CRYSTAL TRADELINK PVT. LTD.,KOLKATA vs. TRO-2, , KOLKATA

The registry has informed that there is a delay of 437 days in filing of this appeal. The assessee has filed condonation application. On perusal of the same, we find that this delay has occurred on account of countrywide lockdown due to Covid 19 Pandamic. Limitation period has also been extended by the Hon’ble Apex Court falling during such lockdown. Keeping this fact and also observing that order of the ld. CIT(A) is ex parte , we, in the interest of justice condone the delay and admit the appeal for adjudication.

Assessee has raised flowing grounds of appeal:-

At the outset, the Ld. Counsel for the assessee submitted before us that the order of the ld. CIT(A) is ex parte and no finding is given on merits of the case. It is also submitted that the issue(s) raised in the said appeal relates to addition made u/s. 50C of the Act and claim of the assessee is that the asset sold is a business asset on which provisions of section 50C are not applicable. He also submitted that the issue raised in the instant appeal is squarely covered by the judgments of the Hon’ble Bombay High Court in the case of PCIT Vs. Swananda Properties P.Ltd (2019) 111 taxmann.com 34 (Bom.) and 2. ITA No. 182/Kol/2021 A.Y 2012-13 Crystal Tradelink P.Ltd

Per contra the Ld. Departmental Representative submitted before us that the assessee was granted sufficient opportunity, but he failed to appear before the Ld. CIT(A). However, he did not oppose to the request of setting aside the issue(s) raised for afresh adjudication before the ld. CIT(A).

We have heard the rival contentions and perused the records placed before us. We find that impugned order is ex parte and the Ld. CIT(A) has not dealt this case on merits. The sole issue raised before Ld. CIT(A) was addition made u/s. 50C of the Act for difference between the stamp duty value and the sale consideration of the asset. Since Ld. CIT(A) dismissed the appeal in limine, in the interest of justice and being fair to both the parties we remit the matter back to the Ld. CIT(A) for afresh adjudication of merits of the case in light of the decisions relied on by the Ld. Counsel for the assessee before us and decide in accordance with law. Needless to mention that proper opportunity of being heard should be afforded to the assessee and the assessee is also directed to remain present on the date of hearing and should not take adjournment unless otherwise required for reasonable cause.

In the result the appeal of the assessee is allowed for statistical purpose.