Hind Fiscal Services Pvt. Ltd., Kolkata v. ACIT, Circle-9, Kolkata, Kolkata

ITA 1915/KOL/2014 | 2006-2007
Pronouncement Date: 07-11-2014

Appeal Details

RSA Number 191523514 RSA 2014
Assessee PAN AAACH6703L
Bench Kolkata
Appeal Number ITA 1915/KOL/2014
Duration Of Justice 24 day(s)
Appellant Hind Fiscal Services Pvt. Ltd., Kolkata
Respondent ACIT, Circle-9, Kolkata, Kolkata
Appeal Type Income Tax Appeal
Pronouncement Date 07-11-2014
Appeal Filed By Assessee
Bench Allotted B
Tribunal Order Date 07-11-2014
Assessment Year 2006-2007
Appeal Filed On 14-10-2014
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL BENCH B KOLKATA [BEFORE HONBLE SRI MAHAVIR SINGH JM & HONBLE SRI SHAMIM YAHYA AM] ITA NO.1915/KOL/2014 ASSESSMENT YEAR : 2006-07 ( APPELLANT ) (RESPONDENT) HIND FISCAL SERVICES PVT.LTD. -VS- A.C.I.T.-.CIRCLE-9 KOLKATA KOLKATA (PAN: AAACH 6703 L) FOR THE APPELLANT: SHRI R.P.AGARWALLA ADVOCATE & SHRI SANJIB BARBORA FCA FOR THE RESPONDENT: SHRI ANIL KR.PANDE JCIT SR.DR DATE OF HEARING : 07.11.2014. DATE OF PRONOUNCEMENT : 07.11.2014. ORDER PER SHRI SHAMIM YAHYA AM THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAIN ST THE ORDER OF LD. CIT(A)- VIII KOLKATA DATED 27.02.2013 FOR ASSESSMENT YEAR 2006-07. 2. THE GROUNDS OF APPEAL IN THIS APPEAL READ AS UN DER :- 1. THAT THE ASSESSMENT IS ILLEGAL AND/OR IRREGULAR ; 2. ON THE FACTS OF THE CASE AND IN LAW THE LD. CIT( APPEALS) ERRED IN CONFIRMING THE SAME WITHOUT GIVING ANY OPPORTUNITY TO THE APPELLANT TO BE HEARD AND THE ALLEGED NOTICES WERE NEITHER SERVED NOR COMMUNICATED TO THE APPELLANT. C HANGE OF ADDRESS WAS COMMUNICATED TO THE DEPARTMENT. 3. THAT THE LD.CIT(APPEALS) HAVING ALLOWED NO OPPOR TUNITY OF HEARING TO THE APPELLANT HAS PASSED THE ORDER IN VIOLATION OF THE PRINCIPLES OF NATURAL JUSTICE AND THE LD.A.O. MADE THE ASSESSMENT WRONGLY BY TAKING RECOURSE TO S ECTION 144 OF THE ACT; 4. WITHOUT PREJUDICE TO THE ABOVE THE FOLLOWING DIS ALLOWANCES/ADDITIONS TO RETURNED INCOME MADE BY THE LD.A.O. AND CONFIRMED BY THE LD. CIT(APPEALS) ARE NOT BASED ON FACTS AND ARE BAD IN LAW. A) DISALLOWING RS.83000 ON ACCOUNT OF MOTOR CAR EXP ENSES WHEREAS TH TOTAL AMOUNT OF MOTOR CAR EXPENSES AS PER THE PROFIT & LOSS ACCOUNT WAS RS.55 600/- B) DISALLOWING THE ENTIRE RENT RATES AND TAXES EXPE NSES OF RS.48 360/- C) DISALLOWING THE ENTIRE FILING FEES EXPENSES OF R S.3500/-; D) DISALLOWING THE ENTIRE DONATION AND SUBSCRIPTION EXPENSES OF RS.3000/-; ITA NO.1915/KOL/2014 HIND FISCAL SERVICES PVT..LTD. KOLKATA A.YR.2006-07 2 E) DISALLOWING A TRADING LOSS OF RS.2 26 398/- AS B EING BOGUS PURCHASE AND SALE TRANSACTION; F) ADDITION U/S 68 OF THE INCOME TAX ACT 1961 OF R S.3361877/- ON ACCOUNT OF UNVERIFIABLE SUNDRY CREDITORS WHICH WAS THE TOTAL A MOUNT OF SUNDRY CREDITORS AS ON 31.3.2006 AND ALSO INCLUDED OPENING BALANCES OF RS. 14 82 497/ 5. THAT THE APPELLANT MAY BE ALLOWED TO URGE FURTH ER GROUNDS AT THE TIME OF HEARING. 3. IN THIS CASE ASSESSMENT ORDER WAS PASSED BY AO U /S 144 OF THE ACT. AGAINST THE RETURNED INCOME OF RS.3 09 355/- AO MADE SEVERAL A DDITIONS AND FINALLY TAXABLE INCOME WAS COMPUTED AT RS.40 35 490/-. 4. AGAINST THE ABOVE ORDER ASSESSEE APPEALED BEFORE THE LD. CIT(A). LD.CIT(A) NOTED THAT THE ASSESSEE WAS GIVEN SEVERAL OPPORTUNI TIES BUT THE NOTICE REMAINED UNCOMPLIED. HENCE THE LD. CIT(A) DECIDED THE ISSUE EX-PARTE. LD. CIT(A) CONFIRMED THE ORDER OF AO AND DISMISSED THE ASSESSEES APPEAL . AGAINST THE ABOVE ORDER THE ASSESSEE IS IN APPEAL B EFORE US. 5. WE HAVE HEARD BOTH THE COUNSEL AND PERUSED THE RECORDS. LD. COUNSEL OF THE ASSESSEE SUBMITTED THAT THERE HAS BEEN GROSS VIOLAT ION OF NATURAL JUSTICE IN AS MUCH AS THE ASSESSEE HAS NOT BEEN GIVEN AN OPPORTUNITY TO C ANVASS ITS CASE PROPERLY. THE LD. COUNSEL OF THE ASSESSEE POINTED OUT THAT NONE OF TH E NOTICES OF HEARING GIVEN BY LD. CIT(A) WAS GIVEN AT THE ADDRESS OF THE ASSESSEE MEN TIONED IN FORM NO.35. HENCE THE LD. COUNSEL SUBMITTED THAT THE ASSESSEE DID NOT REC EIVE ANY NOTICE OF HEARING. THE LD. COUNSEL FURTHER SUBMITTED THAT ASSESSMENT ORDER WAS ALSO FRAMED U/S 144 OF THE ACT BY THE AO WITHOUT ANY REPRESENTATION FROM THE ASSESSEE . HENCE HE PLEADED THAT ASSESSEE SHOULD BE GIVEN AN OPPORTUNITY BEFORE THE AO TO CAN VASS THE CASE PROPERLY. 6. THE LD. DR ON THE OTHER HAND RELIED UPON ORDER S OF THE AUTHORITIES BELOW. 7. UPON CAREFUL CONSIDERATION WE ARE INCLINED TO AC CEPT THE PLEA OF THE LD. COUNSEL OF THE ASSESSEE. ACCORDINGLY THE ISSUES RAISED IN T HIS APPEAL ARE SET ASIDE TO THE FILE OF ITA NO.1915/KOL/2014 HIND FISCAL SERVICES PVT..LTD. KOLKATA A.YR.2006-07 3 AO. AO IS DIRECTED TO CONSIDER THE CASE AFRESH AFTE R GIVING ASSESSEE PROPER OPPORTUNITY OF BEING HEARD. 8. IN THE RESULT THE APPEAL FILED BY THE ASSESSEE STANDS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 07.11.2014. SD/- SD/- [MAHAVIR SINGH] [ SHAMIM YAHYA ] JUDICIAL MEMBER ACCOUNTANT MEMBER DATE: 07.11.2014. R.G.(.P.S.) COPY OF THE ORDER FORWARDED TO: 1. HIND FISCAL SERVICES PVT. LTD. 39 KALI KRISHNA TA GORE STREET KOLKATA-700007. 2 THE A.C.I.T. CIRCLE-9 KOLKATA 3 . CIT(A)- VIII KOLKATA 4. CIT KOLKATA 5. DR KOLKATA BENCHES KOLKATA TRUE COPY BY ORDER ASST. REGISTRAR ITAT KOLKATA BENCHES