TMI Blog2023 (5) TMI 1010X X X X Extracts X X X X X X X X Extracts X X X X ..... he assessee along with the relevant record. High-Pitched Committee noted that the petitioner did not comply with notice under Section 142(1) of the Act dated 03-12-2020 nor did he comply with the reminder letter dated 20-12-2020 or then the show cause notice dated 19-1-2021. The Committee further noted that the reminder letter dated 03-2-2021 is responded belatedly and there is no compliance with the letter dated 26-2-2021. In writ jurisdiction, we are not inclined to delve deeper in the narrative and the counter narrative. The assessee is only denied out of turn hearing. We do not find any irrationality in the reasons recorded by the High-Pitched Committee. Stay of demand - Department has already shown indulgence inasmuch as Stay is granted for assessment year 2018-19 on the condition of payment of Rs. 4,00,000/- (Rupees Four Lakh) per month, the first installment being due and payable from November 2022. In essence, the petitioner is permitted to deposit 20% demand, in monthly installment of Rs. 4,00,000/- (Rupees Four Lakh). In our considered view, the department has been very reasonable and considerate. Petition is absolutely meritless, and is dismissed with costs of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1,17,232/- was added and Demand Notice for Rs. 4,94,31,517/- was issued to the petitioner. 6. The petitioner preferred an appeal before respondent 3 National Faceless Appeal Centre, New Delhi on 18.4.2021. The petitioner preferred an application for stay. The petitioner also preferred separate application before respondent 6 Deputy Commissioner of Income Tax for stay of the demand. 7. The petitioner contends that respondent 2 Central Board of Direct Taxes ( CBDT ) has issued Circular dated 29.12.2021 articulating guidelines for priority disposal of the appeals pending with respondent 3 National Faceless Appeal Centre. The guidelines inter alia provide that where a demand raised is above Rupees One Crore and where the assessee is facing genuine hardship, respondent 3 National Faceless Appeal Centre, on recommendations of respondent 4, shall take up the hearing of the appeal out of turn. 8. The petitioner claims that in the light of the Circular dated 29.12.2021, he requested for out of turn hearing of the appeal pending with respondent 3 National Faceless Appeal Centre. However, on 26.8.2022, respondent 6 rejected the application for stay of recovery of demand on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tructions 1914 of 2016 and informed that the request for stay could be considered only after the payment of at least 20% of gross demand. The petitioner did not comply and on 2.9.2022 addressed communication to Commissioner of Income Tax-1, seeking stay till the disposal of the appeal. As regards the grievance that the High Pitched Committee did not consider the material on record, and that the petitioner was not heard, we may extract the Circular dated 29-12-2021, which we have already noted albeit partially earlier : F. No.279/Misc./M-102/2021-ITJ Government of India (Ministry of Revenue) Central Board of Direct Taxes ITJ Section 29-12-2021 To, All Pr.CcsIT Subject Guidelines for priority/out of turn disposal of appeals by CsIT (AU) and CsIT (Appeals) reg. It has come to notice that many taxpayers have requested for priority/out of turn hearing of their appeals pending with CsIT(AU) and/or CIT(A). With a view to address the issue it is decided that requests covering genuine and exceptional circumstances, raised at the instance of the appellant, may be considered by the Pr. CCIT NFAC and CCsIT of Central charges and I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cal Committee would be examined by it to ascertain whether there is a prima facie case of High-Pitched Assessment, non-observance of principles of natural justice, nonapplication of mind or gross negligence of Assessing Officer/Assessment Unit. (iv) The Local Committee may call for the relevant assessment records to peruse from the Jurisdictional Pr.CIT concerned. (v) The Local Committee may seek inputs from the Directorate of Systems (ITBA/e-filing/CPC-ITR, CPC-TDS, etc.) on Systems-related issues emanating from the grievance/matter under consideration, if considered necessary. (vi) Local Committee would ascertain whether the addition(s) made in assessment order is/are not backed by any sound reason or logic, the provisions of law have grossly been misinterpreted or obvious and well-established facts on records have outrightly been ignored. The Committee would also take into consideration whether principles of natural justice have been followed by the Assessing Officer/Assessment Unit. Thereafter, Local Committee shall submit a report treating the order as High-Pitched/Not High-Pitched, along with the reasons, to the Pr. CCIT concerned. (vii) The Loca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssions were made does not bear ground. It is also seen that the assessee was given reasonable opportunity of being heard. However, the assessee did not produce the evidences as required and asked for by the Assessing Officer. The AO has computed the increase in capital as an income of the previous year and after deducting there from total income shown as per ITR, which is based on available documents on record. The difference in capital was assessed as unexplained cash-credit u/s 68 which is as per the I.T. Act, 1961. As such the Assessing Officer has concluded the assessment proceeding and passed the assessment order on the basis of available evidences and as per the provision of I.T. Act. Under the facts and circumstances of the case and the findings discussed in the preceding paras, the Committee is of the considered opinion that the addition made in the assessment order is based on facts. The provisions of the law have not been misinterpreted. The AO had not ignored the relevant facts on record. However, the A.O. should have observed the Tax Audit report carefully which includes certain income and capital receipts, which are not credited to profit and loss A/c. The ..... X X X X Extracts X X X X X X X X Extracts X X X X
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