SRS ADVERTISING & MARKETING PRIVATE LIMITED,NEW DELHI V. ITO WARD 24(2), NEW DELHI

ITA 3164/DEL/2023

AI Insights

The case involves SRS Advertising & Marketing Pvt. Ltd., which appealed against the order of the Commissioner of Income Tax (Appeals) at the National Faceless Appeal Centre, Delhi. The appeal was against an ex-parte assessment order passed under sections 144/147 of the Income Tax Act, 1961, for the Assessment Year 2012-13. The assessee contended that they had not received proper notices and were not given adequate opportunity to present their case or documents during the assessment proceedings. The Tribunal found merit in the assessee's arguments regarding the lack of opportunity to present documents and thus allowed the application for additional evidence, remanding the case back to the CIT(A) for a fresh decision.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 474879 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-03-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: G
• Assessment Year: 2012-2013
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Additional evidence; Source of fund
• Section: 147; 148; 142(1)

Judgement Text

" 1 ITA No. 3164/del/2023 SRS Advertising & marketing Pvt. ltd. IN THE INCOME TAX APPELLATE TRIBUNAL DELHI (DELHI BENCH ‘G’ NEW DELHI BEFORE SHRI YOGESH KUMAR U.S., JUDICIAL MEMBER AND SHRI BRAJESH KUMAR SINGH, ACCOUNTANT MEMBER ITA No. 3164/DEL/2023 (A.Y. 2012-13) SRS Advertising & Marketing Private Limited D-5, 303-304 AvadhCompelx, Laxmi Nagar, Vikas Marg, Laxmi Nagar, East Delhi PAN: AABCS2613M Vs. ITO Ward 24(2) New Delhi Appellant Respondent Assessee by Shri Kamlesh Kumar Chaurasiya, CA Revenue by Sh. Sahil Kumar Bansal, Sr. DR Date of Hearing 05/03/2025 Date of Pronouncement 07/03/2025 ORDER PER YOGESH KUMAR, U.S. JM: The present appeal is filed by the Assessee against the order of the Commissioner of Income Tax (Appeals) National Faceless Appeal Centre, ‘NFAC’ for short]- Delhi dated 08/09/2023 for the Assessment Year 2012-13. 2. The grounds of Appeal are as under:- “1. That having regard to the facts and circumstances of the case, Ld. CIT (A) has erred in law and on confirming the Ld. AO an ex- parte assessment order u/s 144/147 and that too without giving 2 ITA No. 3164/del/2023 SRS Advertising & marketing Pvt. ltd. show cause notices as per law and without giving adequate opportunity to the assessee. 2. That having regard to the facts and circumstances of the case, Ld. CIT (A) has erred in law and on facts in confirming the Ld. AO impugned assessment order and that too without assuming jurisdiction as per law and without serving the mandatory notices u/s 148, 143(2), and 142(1) of the Income Tax Act, 1961. 3. That having regard to the facts and circumstances of the case, Ld. CIT (A) has erred in law and on facts in confirming Ld. AO impugned assessment order mentioning show cause notice through inspector by affixture, without cross verification of registrar of companies, is bad in law. 4. That having regard to the facts and circumstances of the case Ld. CIT (A) has erred in law and on facts in confirming the assessment order and without jurisdiction and without independent application of mind, without cross examination of facts. 5. That having regard to the facts and circumstances of the case, Ld. CIT (A) has erred in law and on facts confirming the assessment order without specifying the section or subsection under which addition is made in assessment order. 6. That having regard to the facts and circumstances of the case, Ld. CIT (A) has erred in law and on facts in confirming an ex parte assessment order u/s 147/144 without following mandatory process specified under section 147 to 151 of Income Tax Act. 7. That on facts and circumstances the Ld. CIT (A) has erred in confirming addition of Rs. 23,97,646/- on a/c of interest, wrongly holding that the sources of income as interest, without cross verification from the records of Income Tax. 8. That on factsand circumstances the Ld. CIT (A) has erred in confirming addition ofRs. 6867/- onaccount of contractual receipts, wrongly holding income is bad in law. 9. That on facts and circumstances the Ld. CIT (A) has erred in confirming addition ofRs. 89,800/- on account of cash deposit in bank account, wrongly holding that the source of credit entries remained unexplained.” 3 ITA No. 3164/del/2023 SRS Advertising & marketing Pvt. ltd. 3. Brief facts of the case are that, the Assessee has not filed the return of income for Assessment Year 2012-13. An assessment order came to be passed u/s 147/144 of the Income Tax Act, 1961 (‘Act’ for short) on 30/11/2019 by computing the income of the Assessee at Rs. 1,22,81,910/-. Aggrieved by the assessment order dated 30/11/2019, the Assessee preferred the Appeal before the Ld. CIT(A). The Ld. CIT(A) vide order dated 08/09/2023, dismissed the Appeal of the Assessee. Aggrieved by the order of the Ld. CIT(A) dated 08/09/2023, the Assessee preferred the present Appeal. 4. The Ld. Counsel has filed an application for additional evidence under Rule 29 of the Appellate Tribunal Rules, 1963 and contended that the Assessee has not received the notice u/s 148 of the Act and the department of Revenue has not afforded any opportunity to the Assessee to present documentary evidence which is relevant to the transaction, therefore, sought for allowing the application. 5. Per contra, the Ld. Departmental Representative vehemently opposed to allow the additional evidence in this belated stage, thus sought for dismissal of the Appeal. 6. We have heard both the parties and perused the material available on record. It is the case of the Assessee that the Assessee could not get 4 ITA No. 3164/del/2023 SRS Advertising & marketing Pvt. ltd. opportunity to produce documents mentioned in the additional evidence during the assessment proceedings as the assessment has been passed ex-parte and even the Ld. CIT(A) has confirmed the addition without affording opportunity to the Assessee to produce the documents. Considering the fact that the Assessee has produced the additional documents for the first time before us by way of an application, it is found reasonable to be verified by the Ld. CIT(A) and the same is deserves to be considered for the purpose of deciding the issue and also considering the fact that the assessment order itself has been passed ex- parte, we allow the application for additional evidence filed by the Assessee and restore the issue to the file of the Ld. CIT(A) with a direction to consider the documents produced by the Assessee and pass fresh order in accordance with law after affording opportunity of being heard to the Assessee. 7. In the result, the Appeal of the Assessee is partly allowed for statistical purpose. Order pronounced in the open court on 07th March, 2025 Sd/- Sd/- (BRAJESH KUMAR SINGH) (YOGESH KUMAR U.S.) ACCOUNTANT MEMBER JUDICIAL MEMBER Date:- 07 .03.2025 R.N, Sr.P.S* 5 ITA No. 3164/del/2023 SRS Advertising & marketing Pvt. ltd. Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI "