M/s. Sarvodaya Shramik Kalyan Samiti,, Sehore v. The ACIT, Bhopal

ITA 109/IND/2010 | 2005-2006
Pronouncement Date: 20-05-2010 | Result: Dismissed

Appeal Details

RSA Number 10922714 RSA 2010
Bench Indore
Appeal Number ITA 109/IND/2010
Duration Of Justice 2 month(s) 19 day(s)
Appellant M/s. Sarvodaya Shramik Kalyan Samiti,, Sehore
Respondent The ACIT, Bhopal
Appeal Type Income Tax Appeal
Pronouncement Date 20-05-2010
Appeal Filed By Assessee
Order Result Dismissed
Bench Allotted SMC
Tribunal Order Date 20-05-2010
Date Of Final Hearing 24-03-2010
Next Hearing Date 24-03-2010
Assessment Year 2005-2006
Appeal Filed On 02-03-2010
Judgment Text
1 IN THE INCOME TAX APPELLATE TRIBUNAL SMC-I BENCH INDORE BEFORE SHRI JOGINDER SINGH JUDICIAL MEMBER ITA NO.109/IND/2010 A.Y. 2005-06 SARVODAYA SHRAMIK KALYAN SAMITI SEHORE PAN AABAS-9987 APPELLANT VS ASSTT.COMMISSIONER OF INCOME TAX 2(1) BHOPAL RESPONDENT APPELLANT BY : SHRI ARYA BHATT ADVOCATE RESPONDENT BY : SHRI P.K. MITRA SR.DR O R D E R THIS APPEAL HAS BEEN PREFERRED BY THE ASSESSEE AGAI NST THE ORDER OF THE LEARNED COMMISSIONER OF INCOME TAX (APPEALS) DATED 16.11.2009 ON THE GROUND THAT THE ASSESSMENT ORDER FRAMED U/S 144 FOR THE NET PROFIT AT THE RATE OF 8% OF GROSS TURNOVER AND CONF IRMATION OF THE SAME BY THE LD. FIRST APPELLATE AUTHORITY IS WITHOUT ANY JU STIFICATION AND ALSO WITHOUT PROVIDING ANY DUE OPPORTUNITY TO THE ASSESSEE. 2. DURING HEARING OF THIS APPEAL I HAVE HEARD SHRI ARYA BHATT LD. COUNSEL FOR THE ASSESSEE AND SHRI P.K. MITRA LEARN ED SENIOR DEPARTMENTAL REPRESENTATIVE. THE CRUX OF ARGUMENTS ON BEHALF OF THE 2 ASSESSEE IS THAT AS PER THE DRAFT ASSESSMENT ORDER DATED 30.11.2007 THERE IS A FINDING THAT THE ASSESSEE NEVER TURNED U P THEREFORE THE ASSESSING OFFICER HAD NO ALTERNATIVE BUT TO COMPLET E THE ASSESSMENT U/S 144 OF THE ACT PROPOSING THE NET PROFIT AT THE RATE OF 8% OF THE GROSS TURNOVER WHICH CAME TO RS. 1 97 072/-. IT WAS PLEA DED THAT SINCE NO PROPER OPPORTUNITY WAS PROVIDED TO THE ASSESSEE TH EREFORE THE ASSESSMENT SO FRAMED/CONFIRMED DESERVES TO BE ADJUD ICATED AFRESH. ON THE OTHER HAND THE LEARNED SENIOR DEPARTMENTAL REP RESENTATIVE DEFENDED THE IMPUGNED ORDER ON THE GROUND THAT THE ASSESSEE WAS NON- COOPERATIVE AND INSPITE OF OPPORTUNITY GIVEN BY THE ASSESSING OFFICER THE ASSESSEE DID NOT APPEAR. HOWEVER SINCE TWO AS SESSMENT ORDERS I.E. ONE DRAFT ASSESSMENT ORDER AND ANOTHER ASSESSM ENT ORDER HAVE BEEN FRAMED THEREFORE THE APPEAL MAY BE REMANDED BACK TO THE FILE OF THE ASSESSING OFFICER. 3. I HAVE CONSIDERED THE RIVAL SUBMISSIONS OF LD. R EPRESENTATIVES OF BOTH SIDES AND PERUSED THE MATERIAL AVAILABLE ON RE CORD. BRIEF FACTS ARE THAT THE ASSESSEE IS A LABOUR CONTRACTOR AND DECLAR ED INCOME OF RS.9 758/- IN ITS RETURN FILED ON 24 TH OCTOBER 2005 ALONG WITH AUDIT REPORT UNDER SECTION 144A IN THE PRESCRIBED FORM DATED 6.1 0.2005. IT IS SEEN THAT VARIOUS NOTICES ALONG WITH QUESTIONNAIRE WERE ISSUED TO THE ASSESSEE TO WHICH AS PER THE DEPARTMENT NOBODY AT TENDED. THERE IS NO MENTION WHETHER ANY NOTICE WAS SERVED UPON THE ASSESSEE ? THE 3 ASSESSEE SAMITI IS ALSO REGISTERED WITH THE REGISTR AR OF FIRMS AND SOCIETIES ON 30.4.2001 AND THIS WAS THE FIRST YEAR OF THE AUDIT AND AS PER THE DEPARTMENT THE BALANCE-SHEETS WERE UNAUDITED THEREFORE WITHOUT GOING INTO THE MERITS OF THE CASE AND THE FACT THAT THE ASSESSMENTS WERE PRACTICALLY U/S 144 (THOUGH MENTIONED U/S 143(3) OF THE ACT) I AM OF THE VIEW THAT THE ASSESSMENT ORDER FRAMED NEEDS TO BE A DJUDICATED UPON AFRESH. I THEREFORE DIRECT THE LEARNED ASSESSING OFFICER TO REFRAME THE ASSESSMENT AFTER PROVIDING ADEQUATE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. NEEDLESS TO MENTION HERE THAT THE ASSESS EE IS AT LIBERTY TO FURNISH EVIDENCE IF ANY BEFORE THE ASSESSING OFFI CER TO SUBSTANTIATE ITS CLAIM. THIS APPEAL OF THE ASSESSEE IS THEREFORE ALLOWED FOR STATISTICAL PURPOSES ONLY. ORDER PRONOUNCED IN THE OPEN COURT IN THE PRESENCE OF LEARNED REPRESENTATIVES OF BOTH THE SIDES AT THE CONCLUSION OF THE HEARING ON 8 TH MARCH 2011. (JOGINDER SINGH) JUDICIAL MEMBER 8 TH MARCH 2011 COPY TO: APPELLANT RESPONDENT CIT CIT(A) DR GU ARD FILE DN/-