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“opportunity of being heard”

Natural JusticeAudi Alteram PartemAudi Alteram Partem22,508 judgments

The decision most relied on for opportunity of being heard is CIT v. Multiplan India Ltd. (38 ITD 320), cited in 2,267 judgments on BharatTax.

Leading authorities on opportunity of being heard

CIT v. Multiplan India Ltd.
38 ITD 320 · 1991 · ITAT
2,267
citing judgments

An appeal before the Income Tax Appellate Tribunal can be dismissed for non-prosecution or treated as unadmitted when the appellant fails to appear, cooperate, or show diligence, in accordance with Rule 19(2) of the Income-tax (Appellate Tribunal) Rules. The law aids the vigilant, not those who sleep on their rights.

CIT v. B.N. Bhattacharya & Another
118 ITR 461 · 1997 · Supreme Court
1,656
citing judgments

Appealing a tax assessment requires more than just filing the appeal; it involves actively pursuing it. The assessee must effectively engage with the appellate process.

Rashmikant Kundalia v. Union of India
54 Taxmann.com 200 · 2015 · High Court
702
citing judgments

Section 234E, levying late fees for delayed filing of TDS statements under section 200(3), is constitutionally valid and constitutes a compensatory fee, not a punitive penalty. Before treating any person as an assessee-in-default, an opportunity of being heard must be provided.

Tin Box Company v. CIT
249 ITR 216 · 2001 · Supreme Court
624
citing judgments

When an issue is remitted to the Assessing Officer for fresh adjudication, the AO must conduct a de novo examination and provide the assessee a full opportunity of being heard. The assessee is bound to comply with the notices issued by the AO.

CIT v. Vikas Polymers
341 ITR 537 · 2012 · High Court
318
citing judgments

An assessment order is not erroneous and prejudicial under Section 263 merely because the Assessing Officer did not record an enquiry and its satisfactory answer in the assessment order, provided such an enquiry was conducted. For revision under Section 263, the Commissioner must also provide the assessee an opportunity of being heard and examine their explanation.

Commissioner of Income Tax Madras v. Chenniyappa Mudiliar
1 SCC 591 · 1985 · Reported
225
citing judgments

The appellate tribunal must render a proper decision on both facts and law, disposing of an appeal on its merits rather than dismissing it solely due to the appellant's absence. This obligation is derived from Section 33(4) of the Income Tax Act, 1922, and reflects principles of natural justice.

ITO v. M. Pirai Choodi
334 ITR 262 · 2011 · Supreme Court
211
citing judgments

If an assessee was denied an adequate opportunity of being heard, including the right to cross-examine a witness, the assessment should be set aside and restored for fresh adjudication after affording due opportunity, even if the assessee failed to appear at an appellate stage. The Tribunal, in the interest of justice, should ensure such matters are re-adjudicated.

Indian & Eastern Newspaper Society v. CIT
119 ITR 996 · 1979 · Supreme Court
205
citing judgments

An assessment cannot be reopened under Section 147/148 based on a mere change of opinion by the Assessing Officer on material already considered during the original assessment, clarifying the scope of 'escaped assessment'.

Judgments citing opportunity of being heard

M/S. Coretech Ventures (Bangalore) Private Limited, Bangalore vs. The Principal Commissioner of Income Tax, Bengaluru-2, Bangalore

In the result, the appeal filed by the assessee stands dismissed

ITA 746/BANG/2021[2016-17]Status: DisposedITAT Bangalore29 Jul 2022AY 2016-17

Bench: Shri. Chandra Poojari & Smt. Beena Pillaiassessment Year : 2016-17 M/S. Coretech Ventures (Bangalore) Pvt. Ltd., The Principal Divyasree Chambers’ Commissioner Of Wing-A, O Shaugnessy Income Tax, Road, Bengaluru – 2, Langford Town, Vs. Bengaluru. Bangalore – 560 025. Pan: Aafcc2775E Appellant Respondent : Shri V. Chandrashekar, Assessee By Advocate : Shri V.S. Chakrapani, Cit- Revenue By Dr Date Of Hearing : 01-06-2022 Date Of Pronouncement : 29-07-2022 Order Per Beena Pillaipresent Appeal Is Filed By Assessee Against Order Dated 30/03/2021 Passed By Ld.Pcit, Bangalore -2 U/S. 263 Of The Act For A.Y. 2016-17 On Following Grounds Of Appeal: “1. The Order Of Revision Passed By The Learned Principal Commissioner Of Income Tax, Bengaluru -2, Bengaluru, Under Section 263 Of The Act Dated 30/03/2021, In So Far As It Is Against The Appellant Is Opposed To Law, Weight Of Evidence, Probabilities, Facts & Circumstances Of The Appellant'S Case.

For Respondent: Shri V. Chandrashekar
Section 143Section 263Section 80Section 801A

section 80IA of the Act. The Assessing Officer is directed to carryout thorough and detailed enquiry. The assessee must be provided with reasonable opportunity of being heard during the course of the assessment proceedings in Page 12 pursuance to this Order and the Assessing Officer must pass a speaking order

M/S. Blue Coat Network (India) Private Limited, Bangalore vs. Deputy Commissioner of Income Tax, Circle- 1(1)(2), Bangalore

In the result, the appeal filed by the assessee stands partly allowed

ITA 2623/BANG/2019[2015-16]Status: DisposedITAT Bangalore29 Jul 2022AY 2015-16

Bench: Shri. Chandra Poojari & Smt. Beena Pillaiit(Tp)A No. 2623/Bang/2019 Assessment Year : 2015-16 M/S. Blue Coat Network (India) Pvt. Ltd., Unit No. 1001 & 1002, The Deputy 10Th Floor, Rmz Campus Commissioner Of 8-B, Income Tax, Plot No. C-L, Sarjapur Circle – 1(1)(2), Marathalli Outer Ring Bangalore. Vs. Road, Bangalore – 560 037. Pan: Aahcs7844Q Appellant Respondent Assessee By : Shri Chavali Narayan, Ca : Dr. Manjunath Karkihalli, Revenue By Cit Dr Date Of Hearing : 14-06-2022 Date Of Pronouncement : 29-07-2022 Order Per Beena Pillaipresent Appeal Is Filed By Assessee Against The Final Assessment Order Dated 22/10/2019 Passed By Ld.Dcit, Circle -1 (1)(2), Bangalore For A.Y. 2015-16 On Following Grounds Of Appeal:

For Appellant: Shri Chavali Narayan, CA
Section 143(2)

companies. 18.4 This comparable is remand to the Ld.AO/TPO to be considered in accordance with law. Needless to say that proper opportunity of being heard must be granted to the assessee. 19. Aspire Systems (India) Private Limited 19.1 The assessee is seeking the exclusion of the above company from ... comparable. 19.5 This comparable is remand to the Ld.AO/TPO to be considered in accordance with law. Needless to say that proper opportunity of being heard must be granted to the assessee. Accordingly Additional Ground No.17 stands allowed as indicated herein above. 20. Ground No.7 is in respect

Rupal Kashyap Mehta, Mumbai vs. ITO, Ward 21 (3)(1), Mumbai

In the result, the appeal filed by the assessee is allowed

ITA 1235/MUM/2019[2011-12]Status: DisposedITAT Mumbai28 Jul 2022AY 2011-12

Bench: Shri Amit Shukla, Jm & Shri S. Rifaur Rahman, Am 1. आयकरअपीलसं./ I.T.A. No. 1235/Mum/2019 (ननधधारणवर्ा / Assessment Year: 2011-12) Ito, Ward 21(3)(1), Rupal Kahyap Mehta Income Tax Office, 26/27, A Wing, Ahuja Towers, बनाम/ Piramal Chambers, Dr. Raja Bhau Desai Road, Vs. Ss Roa Marg, Parel, Prabhadevi, Mumbai-400 025 Mumbai-400 012 स्थधयीलेखधसं./जीआइआरसं./ Pan No. Agrpm5338E (अपीलधथी/Appellant) (प्रत्यथी / Respondent) : अपीलधथीकीओरसे/ Appellant By : Shri Vinod Kumar Bindal, Ld. Ar प्रत्यथीकीओरसे/Respondent By : Smt. Mahita Nair, Ld. Dr सुनवधईकीतधरीख/ : 04.07.2022 Date Of Hearing घोर्णधकीतधरीख / : 28.07.2022 Date Of Pronouncement

For Appellant: Shri Vinod Kumar Bindal, LdFor Respondent: Smt. Mahita Nair, Ld. DR
Section 10(38)Section 127Section 143(1)Section 143(2)Section 143(3)Section 147Section 148Section 153ASection 68

General or Director General or Principal Chief Commissioner or Chief Commissioner or Principal Commissioner or] Commissioner may, after giving the assessee a reasonable opportunity of being heard in the matter, wherever it is possible to do so, and after recording his reasons for doing so, transfer any case from ... Chief Commissioner or [Principal Commissioner or] Commissioner from whose jurisdiction the case is to be transferred may, after giving the assessee a reasonable opportunity of being heard in the matter, wherever it is possible to do so, and after recording his reasons for doing so, pass the order; (b) where

Interactive Brokers (India) P. Ltd, Mumbai vs. DCIT 4(1)(1), Mumbai

In the result, the appeal of the assessee is allowed for statistical purposes

ITA 4860/MUM/2017[2013-14]Status: DisposedITAT Mumbai28 Jul 2022AY 2013-14

Bench: Shri Aby T. Varkey, Jm & Shri O. P. Kant, Am आयकर अपील सं/ I.T.A. (Tp) No.2088/Mum/2017 (निर्धारण वर्ा / Assessment Years: 2012-13) & आयकर अपील सं/ I.T.A. No.4860/Mum/2017 (निर्धारण वर्ा / Assessment Years: 2013-14) Interactive Brokers (India) बिधम/ Dcit-4(1)(1) Pvt Ltd. Aayakar Bhavan, Vs. 502/A, Times Square, Mumbai. Andheri Kurla Road, Andheri (E), Mumbai- 400059. स्थधयी लेखध सं./जीआइआर सं./Pan/Gir No. : Aabci6871R (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) Assessee By: Shri Jeet Kamdar Revenue By: Shri Pankaj Kumar (Sr. Ar) सुनवाई की तारीख / Date Of Hearing: 09/06/2022 घोषणा की तारीख /Date Of Pronouncement: 28/07/2022 आदेश / O R D E R Per Aby T. Varkey, Jm: These Appeals Are Preferred By The Assessee Against The Order Of The Assessing Officer Dated 30.01.2017 First For A.Y.2012-13 & Assessment Order Dated 23.05.2017 For A.Y.2013-14 U/S 143(3) R.W. Section 144C(3) Of The Income Tax Act, 1961 (Hereinafter “The Act”). 2. We First Take Up The Appeal For Ay 2012-13. The Grounds Of Appeal Preferred By The Assessee Read As Under: - “Ground No.1 Disallowance Of Cost Of Administrative Support Services For Internal Audit Support, Clearing & Treasury Support Function 1.1 On The Facts & In The Circumstances Of The Case & In Law, The Learned Dispute Resolution Panel (‘(Drp')/ Income Tax Officer — Dcit, Range 4(1)(1) (‘Ao’) / Learned Transfer Pricing Officer (‘Tpo’) Erred In Re-Computing The Alp Of The International Transaction Of Payment Of Administrative Support Service Fee For Internal Audit Support, Clearing & Treasury Support Function By The Appellant To Its 2

For Appellant: Shri Jeet KamdarFor Respondent: Shri Pankaj Kumar (Sr. AR)
Section 143(3)Section 144C(3)Section 92C

directions given above. We therefore allow Ground No. 1 of the assessee for statistical purpose on this issue. The TPO/AO will afford opportunity of being heard to the assessee in the set aside proceedings. 16. We now deal with the issue of benchmarking of the mark-up of 10% charged

Interactive Brokers (India) P. Ltd, Mumbai vs. DCIT 4(1)(1), Mumbai

In the result, the appeal of the assessee is allowed for statistical purposes

ITA 2088/MUM/2017[2012-13]Status: DisposedITAT Mumbai28 Jul 2022AY 2012-13

Bench: Shri Aby T. Varkey, Jm & Shri O. P. Kant, Am आयकर अपील सं/ I.T.A. (Tp) No.2088/Mum/2017 (निर्धारण वर्ा / Assessment Years: 2012-13) & आयकर अपील सं/ I.T.A. No.4860/Mum/2017 (निर्धारण वर्ा / Assessment Years: 2013-14) Interactive Brokers (India) बिधम/ Dcit-4(1)(1) Pvt Ltd. Aayakar Bhavan, Vs. 502/A, Times Square, Mumbai. Andheri Kurla Road, Andheri (E), Mumbai- 400059. स्थधयी लेखध सं./जीआइआर सं./Pan/Gir No. : Aabci6871R (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) Assessee By: Shri Jeet Kamdar Revenue By: Shri Pankaj Kumar (Sr. Ar) सुनवाई की तारीख / Date Of Hearing: 09/06/2022 घोषणा की तारीख /Date Of Pronouncement: 28/07/2022 आदेश / O R D E R Per Aby T. Varkey, Jm: These Appeals Are Preferred By The Assessee Against The Order Of The Assessing Officer Dated 30.01.2017 First For A.Y.2012-13 & Assessment Order Dated 23.05.2017 For A.Y.2013-14 U/S 143(3) R.W. Section 144C(3) Of The Income Tax Act, 1961 (Hereinafter “The Act”). 2. We First Take Up The Appeal For Ay 2012-13. The Grounds Of Appeal Preferred By The Assessee Read As Under: - “Ground No.1 Disallowance Of Cost Of Administrative Support Services For Internal Audit Support, Clearing & Treasury Support Function 1.1 On The Facts & In The Circumstances Of The Case & In Law, The Learned Dispute Resolution Panel (‘(Drp')/ Income Tax Officer — Dcit, Range 4(1)(1) (‘Ao’) / Learned Transfer Pricing Officer (‘Tpo’) Erred In Re-Computing The Alp Of The International Transaction Of Payment Of Administrative Support Service Fee For Internal Audit Support, Clearing & Treasury Support Function By The Appellant To Its 2

For Appellant: Shri Jeet KamdarFor Respondent: Shri Pankaj Kumar (Sr. AR)
Section 143(3)Section 144C(3)Section 92C

directions given above. We therefore allow Ground No. 1 of the assessee for statistical purpose on this issue. The TPO/AO will afford opportunity of being heard to the assessee in the set aside proceedings. 16. We now deal with the issue of benchmarking of the mark-up of 10% charged

M/S Sap Labs India Private Limited, Bangalore vs. DCIT, Bangalore

In the result appeal filed by the assessee stands partly allowed and appeal filed by the revenue stands dismissed

ITA 561/BANG/2015[2010-11]Status: DisposedITAT Bangalore28 Jul 2022AY 2010-11

Bench: Shri. Chandra Poojari & Smt. Beena Pillaiit(Tp)A No. 561/Bang/2015 Assessment Year : 2010-11 M/S. Sap Labs India Pvt. Ltd., The Deputy No. 138, Export Promotion Commissioner Of Industrial Park, Income Tax, Whitefield, Circle – 6 (1)(1), Bangalore – 560 066. Bangalore. Vs. Pan: Aafcs3649P Appellant Respondent & It(Tp)A No. 437/Bang/2015 (By Revenue) : Shri Aliasgar Rampurawala, Assessee By Ca Revenue By : Shri Arun Kumar, Cit Dr Date Of Hearing : 20-06-2022 Date Of Pronouncement : 28-07-2022 Order Per Beena Pillaipresent Appeal Is Filed By Assessee As Well As Revenue Against Final Assessment Order Dated 29.01.2015 Passed By The Ld.Dcit, Circle – 6(1)(2), Bangalore For Assessment Year 2010-11 On Following Consolidated Grounds Of Appeal. Assessee’S Appeal: “The Grounds Mentioned Herein By The Appellant Are Without Prejudice To One Another.

For Respondent: Shri Arun Kumar, CIT DR
Section 92D

section (1) of this provision provides that : `The Director General or Chief Commissioner or Commissioner may, after giving the assessee a reasonable opportunity of being heard in the matter, wherever it is possible to do so, and after recording his reasons for doing so, transfer any case from ... Dispute arose in Sahara Hospitality Ltd. vs. CIT (2013) 352 ITR 38 (Bom) as to whether or not giving the assessee a reasonable opportunity of being heard before the transfer of case by the Chief Commissioner, in the backdrop of the use of the word `may in the provision

D.C.I.T., Bangalore vs. M/S Sap Labs India Pvt. Ltd., Bangalore

In the result appeal filed by the assessee stands partly allowed and appeal filed by the revenue stands dismissed

ITA 437/BANG/2015[2010-11]Status: DisposedITAT Bangalore28 Jul 2022AY 2010-11

Bench: Shri. Chandra Poojari & Smt. Beena Pillaiit(Tp)A No. 561/Bang/2015 Assessment Year : 2010-11 M/S. Sap Labs India Pvt. Ltd., The Deputy No. 138, Export Promotion Commissioner Of Industrial Park, Income Tax, Whitefield, Circle – 6 (1)(1), Bangalore – 560 066. Bangalore. Vs. Pan: Aafcs3649P Appellant Respondent & It(Tp)A No. 437/Bang/2015 (By Revenue) : Shri Aliasgar Rampurawala, Assessee By Ca Revenue By : Shri Arun Kumar, Cit Dr Date Of Hearing : 20-06-2022 Date Of Pronouncement : 28-07-2022 Order Per Beena Pillaipresent Appeal Is Filed By Assessee As Well As Revenue Against Final Assessment Order Dated 29.01.2015 Passed By The Ld.Dcit, Circle – 6(1)(2), Bangalore For Assessment Year 2010-11 On Following Consolidated Grounds Of Appeal. Assessee’S Appeal: “The Grounds Mentioned Herein By The Appellant Are Without Prejudice To One Another.

For Respondent: Shri Arun Kumar, CIT DR
Section 92D

section (1) of this provision provides that : `The Director General or Chief Commissioner or Commissioner may, after giving the assessee a reasonable opportunity of being heard in the matter, wherever it is possible to do so, and after recording his reasons for doing so, transfer any case from ... Dispute arose in Sahara Hospitality Ltd. vs. CIT (2013) 352 ITR 38 (Bom) as to whether or not giving the assessee a reasonable opportunity of being heard before the transfer of case by the Chief Commissioner, in the backdrop of the use of the word `may in the provision