Kothari International Trading Ltd., CHENNAI V. ACIT, CHENNAI

MA 16/CHNY/2018

• Counselvise Citation: [2018] 124 COUNSELVISE.COM (IT) 6410 (ITAT-CHENNAI)
• Duration Of Justice: 3 month(s) 2 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 06-04-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2004-2005
• Appeal Filed On: 03-01-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S VIJAYAPRABHA
• Assessee Lawyers: R VIJAYARAGHAVAN

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH, CHENNAI ... , . !' , # $ BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER %% / M.P. NO.16/CHNY/2018 (IN I.T.A. NO.352/MDS/2017) & '& / ASSESSMENT YEAR : 2004-05 M/S KOTHARI INTERNATIONAL TRADING LIMITED, KOTHARI BUILDINGS, NO.115, M.G. ROAD, CHENNAI - 600 034. PAN : AABCK 3566 B V. THE ASSISTANT COMMISSIONER OF INCOME TAX, CORPORATE CIRCLE 4(2), CHENNAI - 600 034. ()*& /PETITIONER) ()+*,/ RESPONDENT) )*& . / /PETITIONER BY : SH. R. VIJAYARAGHAVAN, ADVOC ATE )+*, . / / RESPONDENT BY : MS. S. VIJAYAPRABHA, JCIT 0 . 1# / DATE OF HEARING : 06.04.2018 2!' . 1# / DATE OF PRONOUNCEMENT : 06.04.2018 / O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER: THE ASSESSEE HAS FILED THE PRESENT MISCELLANEOUS PETITION ON THE GROUND THAT THE GROUND NOS.4 AND 5 IN THE AP PEAL FILED BY THE ASSESSEE IN I.T.A. NO.352/MDS/2017 WERE NOT ADJUDIC ATED BY THIS TRIBUNAL WHILE DISPOSING OF THE APPEAL BY ORDER DAT ED 06.09.2017. 2 M.P. NO.16/CHNY/18 2. SH. R. VIJAYARAGHAVAN, THE LD.COUNSEL FOR THE AS SESSEE, SUBMITTED THAT THE ASSESSEE HAS RAISED A SPECIFIC G ROUND WITH REGARD TO DISALLOWANCE OF 3,68,76,832/- BEING THE ADVANCE GIVEN FOR PURCHASE WHICH WAS WRITTEN OFF AS IRRECOVERABLE . ACCORDING TO THE LD. COUNSEL, THE ASSESSEE ALSO CLAIMED THAT THE SAME HAS TO BE ALLOWED EITHER AS BUSINESS LOSS OR BAD DEBT. THIS ISSUE WAS NOT DISPOSED IN THE ORDER, THEREFORE, ACCORDING TO THE LD. COUNSEL, THERE IS AN ERROR IN THE ORDER OF THIS TRIBUNAL DATED 06. 09.2017. 3. WE HEARD MS. S. VIJAYAPRABHA, THE LD. DEPARTMENT AL REPRESENTATIVE ALSO. ADMITTEDLY, GROUND NOS.4 AND 5 RAISED BY THE ASSESSEE WITH REGARD TO DISALLOWANCE OF 3,68,76,832/-, WHICH WAS SAID TO BE GIVEN AS ADVANCE FOR PURCHASE WERE NOT D ISPOSED OF. THE ASSESSEE ALTERNATIVELY CLAIMS THAT IT HAS TO BE ALLOWED AS BAD DEBT OR BUSINESS LOSS. THIS TRIBUNAL IS OF THE CON SIDERED OPINION THAT NON-DISPOSAL OF THE SPECIFIC GROUND RAISED BY THE ASSESSEE IS AN ERROR WITHIN THE MEANING OF SECTION 254(2) OF TH E INCOME-TAX ACT, 1961 (IN SHORT 'THE ACT'). THEREFORE, THE GROUND N OS.4 AND 5 NEEDS TO BE DISPOSED OF. ACCORDINGLY, THE APPEAL OF THE ASSESSEE IN I.T.A. NO.352/MDS/2017 IS REOPENED ONLY FOR THE PURPOSE OF DISPOSAL OF THE GROUND NOS.4 AND 5 RAISED BY THE ASSESSEE IN TH E GROUNDS OF APPEAL. THE REGISTRY IS DIRECTED TO POST THE APPEA L ONLY FOR DISPOSAL 3 M.P. NO.16/CHNY/18 OF GROUND NOS.4 AND 5 OF THE GROUNDS OF APPEAL, ON 04.06.2018. SINCE THE DATE OF HEARING IS ANNOUNCED IN THE PRESE NCE OF BOTH THE PARTIES, IT MAY NOT BE NECESSARY FOR THE REGISTRY T O ISSUE A SEPARATE NOTICE OF HEARING. IN OTHER WORDS, A COPY OF THIS ORDER SHALL BE TREATED AS NOTICE OF HEARING. IT IS MADE CLEAR THA T THE OTHER PART OF THE ORDER REMAINS AS SUCH. 4. WITH THE ABOVE OBSERVATION, THE MISCELLANEOUS PE TITION FILED BY THE ASSESSEE STANDS ALLOWED. ORDER PRONOUNCED COURT ON 6 TH APRIL, 2018 AT CHENNAI. SD/- SD/- (. !' ) ( ... ) (A. MOHAN ALANKAMONY) (N.R.S. GANESAN) # / ACCOUNTANT MEMBER /JUDICIAL MEMBER /CHENNAI, 4 /DATED, THE 6 TH APRIL, 2018. KRI. . )15% 6%'1 /COPY TO: 1. )*& / PETITIONER 2. )+*, /RESPONDENT 3. 0 71 () /CIT(A) 4. 0 71 /CIT 5. %8 )1 /DR 6. 9& : /GF.