ASHOKA CREATIONS LIMITED ,KOLKATA vs. I.T.O.,WARD-4(3), KOLKATA

As per the Ld. Assessing Officer (ÁO’), the assessee in the present case filed its return of income on 29/09/2013 declaring total income of Rs. 8,31,710/-. Later, the case of the assessee was selected for scrutiny through CASS (on the ground ‘large other expenses claimed in P and L a/c’). The Ld. AO after issuing statutory notices u/s 143(2) and 142(1) of the Income-tax Act, 1961 (the Act) asked the assessee to explain the other expenses to the tune of Rs. 13,21,99,419/- which were debited in the profit and loss account. However, according the Ld. AO, there was no response on the part of the assessee despite several reminders and therefore, the Ld. Assessing Officer proceeded to make an addition of Rs. 1,11,24,242/- treating it as bogus expenses.

Aggrieved, the assessee preferred an appeal before the Ld. CIT(A) who was pleased to uphold the additions made by the Ld. AO.

Assessment Year: 2013-14 Ashoka Creations Pvt. Limited 5. Aggrieved by the afore aforesaid order of the Ld. CIT(A), the assessee CIT(A), the assessee is in appeal before us.

As noted, none appeared on behalf of the assessee before us. As noted, none appeared on behalf of the assessee before us. As noted, none appeared on behalf of the assessee before us. However, on perusal of records before us and the facts discussed (supra), according to us, the perusal of records before us and the facts discussed (supra), according to us, the perusal of records before us and the facts discussed (supra), according to us, the assessee ought to have been gi assessee ought to have been given proper opportunity to explain the facts as held by the ven proper opportunity to explain the facts as held by the Apex Court in the case of Tin Box Co. v. Commissioner of Income Apex Court in the case of Tin Box Co. v. Commissioner of Income-tax [2001] 249 ITR 216 [2001] 249 ITR 216 (SC) that order must be made after the assessee has been given a reasonable opportunity order must be made after the assessee has been given a reasonable opportunity order must be made after the assessee has been given a reasonable opportunity of setting out his case. Accordingly, considering the records before us, facts discussed Accordingly, considering the records before us, facts discussed Accordingly, considering the records before us, facts discussed above and the decision of Apex Court, we find it fair and proper in the interest of justice above and the decision of Apex Court, we find it fair and proper in the interest of justice above and the decision of Apex Court, we find it fair and proper in the interest of justice to set aside the impugned order passed to set aside the impugned order passed ex-parte by the ld. CIT(A) and restore the matter by the ld. CIT(A) and restore the matter back to the file of the ld. CIT(A) with a direction to decide the same afresh on merits the file of the ld. CIT(A) with a direction to decide the same afresh on merits the file of the ld. CIT(A) with a direction to decide the same afresh on merits after providing reasonable opportunity of being heard to the assessee. The assessee is after providing reasonable opportunity of being heard to the assessee. The assessee is after providing reasonable opportunity of being heard to the assessee. The assessee is also directed to be diligent and make its submissions to enable him to expeditiously also directed to be diligent and make its submissions to enable him to expeditiously also directed to be diligent and make its submissions to enable him to expeditiously adjudicate the appeal.

In the result, the appeal of the assessee is treated as allowed for statistical In the result, the appeal of the assessee is treated as allowed for statistical In the result, the appeal of the assessee is treated as allowed for statistical purposes. Kolkata, the Kolkata, the 23rd day of February, 2022. Sd/- Sd/- Girish Agrawal] [Aby T. Varkey] [Girish Agra Judicial Member Judicial Member Accountant Member Accountant Member Dated: 23.02.2022 {SC SPS}

Income Tax Officer, Ward-4(3), Kolkata 4(3), Kolkata 3. CIT(A)- 4. CIT- , 5. CIT(DR), Kolkata Benches, Kolkata. 5. CIT(DR), Kolkata Benches, Kolkata.