TULJA BHAVANI DHARTIDHAN RPIVATE LIMITED ,MUMBAI V. INCOME TAX OFFICER WARD 2(3)(3), MUMBAI

ITA 4399/MUM/2024

AI Insights

The case involves M/s. Tulja Bhavani Dhartidhan Private Limited, which appealed against the order of the National Faceless Appeal Center/Commissioner of Income Tax (Appeals) that affirmed additions made by the Assessing Officer under sections 68 and 69 of the Income Tax Act, 1961, for the assessment year 2017-18. The additions were made on account of unexplained cash credit and unexplained expenditure, respectively. The Tribunal noted that the assessee had not been represented adequately in the earlier proceedings and decided to remand the case for a fresh hearing to ensure substantial justice.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 33753 (ITAT-MUMBAI)
• Duration Of Justice: 1 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-10-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 08-10-2024
• Assessment Year: 2017-2018
• Appeal Filed On: 28-08-2024
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PRAVEEN SHRIVASTAVA
• Assessee Lawyers: HARSHAL AJMERA
• Keywords: Unexplained cash credit; Unexplained expenditure
• Section: 250; 68; 22; 69

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH “E”, MUMBAI BEFORE SHRI NARENDER KUMAR CHOUDHRY, JUDICIAL MEMBER AND SHRI RATNESH NANDAN SAHAY, ACCOUNTANT MEMBER ITA No.4399/M/2024 Assessment Year: 2017-18 M/s. Tulja Bhavani Dhartidhan Private Limited, 134 Birla Mansion, Nagin Das Master Road Fort, Mumbai - 400023 PAN: AABCT9661Q Vs. Income Tax Officer Ward 2(3)(3) Room No.555, 5th Floor, Aayakar Bhavan, Maharishi Karve Road Mumbai - 400020 (Appellant) (Respondent) Present for: Assessee by : Shri Harshal Ajmera, A.R. Revenue by : Shri Praveen Shrivastava, Sr. AR Date of Hearing : 08 . 10 . 2024 Date of Pronouncement : 22 . 10 . 2024 O R D E R Per : Narender Kumar Choudhry, Judicial Member: This appeal has been preferred by the Assessee against the order dated 01.07.2024, impugned herein, passed by the National Faceless Appeal Center (NFAC)/ Ld. Commissioner of Income Tax (Appeals) (in short Ld. Commissioner) under section 250 of the Income Tax Act, 1961 (in short ‘the Act’) for the A.Y. 2017-18. 2. In the instant case, the additions of Rs.50,54,728/- on account of unexplained cash credit u/s 68 of the Act and Rs.17,18,200/- on account of unexplained expenditure u/s 69 of the Act, were made by the Assessing Officer (AO) vide assessment order dated 16.12.2019 u/s 143(3) of the Act. The Assessee, being aggrieved, challenged the aforesaid additions before the Ld. Commissioner, however, despite of ITA No. 4399/M/2024 M/s. Tulja Bhavani Dhartidhan Private Limited 2 affording various opportunities, preferred not to join the proceedings and also not filed any details or documents and therefore in the constrained circumstances, the Ld. Commissioner decided the appeal of the Assessee as ex-parte and by dismissing the same affirmed the aforesaid additions. 3. The Assessee, being aggrieved, is in appeal before us. 4. Having heard the parties and giving thoughtful considerations to the peculiar facts and circumstances of the case, we observe that during the appellate proceedings before the Ld. Commissioner, first notice was issued for the date of hearing on 26.12.2020 and thereafter subsequent notices were issued after March 2024 only. The Assessee before us claimed that due to miscommunication it failed to appear before the Ld. Commissioner, however, now undertakes to appear and file the relevant documents/details in case, the opportunity is granted to the Assessee by remanding the case to the file of the Ld. Commissioner. On the contrary the Ld. D.R. refuted the claim of the Assessee. 4.1 Considering the peculiar facts and circumstances of the case, as the Assessee remained un-represented and in the absence of relevant documents/reply the Ld. Commissioner was unable to decide the issues involved in its right perspective and proper manner and therefore for the just decision of the case and substantial justice, we are inclined to set aside the impugned order and consequently remanding the instant case to the file of the Ld. Commissioner for decision afresh, suffice to say by affording reasonable opportunity of bearing heard to the Assessee. We clarify that in case of subsequent default, the Assessee shall not be entitled for any leniency. ITA No. 4399/M/2024 M/s. Tulja Bhavani Dhartidhan Private Limited 3 5. In the result, the appeal filed by the Assessee is allowed for statistical purposes. Order pronounced in the open court on 22.10.2024. Sd/- Sd/- (RATNESH NANDAN SAHAY) (NARENDER KUMAR CHOUDHRY) ACCOUNTANT MEMBER JUDICIAL MEMBER * Kishore, Sr. P.S. Copy to: The Appellant The Respondent The CIT, Concerned, Mumbai The DR Concerned Bench //True Copy// By Order Dy/Asstt. Registrar, ITAT, Mumbai. "