What did the Tribunal hold?

The Tribunal set aside the ex-parte orders of the CIT(A) and remanded the matters back for fresh adjudication. The CIT(A) was directed to provide an opportunity of being heard to the assessee and decide the appeals on merit.

The assessee's appeals were dismissed ex-parte by the CIT(A) without providing a reasonable opportunity of being heard. The assessee contended that proper opportunities were not given, while the CIT(A) claimed multiple opportunities were provided but not availed.

What were the issues?

Whether the CIT(A) erred in passing ex-parte orders without affording a reasonable opportunity of being heard to the assessee. The core issue was the denial of natural justice.

Dharmadev Infrastructure Ltd. vs DCIT | ITAT Ahmedabad 2021

Income Tax Appellate Tribunal, AHMEDABAD “D” BENCH

Before: SHRI MAHAVIR PRASAD & SHRI WASEEM AHMED

For Appellant: Shri Aseem Thakkar, A.R

These three appeals filed by the Assessee is directed against the order of the Commissioner of Income Tax (‘hereinafter called CIT(A)’) for passing ex-parte order to 415/Ahd/2019 2 . A.Y. 2016-17 dismissing the appeal without giving reasonable opportunity of being heard to the assesse.

At the outset, when these matters were taken up for hearing, Ld. A.R. on behalf of the assesee stated that in these appeals ld. CIT(A) has passed an ex parte order and not proper opportunity was being given to the appellant.

On the other hand, Ld. CIT(A) has mentioned in his orders that several opportunities were given to the appellant but he did not avail any of the opportunity of being heard and noted were also served upon the appellant. And thereafter Ld. CIT(A) confirmed the order of the Ld. A.O. without going in to the merit of the case.

We have heard both the parties and gone through the impugned order.

The Hon’ble Gujarat High Court in the matter of Jayvantsinh N. Vaghela Vs. ITO wherein it is held that appeal cannot be dismissed on technical ground like delay, etc. unless it is found that there is gross negligence on part of assesse and/or there is any mala fide intention on part of assesse in not preferring appeal within period of limitation and/or in filing appeal and matter was decided in favour of the assesse directing that ITAT will decide and dispose of the appeal in accordance with law and on merit.

Thus, in the interest of justice and respectfully following the aforesaid Gujarat High Court judgment, we set aside these appeals back to the file of Ld. CIT(A) to decide matter afresh after giving an opportunity of being heard to the assesse. Since appellants have wasted precious time of the authority, therefore, we impose the cost of Rs. 10,000/- in each appeal and direct appellants to deposit Rs. 10,000/- in each case with the Department within 60 days from the date of the receipt of this order and on production of the cost deposit receipt ld. CIT(A) shall proceed with the appeals and will decide matter as per law. to 415/Ahd/2019 3 . A.Y. 2016-17

In the result, appeals field by the Assessee are allowed for statistical purposes.

Order pronounced in Open Court on 17- 03- 2021

DHARMADEV INFRASTRUCTURE LTD.,AHMEDABAD vs. THE DCIT, TDS CIRCLE, AHMEDABAD

What did the Tribunal hold?

What were the facts?

What were the issues?

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