PARVEZ ABDULKADER KHATRI, MUMBAI v. ADDL CIT 13(1), MUMBAI

ITA 6973/MUM/2016 | 2010-2011
Pronouncement Date: 30-11-2017 | Result: Allowed

Appeal Details

RSA Number 697319914 RSA 2016
Assessee PAN AAGPK6484J
Bench Mumbai
Appeal Number ITA 6973/MUM/2016
Duration Of Justice 1 year(s) 1 day(s)
Appellant PARVEZ ABDULKADER KHATRI, MUMBAI
Respondent ADDL CIT 13(1), MUMBAI
Appeal Type Income Tax Appeal
Pronouncement Date 30-11-2017
Appeal Filed By Assessee
Tags No record found
Order Result Allowed
Bench Allotted Not Allotted
Tribunal Order Date 30-11-2017
Assessment Year 2010-2011
Appeal Filed On 29-11-2016
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL BENCH B MU MBAI BEFORE SHRI G.S. PANNU ACCOUNTANT MEMBER AND SHRI PAWAN SINGH JUDICIAL MEMBER ITA NO.6973/MUM/2016 (ASSESSMENT YEAR- 2010-11) PARVEZ ABDULKADER KHATRI 17/2 TOPIWALA MANSION 93-97 MOHAMEDALI ROAD MUMBAI 400003. PAN: AAGPK6484J VS. ACIT-(13)(1) (NOW ASSESSED WITH ACIT-17(2) AAYAKAR BHAVAN M.K. ROAD MUMBAI-400020. (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI DHINENDRA M. SHAH (AR) REVENUE BY : SHRI SUMAN KUMAR (DR) DATE OF HEARING : 07.11.2017 DATE OF PRONOUNCEMENT : 30.11.2017 ORDER UNDER SECTION 254(1) OF INCOME TAX ACT PER PAWAN SINGH JUDICIAL MEMBER : 1. THIS APPEAL BY THE ASSESSEE UNDER SECTION 253 OF THE INCOME TAX ACT IS DIRECTED AGAINST THE ORDER OF LD. COMMISSIONER OF I NCOME TAX [LD. CIT(A)] (APPEALS)-28 MUMBAI DATED 30.10.2016 FOR ASSESSMEN T YEAR (AY) 2010-11. THE ASSESSEE HAS RAISED THE FOLLOWING GROUNDS OF AP PEAL: 1. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E THE LEARNED CIT(A) ERRED IN PASSING ORDER EX-PARTE WHEN THERE HAS BEEN COMPLIAN CE TO THE NOTICES OF HEARING. THE APPELLANT PRAYS THAT THE ORDER PASSED BY CIT(A ) BE CANCELLED AND CIT(A) HAS ERRED IN STATING THAT THE APPELLANT HAS NOT CO UNTED THE ADDITION MADE. 2. (A) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.29 9 6 280/- BEING THE INCOME EARNED ON SALE OF DEPB LICENCE WHICH ADDITION BE DE LETED. (B) THE LEARNED CIT(A) ERRED IN NOT CONSIDERING THA T THERE IS DOUBLE TAXATION OF THE SAME INCOME IN ASSESSMENT YEAR:2011-12 AND 2012 -13 AND NECESSARY 2 ITA NO.6973/M/2016 PARVEZ ABDULKADER KHATRI DIRECTION BE GIVEN TO DELETE THE ADDITIONS MADE IN ASST.YEAR:2011-12 AND 2012-13. IF THE ADDITION IS UPHELD IN THIS ASSESSMENT YEAR. 3. THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDIT ION OF RS.26 77 124/- BEING THE BUSINESS DEBTS/ AMOUNTS WRITTEN OFF WHICH ADDIT ION SHOULD BE DELETED. 4. (A) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.5 89 820/- MADE OU T OF TOUR AND TRAVEL EXPENSES WHICH ADDITION BE DELETED. (B) WITHOUT PREJUDICE THE ADDITION MAY BE REDUCED. 5. (A) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.2 08 658/- MADE OU T OF BUSINESS PROMOTION EXPENSES WHICH BE DELETED. (B) WITHOUT PREJUDICE THE ADDITION MADE BEING ON AD HOC BASIS IT BE REDUCED. 6. (A) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASES THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.36 608/- OUT OF HO TEL EXPENSES WHICH IS MADE ON ADHOC BASIS THE SAME BE DELETED. (B) WITHOUT PREJUDICE THE ADDITION MADE ON HIGHER SIDE IT BE REDUCED. 7. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.2 13 404/- MADE OUT O F SUNDRY EXPENSES ON ADHOC BASIS WHICH ADDITION BE DELETED. (B) WITHOUT PREJUDICE THE ADDITION BEING ON HIGHER SIDE IT BE REDUCED. 8. (A) ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.2 06 870/- BEING 20% OF MOTOR CAR EXPENSES AND CAR INSURANCE AND DEPRECIATION WHICH ADDITION B E DELETED. WITHOUT PREJUDICE THE ADDITION MADE BE REDUCED. 9. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CAS E THE LEARNED CIT(A) ERRED IN CONFIRMING THE DISALLOWANCE OF RS.64 708/- MADE OUT OF TELEPHONE EXPENSES WHICH ADDITION BE DELETED. WITHOUT PREJUDICE THE ADDITION MADE BE REDUCED. 10. (A) ON THE FACTS AND IN THE CIRCUMSTANCES OF TH E CASE AND IN LAW THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.6 80 893/- BEING 10% OF EXPENSES INCURRED ON PACKING AND LABOUR CHARGES TRANSPORT C HARGES LOADING AND UNLOADING CHARGES WHICH ADDITION BE DELETED. (B) WITHOUT PREJUDICE THE DISALLOWANCE BEING ON AD HOC BASIS THE SAME BE REDUCED. 11. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE AND IN LAW THE LEARNED CIT(A) ERRED IN CONFIRMING THE ADDITION OF RS.38 69 4/- BE MADE U/S.14A WHICH ADDITION BE DELETED. 3 ITA NO.6973/M/2016 PARVEZ ABDULKADER KHATRI 12. ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CA SE AND IN LAW THE LEARNED CIT(A) ERRED IN CONFIRMING ADDITION OF RS.78000/- A S INCOME FROM RENT WHICH ADDITION BE DELETED AND THE LEARNED CIT(A) ERRED I N STATING THAT NO EVIDENCE FILED THEREOF. THE APPELLANT PRAYS THAT THE ADDITION MADE BE DELE TED. 2. BRIEF FACTS OF THE CASE ARE THAT THE ASSESSEE A N INDIVIDUAL IS PROPRIETOR OF M/S NIMEX TRADING CORPORATION ENGAGED IN MANUFACTUR ING AND TRADING FILED HIS RETURN OF INCOME FOR RELEVANT ASSESSMENT YEAR O N 15.10.2010 DECLARING TOTAL INCOME OF RS. 83 32 530/- THE ASSESSMENT WAS COMPLETED ON 26.03.2013 UNDER SECTION 143(3) OF THE ACT. THE ASS ESSING OFFICER (AO) WHILE PASSING THE ASSESSMENT ORDER MADE SEVERAL AD DITIONS AND DISALLOWANCES. AGGRIEVED BY THE ORDER OF AO THE AS SESSEE HAS FILED APPEAL BEFORE THE LD. CIT (A). THE LD CIT(A) DISMISSED TH E APPEAL OF ASSESS EX- PARTE VIDE ORDER DATED 03 RD OCTOBER 2016. THUS FURTHER AGGRIEVED BY THE ORDER OF LD. CIT(A) THE ASSESSEE HAS FILED THE PRESENT A PPEAL BEFORE US. 3. WE HAVE HEARD THE LD. REPRESENTATIVES OF THE PAR TIES AND HAVE GONE THROUGH THE ORDERS OF THE AUTHORITIES BELOW. AT THE OUTSET OF THE HEARING THE LD. AR OF THE ASSESSEE ARGUED THAT THE LD. CIT(A) DISMISSED T HE APPEAL OF THE ASSESSEE EX-PARTE WITHOUT GIVING FARE ADEQUATE AND SUFFICIE NT OPPORTUNITY TO THE ASSESSEE. THE LD. AR OF THE ASSESSEE PLACED ON RECO RD THE COPY OF APPLICATION DATED 21.11.2016 FILED ON 6.12.2016. IN THE APPLICA TION THE ASSESSEE CONTENDED THAT HE HAD RECEIVED THE ORDER DATED 03.1 0.2016 ON 08.11.2016. THE ASSESSEE PRAYED TO THE LD CITA) TO RECALL THE EX-PARTE ORDER. BEFORE US THE LD. AR OF THE ASSESSEE ARGUED THAT THE APPEAL MAY BE RESTORED TO THE FILE OF 4 ITA NO.6973/M/2016 PARVEZ ABDULKADER KHATRI LD. CIT(A) FOR ADJUDICATION OF THE GROUNDS OF APPEA L ON MERIT AS THE IMPUGNED ORDER IS EX-PARTE AND WAS PASSED WITHOUT HEARING THE ASSESSEE. ON THE OTHER HAND THE LD. DR FOR THE REVENUE SU BMITS THAT HE HAS NO OBJECTION IF THE APPEAL IS RESTORED TO THE FILE OF LD. CIT(A) TO DECIDE ALL THE GROUNDS OF APPEAL AFRESH. 4. WE HAVE CONSIDERED THE RIVAL SUBMISSION OF THE P ARTIES AND PERUSED THE ORDER OF LD. CIT(A) DATED 03.10.2016. THE LD. CIT(A ) PASSED THE ORDER EX- PARTE BUT THE SAME IS CLEARLY UNJUSTIFIED AS CAN BE SEEN FROM THE AVERMENTS MADE BY THE ASSESSEE IN ITS LETTER ADDRESSED TO THE CIT(A) DATED 21.11.2016 SEEKING RECALL OF THE EX-PARTE ORDER. THE ASSESSEE EXPLAINED THAT HE HAD FILED A PAPER BOOK CONTAINING 134 PAGES AND THAT THE PREDEC ESSOR HAD CONDUCTED SEVERAL HEARINGS THAT IT WAS ONLY ON THE LAST DATE OF HEARING ON 27.09.2016 THAT ASSESSEE SOUGHT ADJOURNMENT DUE TO THE ILLNESS OF T HE COUNSEL BUT THE APPEAL HAS BEEN DECIDED EX-PARTE WITHOUT CONSIDERING THE MATERIAL ALREADY ON RECORD INCLUDING THE JUDICIAL RULINGS RELIED UPON IN THE W RITTEN SUBMISSIONS. THE AFORESAID FACTS CLEARLY SHOWS THAT THE CONTENTIONS OF THE ASSESSEE HAS BEEN UNJUSTLY DISREGARDED AND APPEAL HAS BEEN WRONGLY DI SPOSED EX-PARTE. THEREFORE WE DEED IT FIT AND PROPER TO RESTORE THE APPEAL TO THE FILE OF THE LD. CIT(A) TO DECIDE IT AFRESH IN ACCORDANCE WITH LAW. NEEDLESS TO SAY LD. CIT(A) SHALL GRANT ADEQUATE AND SUFFICIENT OPPORTUNITY TO THE ASSESSEE BEFORE PASSING THE ORDER AS PER LAW. THUS ALL THE GROUNDS OF APPE AL RAISED BY ASSESSEE ARE ALLOWED FOR STATISTICAL PURPOSE. 5 ITA NO.6973/M/2016 PARVEZ ABDULKADER KHATRI 5. IN THE RESULT APPEAL FILED BY ASSESSEE IS ALLOW ED FOR STATISTICAL PURPOSE ORDER PRONOUNCED IN THE OPEN COURT ON THIS 30 TH DAY OF NOVEMBER 2017. SD/- SD/- (G.S. PANNU) (PAWAN SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI; DATED 30/11/2017 S.K.PS COPY OF THE ORDER FORWARDED TO : BY ORDER (ASSTT.REGISTRAR) ITAT MUMBAI 1. THE APPELLANT 2. THE RESPONDENT. 3. THE CIT(A) MUMBAI. 4. CIT 5. DR ITAT MUMBAI 6. GUARD FILE. //TRUE COPY/