UPASANA MERCHANT PRIVATE LIMITED,KOLKATA vs. ITO, WARD 6(2),, KOLKATA

आयकर अपील�य अ�धकरण, कोलकाता पीठ “डी’’, कोलकाता IN THE INCOME TAX APPELLATE TRIBUNAL “D” BENCH: KOLKATA �ी राजेशकुमार, लेखा सट�य एवं �ी �द�प कुमार चौबे, �या�यक सद�यके सम� [Before Shri Rajesh Kumar, Accountant Member & Shri Pradip Kumar Choubey, Judicial Member] I.T.A. No. 1088/Kol/2026 Assessment Year: 2012-13 Upasana Merchants Pvt. Ltd. Vs. ITO, Ward-6(2), Kolkata

(PAN: AAACU 7371 B) ( अपीलाथ� ) Respondent / ��यथ� Appellant / Date of Hearing / सुनवाई 30.06.2026 क� �त�थ Date of Pronouncement/ 13.07.2026 आदेश उ�घोषणा क� �त�थ For the Appellant/ Shri S. K Tulsiyan, Advocate �नधा�रती क� ओर से Lata Goyal, CA For the Respondent/ Shri Praveen Das Chowdhury, Sr. DR राज�व क� ओर से

ORDER / आदेश Per Rajesh Kumar, AM: This is an appeal preferred by the assessee against the order of the Ld. Commissioner of Income Tax (Appeals)-NFAC, Delhi (hereinafter referred to as the “Ld. CIT(A)”] dated 28.01.2026 for the AY 2012-13. 2. The only issue raised by the assessee is against the order of Ld. CIT(A) confirming the addition of Rs. 4,12,00,000/- as made by the AO in respect of share capital/ share premium as unexplained cash credit u/s 68 of the Act.

2 I.T.A. No.1088/Kol/2026 Assessment Year: 2012-13 Upasana Merchant Pvt. Ltd. 3. Facts in brief are that the assessee filed return of income on 28.09.2012 declaring total income at Rs. Nil. The case was reopened u/s 147 of the Act by issuing notice u/s 148 of the Act on 29.03.2019. The same was not complied with by the assessee. Since there was no compliance before the AO. The AO added the amount of share capital as unexplained cash credit within the meaning of Section 68 of the Act. In the assessment framed u/s 144/147 dated 13.11.2019.

3 I.T.A. No.1088/Kol/2026 Assessment Year: 2012-13 Upasana Merchant Pvt. Ltd. submitted that thereafter an advice was sought from income tax consultant who then advised to file appeal before the Ld. CIT(A) and request the AO to provide copies of assessment order along with computation sheet and notice of demand and rectification order u/s 154 of the Act along with computation sheet and notice of demand. Immediately, thereafter, the assessee through its income tax consultant made a request dated 02.01.2026 before the Ld. A.O. seeking copies of the order u/s 147/144 of the Act and order u/s 154 of the Act along with computation sheet, and demand notice, however, no such document has been provided upto the date of filing of appeal before the Ld.CIT(A).Ultimately, the assessee filed an appeal before the Ld.CIT(A) on 12.01.2026. The appeal was filed before the Ld.CIT(A) showing the date of receipt of assessment order as 12.01.2026, in spite of the fact that the complete order u/s 147/144 of the Act along with computation sheet and demand notice u/s 156 of the Act was actually not served upon the appellant. The copy of request letter made before the Ld.AO was duly enclosed as an evidence for non-receipt of order. That the appeal was filed showing there was no delay in filing appeal. Thereafter, the Ld. CIT(A) without providing opportunity to the assessee dismissed the appeal of the assessee solely for the reason that the assessee has filled the column of delay in appeal as "No". The ld. AR submitted that the Id.CIT(A) has failed to appreciate that the complete order u/s 147/144 of the Act along with computation sheet and demand notice has not been served upon the assessee. The Ld.CIT(A) also failed to consider the request letters uploaded along with Form 35 before dismissing appeal of the assessee. /So far as the merits of the case are concerned the ld.Counsel submitted that the assessee has not raised any share capital and share premium as alleged by the Assessing Officer. The ld. AR referred to the audited balance sheet as at 31.3.2012 vis a vis 31.3.2011 and submitted that the amount of share capital and share premium are same. The ld. AR also referred to the bank statement showing opening and closing balance as appearing in the audited balance sheets as on 31.3.2012 and 31.3.2011 and submitted that the total credits in the bank account were only Rs. 15,05,251/- and withdrawals were only Rs. 14,53,250/- which further proved that that there was no receipt of money during the year. The ld. AR therefore prayed that the re-opening has been

4 I.T.A. No.1088/Kol/2026 Assessment Year: 2012-13 Upasana Merchant Pvt. Ltd. invalidly on wrong reasons and therefore the addition made may kindly be deleted. The ld. DR on the other hand relied on the orders of authorities below.

5 I.T.A. No.1088/Kol/2026 Assessment Year: 2012-13 Upasana Merchant Pvt. Ltd. Moreover we note that after examination of bank statement, a copy of which is available at page 20 of PB. We note that the opening balance as on 01.04.2011 was 10,527.50 and closing balance as on 31.03.2012 was Rs. 62,528.50. We also note that the total transaction in the said bank account were only credited entries of Rs. 15,05,251/- and withdrawals were only Rs. 14,53,250/- for the sake of ready reference the same is extracted below:

Considering the facts above, in our opinion reopening of assessment has wrongly been made by the AO.

6 I.T.A. No.1088/Kol/2026 Assessment Year: 2012-13 Upasana Merchant Pvt. Ltd. 7. So far as the dismissal of the appeal of the assessee by the Ld. CIT(A) is concerned, we note that the delay has happened due to fact that the assessee has not been supplied the computation sheet or demand notice with the order and the assessee was accordingly requested on 02.01.2026 and the assessee supplied the same on 23.03.2026. We also note that the order passed u/s 144 /147 dated 13.11.2019 was neither physically served upon the assessee nor it was served through the electronic filing portal and therefore the assessee was unaware of the reassessment proceedings. We even note that the proceedings and related communications for the instant assessment year has not appeared in the income tax portal prior to the introduction to the new portal in June, 2021, and due to the technical glitches during 2021-22, no communication was received by the assessee. The assessee came to know about the existence of the impugned assessment order u/s 147 / 144 of the Act after searching for grievance related details in the e-proceedings of the Income Tax e-portal, where an attachment found with a notice u/s 271(1)(b) of the Act dated 23.03.2021. Thereafter the assessee immediately approached the Department and the appeal was filed accordingly. We also observe from page 1 to 4 of PB that the assessee has lodged grievance in the cell couple of times.

Order is pronounced in the open court on 13th July, 2026

Sd/- Sd/-

(Pradip Kumar Choubey /�द�प कुमार चौबे) (Rajesh Kumar/राजेश कुमार) Judicial Member/�या�यक सद�य Accountant Member/लेखा सद�य Dated: 13th July, 2026 SM, Sr. PS

7 I.T.A. No.1088/Kol/2026 Assessment Year: 2012-13 Upasana Merchant Pvt. Ltd.

Copy of the order forwarded to: 1. Appellant- Upasana Merchant Pvt. Ltd., 40, Strand Road, 6th Floor, Suite No. 633, Kolkata-700001 2. Respondent – ITO, Ward-6(2), Kolkata 3. Ld. CIT(A)- NFAC, Delhi 4. Ld. Pr. CIT- , Kolkata 5. DR, Kolkata Benches, Kolkata