M/S. JMB COMMERCIAL & CREDITS LTD. vs. I.T.O.,WARD - 6(2), KOLKATA, KOLKATA

The assessee has raised three substantive grounds inter alia challenging the lower appellate authority’s action alleging denial of reasonable opportunity of hearing, upholding validity of section 147 re-assessment proceedings and calls into question merits of the impugned share application money, respectively. The above second substantive issue of validity of reassessment appears to have been given up earlier as per the assessee’s Authorised Representative’s endorsement in the grounds of appeal in the instant case. We therefore advert to the first issue of denial of reasonable opportunity therein. Learned Departmental Representative is very fair in taking us to para – 4 of CIT(A)’s order recording that relevant notice of hearing sent to assessee’s Kanpur address could not be served. It therefore prima facie emerges that M/s JMB Commercial & Credits Ltd. A.Y.2002-03 2 there has been some communication gap attributable to the notice being returned unserved by the postal authorities. Coupled with this, Learned Departmental Representative fails to dispute the fact that the CIT(A)’s order upholding the impugned addition does not discuss the issue in the light of relevant evidence as per section 250(6) of the Act. We therefore deem it proper to restore the instant appeal back to the CIT(A) to be adjudicated afresh on merits within three effective opportunities of hearing as per law. The assesee is directed to appear before the CIT(A) along with copy of the instant remand directions on 08.10.2018 for further consequential proceedings.

C.I.T.(A)- VI, Kolkata 4. C.I.T-II, Kolkata