The ITO, Ward-3(1),, Ahmedabad v. M/s. Vaibhav Dyestuff Industries,, Ahmedabad

ITA 2001/AHD/2008 | 2005-2006
Pronouncement Date: 03-02-2012 | Result: Allowed

Appeal Details

RSA Number 200120514 RSA 2008
Assessee PAN RULES1963F
Bench Ahmedabad
Appeal Number ITA 2001/AHD/2008
Duration Of Justice 3 year(s) 8 month(s) 6 day(s)
Appellant The ITO, Ward-3(1),, Ahmedabad
Respondent M/s. Vaibhav Dyestuff Industries,, Ahmedabad
Appeal Type Income Tax Appeal
Pronouncement Date 03-02-2012
Appeal Filed By Department
Order Result Allowed
Bench Allotted A
Tribunal Order Date 03-02-2012
Date Of Final Hearing 17-01-2012
Next Hearing Date 17-01-2012
Assessment Year 2005-2006
Appeal Filed On 28-05-2008
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL AT AHMEDABAD A BENCH . .. . . .. . !'# !'# !'# !'# $ $ $ $ . .. . . .. .% % % % &' % &' % &' % &' % & # & # & # & # BEFORE S/SHRI G.C. GUPTA VICE-PRESIDENT AND B.R. BASKARAN ACCOUNTANT MEMBER) ITA NO.2001/AHD/2008 [ASSTT.YEAR : 2005-2006] ITO WARD-3(1) AHMEDABAD. /VS. M/S.VAIBHAV DYE STAFF IND. C-19 GIDC ESTATE ODHAV AHMEDABAD. ( (( ()* )* )* )* / APPELLANT) ( (( (+ )* + )* + )* + )* / RESPONDENT) % - . &/ REVENUE BY : SHRI P.K.SRIVASTAVA 01 - . &/ ASSESSEE BY : SHRI P.F. JAIN 2 - 13'/ DATE OF HEARING : 17 TH JANUARY 2012 456 - 13'/ DATE OF PRONOUNCEMENT : 03-02-2012 &7 / O R D E R PER G.C. GUPTA VICE-PRESIDENT: THIS APPEAL OF THE REVENUE FOR THE ASSTT.YEAR 2005-2006 IS DIRECTED AGAINST TH E ORDER OF THE COMMISSIONER OF INCOME-TAX (APPEALS)-VII AHMEDABAD . 2. THE GROUNDS OF APPEAL OF THE REVENUE READ AS UND ER: 1. THE CIT(A)HAS ERRED IN LAW AND ON FACTS IN ALLO WING THE APPEAL OF THE ASSESSEE WHICH WAS AGAINST THE ORDER PASSED UNDER SECTION 144 OF THE IT ACT. 2 . THE CIT(A)HAS ERRED IN LAW AND ON FACTS IN HOLDIN G THAT THE AO SHOULD HAVE GIVEN SUFFICIENT OPPORTUNITY BEFORE FINALIZING THE ASSESSMENT U/S.144 OF THE IT ACT. ITA NO.2001/AHD/2008 -2- 3 . THE CIT(A)HAS ERRED IN LAW AND ON FACTS IN NOT CA LLING FOR REMAND REPORT FROM THE AO WHEN ADDITIONAL EVIDENCES WERE BROUGHT BEFORE HIM BY THE ASSESSEE. 4 . THE CIT(A)HAS ERRED IN LAW AND ON FACTS IN DELETI NG THE ADDITION OF RS.4951/- ON ACCOUNT OF CAPITAL EXPENDI TURE. 5 . THE CIT(A)HAS ERRED IN LAW AND ON FACTS IN DELETI NG THE ADDITION OF RS.11 10 044/- ON ACCOUNT OF SUNDRY CRE DITORS TREATED AS CASH CREDITS. 6 . THE CIT(A)HAS ERRED IN LAW AND ON FACTS IN DELETI NG THE ADDITION OF RS.78 268/- ON ACCOUNT OF PROPORTIONATE INTEREST ON CASH CREDITS. 7 . THE CIT(A)HAS ERRED IN LAW AND ON FACTS IN DELETI NG THE ADDITION OF RS.27000/- ON ACCOUNT OF DISALLOWANCE O F RENT PAYMENT. 8 . THE CIT(A)HAS ERRED IN LAW AND ON FACTS IN DELETI NG THE ADDITION OF RS.52 700/- MADE ON ACCOUNT OF DISALLOW ANCE OF FACTORY EXPENSES. 3. THE LEARNED DR SUBMITTED THAT EX PARTE ASSESSMENT WAS FRAMED BY THE AO IN THIS CASE DUE TO NON-COOPERATION BY THE A SSESSEE. HE SUBMITTED THAT THE CIT(A) HAS DECIDED THE MATTER IN FAVOUR OF THE ASSESSEE WITHOUT CALLING FOR ANY REMAND REPORT FROM THE AO. HE SUB MITTED THAT IN VIEW OF THESE FACTS THE ISSUE MAY BE RESTORED TO THE FILE OF THE AO FOR FRESH ADJUDICATION IN ACCORDANCE WITH LAW. THE LEARNED C OUNSEL FOR THE ASSESSEE SUBMITTED THAT THE ASSESSEE HAS FILED AN A PPLICATION UNDER RULE 27 OF THE APPELLATE TRIBUNAL RULES 1963 FOR TAKING A GROUND REGARDING DISALLOWANCE OF RS.25 91 039/- BEING THE JOB WORK O N ACCOUNT OF LATE PAYMENT OF TDS UNDER SECTION 40(IA) READ WITH SUBSE QUENT RETROSPECTIVE AMENDMENT BY FINANCE ACT 2008 W.E.F. 1-4-2005. 4. WE HAVE CONSIDERED RIVAL SUBMISSIONS. WE FIND T HAT THE EX PARTE ASSESSMENT ORDER WAS PASSED BY THE AO UNDER SECTION 144 OF THE ACT. ITA NO.2001/AHD/2008 -3- THE CIT(A) WHILE DECIDING THE ISSUE HAS NOT CALLED FOR ANY REMAND REPORT FROM THE AO ON THE ISSUE BEFORE HIM. IN THESE FACT S WE HOLD THAT IT SHALL BE IN THE INTEREST OF THE JUSTICE TO SET ASIDE THE ORDER OF THE AUTHORITIES BELOW TO THE FILE OF THE AO WITH DIRECTIONS TO FRAM E THE ASSESSMENT DE NOVO IN ACCORDANCE WITH LAW AFTER PROVIDING REASONABLE OPPORTUNITY TO THE ASSESSEE. THE ISSUE RAISED BY THE ASSESSEE UNDER R ULE 27 OF THE APPELLATE TRIBUNAL RULES 1963 NEEDS NO ADJUDICATION AT THIS S TAGE AS THE ASSESSMENT IS RESTORED TO THE FILE OF THE AO. WE DIRECT ACCOR DINGLY 5. IN THE RESULT THE REVENUES APPEAL IS ALLOWED F OR STATISTICAL PURPOSE. ORDER PRONOUNCED IN OPEN COURT ON THE DATE MENTIONE D HEREINABOVE. SD/- SD/- ( . .. . . .. .% % % % /B.R. BASKARAN) &' % /ACCOUNTANT MEMBER ( . .. . . .. . /G.C. GUPTA) !'# !'# !'# !'# /VICE-PRESIDENT C OPY OF THE ORDER FORWARDED TO: 1) : APPELLANT 2) : RESPONDENT 3) : CIT(A) 4) : CIT CONCERNED 5) : DR ITAT. BY ORDER DR/AR ITAT AHMEDABAD