. MANJUNATH, NO. 190, SOUNDARYA DAMINI, 4 TH PHASE, DOLLARS COLONY, JP NAGAR, BANGALORE. PAN: AFHPM2324M VS. THE DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE 2 (1), BANGALORE. APPELLANT RESPONDENT ASSESSEE BY : SHRI K. MALLAHA RAO, ADVOCATE REVENUE BY : DR. K.R. SUBASH, JCIT (DR) DATE OF HEARING : 07 . 0 6 .201 9 DATE OF PRONOUNCEMENT : 14 . 0 6 .201 9 O R D E R PER SHRI ARUN KUMAR GARODIA, ACCOUNTANT MEMBER; THESE TWO M.PS. ARE FILED BY THE ASSESSEE IN WHICH IT IS CONTENDED THAT EX-PARTE TRIBUNAL ORDER DATED 31.05.2016 FOR ASSESSMENT YEARS 2006-07 AND 2008-09 SHOULD BE RECALLED. 2. IT IS SUBMITTED IN THE M.PS. THAT ASSESSEE HAD NOT RECEIVED THE HEARING NOTICE. IT HAS BEEN ALSO SUBMITTED IN THE M.P. THAT WHEN THE ASSESSEE APPROACHED THE REGISTRY OF THE TRIBUNAL, THE ASSESSEE CAME TO KNOW THAT AS PER THE AO, A NOTICE WAS SERVED ON AN UNKNOWN PERSON I.E. MR. JAYARAJ. IN COURSE OF HEARING, IT WAS SUBMITTED BY THE LEARNED AR OF THE ASSESSEE THAT NO NOTICE WAS SERVED ON THE ASSESSEE AND MR. JAYARAJ ON WHOM THE NOTICE WAS SERVED IS A COMPLETE STRANGER AND THEREFORE IT SHOULD BE HELD THAT NO NOTICE WAS SERVED ON THE ASSESSEE. IN SUPPORT OF HIS CONTENTION, THE ASSESSEE FILED AN AFFIDAVIT IN WHICH IT IS STATED BY THE ASSESSEE THAT THE SAID PERSON ON WHOM THE NOTICE IS SAID TO HAVE BEEN SERVED BY NAME MR. JAYARAJ IS A COMPLETE STRANGER AND NOT KNOWN TO THE ASSESSEE. IT WAS SUBMITTED THAT UNDER THESE FACTS, THIS EX-PARTE TRIBUNAL ORDER SHOULD BE RECALLED FOR A FRESH DECISION AFTER GRANTING HEARING TO THE ASSESSEE AS PER RULE 25 OF INCOME TAX APPELLATE TRIBUNAL RULES, 1963. THE LD. DR OF REVENUE SUBMITTED THAT IN THE IMPUGNED TRIBUNAL ORDER, THE TRIBUNAL HAS DECIDED THE ISSUE ON MERIT AND THEREFORE, THE SAME SHOULD NOT BE RECALLED. M.P. NOS. 128 & 129/BANG/2018 (IN ITA NOS. 29 & 30/BANG/2015) PAGE 2 OF 2 3. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS. WE FIND THAT AS PER RULE 25 OF ITAT RULES, 1963, IF THE RESPONDENT SATISFIES THE BENCH THAT THERE WAS REASONABLE CAUSE FOR NON-APPEARANCE OF THE RESPONDENT ON THE DATE OF HEARING THEN SUCH EX-PARTE TRIBUNAL ORDER SHOULD BE RECALLED. IN THE PRESENT CASE, AS PER THE IMPUGNED TRIBUNAL ORDER, IT IS NOTED BY THE TRIBUNAL IN PARA 5 THAT THERE WAS DUE SERVICE OF NOTICE OF HEARING ON THE RESPONDENT-ASSESSEE. AS PER THE RECORDS, IT IS SEEN THAT NOTICE OF HEARING WAS SERVED BY THE TRIBUNAL THROUGH DEPARTMENT AND AS PER THE EVIDENCE OF SERVICE OF NOTICE SUBMITTED BY THE AO BEFORE THE TRIBUNAL WHICH IS AVAILABLE ON RECORD, IT IS SEEN THAT THERE IS SIGNATURE OF MR. JAYARAJ, HOUSE WORKER. AS PER THE AFFIDAVIT SUBMITTED BY THE ASSESSEE, MR. JAYARAJ IS A COMPLETE STRANGER TO HIM. CONSIDERING THESE FACTS, WE ARE OF THE CONSIDERED OPINION THAT IT CANNOT BE SAID THAT THERE WAS SERVICE OF NOTICE OF HEARING ON THE ASSESSEE AND HENCE, WE ARE SATISFIED THAT THERE WAS REASONABLE CAUSE FOR NON-APPEARANCE OF THE RESPONDENT- ASSESSEE AND HENCE, AS PER RULE 25 OF ITAT RULES, 1963, WE RECALL THIS EX- PARTE TRIBUNAL ORDER AND FIX THESE APPEALS FOR HEARING ON 06.08.2019. SINCE THE DATE OF HEARING IS PRONOUNCED IN THE OPEN COURT, NO SEPARATE NOTICE OF HEARING IS REQUIRED TO BE ISSUED. 4. IN THE RESULT, BOTH THE M.PS. FILED BY THE ASSESSEE ARE ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON THE DATE MENTIONED ON THE CAPTION PAGE. SD/- SD/- (PAVAN KUMAR GADALE) (ARUN KUMAR GARODIA) JUDICIAL MEMBER ACCOUNTANT MEMBER BANGALORE, DATED, THE 14 TH JUNE, 2019. /MS/ COPY TO: 1. APPELLANT 4. CIT(A) 2. RESPONDENT 5. DR, ITAT, BANGALORE 3. CIT 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, BANGALORE.