Loading judgment…
No AI summary yet for this case.
Income Tax Appellate Tribunal, “A” BENCH, CHENNAI
Before: HON’BLE SHRI MAHAVIR SINGH, VP & HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM
O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2019-20 arises out of the order of learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi [CIT(A)] dated 15-03- 2023 confirming penalty u/s 271B for Rs.1.50 Lacs. The impugned penalty has been levied by Ld. AO vide order dated 24-01-2022. At the time of hearing, none appeared for assessee. The Ld. Sr. DR submitted that penalty was mandatory in nature and therefore, the impugned order may be confirmed. Having considered material on record, the appeal is disposed-off as under.
The impugned penalty stem from the facts that the assessee being resident individual filed return of income on 19-03-2020 declaring income of Rs.14.01 Lacs. Since the turnover was Rs.300.76 Lacs, the assessee was required to get his accounts audited u/s 44AB. The assessee failed to do so and accordingly, the impugned penalty was triggered and levied against the assessee. The Ld. CIT(A) upheld the same against which the assessee is in further appeal before us.
We find that the assessee has failed to adduce any reasonable cause u/s 273B for violation of provisions of Sec.44AB. However, keeping in mind the principle of natural justice, we deem it fit to grant another opportunity of hearing to the assessee to substantiate its stand. Accordingly the appeal is restored back to the file of ld. CT(A) for fresh adjudication with a direction to the assessee to substantiate its case.
The appeal stand allowed for statistical purposes. Order pronounced on 31st August, 2023.