Spooner Industries P.Ltd, Hapur ITO, Ward-3(5), Hapur

This Income Tax Appellate Tribunal case involves an appeal by Spooner Industries P Ltd against an order by the CIT(Appeals). The core of the appeal concerns the assessment for the 2014-15 year. Spooner Industries argues that their case, initially selected for limited scrutiny, was improperly converted to full scrutiny without proper notice, violating natural justice principles. They also contend that the Assessing Officer requested information beyond the scope of limited scrutiny guidelines.

INCOME TAX APPELLATE TRIBUNAL
DELHI BENCH “G”: NEW DELHI

BEFORE SHRI H.S.SIDHU, JUDICIAL MEMBER
A N D
SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER
(Through Video Conferencing)

ITA No. 2780/Del/2019
(Assessment Year: 2014-15)

M/s. Spooner Industries P Ltd,
Khasara No. 351-53,
Village Kandola, Tehsil
Dhoulane, Hapur, Uttar Pradesh.
PAN : AAPCS8921G
(Appellant) 

Vs.

ITO,
Ward-3(5),
Hapur
(Respondent)

Assessee by : Shri R. S. Singhvi, CA;
Shri Satyjeet Goel, CA; &
Shri Prateek Gupta, CA.
Revenue by: Ms. Aman Preet, Sr. DR

Date of Hearing 03/11/2020
Date of pronouncement 28/12/2020

O R D E R

PER PRASHANT MAHARISHI, A. M.

1. This appeal is filed by the assessee against the order of the ld. CIT(Appeals), Muzaffarnagar, dated 26.12.2018 for the Assessment Year 2014-15 raising the following grounds of appeal:-

“1. On the facts and circumstances of the case the order passed by the Ld. CIT(A) is bad both in eyes of law and on facts.

2. On the facts on circumstances of the case the Ld. CIT(A) erred in law and on facts in upholding the action of Ld. AO in framing the assessment which is contrary to Instruction No. 5/2016 dated 14.07.2016 i.e. the case of the assessee was selected for Limited Scrutiny and later on converted to Full Scrutiny without according an opportunity to the assessee and therefore in violation of principle of natural justice.

3. On the facts on circumstances of the case the Ld. CIT(A) erred in lawand on facts in upholding the action of Ld. AO in framing theassessment which is contrary to Instruction No. 20/2015 dated29.12.2015 i.e. assessee was asked to furnish the information’s which were out of the purview of limited scrutiny guidelines.

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