Income Tax Appellate Tribunal - Chennai
Fairmacs Shipping And Transport ... vs Acit Corporate Circle 2(1), Chennai on 1 March, 2019
आयकर अपील य अ धकरण, 'सी' यायपीठ, चे नई
IN THE INCOME TAX APPELLATE TRIBUNAL
'C' BENCH, CHENNAI
ी एन.आर.एस. गणेशन, या यक सद य एवं ी एस. जयरामन, लेखा सद य केसम$
BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND
SHRI S. JAYARAMAN, ACCOUNTANT MEMBER
आयकर अपील सं./ITA Nos.1286 & 2952/Chny/2018
नधा&रण वष& /Assessment Year : 2013-14
M/s Fairmacs Shipping and The Assistant Commissioner of
Transport Services Private Ltd., v. Income Tax,
No.14, Moore Street, Corporate Circle 2(1),
Chennai - 600 001. Chennai - 600 034.
PAN : AAACF 0474 A
(अपीलाथ*/Appellant) (+,यथ*/Respondent)
अपीलाथ* क- ओर से / Appellant by : Shri G. Seetharaman, FCA
+,यथ* क- ओर से / Respondent by : Shri R. Clement Ramesh Kumar,
Addl.CIT
सन
ु वाई क- तार ख / Date of Hearing : 27.02.2019
घोषणा क- तार ख / Date of Pronouncement : 01.03.2019
आदे श /O R D E R
PER N.R.S. GANESAN, JUDICIAL MEMBER:
Both the appeals of the assessee are directed against the respective orders of the Commissioner of Income Tax (Appeals)-6, Chennai, dated 15.03.2018 and pertain to assessment year 2013-
14. I.T.A. No.1286/Chny/2018 relates to quantum addition made by the Assessing Officer, whereas, I.T.A. No.2952/Chny/2018 is 2 I.T.A. Nos.1286 & 2952/Chny/18 against the penalty levied by the Assessing Officer. Therefore, we heard both the appeals together and disposing the same by this common order.
2. Shri G. Seetharaman, the Ld. representative for the assessee, submitted that the CIT(Appeals) issued notice for enhancement on 21.02.2018 calling upon the assessee to submits its explanation on or before 26.02.2018. According to the Ld. representative, 26.02.2018 falls on Monday. The notice was served on the assessee on 25.02.2018 which falls on Sunday. Therefore, the assessee requested for adjournment for 15 days. According to the Ld. representative, the CIT(Appeals) did not adjourn the case. However, he straightaway passed the impugned order enhancing the assessment made by the Assessing Officer. Therefore, the Ld. representative submitted that an opportunity may be given to the assessee to give explanation on the notice before the CIT(Appeals).
3. On the contrary, Shri R. Clement Ramesh Kumar, the Ld. Departmental Representative, submitted that no doubt, the assessee filed application for adjournment seeking a fortnight time. However, till 15th March, 2018, the assessee had not turned up. 3 I.T.A. Nos.1286 & 2952/Chny/18 Therefore, according to the Ld. D.R., the CIT(Appeals) was forced to pass the order. On a query from the Bench whether the CIT(Appeals) adjourned the case on the basis of request made by the assessee? the Ld. D.R. could not clarify the same.
4. We have considered the rival submissions on either side and perused the relevant material available on record. No doubt, the appeal was posted on 26.02.2018. It is also not in dispute that the assessee filed application for adjournment seeking 15 days time for filing the explanation with regard to the notice for enhancement. The Department claims that till 15th March, 2018, the assessee had not responded. The fact remains that the appeal was not adjourned and the date of posting was not intimated to the assessee. When the appeal was not adjourned and the date of posting was not intimated to the assessee, it not known how the CIT(Appeals) claims that the assessee had not responded till 15th March, 2018. Therefore, this Tribunal is of the considered opinion that an opportunity shall be given to the assessee to give explanation on the notice issued by the CIT(Appeals) for enhancement. This Tribunal is of the considered opinion that giving one more opportunity to the assessee would not prejudice the interests of 4 I.T.A. Nos.1286 & 2952/Chny/18 Revenue. Moreover, giving such an opportunity to the assessee would definitely promote the cause of justice. Therefore, in the interest of justice, both the orders of the CIT(Appeals) are set aside and the entire issue is remitted back to the file of the CIT(Appeals). The CIT(Appeals) shall re-examine the matter and give sufficient opportunity to the assessee to explain with regard to the notice for enhancement and thereafter decide the issue afresh in accordance with law.
5. In the result, both the appeals filed by the assessee are allowed for statistical purposes.
Order pronounced in the court on 1st March, 2019 at Chennai.
sd/- sd/-
(एस. जयरामन) (एन.आर.एस. गणेशन)
(S. Jayaraman) (N.R.S. Ganesan)
लेखा सद य/Accountant Member या यक सद य/Judicial Member
चे नई/Chennai,
4दनांक/Dated, the 1st March, 2019.
Kri.
5 I.T.A. Nos.1286 & 2952/Chny/18
आदे श क- + त5ल6प अ7े6षत/Copy to:
1. अपीलाथ*/Appellant
2. +,यथ*/Respondent
3. आयकर आय8 ु त (अपील)/CIT(A)-6, Chennai
4. Principal CIT-2, Chennai
5. 6वभागीय + त न ध/DR
6. गाड& फाईल/GF.