M/S.VALLABHADAS KANJI LTD,ALAPPUZHA vs. THE ACIT, ALAPPUZHA

The three assessee’s appeals arise against different final assessment orders, as captioned above. Heard both the parties. Case files perused.

The officers below failed to appreciate the fact that the appellant company has sufficient funds in the form of Free Reserves for advance to its Subsidiary.

It transpires that the learned Assessing Officer has framed the impugned assessment dated 24.08.2012 in furtherance to the Dispute Resolution Panel, Banalore’s (DRP) directions in F.No.2/DRP/BNG/2015-16 dated 09.09.2015, wherein the latter passed a totally non-speaking order running into four pages, and that too, without even adjudicating the assessee’s corresponding objections in the light of relevant facts and evidences available on record. The Revenue could hardly rebut this clinching factual position. Faced with this situation, we remit this entire issue herein to the file of the “DRP” for its afresh adjudication as per law after giving three effective opportunities to the taxpayer who shall plead and prove the case at its own risk and responsibility only. The assessee’s first “lead” appeal in IT(TPA) No.500/Coch/2015 is accepted for statistical purposes.

Same order shall follow for the later twin assessment years involving assessee’s as many appeals IT(TP)A No.12 & 505/Coch/2016 since raising the identical substantive grounds and in the light of the fact that the “DRP”s directions hardly stand on a different quoting.

These assessee’s three appeals IT(TP)A Nos.500/Coch/ 2015, 12/Coch/2016 & 505/Coch/2016 are allowed for statistical purposes in above terms. A copy of this common order be placed in the respective case files.