R.Prabhakaran, CHENNAI v. ITO, Coimbatore

ITA 1989/CHNY/2016 | 2007-2008
Pronouncement Date: 30-09-2016

Appeal Details

RSA Number 198921714 RSA 2016
Assessee PAN AHSPP7538M
Bench Chennai
Appeal Number ITA 1989/CHNY/2016
Duration Of Justice 2 month(s) 29 day(s)
Appellant R.Prabhakaran, CHENNAI
Respondent ITO, Coimbatore
Appeal Type Income Tax Appeal
Pronouncement Date 30-09-2016
Appeal Filed By Assessee
Bench Allotted C
Assessment Year 2007-2008
Appeal Filed On 01-07-2016
Judgment Text
IN THE INCOME - TAX APPELLATE TRIBUNAL C BENCH CHENNAI . . BEFORE SHRI A. MOHAN ALANKAMONY ACCOUNTANT MEMBER & SHRI DUVVURU RL REDDY JUDICIAL MEMBER ./ I.T.A.NO. 1 9 89 /MDS/2016 / ASSESSMENT YEAR :20 07 - 08 SHRI R . PRABHAKARAN C/O SHRI T.N. SEETHARAMAN ADVOCATE # 384 (OLD NO. 196) LLOYDS ROAD CHENNAI 600 086. [PAN: A HSPP7538M] VS. THE INCOME TAX OF FICER WARD 4(2) COIMBATORE. ( / APPELLANT ) ( / RESPONDENT ) / APPELLANT BY : SHRI R.K.V. SUNDAR ADVOCATE / RESPONDENT BY : SHRI A. V. SREEKANTH J CIT / DATE OF HEARING : 29 . 0 9 .201 6 / DATE OF P RONOUNCEMENT : 30 . 0 9 .201 6 / O R D E R PER DUVVURU RL REDDY JUDICIAL MEMBER : THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF THE LD. COMMISSIONER OF INCOME TAX (APPEALS) 3 C OIMBA TORE DATED 2 9 . 0 2 .20 1 6 RELEVANT TO THE ASSESSMENT YEAR 20 07 - 08 . IN THE GROUNDS OF APPEAL THE ASSESSEE HAS RAISED NINE GROUNDS AND THE MAIN GROUND RAISED BY THE ASSESSEE IS THAT THE LD. CIT(A) HAS NOT ADJUDICATED UPON THE GROUND RAISED BY THE ASSESSEE WITH REGARD TO LIMITATION. I.T.A. NO . 1 98 9 /M/ 16 2 2. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE IS ENGAGED IN THE BUSINESS OF MANUFACTURING OF SALT AND SWEET BISCUITS AND FILED HIS RETURN OF INCOME ON 02.11.2007 ADMITTING AN INCOME OF .70 516/ - IN THIS CASE THE ASSESSING OFFICER HAS NOTICED THAT AN IMMOVABLE PROPERTY SITUATED AT S.F.NO. 694/1 AND 694/2B KURICHI COIMBATORE HAS BEEN SOLD BY THE ASSESSEE ALONG WITH HIS BROTHER FOR A REGISTERED VALUE OF .10 00 000/ - AS AGAINST THE GUID ELINE VALUE OF .20 00 000/ - THEREBY ATTRACTING THE PROVISION UNDER SECTION 50C OF THE INCOME TAX ACT 1961 [ ACT IN SHORT]. SUBSEQUENTLY THE GUIDELINE VALUE HAS BEEN ENHANCED TO .35 06 250/ - BY THE REGISTERING AUTHORITY. SINCE THERE WAS A REASON TO BEL IEVE THAT INCOME CHARGEABLE TO TAX HAS ESCAPED ASSESSMENT NOTICE UNDER SECTION 148 OF THE ACT WAS ISSUED ON 31.03.2014 AND DULY SERVED ON THE ASSESSEE. THERE WAS NO RESPONSE FROM ASSESSEE DESPITE SERVICES OF MANY NOTICES AND FINALLY IN RESPONSE TO A LETTE R DATED 16.10.2014 THE AR OF THE ASSESSEE APPEARED AND FILED DETAILS. AFTER CONSIDERING THE SUBMISSIONS OF THE ASSESSEE AND CONSIDERING THE FACTS OF THE CASE THE ASSESSMENT WAS COMPLETED UNDER SECTION 143(3) R.W.S. 147 OF THE ACT BY ASSESSING NET INCOME OF THE ASSESSEE AT .17 49 002/ - . 3. THE ASSESSEE CARRIED THE MATTER IN APPEAL BEFORE THE LD. CIT(A) BY RAISING VARIOUS GROUNDS. AFTER CONSIDERING THE SUBMISSIONS OF THE ASSESSEE THE LD. CIT(A) DISMISSED THE APPEAL FILED BY THE ASSESSEE. I.T.A. NO . 1 98 9 /M/ 16 3 4. ON BEING AGGRIEVED THE ASSESSEE IS IN APPEAL BEFORE THE TRIBUNAL. THE LD. COUNSEL FOR THE ASSESSEE BY RELYING ON THE GROUNDS OF APPEAL SUBMITTED THAT THE LD. CIT(A) HAS NOT ADJUDICATED THE SPECIFIC GROUND RAISED BY THE ASSESSEE WITH REGARD TO LIMITATION SINCE TH E ASSESSMENT WAS REOPENED AFTER LAPSE OF SIX YEARS FROM THE END OF THE ASSESSMENT YEAR 2007 - 08 AND PRAYED THAT THE APPEAL MAY BE REMITTED BACK TO THE LD. CIT(A) FOR ADJUDICATION OF THE LEGAL ISSUE. 5. ON THE OTHER HAND THE LD. DR FAIRLY CONCEDED TH AT THE LD. CIT(A) HAS NOT ADJUDICATED THE LEGAL ISSUE OF LIMITATION AND NOT OBJECTED TO THE SUBMISSIONS OF THE ASSESSEE. 6. WE HAVE HEARD BOTH SIDES PERUSED THE MATERIALS AVAILABLE ON RECORD AND GONE THROUGH THE ORDERS OF AUTHORITIES BELOW. ADMITTEDLY THE ASSESSMENT WAS REOPENED AFTER LAPSE OF SIX YEARS FROM THE END OF THE ASSESSMENT YEAR 2007 - 08 AND THE ASSESSING OFFICER HAS COMPLETED THE ASSESSMENT BY ORDER DATED 17.02.2015 UNDER SECTION 143(3) R.W.S. 147 OF THE ACT. WHEN APPEALED BEFORE THE LD. CIT( A) WE FIND THAT THE LD. CIT(A) HAS FAILED TO ADJUDICATE THE LEGAL ISSUE RAISED BY THE ASSESSEE. UNDER THE ABOVE FACTS AND CIRCUMSTANCES WE SET ASIDE THE ORDER OF THE LD. CIT(A) AND REMIT THE MATTER BACK TO THE FILE OF THE LD. CIT(A) TO FIRST ADJUDICATE T HE LEGAL ISSUE I.T.A. NO . 1 98 9 /M/ 16 4 OF LIMITATION AND DECIDE THE APPEAL IN ACCORDANCE WITH LAW AFTER ALLOWING SUFFICIENT OPPORTUNITIES OF HEARING TO THE ASSESSEE. 7 . IN THE RESULT THE APPEAL FILED BY THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED ON TH E 30 TH SEPTEMBER 201 6 AT CHENNAI. SD/ - SD/ - ( A. MOHAN ALANKAMONY ) ACCOUNTANT MEMBER ( DUVVURU RL REDDY ) JUDICIAL MEMBER CHENNAI DATED THE 30. 0 9 .201 6 VM/ - / COPY TO: 1. / APPELLANT 2. / RESPONDENT 3. ( ) / CIT(A) 4. / CIT 5. / DR & 6. / GF.