Loading judgment…
No AI summary yet for this case.
Income Tax Appellate Tribunal, KOLKATA BENCH (D
Before: Shri P.M. Jagtap & Shri A.T. Varkey]
order
: January 16, 2019 ORDER
Per P.M. Jagtap, Vice President
This appeal filed by the assessee is directed against the order of Ld. CIT(A) – 18, Kolkata dated 16.03.2018 passed ex-parte dismissing the appeal of the assessee.
The assessee in the present case is a company which is engaged in the business of investment and trading in shares. The return of income for the year under consideration was filed by it on 29.09.2012 declaring a total income of Rs. 7,320/-. During the course of assessment proceedings, the claim of the assessee of having received share capital and share premium aggregating to Rs. 4,96,00,000/- was examined by the A.O. Although the assessee company filed the relevant details and documents in respect of share capital and share premium, there was no response on the part of the assessee as well as its directors to the summons issued by the A.O. u/s 131. The A.O.,
Assessment Year: 2012-13 M/s. Mangalshree Vintrade Pvt. Ltd. therefore, proceeded to complete the assessment u/s 144 to the best of his judgement and in the assessment so completed vide an order dated 16.03.2015, share capital and share premium of Rs. 4,96,00,000/- was added by him to the total income of the assessee by treating the same as unexplained cash credits.
Against the order passed by the A.O. u/s 144, an appeal was preferred by the assessee before the Ld. CIT(A) and since there was no compliance on the part of the assessee to the notices issued by him fixing the said appeal for hearing from time to time, the Ld. CIT(A) dismissed the appeal of the assessee vide his appellate order dated 16.03.2015 passed ex-parte thereby confirming the addition made by the A.O. u/s 68. Aggrieved by the order of the Ld. CIT(A), the assessee has preferred this appeal before the Tribunal.
At the time of hearing fixed in this case today, none has appeared on behalf of the assessee. The learned DR has submitted that the solitary issue involved in this appeal of the assessee relating to addition made u/s 68 by treating the share capital and share premium as unexplained cash credit could not be examined properly in accordance with law either by the A.O. or by the Ld. CIT(A) on merit due to non-compliance on the part of the assessee. He has submitted that the relevant details and documents in support of its claim of having received the share capital and share premium amount however were filed by the assessee during the course of assessment proceedings as mentioned by the A.O. himself in the assessment order. He has contended that this matter may therefore be sent back to the A.O. for examining the issue on merit after considering the said
Assessment Year: 2012-13 M/s. Mangalshree Vintrade Pvt. Ltd. details and documents and after giving one more opportunity to the assessee of being heard. We find merit in this contention of the learned DR. The impugned order of the Ld. CIT(A) passed ex-parte is accordingly set aside and the matter is restored to the file of the A.O. for deciding the same afresh on merit after considering the relevant details and documents filed by the assessee and after giving the assessee one more opportunity of being heard.
In the result, the appeal of the assessee is treated as allowed for statistical purpose. Order Pronounced in the Open Court on 16th January, 2019.