Case Law Details
Pricewaterhouse Coopers Pvt. Limited Vs DCIT (ITAT Kolkata)
ITAT Kolkata held that dismissal of assessment order passed under section 143(3) on erroneous reasoning that dispute was resolved via Vivad Se Vishwas Scheme. Fresh adjudication directed to decide all the appeals on merits.
Facts- The assessee has filed a number of appeals before the CIT(A). However, CIT(A) dismissed its appeal on the ground that assessee has settled the dispute under the Vivad Se Vishwas Scheme. Accordingly, the appellant has explained in details of impugned orders and how these orders are not sustainable.
Conclusion- The assessee has contended that it has challenged the assessment order dated 27.03.2015 passed under section 143(3) of the Income Tax Act before the ld. CIT(Appeals) and this appeal before the ld. CIT(Appeals) emanates from the assessment order, whereas the assessee has resolved the dispute under VSV regarding a penalty imposed under section 271(b) for non-compliance of some notice or non appearance of the assessee. It was a penalty of Rs.10,000/-, which was resolved by the assessee under the VSV. The ld. Commissioner erroneously construed that certificate as an evidence for resolving the dispute qua the demand raised vide assessment order passed under section 143(3) of the Income Tax Act. The ld. D.R. was unable to controvert these facts.
On due consideration of the above circumstances, we are of the view that impugned orders are not sustainable. The ld. CIT(Appeals) is required to decide all these appeals on merit instead of dismissing them on the ground that assessee has availed the benefit of Vivad Se Vishwas Scheme. Therefore, all these issues are relegated to the ld. 1st Appellate Authority for fresh adjudication in each appeal.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
Author Bio
