VSG MOTORS,CHENNAI vs. ACIT, CIRCLE-1,, TIRUPPUR
आयकर अपीलीय अिधकरण ‘सी’ Ɋायपीठ चेɄई मŐ।
IN THE INCOME TAX APPELLATE TRIBUNAL
‘C’ BENCH, CHENNAI
माननीय ŵी मनोज कुमार अŤवाल ,लेखा सद˟ एवं
माननीय ŵी मनु कुमार िगįर, Ɋाियक सद˟ के समƗ।
BEFORE HON’BLE SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER
AND HON’BLE SHRI MANU KUMAR GIRI, JUDICIAL MEMBER
आयकरअपील सं./ ITA No.3220/Chny/2024
(िनधाŊरणवषŊ / Assessment Year: 2017-2018)
VSG Motors,
1L, Gandhi Road,
Annuppurapalayam,
Pudur, Anupparapalayampudur,
Tiruppur,
Anuppapalayam S.O. 641652. [PAN: AAJFV 8353N]
Vs. The Assistant Commissioner of Income Tax,
Circle 1,
Tirupur.
(अपीलाथȸ/Appellant)
(Ĥ×यथȸ/Respondent)
अपीलाथȸ कȧ ओर से/ Appellant by : Shri Badrinarayanan, Advocate
Ĥ×यथȸ कȧ ओर से /Respondent by : Ms. Aswathy, JCIT.
सुनवाई कȧ तारȣख/Date of Hearing
: 24.02.2025
घोषणा कȧ तारȣख /Date of Pronouncement
: 24.02.2025
आदेश / O R D E R
PER MANU KUMAR GIRI (Judicial Member)
This appeal by the assessee is arising out of the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi in order
No.ITBA/NFAC/S/250/2024-25/1064223620 (1) dated 19.04.2024. The assessment was framed by the Assistant Commissioner of Income Tax, Circle 1, Tirupur for the assessment year 2017-18 u/s.144 of the Income Tax Act, 1961 (hereinafter the ‘Act’), vide order dated 23.12.2019. 2. Brief facts of the case are that the assessee firm furnished its return of income on 06.12.2017 for the AY. 2017-18 declaring total income of Rs.25,32,710/-.
The case was selected for scrutiny through CASS for the reason, "Large value cash deposit during demonetization". The ld. AO found that assessee had deposited in demonetization cash of Rs.1,25,25,900/-. Notice u/s. 143(2) of the Act dated
22.09.2018 was issued and served to the appellant on 26.09.2018. Further, Notice u/s 142(1) of the Act dated 21.11.2019, was issued and served to the assessee.
Since, the appellant had not filed any requisite response, in the interest of justice, the ld. AO issued a final show cause notice and served on 07.12.2019. The appellant had not filed any response to the show cause notice dated 07.12.2019
also. Hence, the ld. AO made an addition of Rs.1,25,25,000/- under section 69A r.w.s.115BBE of the Act. Aggrieved, assessee preferred an appeal before the ld.
CIT(A). The ld. CIT(A) issued eight notice to the assessee, since there was no response from assessee, the ld. CIT(A) confirmed the action of the Assessing
Officer. Aggrieved, assessee preferred an appeal before the Tribunal.
Before us, the ld. Authorized Representative submitted that that the AO has not given sufficient time to file evidence and documents to substantiate its explanation and requested to send the appeal back to the file of the Assessing Officer for fresh adjudication. On the other hand, the ld. Departmental Representative argued that the assessee were given opportunities to substantiate its case before the ld. AO as well as the ld. CIT(A). however, view is to be taken in this case and prayed for dismissal of appeal. 4. Though we concur with the submissions of Ld. Sr. DR however, keeping in mind the principle of natural justice and grant another opportunity of hearing to the assessee. We also find that assessee has not represented before the ld. AO despite notices. Accordingly, the impugned order is set aside and the appeal is restored back to the file of Ld. AO for denovo assessment after affording proper opportunity of hearing to the assessee. The assessee is directed to substantiate its case with all evidence, confirmations and documents, if any, forthwith without any fail, failing which Ld. AO shall be at liberty to proceed with the assessment proceedings on merits as per law. 5. In the result, appeal filed by the assessee is allowed for statistical purpose.
Order pronounced in the open court on 24th day of February, 2025 (मनोज कुमार अŤवाल)
(मनु कुमार िगįर)
(MANOJ KUMAR AGGARWAL)
लेखा सद˟ / ACCOUNTANT MEMBER
(MANU KUMAR GIRI)
Ɋाियक सद˟ / JUDICIAL MEMBER
चेɄई Chennai:
िदनांक Dated : 24-02-2025
KV
आदेश कȧ ĤǓतͧलͪप अĒेͪषत /Copy to :
1. अपीलाथŎ/Appellant 2. ŮȑथŎ/Respondent 3. आयकरआयुƅ/CIT, Coimbatore
4. िवभागीयŮितिनिध/DR 5. गाडŊफाईल/GF