Sh. Surinder Pal Dhall, Chamba v. DCIT, Palampur

ITA 108/CHANDI/2011 | 2001-2002
Pronouncement Date: 28-07-2011 | Result: Allowed

Appeal Details

RSA Number 10821514 RSA 2011
Assessee PAN ABNPD7902L
Bench Chandigarh
Appeal Number ITA 108/CHANDI/2011
Duration Of Justice 6 month(s)
Appellant Sh. Surinder Pal Dhall, Chamba
Respondent DCIT, Palampur
Appeal Type Income Tax Appeal
Pronouncement Date 28-07-2011
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted B
Tribunal Order Date 28-07-2011
Date Of Final Hearing 25-07-2011
Next Hearing Date 25-07-2011
Assessment Year 2001-2002
Appeal Filed On 27-01-2011
Judgment Text
1 IN THE INCOME TAX APPELLATE TRIBUNAL CHANDIGARH BENCHES B CHANDIGARH BEFORE SHRI D.K.SRIVASTAVA ACCOUNTANT MEMBER AND MS SUSHMA CHOWLA JUDICIAL MEMBER ITA NO. 108/CHD/2011 ASSESSMENT YEAR: 2001-02 SHRI SURINDER PAL DHALL VS. THE DCIT CIRCLE GOVT. CONTRACTOR PALAMPUR CHAMBA ABNPD7902L (APPELLANT) (RESPONDENT) APPELLANT BY : SHRI SUDHIR SEHGAL RESPONDENT BY: SHRI N.K.SAINI ORDER PER SUSHMA CHOWLA JM THE APPEAL BY THE ASSESSEE IS AGAINST THE ORDER OF CIT(A) SHIMLA DATED 29.11.2010 RELATING TO ASSESSMENT YEAR 2001-0 2 AGAINST THE ORDER PASSED UNDER SECTION 184/143(3) OF THE I.T. ACT 19 61. 2. THE ADJOURNMENT APPLICATION MOVED BY THE ASSESSE E WAS REJECTED IN VIEW OF THE ISSUE INVOLVED IN THE CASE. 3. THE GROUNDS OF APPEAL RAISED BY THE ASSESSEE ARE AS UNDER:- 1. THAT THE IMPUGNED ORDER OF LD. CIT(A) DISMISSING T HE ASSESSEES APPEAL ON ALL THE GROUNDS RAISED BEING MOST CRYPTIC SKETCHY NON SPEAKING ARBITRARY AND PASSED WITHOUT CONSIDERING THE DETAILED WRITTEN SUBMISSIONS FILED ON 23.6.2010 IS PER SE NOT SUSTAINABLE FOR ALL THESE REASONS AND LIABLE TO THE HELD AS VOID AB INITO. 2. THAT WITHOUT PREJUDICE TO ABOVE THE LD. CIT(A) HAS GROSSLY ERRED IN ARBITRARILY UPHOLDING THE INITIATI ON OF 2 PROCEEDINGS U/S 148 ON HIGHLY ERRONEOUS AND INSUFFICIENT CONSIDERATIONS. 3. THAT EVEN FOR NON DISPOSAL OF ASSESSEES LEGAL OBJECTIONS BY PASSING A SPEAKING ORDER BY THE LD. ASSESSING OFFICER AS WERE TAKEN BEFORE HIM AGAINST INITIATION OF ACTION U/S 148 THE ASSESSMENT ORDER WAS LIABLE TO BE SET ASIDE BEING WITHOUT JURISDICTION 4. THAT THE LD. CIT(A) WAS ALSO NOT JUSTIFIED IN FURTH ER UPHOLDING THE DISALLOWANCE OF EXPENSES OF RS. 18000 0/- CLAIMED AGAINST INTEREST ON INCOME TAX REFUNDS OF T HE ERSTWHILE FIRM IN TOTAL DISREGARD TO MOST LEGITIMA TE EXPLANATION FURNISHED BY THE ASSESSEE. 5. THAT THE OBSERVATION OF THE LD. CIT(A) WHILE DISALLOWING THE ABOVE CLAIM THAT THERE WAS NO EVIDENCE SHOWING CRYSTALLIZATION OF THE LIABILITY T HIS YEAR IS WHOLLY MISCONCEIVED AND IRREVERENT IN AS M UCH AS IF THAT BE SO THEN THE INTEREST ITSELF WAS NOT LIABLE TO TAX IN THIS YEAR. 4. THE OBJECTION OF THE ASSESSEE WAS AGAINST THE OR DER PASSED BY THE CIT(A) WITHOUT GOING INTO THE MERITS OF THE ADDITIO N AND DISMISSING THE VARIOUS GROUNDS OF APPEAL RAISED BY THE ASSESSEE. THE LD. DR FOR THE REVENUE SUPPORTED ORDERS OF THE AUTHORITIES BELOW. 3. WE HAVE HEARD THE RIVAL CONTENTIONS AND PERUSED THE RECORDS. FROM THE PERUSAL OF THE ORDER OF THE CIT(A) WE FIND THA T THE CIT(A) HAS FAILED TO ADDRESS THE ISSUE ON THE MERITS OF THE AFORESAI D ADDITIONS. THE ORDER PASSED BY CIT(A) IS A NON-SPEAKING ORDER. THE PRINC IPLE OF NATURAL JUSTICE REQUIRES A REASONABLE OPPORTUNITY OF HEARING TO BE ALLOWED TO THE ASSESSEE BEFORE PASSING AN ORDER. WE FIND THAT CIT(A) HAS N OT PASSED A SPEAKING ORDER IN THE CASE. UNDER THE PROVISIONS OF SECTION 250(6) OF THE INCOME TAX ACT THE CIT(A) HAS TO PASS A SPEAKING ORDER IN RESPECT OF THE GROUNDS OF APPEAL RAISED BY THE ASSESSEE AFTER HEARING THE ASSESSEE. WE FIND THAT CIT(A) IN THE PRESENT CASE HAS FAILED TO FOLLOW THE PROCEDURE IN APPEAL PROCEEDINGS AS LAID DOWN IN SECTION 250 OF THE INCO ME TAX ACT. IN THE 3 INTEREST OF JUSTICE WE DEEM IT FIT TO RESTORE THE ISSUE BACK TO THE FILE OF CIT(A) TO DECIDE THE ISSUE RAISED BY THE ASSESSEE V IDE SPEAKING ORDER. A REASONABLE OPPORTUNITY OF HEARING SHALL BE AFFORDED TO THE ASSESSEE. THE GROUNDS OF APPEAL RAISED BY THE ASSESSEE ARE THUS ALLOWED FOR STATISTICAL PURPOSES. WE ARE NOT ADDRESSING THE ISSUE ON MERI TS IN VIEW OF OUR SETTING ASIDE THE ISSUE TO THE FILE OF CIT(A). 4. IN THE RESULT APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON THIS 28 TH DAY OF JULY 2011. SD/- SD/- (D.K.SRIVASTAVA) (SUSHMA CHOWLA) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED : 28 TH JULY 2011 RKK COPY TO: 1. THE APPELLANT 2. THE RESPONDENT 3. THE CIT 4. THE CIT(A) 5. THE DR TRUE COPY BY ORDER ASSISTANT REGISTRAR ITAT CHANDIGARH