New World Synthetics Ltd., New Delhi vs Department Of Income Tax

Deputy Commissioner of Vs. M/s New World Synthetics Limited, Income Tax, 205, Sky Line House (2nd floor), Circle- Circle-13(1), Nehru Place, New Delhi. Delhi. New Delhi - 110 019. PAN : AAACJ3276C. (Appellant) (Respondent)

Appellant by : Shri P. Dam Kanunjha, Sr.DR. Respondent by : None.

Date of hearing : 18.03.2015 Date of pronouncement : 01.04.2015

ORDER

PER G.C. GUPTA, GUPTA, VP :

This appeal by the Revenue for the assessment year 2007-08 is directed against the order of learned CIT(A)-XVI, New Delhi dated 8th February, 2012.

2. At the time of hearing, none appeared on behalf of the assessee and, therefore, the appeal of the Revenue is being disposed of ex-parte qua the assessee-respondent after hearing the arguments of learned DR.

3. The grounds of appeal of the Revenue are as under:-

"1. Whether on the facts and circumstances of the case, the ld.CIT(A) was erred in deleting the addition 2 ITA-4520/Del/2012

made u/s 68 by the AO on account of undisclosed sources.

2. Whether on the facts and circumstances of the case, the ld.CIT(A) has not appreciated the fact that the assessee has not produced the details/information regarding source share application money.

3. Whether on the facts & in the circumstances of the case, the ld.CIT(A) has erred in accepting the additional evidence during the course of appellate proceedings notwithstanding the fact that the assessee in remand proceedings was asked specifically to produce copies of bank statements, FIRC documents, permission of RBI for foreign remittance and assessment documents and bank statements of M/s Multikarsa Investama Pt."

4. Learned DR submitted that ground No.3 of the appeal may be taken first as the additional evidence was accepted by the CIT(A) during the course of appellate proceedings. Although the assessee in remand proceedings was asked specifically to produce copies of bank statements, FIRC documents, permission of RBI for foreign remittance and assessment documents and bank statements etc., the assessee has not cooperated with the Assessing Officer and has filed certain documents at the back of the Assessing Officer to the learned CIT(A). He submitted that in the interest of justice and in accordance with the principles of natural justice, the order of learned CIT(A) should be restored to the file of the Assessing Officer.

5. We have considered the submissions of the learned DR and have perused the order of the Assessing Officer and the learned CIT(A). We find that the additional evidence was accepted by the CIT(A) during the course of appellate proceedings. The assessee could not file certain evidences before the Assessing Officer. In the facts and circumstances of the case, we are of the view that it shall be in the interest of justice to restore the issue in the grounds of appeal of the Revenue to the file 3 ITA-4520/Del/2012

of the Assessing Officer with the direction to pass a de novo assessment order in accordance with law after providing reasonable opportunity of hearing to the assessee. The assessee shall be at liberty to file any evidence in support of its case. In view of our decision directing the Assessing Officer to pass a de novo assessment order, the issue in other grounds of appeal No.1 & 2 are restored to the file of the Assessing Officer for fresh decision as per law. We direct accordingly.

6. In the result, the appeal of the Revenue is allowed for statistical purposes.

Decision pronounced in the open Court on 1st April, 2015.

Sd/- Sd/- (T.S. KAPOOR) KAPOOR) (G.C. (G.C. GUPTA) GUPTA) ACCOUNTANT MEMBER VICE PRESIDENT

VK.

Copy forwarded to: -

1. Appellant : Deputy Commissioner of Income Tax, Circle-

Circle-13(1), New Delhi.

2. Respondent : M/s New World Synthetics Limited, 205, Sky Line House (2nd floor), Nehru Place, New Delhi - 110 019.

3. CIT

4. CIT(A)

5. DR, ITAT

Assistant Registrar