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Facts
The assessee, Olympia Tech Park (Chennai) Pvt. Ltd., claimed a deduction under Section 80IA(4)(iii) of the Income-tax Act, 1961. The AO disallowed this claim in the assessment order passed under Section 143(3). The assessee filed an appeal before the CIT(A) and also a rectification petition before the AO.
Held
The Tribunal held that the appeal against the assessment order under Section 143(3) was still pending before the CIT(A) and that the assessee was not given adequate opportunity of hearing. Therefore, the matter was restored to the CIT(A) for fresh consideration.
Key Issues
Whether the assessee was provided with adequate opportunity of hearing and whether the rectification order passed under Section 154 was valid when the main appeal was pending.
Sections Cited
80IA(4)(iii), 143(3), 154
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, ‘C’ BENCH: CHENNAI
Before: SHRI ABY T. VARKEY & SHRI JAGADISH
आदेश / O R D E R
PER JAGADISH, A.M : Aforesaid appeal filed by the assessee for Assessment Year (AY) 2013-14 arises out of the order of Learned Commissioner of Income Tax (NFAC), Delhi [hereinafter “CIT(A)”] dated 14.02.2025.
The assessee M/s. Olympia Tech Park (Chennai) Pvt. Ltd.
successor of M/s. khivraj Tech Park is a partnership firm engaged in the activity of operating and maintaining industrial park in the name and style of M/s. Khivraj Tech Park. The Firm got converted into private limited company and succeeded by M/s. Olympia Tech Park (Chennai) Pvt. Ltd. The assessee has filed its return of income showing total income at Nil after claiming the deduction u/s. 80IA(4)(iii) of the Income-tax Act, 1961 (hereinafter “the Act”). The A.O in the assessment order passed order u/s. 143(3) dated 31.03.2016 has disallowed the claim of deduction of Rs. 41,74,01,378/- u/s. 80IA(4)(iii) of the Act. Aggrieved by the same, the assessee is in appeal before Ld. CIT(A) which is pending for disposal.
The assessee thereafter filed a rectification petition before the A.O. seeking to rectify certain mistakes apparent from record. The A.O, vide rectification order dated 31.08.2016 passed under section 154 of the Act, allowed part of the claim while denying the balance, on the ground that the issue was already pending in appeal before the Ld. CIT(A).
The Learned Authorised Representative (Ld. A.R) for the assessee submitted that the Ld. CIT(A) had dismissed the appeal without providing adequate opportunity of being heard. It was, therefore, requested that one more opportunity may kindly be granted to the assessee for proper representation of its case.
On the other hand, the Ld. Departmental Representative (DR), has relied on the orders of lower authorities.
We have heard the rival submissions, and perused the materials available on record. The assessee has filed the present appeal against the order passed by the Ld. CIT(A) arising from the rectification order made under section 154 of the Act. The Ld. A.R submitted that sufficient opportunity of hearing was not provided, and that the appeal against the assessment order under section 143(3), in respect to which impugned rectification order has been passed, is still pending before the Ld. CIT(A). Considering the facts and in the interest of justice, we deem it appropriate to restore the matter to the file of the Ld. CIT(A) with a direction to consider and dispose of the appeal afresh along with the appeal pending on 143(3) order, after affording due opportunity of being heard to the assessee.
In the result, the appeal filed by the assessee is allowed.
Order pronounced on 31st day of October, 2025 at Chennai.