Case Number: ITA 38/DEL/2021
Appellant: Climax Overseas Pvt Ltd, Gurgaon
Respondent: Addl. CIT Special Range-2, Gurgaon
Assessment Year: 2018-19
Result: 2018-19
Case Filed on: 2021-01-20
Order Type: Final Tribunal Order
Date of Order: 2023-04-17
Pronounced on: 2023-04-17
The present appeal filed by Climax Overseas Pvt Ltd for the assessment year 2018-19 is directed against the order of the Ld. CIT(A)-2, New Delhi dated 04.02.2020. The grounds of appeal raised by the appellant include:
At the time of hearing, no one attended the proceedings on behalf of the assessee. It is noted that neither anyone has been attending the proceedings since 26.07.2022 nor any request has been filed for adjournment of hearing on behalf of the assessee. Under these facts, the appeal is taken up for hearing in the absence of the assessee and is being disposed of on the basis of material available on record.
Facts giving rise to the present appeal are that the AO recorded that no return of income was filed within the due date. A notice u/s 142(1) of the Income Tax Act, 1961 was issued on 14.03.2019 for filing a return of income. It is further noted that the assessee had deposited short self-assessment tax. Hence, a notice u/s 221 of the Act was issued on 24.04.2019. In response to the notice, the Authorized Representative of the assessee attended the proceedings before the AO. Despite various opportunities, the assessee did not make payment of self-assessment tax, leading to the imposition of a penalty u/s 221 of the Act, amounting to Rs.25,00,000/-.
Aggrieved by this, the assessee preferred an appeal before the Ld. CIT(A). There was no representation on behalf of the assessee before the Ld. CIT(A), and the appeal was dismissed, sustaining the order of imposing penalty u/s 221 of the Act.
Aggrieved by the order of the Ld. CIT(A), the assessee preferred the instant appeal before the Tribunal. The Ld. CIT DR submitted that the assessee has been thoroughly negligent, not appearing before the Ld. CIT(A) and not complying with the statutory requirements. The authorities below were justified in imposing a penalty u/s 221 of the Act.
The Tribunal reviewed the material available on record and found that the assessee has been thoroughly negligent, with no representation before the Ld. CIT(A) and the Tribunal despite various opportunities. In the absence of any material rebutting the finding of the Assessing Authority, the Tribunal did not see any reason to interfere with the findings of the lower authorities, which were affirmed. Therefore, the grounds raised by the assessee were dismissed.
Conclusion: In the result, the appeal of the assessee is dismissed.
Order pronounced in the open Court on 17th April, 2023.
(M BALAGANESH) ACCOUNTANT MEMBER
(KUL BHARAT) JUDICIAL MEMBER
* Amit Kumar *
Copy forwarded to:
Assistant Registrar, ITAT, New Delhi
Climax Overseas Pvt Ltd vs Addl. CIT Special Range-2, Gurgaon: Penalty U/s 221 – AY 2018-19
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