Smt. Damayanti V.Chettiar, Baroda v. The Income tax Officer,Ward-3(1),, Baroda

ITA 975/AHD/2010 | 2000-2001
Pronouncement Date: 20-08-2010 | Result: Allowed

Appeal Details

RSA Number 97520514 RSA 2010
Bench Ahmedabad
Appeal Number ITA 975/AHD/2010
Duration Of Justice 4 month(s) 19 day(s)
Appellant Smt. Damayanti V.Chettiar, Baroda
Respondent The Income tax Officer,Ward-3(1),, Baroda
Appeal Type Income Tax Appeal
Pronouncement Date 20-08-2010
Appeal Filed By Assessee
Order Result Allowed
Bench Allotted SMC
Tribunal Order Date 20-08-2010
Assessment Year 2000-2001
Appeal Filed On 01-04-2010
Judgment Text
IN THE INCOME TAX APPELLATE TRIBUNAL AT AHMEDABAD AHMEDABAD C BENCH (BEFORE S/SHRI G.D. AGARWAL VICE-PRESIDENT AND MUKUL KUMAR SHRAWAT JUDICIAL MEMBER) ITA.NO.975/AHD/2010 [ASSTT.YEAR : 2000-2001] DAMAYANTI V. CHETTIAR C-17 MANORATH SOCIETY OPP: AMAR COMPLEX NEW SAMAR ROAD BARODA. VS. ITO WARD-3(1) BARODA. (APPELLANT) (RESPONDENT) ASSESSEE BY : SHRI ANIL R. SHAH REVENUE BY : SHRI ANILKUMAR O R D E R PER G.D. AGRAWAL VICE-PRESIDENT: THIS IS ASSESSEES APPEAL AGAINST THE ORDER OF THE COMMISSIONER OF INCOME-TAX (APPEALS)-II BARODA DATED 07.01.2010 ARISING OUT OF THE ORDER OF THE AS SESSING OFFICER UNDER SECTION 143(3) R.W.S. 147 OF THE INCOME TAX ACT 19 61. 2. IN THIS APPEAL BY THE ASSESSEE THE ONLY GROUND RAISED READS AS UNDER: 1. IN THE CIRCUMSTANCES AND ON THE FACTS OF THE CA SE THE CIT(A) HAS ERRED IN CONFIRMING THE ADDITION MADE U/S.68 FOR RS .1 65 000/- IN RESPECT OF VARIOUS GIFTS RECEIVED BY ASSESSEE. 3. AT THE TIME OF HEARING BEFORE US THE ASSESSEE A LSO SOUGHT FOR ADMISSION OF THE FOLLOWING ADDITIONAL GROUND: 1. THE ITO HAS ERRED IN BOTH IN LAW AND IN FACTS I N RESORTING TO SECTION 148/147 AND REOPENING THE ASSESSMENT. 4. IT IS STATED BY THE LEARNED COUNSEL THAT THE AO REOPENED THE ASSESSMENT UNDER SECTION 147. HOWEVER COPY OF THE REASONS RE CORDED FOR THE REOPENING OF THE ASSESSMENT WAS NOT SUPPLIED TO THE ASSESSEE DES PITE REQUEST OF THE ASSESSEE. ITA.NO.975/AHD/2010 -2- THE ASSESSEE HAD RAISED GROUND AGAINST THE REOPENIN G OF THE ASSESSMENT BEFORE THE CIT(A) HOWEVER HE DID NOT ADJUDICATE THE ISSU E. HE THEREFORE REQUESTED FOR ADMISSION OF THE ADDITIONAL GROUND AGAINST THE REOPENING OF THE ASSESSMENT. 5. THE LEARNED DR ON THE OTHER HAND OBJECTED TO THE ADMISSION OF THE ADDITIONAL GROUND. 6. AFTER CONSIDERING THE ARGUMENTS OF BOTH THE SIDE S AND THE FACTS OF THE CASE WE ARE OF THE OPINION THAT THE ADDITIONAL GRO UND IS PURELY A LEGAL GROUND AND THE SAME WAS ALSO RAISED BEFORE THE CIT(A). TH EREFORE WE DEEM IT PROPER TO ADMIT THE ADDITIONAL GROUND. 7. COMING TO THE MERIT OF THE ADJUDICATION ON THE A DDITIONAL GROUND WE FIND THAT THE ISSUE IS SQUARELY COVERED BY THE DECI SION OF THE HONBLE APEX COURT IN THE CASE OF GKN DRIVESHAFTS (INDIA) LTD. V S. ITO 259 ITR 19 (SC). THE HONBLE APEX COURT HAS LAID DOWN THE FOLLOWING PROCEDURE TO BE FOLLOWED BY THE AO WHEN AN ASSESSMENT IS TO BE REOPENED. WE SEE NO JUSTIFIABLE REASON TO INTERFERE WITH THE ORDER UNDER CHALLENGE. HOWEVER WE CLARIFY THAT WHEN A NOTICE UNDER SECTIO N 148 OF THE INCOME-TAX ACT IS ISSUED THE PROPER COURSE OF ACT ION FOR THE NOTICEE IS TO FILE A RETURN AND IF HE SO DESIRES TO SEEK REA SONS FOR ISSUING NOTICES. THE ASSESSING OFFICER IS BOUND TO FURNISH REASONS WITHIN A REASONABLE TIME. ON RECEIPT OF REASONS THE NOTICEE IS ENTITLE D TO FILE OBJECTIONS TO ISSUANCE OF NOTICE AND THE ASSESSING OFFICER IS BOU ND TO DISPOSE OF THE SAME BY PASSING A SPEAKING ORDER. IN THE INSTANT CA SE AS THE REASONS HAVE BEEN DISCLOSED IN THESE PROCEEDINGS THE ASSES SING OFFICER HAS TO DISPOSE OF THE OBJECTIONS IF FILED BY PASSING A S PEAKING ORDER BEFORE PROCEEDING WITH THE ASSESSMENT IN RESPECT OF THE AB OVESAID FIVE ASSESSMENT YEARS. IN THE CASE UNDER APPEAL BEFORE US THE PROCEDURE A S LAID DOWN BY THE HONBLE APEX COURT HAS NOT BEEN FOLLOWED. IN VIEW OF THE A BOVE WE SET ASIDE THE ORDER OF THE AUTHORITIES BELOW AND RESTORE THE MATTER BAC K TO THE FILE OF THE AO. WE DIRECT HIM TO SUPPLY THE COPY OF THE REASONS RECORD ED FOR THE REOPENING OF THE ASSESSMENT AND THEREAFTER IF THE ASSESSEE FILES OB JECTION TO THE ISSUANCE OF THE ITA.NO.975/AHD/2010 -3- NOTICE THE AO WILL PASS A SPEAKING ORDER WITH REGA RD TO THE VALIDITY OF THE REOPENING OF THE ASSESSMENT. IF HE COMES TO A CONC LUSION THAT THE ASSESSMENT WAS VALIDLY REOPENED HE WILL PROCEED TO MAKE ASSES SMENT AFRESH. WITH THE ABOVE DIRECTION THE MATTER IS RESTORED BACK TO THE FILE OF THE AO. 8. IN THE RESULT THE ASSESSEES APPEAL IS DEEMED T O BE ALLOWED. ORDER PRONOUNCED IN OPEN COURT ON 20 TH AUGUST 2010. SD/- SD/- (MUKUL KUMAR SHRAWAT) JUDICIAL MEMBER (G.D. AGARWAL) VICE-PRESIDENT PLACE : AHMEDABAD DATE : 20-08-2010 VK* COPY OF THE ORDER FORWARDED TO: 1) : APPELLANT 2) : RESPONDENT 3) : CIT(A) 4) : CIT CONCERNED 5) : DR ITAT. BY ORDER DR/AR ITAT AHMEDABAD