Appeal details
Counselvise Citation
[2024] 101 COUNSELVISE.COM (IT) 7338 (ITAT-CHANDIGARH)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
11 month(s) 24 day(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
08-05-2024
Appeal Filed By
Assessee
Order Result
Allowed
Bench Allotted
A
Next Hearing Date
07-05-2024
Assessment Year
2017-2018
Appeal Filed On
14-05-2023
Judgement Text
आयकर अपील य अ धकरण,च डीगढ़ यायपीठ , च डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH ‘A’ CHANDIGARH BEFORE: SHRI A.D.JAIN, VICE PRESIDENT AND SHRI KRINWANT SAHAY, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No. 300/CHD/2023 नधा रण वष / Assessment Year. : 2017-18 Dayalo Devi, HUF, House No. 153, Devi Nagar, Sector – 3, Panchkula. Vs The ITO, Ward – 1, Panchkula. थायी लेखा सं./PAN /TAN No: AAIHD2355M अपीलाथ /Appellant यथ /Respondent नधा रती क ओर से/Assessee by : Shri B.M. Monga, Advocate and Shri Rohit Kaura, Advocate राज व क ओर से/ Revenue by : Smt. Amanpreet Kaur, Sr.DR तार ख/Date of Hearing : 08.05.2024 उदघोषणा क तार ख/Date of Pronouncement : 09.05.2024 PHYSICAL HEARAING आदेश/ORDER PER A.D.JAIN, VICE PRESIDENT This is assessee's appeal for assessment year 2017-18 against the order dated 27.03.2023 passed by the ld. Commissioner of Income Tax (Appeals) NFAC, Delhi [in short ‘the CIT(A)’]. 2. The assessee has raised the following grounds of appeal: 1. That the order of Ld. CIT(A) is against the law and facts of the case. 2. That the Learned CIT(A) has passed the order u/s 250 without considering the paperbooks/written submissions filed by the assessee, ITA 300/CHD/2023 A.Y.2017-18 2 by illegally upholding the intimation order passed u/s 143(1), totally against the Principles of Natural Justice. 3. That the learned CIT(A) has passed the order u/s 250 on 27.03.2023 by giving only one notice of hearing, for filing the written submissions by 27.03.2023, which written submissions/paperbooks were duly filed on 27.03.2023 itself, and passed the order in haste by wrongly stating that "there was no response from the assessee" and without considering the paperbooks/ written submissions, dated 27.03.2023 and even without adjudicating the ground No. 3 of the appeal in complete defiance of the judicial discipline and the Principles of Natural Justice. 4. That the Learned CIT(A) has grossly erred in upholding the illegal order passed by the Assessing Officer wherein an addition amounting to Rs. 1,52,36,040/- was made on account of amount received by the assessee as enhanced compensation alongwith the interest u/s 28 of the Land Acquisition Act, as income from other sources, whereas the enhanced compensation and interest received u/s 23(I-A), 23(2) and 28 is exempt as held by the Hon'ble Supreme Court and various Hon'ble Courts. 5. That the Ld. CIT(A) has grossly erred in upholding the intimation order passed u/s 143(1) by the AO, CPC, Bangalore without appreciating the fact that intimation order is without proper jurisdiction and passed beyond the scope and powers enshrined u/s 143(1). 6. Without prejudice to the aforesaid grounds of appeal and strictly in the alternative the Ld. AO and CIT(A), has grossly erred in not allowing the benefit of 50% deduction of said sum duly allowable u/s 57 of the Income Tax Act. 3. The facts of the case are that the assessee is an individual and had e-filed the return of income for the assessment year 2017-18 belatedly on 30.03.2018 declaring total income of Rs.4,36,350/-. The return was processed u/s 143(1) of the Income Tax Act, 1961 on 26.03.2019 by the DCIT, CPC, Bengaluru assessing the total income at Rs.1,56,72,390/- by adding enhanced compensation and interest received for land acquisition. ITA 300/CHD/2023 A.Y.2017-18 3 4. Aggrieved with this addition, the assessee went in appeal before the ld. CIT(A). It was submitted that the Assessing Officer had erred in law and on facts by adding the amount of Rs.1,52,36,040/-, received as enhanced compensation, alongwith interest u/s 28 of the Land Acquisition Act, as 'income from other sources', whereas the enhanced compensation and interest was exempt, as held by the Hon'ble Supreme Court and various other Courts. Notice for 27.03.2023 was issued to the assessee through e- proceedings, but there was no response from the assessee. Accordingly, the CIT(A) upheld the order passed by the Assessing Officer and decided the appeal against the assessee, holding that interest received on enhanced compensation was liable to tax, against which the assessee is in appeal before this Tribunal. 5. The ld. Counsel for the assessee has contended that the ld. CIT(A) has passed the order dated 27.03.2023 u/s 250 of the Act, upholding the addition amounting to Rs.1,52,36,040/- made by the Assessing Officer by giving only one notice of hearing for filing written submissions by 27.03.2023. It was submitted that the written submissions/Paper Books were duly filed on 27.03.2023 ITA 300/CHD/2023 A.Y.2017-18 4 itself, but these were not considered and the order was passed in haste and even Ground No. 3 of the appeal was not adjudicated. 6. The ld. DR, on the other hand, has placed strong reliance on the impugned order. 7. We have heard the parties and have perused the material on record. The ld. Counsel for the assessee has submitted that two Paper Books containing reply/written submissions and case laws, etc., were submitted before the ld. CIT(A), but the same were not considered and the order was passed upholding the order passed by the Assessing Officer. We deem it fit and appropriate that in the interest of justice, the assessee should be given an opportunity to explain his case by way of evidence, documents, or information, etc. Accordingly, in the interest of justice, the file is restored to the file of ld. CIT(A) to decide the matter afresh in accordance with law after giving reasonable opportunity of being heard to the assessee. The assessee, no doubt, shall cooperate in the fresh proceedings before the CIT(A). All pleas available under the law shall remain so available to the assessee. ITA 300/CHD/2023 A.Y.2017-18 5 8. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced on 09.05.2024. Sd/- Sd/- (KRINWANT SAHAY) (A.D.JAIN ) ACCOUNTANTMEMBER VICE PRESIDENT “Poonam” आदेश क琉 灹ितिलिप अ灡ेिषत/ Copy of the order forwarded to : 1. अपीलाथ牸/ The Appellant 2. 灹瀄यथ牸/ The Respondent 3. आयकर आयु猴/ CIT 4. िवभागीय 灹ितिनिध, आयकर अपीलीय आिधकरण, च瀃डीगढ़/ DR, ITAT, CHANDIGARH 5. गाड榁 फाईल/ Guard File आदेशानुसार/ By order, सहायक पंजीकार/ Assistant Registrar
