2021 (4) TMI 1126 - AT - Income Tax

Tribunal remits quantum and penalty appeals for fresh consideration stressing cooperation.

Kompella Ganapathi Versus Income Tax Officer, Ward-15 (1) Hyderabad

Kompella Ganapathi Versus Income Tax Officer, Ward-15 (1) Hyderabad - TMI Issues:1. Quantum appeal related to assessment for A.Y. 2014-152. Penalty appeal against levy under Section 271AQuantum Appeal (ITA No. 1737/Hyd/2019):The assessee appealed against the orders of the Ld. CIT(A)-7, Hyderabad, challenging the assessment completed ex-parte under Section 144 of the Act. The appellant disputed the additions made by the Assessing Officer, particularly regarding income determination and commission income addition. The Ld. AR argued that the assessee was not given proper opportunity to be heard, while the Ld. DR contended that adequate chances were provided, but the assessee failed to appear or substantiate claims. The Tribunal found merit in the Ld. DR's submissions, noting the absence of the assessee during hearings. Despite this, in the interest of justice, the matter was remitted back to the Ld. AO for fresh consideration, emphasizing the need for the assessee's cooperation. The appeal was allowed for statistical purposes.Penalty Appeal (ITA No. 1738/Hyd/2019):The primary issue in this appeal was the penalty imposed under Section 271A of the Act. As the quantum appeal was remitted back to the Ld. AO for reconsideration, this penalty appeal was also sent back for fresh adjudication based on the outcome of the quantum appeal. Both appeals of the assessee were allowed for statistical purposes. The judgment was pronounced on 9th April 2021 by A. Mohan Alankamony, Member (A), with representation from A. Kiran Manohar for the Appellant and Sanjeev Bhapat for the Respondents.