Loading judgment…
No AI summary yet for this case.
Income Tax Appellate Tribunal, HYDERABAD BENCHES “B”: HYDERABAD
Before: SHRI SATBEER SINGH GODARA & SHRI LAXMI PRASAD SAHU
O R D E R PER L.P. SAHU, A.M.: This appeal filed by the assessee is directed against CIT(A) – 9, Hyderabad’s order dated 28/09/2019 for AY 2013-14 involving proceedings u/s 143(3) of the Income Tax Act, 1961 ; in short “the Act”, on the following grounds of appeal:
“1. The learned Commissioner of Income Tax (Appeals) - 9, Hyderabad ['the learned CIT (A)]' erred in law and on :- 2 -: Futureage Infrastructure India Ltd., Hyd facts in confirming the order of the learned Assessing Officer (the learned AO) dated 30 March 2016.
2. The learned CIT (A) has erred in confirming the addition made by the learned AO towards the reimbursement of expenses of Rs. 1,77,99,929 against the previously incurred cost.
3. The learned CIT (A) has erred in confirming the addition made by the learned AO towards the reimbursement of the service tax of Rs. 22,00,071, charged on the previously incurred cost of Rs. 1,77,99,929, as income of the Appellant.
4. The Appellant craves leave to alter, amend or withdraw all or any objections herein or add any further grounds as may be considered necessary either before or during the hearing.”
Brief facts of the case are that the appellant had filed return of income for the A.Y. 2013-14 on 25.09.2013 admitting a toss of Rs, 16,19,594/-. The said return was selected for scrutiny under CASS category. Since the case was under scrutiny, a notice u/s. 142(1) was issued on 02.09.2014 followed by nonce u/s 142(1). The AO completed the assessment by assessing the income at Rs. 1,83,80,410/- after disallowing the expenses of Rs. 2 crore, received by the assessee company purportedly towards reimbursement of expenditure treating it as its income for the year under consideration.
When the assessee preferred an appeal before the CIT(A), the CIT(A) confirmed the order of the AO observing
:- 3 -: Futureage Infrastructure India Ltd., Hyd that despite giving more than adequate opportunities, assessee has not filed any detail till date and, therefore there is no reason that this appeal should kept pending, in fact that keeping the appeal pending helps the assessee as only 15 to 20% of the demand has to be paid and the remaining can be kept in abeyance and, therefore, in the absence of any details submitted, the order of AO is confirmed.
Aggrieved by the order of the CIT(A), the assessee is in appeal before the ITAT.
At the time of hearing none appeared on behalf of the assessee nor filed any adjournment request. Therefore, we proceed to decide the appeal after hearing the ld. DR and the material available on record.
After hearing the ld. DR and perusing the material on record as well as the orders of revenue authorities, we find that the learned CIT(A) had decided the matters ex-parte and confirmed the order of the AO in the absence of details filed by the assessee and failed to argue its case before him. Therefore, we are of the view that interest of justice will be served if the matter is restored to the file of first appellate authority for deciding various grounds of appeal of the assessee on merits. Accordingly, the CIT(A) is directed to afford reasonable opportunity of being heard to the :- 4 -: Futureage Infrastructure India Ltd., Hyd assessee and thereafter decide the appeals on merits. We direct the assessee to appear before CIT(A) on or before 30th November, 2021 with all the relevant evidences; at his own risk and responsibility to be followed by three effective opportunities of hearing.
In the result, appeal of the assessee is treated as allowed for statistical purposes. Pronounced in the open court on 8th September, 2021.
Sd/- Sd/- (S.S. GODARA) (L. P. SAHU) JUDICIAL MEMBER ACCOUNTANT MEMBER Hyderabad, Dated: 8th September, 2021. kv Copy to : 1 Futureage Infrastructure India Ltd., The IL & FS Financial Centre, Plot C-22, G-Block, 8th Floor, Bandra Kurla Complex, Bandra (East), Mumbai 2 ITO, Ward – 17(2), Signature Towers, Gachibowli – Miyapur Road, Kondapur, Hyderabad – 500 084 3 CIT(A) – 9, Hyderabad. Pr. CIT – 5, Hyderabad 4 ITAT, DR, Hyderabad. 5 6 Guard File.
:- 5 -: Futureage Infrastructure India Ltd., Hyd
S.No. Details Date 1 Draft dictated on 2 Draft placed before author Draft proposed & placed before the Second 3 Member 4 Draft discussed/approved by Second Member 5 Approved Draft comes to the Sr. PS/PS 6 Kept for pronouncement 7 File sent to Bench Clerk 8 Date on which the file goes to Head Clerk 9 Date on which file goes to A.R. 10 Date of Dispatch of order