What did the Tribunal hold?

The Tribunal found that the assessee had valid reasons for not filing submissions and, in the interest of justice, set aside the CIT(A)'s order. The CIT(A) was directed to provide an opportunity of hearing and adjudicate the matter afresh after the assessee files necessary details.

The assessee failed to file submissions before the CIT(A) due to staff unavailability and the COVID-19 pandemic, resulting in an ex-parte order. The assessee requested another opportunity to present their case.

What were the issues?

Whether the CIT(A) erred in passing an ex-parte order without providing sufficient opportunity to the assessee, and whether the assessee had valid reasons for non-compliance.

Ravat Sahakarsakhar Karakhana… vs ITO | ITAT Pune 2023

Income Tax Appellate Tribunal, PUNE BENCHES “B” :: PUNE

Before: SHRI S.S.GODARA & DR. DIPAK P. RIPOTE

For Appellant: Shri Hanmant Dhalve – AR

For Respondent: Shri M.G.Jasnani – DR

Hearing: 16/05/2023Pronounced: 13/06/2023

ORDER PER DR. DIPAK P. RIPOTE, AM: These two appeals filed by the assessee are directed against the separate orders of ld.Commissioner of Income of Tax(Appeals)[NFAC] dated 28.02.2023 for A.Y.2010-11 and 21.03.2023 for A.Y.2011-12 emanating from Assessing Officer’s separate orders under section 143(3) of the Act. The Assessee in has raised the following grounds of appeal as under :

1. On the fact and in the circumstance of the case and in law of the learned NFAC-Commissioner of Income Tax (Appeals) Delhi,

ITA No’s.414 & 415/PUN/2023 Rayat Sahakari Sakhar Karkhana Ltd., [A] has grievously erred in deciding the appeal dismissed, without providing sufficient opportunity to appellate.

On the fact and in the circumstance of the case and in law of the learned NFAC-Commissioner of Income Tax (Appeals) Delhi, has erred in disallowing and adding back on account of Usercharges (Business Income of karkahan) received Treat as a Income from other Sources 3. On the fact and in the circumstance of the case and in law of the learned NFAC-Commissioner of Income Tax (Appeals) Delhi, has erred in disallowing and adding back an amount of Rs.86.92.814/- on account of Interest disallowed u/s. 43B 4. The appellant craves for the leave, add, alter, amend, modify and delete any or all the above grounds of appeal

s before or at the time of hearing.” Submission of ld.AR :

2. The ld.AR pleaded that ld.CIT(A) had passed ex-parte order. The ld.AR pleaded that assessee could not file details before the ld.CIT(A) due to non-availability of staff and due to COVID-19 Pandemic. The ld.AR pleaded that one more opportunity may kindly be given to file the necessary details before the ld.CIT(A).

The ld.DR relied on the order of lower authorities.

Findings and Analysis : 4. It is observed that assessee had failed to file submission before ld.CIT(A). The ld.CIT(A) has passed an ex-parte order. We are convinced that assessee could not file relevant details due to valid reason. In the interest of justice, we deem it fit to set-aside the order to ld.CIT(A) for denovo adjudication. The ld.CIT(A) shall provide

ITA No’s.414 & 415/PUN/2023 Rayat Sahakari Sakhar Karkhana Ltd., [A] opportunity of hearing to the assessee. The assessee shall file all the necessary details before the ld.CIT(A). Accordingly, grounds of appeal are allowed for statistical purpose.

In the result, appeal of the assessee is allowed for statistical purpose.

Since we have already decided the appeal of the Assessee above, and we note that similar facts are involved in this appeal of the assessee, therefore, our decision in shall apply mutatis-mutandis to this appeal also. Accordingly, grounds of appeal are allowed for statistical purpose.

In the result, appeal of the assessee is allowed for statistical purpose.

Order pronounced in the open Court on 13th June, 2023.

RAVAT SAHAKARSAKHAR KARAKHANA LTD,SATARA vs. THE INCOME TAX OFFICER, WARD-1, SATARA

What did the Tribunal hold?

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What were the issues?

Which sections of the Income-tax Act were involved?

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