M/s. SNG Prakash Building,, New Delhi v. ACIT, New Delhi

ITA 2612/DEL/2010 | 2002-2003
Pronouncement Date: 13-10-2010 | Result: Allowed

Appeal Details

RSA Number 261220114 RSA 2010
Assessee PAN AAFCS8465B
Bench Delhi
Appeal Number ITA 2612/DEL/2010
Duration Of Justice 4 month(s) 11 day(s)
Appellant M/s. SNG Prakash Building,, New Delhi
Respondent ACIT, New Delhi
Appeal Type Income Tax Appeal
Pronouncement Date 13-10-2010
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted G
Tribunal Order Date 13-10-2010
Assessment Year 2002-2003
Appeal Filed On 01-06-2010
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH `G : NEW DELHI BEFORE SHRI C.L. SETHI JUDICIAL MEMBER AND SHRI B.C. MENA ACCOUNTANT MEMBER I.T.A.NO.2612/DEL/2010 ASSESSMENT YEAR : 2002-03 M/S. SNG DEVELOPERS (P) LTD. ASSTT. COMMISSIONE R OF INCOME-TAX 112 INDRA PRAKASH BUILDING VS. CIRCLE-9(1) NEW DELHI. 21 BARAKHAMBA ROAD NEW DELHI. PAN: AAFCS8465B STAY PETITION NO.38/DEL/2010 (IN I.T.A.NO.2612/DEL/2010) ASSESSMENT YEAR : 2002-03 M/S. SNG DEVELOPERS (P) LTD. ASSTT. COMMISSIONE R OF INCOME-TAX 112 INDRA PRAKASH BUILDING VS. CIRCLE-9(1) NEW DELHI. 21 BARAKHAMBA ROAD NEW DELHI. (APPELLANT/APPLICANT) (RESPONDENT) APPELLANT/APPLICANT BY : SHRI B.L. GUPTA AR. RESPONDENT BY : SHRI KIS HORE B. SR. DR. O R D E R PER C.L. SETHI JUDICIAL MEMBER. THE PRESENT APPEAL HAS BEEN FILED BY THE ASSESSEE A GAINST THE ORDER DATED 19-03-2010 PASSED BY THE LEARNED COMMISSIONER OF INCOME-TAX (APPEALS) IN THE MATTER OF AN ASSESSMENT MADE UNDER SEC. 147/144 OF THE INCOME-TAX ACT 1961 (THE ACT) FOR THE ASSESSMENT Y EAR 2002-03. 2 2. THE ASSESSEE HAS TAKEN A GROUND THAT THE PROCEED INGS INITIATED UNDER SEC. 147 OF THE ACT BY THE ASSESSING OFFICER ARE IN VALID AND BAD IN LAW IN THE ABSENCE OF VALID REASONS FOR INITIATING REASSESSMEN T PROCEEDINGS. IT WAS FURTHER CONTENDED THAT THE AO HAS FAILED TO PROVIDE THE COPY OF REASONS RECORDED BEFORE ISSUING THE NOTICE UNDER SEC. 148 D ESPITE SEVERAL REQUESTS MADE BY THE ASSESSEE TO THE AO. 3. WE HAVE HEARD BOTH THE PARTIES AND HAVE CAREFULL Y GONE THROUGH THE ORDERS OF THE AUTHORITIES BELOW. 4. IN THIS CASE ON THE BASIS OF INFORMATION RECEIV ED FROM INVESTIGATION WING THE ASSESSING OFFICER RECORDED REASONS FOR IS SUING NOTICE UNDER SEC. 148 OF THE ACT. A NOTICE UNDER SEC. 148 WAS ISSUE D ON 31.03.2009 IN RESPONSE TO WHICH THE ASSESSEE FAILED TO FILE ANY RETURN OF INCOME. HOWEVER BEFORE THE AO THE ASSESSEE CONTENDED THAT THE ASSESSEE VIDE LETTER DATED 18.05.2009 INTIMATED THE AO THAT THE RETURN A LREADY FILED MAY KINDLY BE TREATED TO BE THE RETURN OF INCOME IN REPLY TO T HE NOTICE ISSUED UNDER SEC. 148 OF THE ACT. HOWEVER ON ENQUIRY NO SUCH RETUR N FOR ASSESSMENT YEAR 2002-03 WAS FOUND TO HAVE BEEN FILED BY THE ASSESSE E. THE ASSESSEE DID NOT PRODUCE ANY ACKNOWLEDGEMENT RECEIPT OF RETURN OF IN COME ORIGINALLY FILED BY THE ASSESSEE. IN THE COURSE OF HEARING OF THIS APPEAL THE ASSESSEE HAS ALSO NOT BEEN ABLE TO PRODUCE ANY RELIABLE AND ADEQUATE EVIDENCE TO PROVE AND 3 ESTABLISH THAT THE ASSESSEE DID FILE ANY RETURN OF INCOME AT ANY POINT OF TIME BEFORE ISSUE OF NOTICE UNDER SEC. 148 OF THE ACT. THEREFORE THE ASSESSEES CONTENTION THAT THE RETURN ALREADY FILED MAY BE TRE ATED TO BE RETURN FILED IN RESPONSE TO NOTICE UNDER SEC. 148 IS REJECTED AND THIS CASE IS TREATED TO BE A CASE WHERE NO RETURN HAS BEEN FILED BY THE ASSESSEE EITHER BEFORE ISSUING NOTICE UNDER SEC. 148 OR IN RESPONSE TO NOTICE ISSU ED UNDER SEC. 148 OF THE ACT. WE FURTHER OBSERVE THAT IN THE COURSE OF ASSE SSMENT PROCEEDINGS THE ASSESSEE INSISTED UPON THE AO TO SUPPLY COPY OF REA SONS FOR ISSUING NOTICE UNDER SEC. 148 OF THE ACT BUT NO REASONS WERE PROVI DED BY THE AO TO THE ASSESSEE FOR THE REASON THAT THE ASSESSEE DID NOT F ILE ANY RETURN IN PURSUANCE OF NOTICE UNDER SEC. 148 OF THE ACT. IN THE COURSE OF HEARING OF THIS APPEAL THE ASSESSEE HAS PRODUCED BEFORE US A COPY OF APPLI CATION MADE TO THE AO UNDER THE RIGHT TO INFORMATION ACT 2005. IN REPLY THERETO THE AO HAS SUPPLIED THE REASONS FOR ISSUING THE NOTICE UNDER S EC. 148 OF THE ACT AND THESE REASONS ARE PLACED AT PAGES 10 TO 12 OF THE P APER BOOK FILED BY THE ASSESSEE. SINCE IN THE MEANTIME REASONS HAVE ALREA DY BEEN FURNISHED BY THE AO TO THE ASSESSEE WE FIND IT FIT AND PROPER THAT THE ASSESSEE SHOULD BE GIVEN AN OPPORTUNITY TO FILE RETURN IN RESPONSE TO NOTICE UNDER SEC. 148 OF THE ACT AND THEN TO FILE OBJECTION AGAINST REASONS RECO RDED FOR ISSUING NOTICE UNDER SEC. 148 OF THE ACT. FOR THIS PURPOSE WE SE T ASIDE THE ORDERS OF THE 4 AUTHORITIES BELOW AND RESTORE THE MATTER BACK TO TH E FILE OF THE ASSESSING OFFICER FOR HIS FRESH ASSESSMENT. THE ASSESSEE SHA LL BE AT LIBERTY TO SUBMIT RETURN AND HIS OBJECTION TO THE REASONS RECORDED BY THE AO FOR ISSUING THE NOTICE UNDER SEC. 148 OF THE ACT AND THE OBJECTION SO FILED BY THE ASSESSEE SHALL BE CONSIDERED AND EXAMINED BY THE AO BY PASSI NG A SPEAKING AND REASONED ORDER IN THE MANNER AS SO LAID DOWN IN THE DECISION OF THE HONBLE SUPREME COURT IN THE CASE OF GKN DRIVESHAFTS (INDIA ) LTD. VS. ITO (2003) 259 ITR 19 (SC). THE AO SHALL PROVIDE REASONABLE O PPORTUNITY OF BEING HEARD TO THE ASSESSEE. WE ORDER ACCORDINGLY. 5. SINCE THE ASSESSMENT HAS BEEN RESTORED BACK TO T HE FILE OF THE AO FOR HIS FRESH ASSESSMENT AFTER CONSIDERING THE ASSESSEE S OBJECTION TO THE REASONS RECORDED FOR ISSUING NOTICE UNDER SEC. 148 OF THE A CT THE OTHER GROUNDS CHALLENGING THE ADDITION MADE BY THE AO IN THE ASSE SSMENT HAVE BECOME REDUNDANT AT THIS STAGE AND THE SAME ARE ALSO RESTO RED BACK TO THE AO FOR HIS FRESH ASSESSMENT. 6. IN THE RESULT THE APPEAL FILED BY THE ASSESSEE IS TREATED TO BE ALLOWED FOR STATISTICAL PURPOSES. 7. NOW WE SHALL COME TO THE STAY PETITION FILED BY THE ASSESSEE. 8. IN THE LIGHT OF OUR DECISION PASSED IN THE APPEA L FILED BY THE ASSESSEE THE STAY PETITION FILED BY THE ASSESSEE HAS BECOME REDUNDANT INASMUCH AS 5 ASSESSMENT ORDER HAS BEEN RESTORED BACK TO THE FILE OF THE ASSESSING OFFICER FOR HIS FRESH ADJUDICATION AS STATED ABOVE. 9. IN THE RESULT THE STAY APPLICATION FILED BY THE ASSESSEE IS DISMISSED AS INFRUCTUOUS. 10. TO SUM UP THE APPEAL FILED BY THE ASSESSEE IS TREATED TO BE ALLOWED FOR STATISTICAL PURPOSES AND THE STAY APPLICATION FILED BY THE ASSESSEE IS DISMISSED AS INFRUCTUOUS. 11. THIS DECISION IS PRONOUNCED IN THE OPEN COURT ON 13 TH OCTOBER 2010. SD/- SD/- (B.C. MEENA) (C.L. SETHI) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 13 TH OCTOBER 2010. COPY OF THE ORDER FORWARDED TO:- 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR BY ORDER *MG DEPUTY REGISTRAR ITAT.