AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2014 (1) TMI 659
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....at Varanasi. 3. A notice dated 16.09.2010, was issued to the petitioner by the Commissioner of Income Tax-II, Kanpur, on the subject of centralization of search cases relating to Didwania Group of cases ? M/s. M.P. Biscuit Pvt Ltd, Juhi Kanpur, in which it is stated that the department proposes to centralize petitioner's case with Deputy Commissioner of Income Tax, Central Circle Varanasi, if they have any objection in the matter, they are required to appear before the Commissioner of Income Tax-II, Kanpur - either personally, or with its authorized representative on 25.09.2010. 4. The petitioner has filed its reply dated 27.09.2010, alleging that the Company was incorporated in the year 2003, with its registered office at Kanpur. In the ....
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....just and improper to link the petitioner company with Didwania group specially in absence of any day to day financial involvement of Didwania concerns, it may not be desirable to put the petitioner company under the umbrella or fold of Didwania Group as such. 13. That there is no other relationship of any other nature with any other concern or entity of 'Didwania group' with petitioner company or the directors of the petitioner company. 14. That as a matter of fact, the Central Circle is situated at Kanpur, and the Dy. CIT Central Circle, Varanasi, falls under the jurisdiction of CIT Central Circle, Kanpur not only this the Addl. CIT (Central) is also at Kanpur therefore it would not serve any purpose in transferring the file to Dy. CIT C....
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....hers [2006 (286) ITR 33] held that it was for the Commissioner to decide the place where the assessment of tax with respect to group companies, firms and individuals to be made. The relevant portion of judgment is reproduced as under:- "The choice of place where the cases are to be transferred is fully within the domain of transferring authority. The assessee can have no choice to ask for a particular officer or a particular place for the assessment to be made when power under Section 127 (2) is to be exercised. It is sufficient that the place where the cases are being transferred has sufficient links with the business activities of the group assessee and that comparative volume of business at a particular place, may not be very material. ....
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....7 (2) of the Act, are not relevant for the purpose of centralizing the case of petitioner at Varanasi. There was no material whatsoever with respondent No.2, to link the business of petitioner's Company with the business of Didwania Group of companies. The action is arbitrary and has prejudiced the petitioner, who is assessed at Kanpur. The registered office of the petitioner Company is situate at Kanpur. Its auditors and tax consultants are based at Kanpur and the Company is regularly filing its return at Kanpur. 8. Sri Praveen Kumar relied on a Division Bench decision of the Court in Sahara Airlines Ltd and others Vs. DGIT (Inv.) and others [2006 (286) ITR 33], in which, though the writ petition was dismissed and the appeals were also di....
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....sons would not be sufficient to hold the order valid for compliance with the requirement of recording reasons. The sufficiency or adequacy of material for recording such reasons, may not be a factor to raise a plea of quantitative insufficiency of material, so as to make the reasons recorded arbitrary or bad. The Court further in para 16, held as follows:- "In regard to the opportunity being afforded to the petitioners, it is apparent and there is no serious dispute also that the notices as required to be issued to the petitioners giving the grounds for the proposed transfer and affording an opportunity of hearing, were issued and served, to which the petitioners responded not only by filing objections but also additional objections and th....
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....he reasons given in the notice and summon is concerned, we find that the subject of the notice clearly indicates centralization of search cases relating to Didwania Group of Cases ? M/s. M.P. Biscuit Pvt Ltd, Juhi, Kanpur. The petitioner did not take any objection that it was not aware of the reasons for making the order. In the impugned order, Commissioner of Income Tax-II, Kanpur after recording the objections taken by the petitioner found that the facts mentioned by the assessee Company were considered and noticed and that the objections were not acceptable. It was found that the petitioner Company is a Private Ltd Company, in which two Didwani brothers are directors, who are covered under Section 132 of the Act. Further the assessee's c....