PARESH CHIMANLAL TOLIA,RAJKOT V. ITO, TDS, RAJKOT, RAJKOT

ITA 232/RJT/2024

AI Insights

The case involves an appeal by the assessee, Paresh Chimanlal Tolia, against the order of the Learned Commissioner of Income Tax (Appeals) at the National Faceless Appeal Centre, Delhi. The appeal was related to the assessment year 2018-19, concerning a demand raised under section 200A of the Income Tax Act due to alleged short payment and interest on such short payment in the TDS statements. The CIT(A) dismissed the appeal, stating the assessee was non-responsive, despite the assessee having submitted written replies. The Tribunal found that the CIT(A) had not adequately considered these submissions and thus remitted the case back for a fresh decision.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 472615 (ITAT-RAJKOT)
• Duration Of Justice: 5 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-10-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 01-10-2024
• Assessment Year: 2018-2019
• Appeal Filed On: 22-04-2024
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ABHIMANYU SINGH YADAV
• Assessee Lawyers: RASHIT SHETH
• Keywords: Set aside; TDS
• Section: 200A

Judgement Text

" आयकर अपीलȣय अͬधकरण,राजकोट Ûयायपीठ, राजकोट। IN THE INCOMETAXAPPELLATE TRIBUNAL, RAJKOT BENCH: RAJKOT BEFORE DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER And SHRI DINESH MOHAN SINHA, JUDICIAL MEMBER आयकर अपील सं./ITA No. 232/RJT/2024 (Ǔनधा[रण वष[/Assessment Year: (2018-19) Paresh Chimanlal Tolia, 304, Silver Star Appt.Opp. Sharda Baug, Nr. Circuit House, Rajkot-360001 Vs. Assistant Commissioner of Income Tax, Circle-2(2), Rajkot èथायी लेखा सं./जीआइआरसं./PAN/GIR No.: ABKPT7040G (अपीलाथȸ/Appellant) (Ĥ×यथȸ/Respondent) Ǔनधा[ǐरती कȧ ओर से/Appellant by : Shri Rashit Sheth, A.R. राजèव कȧ ओर से/Respondent by : Shri Abhimanyu Singh Yadav, Sr. D.R. सुनवाई कȧ तारȣख/ Date of Hearing : 01/10/2024 घोषणा कȧ तारȣख/Date of Pronouncement : 15/10/2024 आदेश / O R D E R PER SHRI DINESH MOHAN SINHA, JUDICIAL MEMBER: This appeal filed by the assessee is directed against the order of Learned Commissioner of Income Tax (Appeals) [in short, “the Ld. CIT(A)”], National Faceless Appeal Centre (in short “NFAC”), Delhi order dated 20.03.2024 for assessment year 2018-19. 2. The assessee has raised the following grounds of appeal:- “1. The Learned Commissioner of Income Tax (Appeals) has erred in observing that the assessee has not made any submissions and that the assessee is non responsive. 2. The Learned Commissioner of Income Tax (Appeals) has erred by not deleting or suitably reducing the demand raised against the assessee vide notice u/s. 200A of the Act. 3. Any other ground/s that may be raised at the time of hearing. Page | 2 ITA No. 232/RJT/2024 A Y:2018-19 3. The appellant is a regular assessee and has been filing his returns of income as well as Quarterly TDS statements regularly since long. The Quarterly TDS statement for F.Y. 2017 -10 (Α.Υ. 2018-19) for Quarter no. 4 had been filed on 13/04/2018 and the same had been processed u/s. 200A of the Act on 26/04/2018 raising a demand of Rs. 64,330/-on account of Rs. 62,000/- as short payment and Rs. 2,325/- as interest on such short payment. The assessee preferred an appeal before the learned Commissioner of Income Tax (Appeals). In response to the various notices for hearing and other correspondences the assessee has filed requite reply along with evidences relied on vide written submissions dtd. 27/03/2019 as has been mentioned in para 1 and 2 of the order of the Commissioner of Income Tax (Appeals). 3.1 However, unfortunately, after incorporating the written submissions of the assessee in the appellate order, the learned Commissioner of Income Tax (Appeals) has observed in para 4 of the order that the assessee in response to notices of various dates fixing the case for furnishing written submissions has not made any submissions or provided any alternative address. The learned Commissioner of Income Tax (Appeals), after citing 3 judgments on the above mentioned ground, further held that \"it is clear that the appellant is not aggrieved with the impugned order and not keen on pursuing this appeal. Hence I compel to proceed to decide the appeal based on the records available in my office and on merits of the case. Considering the records and merits of the case I have left with no option but to dismiss this appeal. 4. That the assessee challenged the legality and validity of the impugned order dated 30-03-2024 moving an appeal before the ITAT, Rajkot. During the course of hearing, the AR submitted that the assessee has deducted the TDS and the same was deposited with the Government Treasury. The appeal before the CIT(A), the appellant submitted his written submission in response to notices but the same was not considered while passing an order by the ld. CIT(A) and CIT(A) has passed order with a view that appellant is not aggrieved with the Page | 3 ITA No. 232/RJT/2024 A Y:2018-19 impugned order and not given in pursuing the appeal. Ld. A.R. requested to grant an opportunity to explain the case before the ld. CIT(A). On the contrary, the ld. DR submitted that he has no objection on the request of the assessee to remit back the matter to the file of ld. CIT(A), however ld. DR relied on the order of ld. CIT(A). 5. We have heard the matter and gone through the record of the proceedings. It is noted that the assessee has deducted the TDS and the same was deposited with the Income Tax Department. On account of shortfall, the assessee submitted that there is no shortfall, however an appeal before the ld. CIT(A) was preferred and the written submission was also filed during the course of issuance of notice. But ld. CIT(A) while passing the order has not given due attention to the written submission and passed an order whereby it was observed that assessee is not aggrieved by the order and also not interested in pursuing the appeal. Therefore, we are of the view that one more opportunity to be given to the assessee to present his case before the ld. CIT(A). Therefore, we set aside the order of ld. CIT(A) and remit the matter back to the file of ld. CIT(A) for fresh adjudication on merit after giving due opportunity to the assessee of being heard. We direct the assessee to submit relevant details/documents/evidences if any as required by ld. CIT(A) for disposal of the appeal. 6. In the result, the appeal of the assessee is allowed for statistical purposes. Order is pronounced on 15/10/2024 in the Open Court. Sd/- Sd/- (DR. ARJUN LAL SAINI) (DINESH MOHAN SINHA) ACCOUNTANT MEMBER JUDICIAL MEMBER Rajkot TRUE COPY Ǒदनांक/ Date: 15/10/2024 Copy of the Order forwarded to Page | 4 ITA No. 232/RJT/2024 A Y:2018-19 1. The Assessee 2.The Respondent 3.The CIT(A) 4.Pr. CIT 5.DR/AR, ITAT, Rajkot 6. Guard File. By Order, Assistant Registrar/Sr. PS/PS ITAT, Rajkot "