TIANJIAN TIANSHI INDIA PRIVATE LTD. ,NEW DELHI vs. DCIT CIRCLE-25(1), NEW DELHI

सुनवाईक�तारीख/ Date of hearing 03.01.2023 : उ�ोषणाक�तारीख/Pronouncement 20.02.2023 on : आदेश / O R D E R PER C. N. PRASAD, J.M.

1, This appeal is filed by the assessee against the order of the Ld. Commissioner of Income Tax (Appeals)-43, New Delhi 1 [hereinafter referred to CIT (Appeals)] dated 23.03.2018 for the Assessment Year 2011-12 in dismissing the appeal of the assessee ex-parte.

3. On hearing both the parties and perusing the orders of the authorities below we notice that assessment in this case was completed under section 144C/144 of the Income Tax Act, 1961 (the Act) on 16.03.2015 making various additions in the absence of assessee complying with the notices dated 18.10.2013 and 25.11.2014. It is observed from the assessment order that the Assessing Officer repeated the addition which was made in the earlier assessment year stating that addition/disallowance was made based on past record. Surprisingly it is noticed that the Assessing Officer made this addition since similar additions were made in the immediately preceding assessment year i.e. in 2009-10, in the absence of audited accounts furnished by the assessee for the assessment year under consideration and he was of the opinion that in the absence of audited accounts it is not possible to say whether these claims were either made in this year or not. The Assessing Officer simply on assumption and not even knowing whether the assessee has made similar claims during this assessment year he made the disallowance based on past records and the ld. CIT (Appeals) simply sustained the order of the Assessing Officer as there was no compliance by the assessee for the notices issued. Therefore, taking the totality of facts and circumstances into consideration the order of the ld. CIT (Appeals) is set aside and the appeal of the assessee is restored to the file of the Assessing Officer for de novo assessment in accordance with law after providing adequate opportunity of being heard to the assessee. Grounds raised by the assessee are allowed for statistical purposes.