MARKETHILL CORPORATE ADVISORY SERVICES PVT LTD,DELHI vs. ITO WARD-16(2), DELHI
Income Tax Appellate Tribunal, DELHI BENCH ‘SMC’’ : NEW DELHI
Before: SHRI MAHAVIR SINGH, HON’BLEAsstt. Year : 2016-17
This appeal by the assessee is emanating from the order of the National
Faceless Appeal Centre, Delhi dated 30.05.2025 relating to assessment year
2016-17 on the following grounds:-
1. That the CIT(A) assessment order dated 30.05.2025 passed u/.s
250/143(3) of the Income Tax is illegal, void, contrary to the law and passed without affording the proper / reasonable opportunity of being heard resulting the entire additions were suo motto which is liable to be quashed full arguments shall be advanced at the time of the hearing.
2. The CIT(A) has erred in law and facts by passing the assessment order on 30.05.2025 in a hurried manner despite having time for affording the appellant a reasonable opportunity of being heard. They unable to make compliance of same on last moment of time as it were not come to their knowledge on regular basis. Hence the order is liable to be quashed full arguments shall be advanced at the time of the hearing.
3. That the CIT(A) has erred in law by passing an order u/s. 143(3) without fulfilling the ingredients of section 143(3) hence the order is 2 | P a g e liable to be quashed full arguments shall be advanced at the time of the hearing.
4. The CIT(A) has erred on facts and law by making the additions of Rs.
48,13,200/- under “Income From Business & Profession” i.e. treating the entire transactions as “unexplained expenditure” without taking the genuineness of the transactions. Also the CIT(A) has made the addition of Rs. 48,13,200/- without considering the books of account, audit report. Hence, the additions are liable to be deleted full arguments shall be advanced at the time of the hearing.
5. That the CIT(A) has erred in law by directing for charging the interest u/s. 234A/B/C & D full arguments shall be advanced at the time of the hearing.
6. The CIT(A) has erred in law by initiating the penalty proceedings u/s.
272A(1)(d) full arguments shall be advanced at the time of the hearing.
7. That the appellant craves leave to add, alter or delete all or any of the ground before or at the time of hearing of this appeal.
None appeared on behalf of the assessee, despite issue of notice for hearing, hence, I am proceeding exparte qua the assessee, after hearing the Ld. DR. 3. Upon careful consideration, I find that it was the contention of the assessee made in the grounds of appeal that Ld. CIT(A) was not justified in passing the order without affording a reasonable opportunity to the assessee. It is also noted that CIT(A) has not passed a speaking order on the merits of the case, however, he only simply affirmed the action of the Assessing Officer by holding as under:- “In view of above discussion after considering the entire conspectus of the case, I have no hesitation miserably failed to justifiably establish the genuineness of payment salary to the tune of Rs. 48,123,200. Therefore I am of the opinion that the impugned order of the AO dated 12.11.2018 is based on apropos consideration of facts and law and hence the same does not warrant interference. Accordingly, I am of the opinion that AO’s decision of determining total income after disallowance of salary expenditure / additions of Rs. 48,13,200/- on account of un-explained expenditure is justified and in accordance with law. Accordingly, impugned addition stand confirmed. The grounds in this regard are dismissed.”
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1 In view of the aforesaid findings, I am of the considered view that Ld. CIT(A) has not passed a speaking order on the merits of the case, therefore, in view of the aforesaid factual matrix and in the interest of justice, I remit back the issues in dispute to the file of the Ld. CIT(A)/NFAC with the directions to decide the issues on merits afresh, after giving adequate opportunity of being heard to the assessee, by passing a speaking order, in accordance with law, for which ld. DR has no objection. I hold and direct accordingly. However, the assessee is directed through his Ld.AR to fully cooperate with the Ld. CIT(A) in the proceedings before him. 4. In the result, the Assessee’s appeal is allowed for statistical purposes.
Order pronounced in the Open Court on 07.08.2025. (MAHAVIR SINGH)
VICE PRESIDENT
Date: 19.08.2025
SRBhatnaggar