SEVENTY TOWNFIT HOMES PVT. LTD,NEW DELHI V. ACIT, CIRCLE-9(1), NEW DELHI

ITA 4962/DEL/2024

AI Insights

The case involves M/s Seventy Townfit Homes Pvt. Ltd., which appealed against the order of the Commissioner of Income Tax (Appeal) dated 23/04/2024 for the Assessment Year 2017-18. The original assessment order dated 17/12/2019 disallowed a sum of Rs. 10,90,28,848. The CIT(A) dismissed the appeal, leading to the current appeal before the Tribunal. The assessee argued that the CIT(A) had violated natural justice by rejecting their adjournment application without proper consideration. The Departmental Representative contended that the assessee had been given sufficient opportunity, which they did not utilize, justifying the impugned order.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 315575 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-05-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: G
• Assessment Year: 2017-2018
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: MAHESH KUMAR
• Assessee Lawyers: RAJ KUMAR; SURAJ GUPTA
• Keywords: Set aside; Opportunity of being heard; Principle of natural justice
• Section: 143(3)

Judgement Text

"1 ITA No. 4291/Del/2024 Shiva Trading Vs. ITO IN THE INCOME TAX APPELLATE TRIBUNAL DELHI (DELHI BENCH ‘G’ NEW DELHI) BEFORE SHRI M. BALAGANESH, ACCOUNTANT MEMBER AND SH. YOGESH KUMAR U.S., JUDICIAL MEMBER ITA No. 4962/Del/2024 (A.Y. 2017-18) M/s Seventy Townfit Homes Pvt. Ltd. (Formerly known as Ferrous Township Pvt. Ltd.) A- 9, 2nd floor, K. H. No. 371, Near Shivmurti, Rangpuri, Mahipalpur, South West Delhi PAN: ACQFS1603K Vs. ACIT Circle 9(1) C. R. Building, Delhi Appellant Respondent Assessee by CA Rajkumar and Advocate Suraj Gupta Revenue by Sh. Mahesh Kumar, CIT DR Date of Hearing 08/05/2025 Date of Pronouncement 14/05/2025 ORDER PER YOGESH KUMAR, U.S. JM: The present appeal is filed by the Assessee against the order of the Commissioner of Income Tax (Appeal)/National Faceless Appeal Centre (‘PCIT’ for short) dated 23/04/2024 for the Assessment Year 2017-18. 2. Brief facts of the case are that, an assessment order came to be passed on 17/12/2019 u/s 143(3) of the Income Tax Act, 1961 ('Act' for short) by disallowing a sum of Rs. 10,90,28,848/-. Aggrieved by the assessment order dated 17/12/2019, the Assessee preferred an appeal before the Ld. CIT(A). The Ld. CIT(A) vide order dated 2 ITA No. 4291/Del/2024 Shiva Trading Vs. ITO 23/04/2024 dismissed the Appeal filed by the Assessee. As against the order of Ld. CIT(A), the Assessee preferred the present Appeal. 3. The Ld. Counsel for the Assessee vehemently submitted that the Ld. CIT(A) while dismissing the appeal has rejected the adjournment application, thereby violated the principals of natural justice, thus sought for restoring the Appeal to the file of the Ld. CIT(A) for fresh adjudication. 4. Per contra the Ld. Departmental Representative submitted that the sufficient opportunity has been provided to the Assessee, however, due to non co-operation of the Assessee, the impugned order came to be passed, which requires no interference at the hands of the Tribunal. Thus, sought for dismissal of the Appeal. 5. We have heard both the parties and perused the material available on record. The order impugned of the Ld. CIT(A) has been passed not even rejecting the application filed by the Assessee for adjournment. While passing the order impugned, the Ld. CIT(A) has not mentioned regarding the service of the notice to the Assessee or the application for adjournment filed by the Assessee. The Ld. CIT(A) proceeded to pass the order impugned without giving opportunity to the Assessee of being heard. Further, as could be seen that the Assessee has filed application for adjournment (which is produced by 3 ITA No. 4291/Del/2024 Shiva Trading Vs. ITO the Assessee at Page No. 1 of the Paper book) and the said application for adjournment was neither rejected nor considered by the Ld. CIT(A). Considering the above facts and circumstances, we set aside the order of the Ld. CIT(A) with a direction to the Ld. CIT(A) to adjudicate the appeal de-novo after providing opportunity of being heard to the Assessee. 6. In the result, the Appeal of the Assessee is partly allowed for statistical purpose. Order pronounced in the open court on 14th May , 2025 Sd/- Sd/- (M. BALAGANESH) (YOGESH KUMAR U.S.) ACCOUNTANT MEMBER JUDICIAL MEMBER Date:- 14 .05.2025 R.N, Sr.P.S* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI "