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Madras High CourtWP/21340/2023disposed of

Ramasamy Gounder Ponusamy v. Faceless Assessment Unit

2024-11-07Honourable Mr Justice Mohammed Shaffiq7 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED : 07.11.2024

CORAM

THE HONOURABLE MR.JUSTICE MOHAMMED SHAFFIQ and W.M.P.Nos.20737 and 20739 of 2024 Ramasamy Gounder Ponusamy 408-B, Kumar Building, R.K.Nagar, Pitchampalayampudur, Tirupur 641 602.

... Petitioner Vs.

1. Faceless Assessment Unit Assessment Unit, Income Tax Department, New Delhi.

2. Income Tax Officer, Ward 1(1), Tirupur.

... Respondents Prayer : Writ Petition filed under Article 226 of the Constitution of India, praying this Court to issue a Writ of Certiorarified Mandamus, calling for the records of the 1st respondent leading to issuance of Impugned Order dated 21.03.2023 vide ITBA/AST/S/147/2022-23/1051081975(1) and quash the same and direct the 1st respondent to pass an Assessment Order after providing an opportunity of hearing to the petitioner.

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For Petitioner : Mr.KMC.Arunmokan For Respondents : Dr.B.Ramasamy Senior Standing Counsel

ORDER

The present writ petition is filed challenging the impugned order dated 21.03.2023 on the ground that the impugned order insofar it has added the FOB value of exports to the extent of Rs.59,26,71,918/- to the business income, suffers from error apparent on the face of record inasmuch as the impugned order proceeds on the basis that the information uploaded by the customs department on the "insight portal" in respect of Sri Velavan Garments PAN:ASPPP1785L, discloses the following as total value of exports: Invoice date Invoice No.

Invoice Currency FOB Value(Rs.) Filer Name Duty Drawback Received (Rs.) Invoice Value (In Rs.) 2017-07-24 SVG/017/17-18 USD 483269 CBIC 1414861.74 20436962.69 2017-09-01 SVG/021/17-18 USD 196134 CBIC 1414861.74 20436962.69 2017-12-15 SVG/028/17-18 USD 437037 CBIC 1414861.74 20436962.69 2017-09-21 SVG/024/17-18 USD 403392 CBIC 1414861.74 20436962.69 2017-07-06 SVG/014/17-18 USD 2092188 CBIC 1414861.74 20436962.69 2017-06-27 SVG/012/17-18 USD 393280 CBIC 1414861.74 20436962.69 2017-06-20 SVG/011/17-18 USD 1058405 CBIC 1414861.74 20436962.69 2017-06-15 SVG/010/17-18 USD 212211 CBIC 1414861.74 20436962.69 2017-08-16 SVG/019/17-18 USD 446855 CBIC 1414861.74 20436962.69 2017-07-11 SVG/015/17-18 USD 446219 CBIC 1414861.74 20436962.69 2017-08-02 SVG/018/17-18 USD 585350 CBIC 1414861.74 20436962.69 2017-05-23 SVG/005/17-18 USD 1618827 CBIC 1414861.74 20436962.69 2/7

Invoice date Invoice No.

Invoice Currency FOB Value(Rs.) Filer Name Duty Drawback Received (Rs.) Invoice Value (In Rs.) 2017-06-08 SVG/009/17-18 USD 1592970 CBIC 1414861.74 20436962.69 2017-09-27 SVG/025/17-18 USD 142810 CBIC 1414861.74 20436962.69 2017-10-09 SVG/026/17-18 USD 404118 CBIC 1414861.74 20436962.69 2017-06-03 SVG/008/17-18 USD 348502 CBIC 1414861.74 20436962.69 2017-05-11 SVG/003/17-18 USD 583031 CBIC 1414861.74 20436962.69 2018-01-05 SVG/029/17-18 USD 310973 CBIC 1414861.74 20436962.69 2017-07-03 SVG/013/17-18 USD 1126805 CBIC 1414861.74 20436962.69 2017-04-26 SVG/002/17-18 USD 1064413 CBIC 1414861.74 20436962.69 2017-04-03 SVG/001/17-18 USD 538164 CBIC 1414861.74 20436962.69 2017-08-26 SVG/020/17-18 USD 116706 CBIC 1414861.74 20436962.69 2017-10-10 SVG/027/17-18 USD 31634 CBIC 1414861.74 20436962.

69 2017-06-01 SVG/007/17-18 USD 1163748 CBIC 1414861.74 20436962.69 2017-05-12 SVG/004/17-18 USD 544993 CBIC 1414861.74 20436962.69 2017-09-13 SVG/023/17-18 USD 186616 CBIC 1414861.74 20436962.69 2017-09-06 SVG/022/17-18 USD 84645 CBIC 1414861.74 20436962.69 2017-05-25 SVG/006/17-18 USD 307003 CBIC 1414861.74 20436962.69 2017-07-18 SVG/016/17-18 USD 237095 CBIC 1414861.74 20436962.69 TOTAL 41030990.

2. It is submitted by the learned counsel for the petitioner that the above figures are wholly incorrect and the FOB value of exports of the petitioner was only Rs.1,71,57,396/-, on which duty drawback of Rs. 14,28,247/- was availed. In support thereof, the learned counsel for the petitioner would also submit the summary of exports along with copies of invoices. The table containing the summary of exports is extracted hereunder :

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SUMMARY OF EXPORTS OF SREE VELAVAN GARMENTS FOR AY 2017-18 S.NO.

DATE INVOICE USD FOB VALUE INVOICE VALUE(Rs.) PARTICULAR (In $) (In Rs.) 1.

24.07.2017 SVG/017/17-18 9085.56 483269.06 576933.06 2.

01.09.2017 SVG/021/17-18 4352.00 196134.40 276134.40 3.

15.12.2017 SVG/028/17-18 7396.87 437037 471180.63 4.

21.09.2017 SVG/024/17-18 9627.94 403391.78 613299.70 5.

06.07.2017 SVG/014/17-18 32176 2092188.20 2092188.20 6.

27.06.2017 SVG/012/17-18 8512.38 393280.33 540536 7.

20.06.2017 SVG/011/17-18 16667.80 1058405.30 1058405.30 8.

15.06.2017 SVG/010/17-18 5043.33 212211.46 343111.46 9.

16.08.2017 SVG/019/17-18 8897.25 446854.51 564530.51 10.

11.07.2017 SVG/015/17-18 8344.32 446219.26 533619.26 11.

02.08.2017 SVG/018/17-18 13051.74 585349.86 820301.86 12.

23.05.2017 SVG/005/17-18 25453.26 1618827.34 1618827.34 13.

08.06.2017 SVG/009/17-18 25007.38 1592970.11 1592970.11 14.

27.09.2017 SVG/025/17-18 4683.70 142809.69 298351.69 15.

09.10.2017 SVG/026/17-18 6284.88 404117.78 404117.78 16.

03.06.2017 SVG/008/17-18 6357.96 348502.05 405002.05 17.

11.05.2017 SVG/003/17-18 9196.08 583031.47 583031.47 18.

05.01.2018 SVG/029/17-18 5424.80 310973.04 340677.44 19.

03.07.2017 SVG/013/17-18 21225.78 1126805.03 1347837.03 20.

26.04.2017 SVG/002/17-18 16670.52 1064412.70 1064412.70 21.

03.04.2017 SVG/001/17-18 10207.44 538163.65 653317.65 22.

26.08.2017 SVG/020/17-18 3827.14 116706.03 242333.03 23.

10.10.2017 SVG/027/17-18 803.02 31634.19 31364.19 24.

01.06.2017 SVG/007/17-18 18269.20 1163748.04 1163748.04 25.

12.05.2017 SVG/004/17-18 11110.86 544992.52 704428.52 26.

13.09.2017 SVG/023/17-18 3864.43 186618.20 244425.20 27.

06.09.2017 SVG/022/17-18 2598.80 84644.86 164893.86 28.

25.05.2017 SVG/006/17-18 5938.92 307003.31 377715.31 29.

18.07.2017 SVG/016/17-18 4810.32 237094.96 307619.96

3. The learned counsel for the petitioner would request that they were unable to participate in the adjudication proceedings as the business was closed 4/7

down in the year 2018 and therefore had no occasion to verify / check the web portal wherein the notices were uploaded.

4. The learned counsel for the respondent would submit that the notices were also sent through E-mails. However, the learned counsel for the petitioner would submit that no E-mails were received.

5. This Court finds that apparently there are serious discrepancies in the FOB value adopted by the revenue and that disclosed by petitioners which is glaring when the two tables are Compared. To a pointed question to the learned counsel for the respondent as to inconsistency between two statement and the basis for arriving at Rs.59,26,71,918/- as the FOB value of the exports made, more so when the petitioner invoice wise statement indicated that the FOB value of exports was only Rs.1,71,57,396/-. It was submitted by the learned counsel for the respondent that they would reconsider the issue.

6. In view thereof, the petitioner is granted one final opportunity to produce the documents and the assessing officer would re-consider the same. It is open to the petitioner to produce relevant documentary evidence along with reply within a period of 2 weeks from the date of receipt of a copy of this order, 5/7

if any such reply or documentary evidences are filed, the same would be considered and orders shall be passed in accordance with law. If for any reason documentary evidence or replies are not filed within the stipulated period i.e., 2 weeks from the date of receipt of a copy of this order, the assessment order would stand restored.

7. Accordingly, the writ petition is disposed of. Consequently, connected miscellaneous petitions are closed.

07.11.2024 Index : Yes / No Internet : Yes/ No spp To:

1. Faceless Assessment Unit Assessment Unit, Income Tax Department, New Delhi.

2. Income Tax Officer, Ward 1(1), Tirupur.

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MOHAMMED SHAFFIQ , J.

spp and W.M.P.Nos.20737 and 20739 of 2024 07.11.2024 7/7