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आदेश/Order
The present appeal has been preferred by the assessee against the order dated 29.03.2019 of the Commissioner of Income Tax (Appeals)- 4, Ludhiana [hereinafter referred to as ‘CIT(A)’].
The assessee in this appeal has taken following grounds of appeal:- 1. That the Ld. Commissioner of Income Tax (Appeals) has erred in law as well as on facts in dismissing the appeal ex-parte without affording a proper opportunity and discussing the additions on merits which is against the
ITA No. 737-CHD-2019- M/s Profile India, Amabala City 2 Principles of Natural Justice and as such the order passed is illegal, arbitrary and unjustified.
Without prejudice to the above, the Ld. Commissioner of Income Tax (Appeals) has erred in law in upholding the rejection of books of accounts which is arbitrary and unjustified.
That the Ld. Commissioner of Income Tax(Appeals) has further erred in upholding the addition of Rs.28,74,521/- made by applying the GP rate of 13.81% as against 10.51% declared by the assessee which is arbitrary and unjustified.
That the Ld. Commissioner of Income Tax(Appeals) has further erred in upholding the addition of Rs. 1,20,000/- made by assessing officer applying the provisions of Section 40(a)/(ia) for non deduction of TDS on rent paid which is arbitrary and unjustified.
That the order of the Ld. Commissioner of Income Tax (Appeals) is erroneous, arbitrary, opposed to law and facts of the case and is, thus, untenable.
At the outset, Ld. Counsel for the assessee has invited our
attention to the impugned order of the CIT(A) to submit that the same is
ex-parte order passed by the Ld. CIT(A). The Ld. Counsel for the
assessee has also submitted that though the counsel for the assessee had
sought an adjournment on the last date of hearing but the CIT(A)
rejected the adjournment request and passed the impugned order ex-
parte of the assessee.
ITA No. 737-CHD-2019- M/s Profile India, Amabala City 3 4. The Ld. DR, on the other hand, has drawn our attention to the
chart reproduced in the order of the CIT(A) to submit that the Ld.
CIT(A) had given number of opportunities to the assessee to appear
and present its case, but every time the counsel for the assessee sought
adjournment for one reason or the other. The Ld. CIT(A) was then left
with no alternative but to pass the impugned order ex-parte of the
assessee. However, Ld. Counsel for the assessee has furnished an
affidavit of the assessee Shri Vivek Jolly, partner of the assessee firm to
submit that though adjournment requests were made to the CIT(A)
because the firm of the assessee had been closed down, the required
details, information and evidences were not readily available with the assessee as the key person of the firm Shri Sebastian V.M. had left the
job. That now the required documents have been obtained and that the
assessee may be given atleast one opportunity to properly present its
case before the Ld. CIT(A). Though, it has come from the record that
the assessee has sought time and again adjournments before the Ld.
CIT(A), however, considering the principle of natural justice, one
opportunity, in my view, is required to be given to the assessee to
present its case before the Ld. CIT(A).
In view of this, the impugned order of the CIT(A) is set aside and
the matter is restored to the file of the CIT(A) for adjudication afresh. It
is made clear that the assessee will promptly appear before the Ld.
CIT(A), as and when called, failing which the CIT(A) will be at liberty
to pass the order ex-parte of the assessee.
ITA No. 737-CHD-2019- M/s Profile India, Amabala City 4
With the above observations, the appeal of the assessee is treated as allowed for statistical purposes. Order dictated and pronounced in the Open Court immediately on completion of hearing.
Sd/-
(संजय गग� / SANJAY GARG) �या�यक सद�य/ Judicial Member Dated : 07.11.2019 “आर.के.” आदेश क� ��त�ल�प अ�े�षत/ Copy of the order forwarded to : 1. अपीलाथ�/ The Appellant 2. ��यथ�/ The Respondent 3. आयकर आयु�त/ CIT 4. आयकर आयु�त (अपील)/ The CIT(A) 5. �वभागीय ��त�न�ध, आयकर अपील�य आ�धकरण, च�डीगढ़/ DR, ITAT, CHANDIGARH 6. गाड� फाईल/ Guard File
आदेशानुसार/ By order, सहायक पंजीकार/ Assistant Registrar