Sanjay Kumar Agarwal , Hyderabad v. Income Tax Officer, Ward-4(4), Hyderabad

ITA 1420/Hyd/2019 | 2011-2012
Pronouncement Date: 04-05-2021 | Result: Partly Allowed

Appeal Details

RSA Number 142022514 RSA 2019
Assessee PAN AIJPA8621Q
Bench Hyderabad
Appeal Number ITA 1420/Hyd/2019
Duration Of Justice 1 year(s) 7 month(s) 18 day(s)
Appellant Sanjay Kumar Agarwal , Hyderabad
Respondent Income Tax Officer, Ward-4(4), Hyderabad
Appeal Type Income Tax Appeal
Pronouncement Date 04-05-2021
Appeal Filed By Assessee
Order Result Partly Allowed
Bench Allotted SMC
Tribunal Order Date 04-05-2021
Date Of Final Hearing 03-05-2021
Next Hearing Date 03-05-2021
Last Hearing Date 29-03-2021
First Hearing Date 17-12-2020
Assessment Year 2011-2012
Appeal Filed On 16-09-2019
Judgment Text
1 IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH SMC HYDERABAD (THROUGH VIRTUAL HEARING) BEFORE SHRI A. MOHAN ALANKAMONY ACCOUNTANT MEMBER ITA NO.1420/HYD/2019 A.Y. 2011 - 12 SANJAY KUMAR AGARWAL HYDERABAD. PAN: AIJPA 8621 Q VS. INCOME TAX OFFICER WRD - 4(4) HYDERABAD. (APPELLANT) (RESPONDENT) ASSESSEE BY: SHRI HARI AGARWAL REVENUE BY: SHRI WASEEM UR RAHMAN DR DATE OF HEARING: 03/05/2021 DATE OF PRONOUNCEMENT: 04 /05/2021 ORDER THIS APPEAL IS FILED BY THE ASSESSEE AGAINST THE ORDER OF THE LD. CIT(A) - 1 HYDERABAD IN APPEAL NO. 10450/2018 - 19/ITO 4(4) /CIT(A) - 1/HYD/2019 - 20 DATED 28/06/2019 PASSED U/S. 143(3) R.W.S 147 AND U/S. 250(6) OF THE ACT FOR THE A.Y. 2011 - 12. 2. THE ASSESSE E HAS RAISED FIVE GROUNDS IN HIS APPEAL AND THEY ARE EXTRACTED HEREIN BELOW FOR REFERENCE: - 1. THE ORDER PASSED BY THE LD. CIT(A) IS AGAINST THE FACTS AND CIRCUMSTANCES OF THE APPELLANTS CASE AND IS CONTRARY TO THE PROVISIONS OF THE ACT. 2. THE LD. CIT( A) WHILE PASSING THE APPELLATE ORDER OUGHT TO HAVE CONSIDERED THE FACT THAT THE LD. A.O. HAS FAILED TO COMMUNICATE THE REASONS FOR REOPENING OF ASSESSMENT INSPITE OF THE REQUEST MADE FOR THE 2 SAME BY THE APPELLANT. HENCE THE REASSESSMENT U/S. 147 IS BAD I N LAW. 3. THE LD. CIT(A) OUGHT TO HAVE CONSIDERED THE FACT THAT THE NOTICE ISSUED BY THE LEARNED A.O. U/S. 148 OF THE ACT IS INVALID AND BAD IN LAW SINCE THE APPROVAL IS REQUIRED TO BE OBTAINED FROM ONE OF THEM I.E EITHER FROM PCIT OR FROM CIT BUT THE S AME IS NOT SPECIFICALLY MENTIONED. ACCORDINGLY THE ASSESSMENT ORDER PASSED BASED ON INVALID PROCEEDINGS U/S. 148 OF THE ACT CANNOT BE SUSTAINED. 4. THE HONBLE CIT(A) HAS ERRED IN CONFIRMING THE ADDITION MADE BY THE LD. A.O. FOR RS. 21 57 905/ - UNDER THE HEAD INCOME FROM CAPITAL GAINS. THE LD. CIT(A) HAS FAILED TO APPRECIATE THE FACT THAT THERE WAS NEITHER ANY RECEIPT OF SALE CONSIDERATION NOR THE POSSESSION OF PROPERTY WAS GIVEN WHICH CONCLUDES THAT THE TRANSFER AS PER SEC. 2(47) OF THE INCOME TAX ACT 1961 HAS NOT TAKEN PLACE. 5. THE LD. CIT(A) HAS NOT PROPERLY APPRECIATED THE FACT THAT THE LEARNED A.O. HAS NOT PASSED THE ASSESSMENT BEFORE THE LAST DATE OF PASSING THE ASSESSMENT ORDER IE. 31/12/2018 AS SPECIFIED UNDER THE IT ACT 1961. THE APPELLANT HAS RECEIVED THE ASSESSMENT ORDER ON 5/1/2019 THROUGH THE POST. 3. AT THE OUTSET THE LD. AR SUBMITTED THAT THOUGH THE SALE DEED WAS EXECUTED BY THE ASSESSEE THE SALE HAS NOT CONCLUDED BECAUSE THE ASSESSEE HAS NOT RECEIVED THE SALE CONSIDERATION. THE LD. AR FURTHER SUBMITTED THAT ON THAT REGARD THERE WERE DISPUTES AND TH E ASSESSEE HAS FILED SUIT FOR CANCELLING THE SALE DEED BEFORE THE HONBLE CITY CIVIL COURT. THE LD. AR ARGUED THAT THESE ASPECTS WERE NOT PROPERLY CONSIDERED BY THE LD. REVENUE AUTHORITIES AND ON A MECHANICAL BASIS INVOKED THE PROVISIONS OF SECTION 50C OF THE ACT AND MADE ADDITION IN THE HANDS OF 3 THE ASSESSEE. IT WAS THEREFORE PLEADED THAT THE MATTER MAY BE REMITTED BACK TO THE FILE OF THE LD. AO THEREBY AFFORDING ONE MORE OPPORTUNITY TO THE ASSESSEE OF BEING HEARD TO JUSTIFY HIS STAND BEFORE THE LD. REVE NUE AUTHORITIES. THE LD. DR ON THE OTHER HAND ARGUED IN SUPPORT OF THE ORDERS OF THE LD. REVENUE AUTHORITIES AND PRAYED FOR CONFIRMING THE SAME. 4. AFTER HEARING BOTH SIDES WE FIND SOME MERIT IN THE CASE OF THE ASSESSEE. IF THE ASSESSEE HAS NOT RECEIVED THE SALE CONSIDERATION FROM THE PURCHASER THEN OBVIOUSLY IT CANNOT BE STATED THAT THE SALE HAS TAKEN PLACE. THEREFORE IF THE SUBMISSION OF THE LD. AR IS GENUINE AND TRUE THEN IT WOULD NOT BE NECESSARY TO INVOKE THE PROVISIONS OF SECTION 45 & 50C OF TH E ACT IN THE CASE OF THE ASSESSEE. HENCE IN THE INTEREST OF JUSTICE WE HEREBY REMIT THE ENTIRE MATTER BACK TO THE FILE OF THE LD. AO FOR DE - NOVO CONSIDERATION. 5. IN THE RESULT APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. PRONOUNCED IN THE OPEN COURT ON THE 04 TH MAY 2021. SD/ - ( A. MOHAN ALANKAMONY ) ACCOUNTANT MEMBER HYDERABAD DATED: 04 TH MAY 2021. OKK 4 COPY TO: - 1) SANJAY KUMAR AGARWAL 3 - 5 - 45 RAMKOTE HYDERABAD. 2) INCOME TAX OFFICER WARD - 4(4) IT TOWERS AC GUARDS MASAB TANK HYDERABAD. 3) THE CIT (A) - 1 HYDERABAD. 4) THE PR. CIT - 1 HYDERABAD. 5) THE DR ITAT HYDERABAD 6) GUARD FILE