KEM HOSPITAL EMPLOYEE CO OP CREDIT SOCIETY,PUNE vs. INCOME TAX OFFICER, WARD-6(1), PUNE, PUNE

This appeal by the assessee arises out of the ex parte order dated 21-03-2023 passed by the CIT(A) in National Faceless Appeal Centre, Delhi u/s.250 of the Income-tax Act, 1961 (hereinafter also called ‘the Act’) in relation to the assessment year 2017-18.

It is seen that the assessment order in this case was passed u/s.143(3) of the Act denying the benefit of deduction u/s 80P of the Act on interest income amounting to Rs.16,46,097/- earned from the deposits with PDCC and Union Banks. The ld. CIT(A), in para 5.1 of the impugned order, noted that the “Sufficient and adequate opportunities were afforded to the appellant as indicated at table at para no.4.1.1. No reply whatsoever has been submitted by the appellant. He, therefore, dismissed the appeal ex-parte order qua the assessee.

After hearing both the sides and considering the entirety of facts and circumstances of the case, I am of the opinion that it would be just and fair if the impugned order is set-aside and the matter is remitted to the file of the ld. CIT(A) with a direction to decide the appeal afresh as per law after allowing a reasonable opportunity of hearing to the assessee. I order accordingly. The ld. AR has undertaken that the assessee will render full assistance to the ld. first appellate authority in such fresh proceedings.

In the result, the appeal is allowed for statistical purposes. Order pronounced in the Open Court on 09th June, 2023.