VINAYAK BUILDERS AND DEVELOPERS PVT LTD,PATNA vs. ACIT, CENTRAL CIRCLE-03, PATNA, PATNA

The captioned appeals filed by the Assessee, pertaining to assessment years 2011-12 & 2012-13 are directed against the orders passed by the Learned Commissioner of Income Tax (Appeals), Patna-3 (hereinafter referred to as the ‘ld. CIT(A)’) even dated 30.12.2022 passed u/s 250 of the Income Tax Act, 1961 (‘Act’), which is arising out of the assessment orders passed u/s 153A read with section 144 vide order even dated 28.03.2014.

At the outset, the ld. counsel for the assessee submitted that there was no appearance before the ld. AO and best judgement

The ld. DR was fair enough not to oppose to the request of the assessee for restoring the matter to the lower authorities for afresh adjudication.

We have heard the rival contentions and perused the records available on record. We observe that the assessee is a private limited company engaged in the business of builder and developer. Assessee was subjected to search and seizure action u/s 132 of the Act carried out at Tirupati Homes Pvt. Ltd., group of cases, Patna on 28th April, 2011. Notices u/s 153A of the Act were issued but there was no compliance thereto. Since, no details were furnished before the ld. AO, based upon the available records ld. AO passed the best judgement assessment u/s 144A of the Act making addition for unexplained cash credit at ₹1,22,86,000/- and ₹2,32,86,590/-. For A.Y. 2011-12 and A.Y. 2012-13 respectively. There is no doubt to the fact that assessee did not appear before the ld. AO even though it was an assessment post carrying out of search u/s 132 of the Act. Thereafter when the assessee challenged the impugned additions before ld. CIT (A), few details were filed and remand report was called for but again assessee / Authorised Representative of the assessee were not able to avail the further opportunities granted by ld. CIT (A) . The observation of the ld. CIT (A) at page 12 to 13 of the appellate order of the impugned order for A.Y. 2011-12 reads as under:-

In the result, both the appeals of the assessee are allowed for statistical purposes.