AUDIO- TECH INCORPORATED, MUMBAI v. ITO WD 18(1)(4), MUMBAI

1 ITA NO.9136/MUM/2010 IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI MUMBAI MUMBAI MUMBAI SMC SMC SMC SMC BENCH BENCH BENCH BENCH MUMBAI BENCHES MUMBAI MUMBAI BENCHES MUMBAI MUMBAI BENCHES MUMBAI MUMBAI BENCHES MUMBAI BEFORE SHRI R K PANDA A BEFORE SHRI R K PANDA A BEFORE SHRI R K PANDA A BEFORE SHRI R K PANDA ACCOUNTANT MEMBER CCOUNTANT MEMBER CCOUNTANT MEMBER CCOUNTANT MEMBER ITA NO. ITA NO. ITA NO. ITA NO. 9136/MUM/2010 9136/MUM/2010 9136/MUM/2010 9136/MUM/2010 (ASST YEAR (ASST YEAR (ASST YEAR (ASST YEAR 2006 2006 2006 2006- -- -07 0707 07) )) ) AUDIO-TECH INCORPORATED FLAT NO.28TUSHAR CHS LTD 15 TH ROAD KHAR (W) MUMBAI 52 VS THE INCOME TAX OFFICER WARD 18(1)(4) MUMBAI ( (( (APPELLANT APPELLANT APPELLANT APPELLANT) )) ) (RESPONDENT) (RESPONDENT) (RESPONDENT) (RESPONDENT) PAN NO. PAN NO. PAN NO. PAN NO.AAAFA3425H AAAFA3425H AAAFA3425H AAAFA3425H ASSESSEE BY SHRI MAYANK V JHAVERI REVENUE BY SHRI R K GUPTA/DR PER R K PANDA AM PER R K PANDA AM PER R K PANDA AM PER R K PANDA AM THIS APPEAL FILED BY THE ASSESSEE IS DIRECTED AGAI NST THE ORDER DATED 24.9.2010 OF THE CIT(A)-29 MUMBAI RELATING TO ASSES SMENT YEAR 2006-07. ALTHOUGH A NUMBER OF GROUNDS HAVE BEEN TAKEN BY THE ASSESSEE THEY ALL RELATE TO EX-PARTY ORDER PASSED BY THE CIT(A) IN CONFIRMIN G THE DETERMINATION OF THE INCOME AT RS. 2 75 130/- AS AGAINST NIL RETURNED IN COME. 2 FACTS OF THE CASE IN BRIEF ARE THAT THE ASSESSE E FIRM IS HAVING BUSINESS OF AUDIO CASSETTE AND GIFT ARTICLES. THE ASSESSING O FFICER COMPLETED THE ASSESSMENT AT RS. 2 75 130/- AS AGAINST NIL INCOME DECLARED BY THE ASSESSEE. IN APPEAL THE CIT(A) GRANTED ADJOURNMENTS FOR FIVE TIMES. ON THE LAST DATE OF HEARING I.E. 17.9.2010 SINCE NO ONE APPEARED HE PA SSED EX-PARTY ORDER UPHOLDING THE ACTION OF THE ASSESSING OFFICER. 2 ITA NO.9136/MUM/2010 2.1 THE LD COUNSEL FOR THE ASSESSEE REFERRING TO T HE COPY OF THE ADJOURNMENT APPLICATION ALONG WITH PHOTOCOPY OF THE RAILWAY TIC KET SUBMITTED THAT HE WAS SUPPOSED TO GO FROM MUMBAI TO VADODARA ON 16.9.2010 ; THEREFORE HE WAS UNABLE TO APPEAR BEFORE THE CIT(A) ON 17.9.2010. H E SUBMITTED THAT IN THE INTEREST OF JUSTICE THE MATTER MAY BE RESTORED TO THE FILE OF THE CIT(A) FOR FRESH ADJUDICATION AFTER HEARING THE ASSESSEE. 2.2 THE LD DR ON THE OTHER HAND STRONGLY OBJECTED TO THE REQUEST OF THE LD COUNSEL FOR THE ASSESSEE AND SUBMITTED THAT THE ASS ESSEE IS VERY CASUAL AND NOT AT ALL SERIOUS IN PROSECUTING THE APPEAL FILED BY I T. 3 I HAVE HEARD BOTH THE SIDES. I FIND ALTHOUGH THE CASE HAS BEEN ADJOURNED FOR FIVE TIMES THE ASSESSEE ON THE LAST DATE OF TH E HEARING HAS SOUGHT ADJOURNMENT ON THE GROUND THAT HE IS GOING OUT MUMB AI ON THE PREVIOUS DAY; THEREFORE HE WILL BE UNABLE TO APPEAR ON THAT DATE . THE CIT(A) REJECTED THE ADJOURNMENT APPLICATION ON THE GROUND THAT THE CASE HAS BEEN ADJOURNED FOR A NUMBER OF TIMES. 4 CONSIDERING THE TOTALITY OF THE FACTS OF THE CASE AND IN THE INTEREST OF JUSTICE I AM OF THE OPINION THAT THE ASSESSEE MAY BE GIVEN ONE MORE OPPORTUNITY TO SUBSTANTIATE ITS CASE. I THEREFORE DEEM IT PR OPER TO RESTORE THE MATTER BACK TO THE FILE OF THE CIT(A) WITH A DIRECTION TO GIVE ONE MORE OPPORTUNITY TO THE ASSESSEE TO APPEAR BEFORE HIM AND SUBSTANTIATE ITS CASE. THE CIT(A) SHALL 3 ITA NO.9136/MUM/2010 DECIDE THE ISSUE AFRESH IN ACCORDANCE WITH LAW AFTE R GIVING REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. I HOLD AND DIRECT ACCORDINGLY. THE GROUND RAISED BY THE ASSESSEE IS ACCORDINGLY ALLOWE D FOR STATISTICAL PURPOSE. 5 IN THE RESULT THE APPEAL FILED BY THE ASSESSEE I S ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT AT THE TIME OF H EARING I.E. ON 24.2.2011. SD/- ( R K PANDA ( R K PANDA ( R K PANDA ( R K PANDA ) )) ) ACCOUNTANT MEMBER PLACE: MUMBAI : DATED: 24 TH FEB 2011 RAJ* COPY FORWARDED TO: 1 APPELLANT 2 RESPONDENT 3 CIT 4 CIT(A) 5 DR /TRUE COPY/ BY ORDER DY /AR ITAT MUMBAI