Income Tax Appellate Tribunal - Hyderabad
Siri Meghana Chits Pvt. Ltd., ... vs Ito, Ward-3, Karimnagar, Karimnagar on 17 March, 2017
ITA No 1178 of 2016 Sili Meghana Chits P Ltd Karimnagar
IN THE INCOME TAX APPELLATE TRIBUNAL
Hyderabad ' A ' Bench, Hyderabad
Before Smt. P. Madhavi Devi, Judicial Member
AND
Shri S.Rifaur Rahman, Accountant Member
ITA No.1178/Hyd/2016
(Assessment Year: 2009-10)
M/s. Siri Meghana Chits Vs Income Tax Officer Ward-3
Private Limited Karimnagar
Karimnagar
PAN: AALCS 6133 J
For Assessee : Shri A.V. Raghuram
For Revenue : Smt. Suman Malik, DR
Date of Hearing: 14.03.2017
Date of Pronouncement: 17.03.2017
ORDER
Per Smt. P. Madhavi Devi, J.M.
This is assessee's appeal for the A.Y 2009-10. In this appeal, the assessee is aggrieved by the order of the CIT (A)-2 Hyderabad, dated 30.06.2016 dismissing the assessee's appeal against the order u/s 154 of the I.T. Act.
2. Brief facts of the case are that the assessee, a private limited company, engaged in the chits business had suffered loss and has accordingly filed the return of income on 30.09.2009 declaring a loss of Rs.5,68,632. The assessee received intimation u/s 143(1) of the Act determining the taxes payable at Rs.2,16,206 by treating the loss declared by the assessee as income of the assessee. The assessee filed application u/s 154 of Page 1 of 3 ITA No 1178 of 2016 Sili Meghana Chits P Ltd Karimnagar the I.T. Act to correct the mistake. However, the assessee's application was rejected by the CPC on the ground that there is no mistake apparent from record. The assessee filed an appeal before the CIT (A) which was dismissed for want of appearance of the assessee by its AR. The assessee is in further appeal before us.
3. The learned Counsel for the assessee submitted that the mistake has occurred due to e-filing of the assessee's return of income and the application for rectification has been rejected without even verifying the correctness of assessee's claim. He prayed that the issue may be remitted to the file of the AO for verification of the assessee's contentions.
4. The learned DR, however, opposed the remittance of the issue to the file of the AO.
5. Having regard to the rival contentions and the material on record, we find that the assessee has e-filed its return of income due to which the loss has erroneously been declared as profit and the rectification petition u/s 154 has also been rejected by the CPC without verifying the claim of the assessee and without giving a personal hearing to the assessee. The CIT (A) also has not considered the assessee's contentions on merit but has dismissed the appeal for want of appearance by the assessee. In the interest of justice, we deem it fit and proper to set aside the order of the CIT (A) and remit the issue to the file of the AO with a direction to verify the books of account of the assessee and decide the issue de novo in accordance with the law.
Page 2 of 3ITA No 1178 of 2016 Sili Meghana Chits P Ltd Karimnagar
6. In the result, assessee's appeal is treated as allowed for statistical purposes.
Order pronounced in the Open Court on 17th March, 2017.
Sd/- Sd/-
(S.Rifaur Rahman) (P. Madhavi Devi)
Accountant Member Judicial Member
Hyderabad, dated 17th March, 2017.
Vinodan/sps
Copy to:
1 Shri A.V.Raghu Ram & Shri P.Vinod, Advocates, 610 Babukhan Estate, Basheerbagh, Hyderabad-01 2 Income Tax Officer Ward 3 Aayakar Bhavan, Karimnagar 505001 3 CIT (A)-2 Hyderabad 4 Pr. CIT - 2 Hyderabad 5 The DR, ITAT Hyderabad 6 Guard File By Order Page 3 of 3