ASK CHEMICALS INDIA PRIVATE LIMITED,PUNE vs. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-1(1),PUNE, PUNE

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “SMC”, PUNE BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER आयकर अपील सं. / ITA No.479/PUN/2023 िनधा�रण वष� / Assessment Year : 2019-20 Ask Chemicals India Private Vs. DCIT, Circle-1(1), Pune. Limited, 305-311, 3rd Floor, Century Arcade, Narangibaug Road, Pune- 411001. PAN : AACCA0713D Appellant Respondent Assessee by : Shri Kishor Phadke Revenue by : Shri Rajesh Gawali Date of hearing : 20.06.2023 Date of pronouncement : 10.07.2023 आदेश / ORDER PER INTURI RAMA RAO, AM: This is an appeal filed by the assessee directed against the order of the National Faceless Appeal Centre, Delhi [‘NFAC’] dated 24.02.2023 for the assessment year 2019-20. 2. Briefly, the facts of the case are that the appellant had filed Return of Income for the assessment year 2019-20 on 29.11.2019.

2 ITA No.479/PUN/2023 Against the said return of income, an intimation u/s 143(1) of the Income Tax Act, 1961 (‘the Act’) was received by the appellant. The intimation dated 01.05.2020, wherein, the prima-facie adjustment of gratuity payment of Rs.6,36,570/- and ESI amount of Rs.3,056/- was disallowed. Against the said intimation, an appeal was filed before the NFAC, who vide impugned order dismissed the appeal in limine for non-prosecution without going into the merits of the adjustments. 3. Being aggrieved, the appellant is in appeal before this Tribunal in the present case. 4. I heard the rival submissions and perused the material on record. On perusal of the impugned order, it would be clear that the NFAC had dismissed the appeal in limine for non-prosecution. Now, the law is settled to the extent that the Commissioner of Income Tax (Appeals) is bound to dispose of the appeal on merits even in the case of ex-parte orders. The settled positions of law mandates the Commissioner of Income Tax (Appeals) to dispose of the appeal by adjudicating the issue raised in appeal on merits. In the circumstances, I am of the considered opinion that the NFAC

3 ITA No.479/PUN/2023 should go into to the merits of the issue in appeal and dispose the appeal. Since the NFAC had not disposed of the matter on merits, I remand the matter to the file of the NFAC for fresh adjudication on merits based on the material available on record. 5. In the result, the appeal filed by the assessee stands partly allowed. Order pronounced on this 10th day of July, 2023. Sd/- Sd/- (S. S. VISWANETHRA RAVI) (INTURI RAMA RAO) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; �दनांक / Dated : 10th July, 2023. Sujeet आदेश क� �ितिलिप अ�ेिषत / Copy of the Order forwarded to : अपीलाथ� / The Appellant. 1. ��यथ� / The Respondent. 2. 3. The Pr. CIT concerned. िवभागीय �ितिनिध, आयकर अपीलीय अिधकरण, “SMC” ब�च, 4. पुणे / DR, ITAT, “SMC” Bench, Pune. गाड� फ़ाइल / Guard File. 5. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune.