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Facts
The assessee filed an income return, which was processed. The case was selected for scrutiny, and a notice was issued for verification of business purchases. The assessee provided partial compliance, and the Assessing Officer observed doubtful purchases due to lack of supporting evidence, leading to an addition to the total income.
Held
The Tribunal noted that the assessee did not appear before the Ld. CIT(A) and did not effectively represent before the Assessing Officer. Considering the interest of justice, the appeal was restored to the Ld. CIT(A) for de novo adjudication.
Key Issues
Whether the appeal should be restored to the Ld. CIT(A) for de novo adjudication due to non-compliance by the assessee, and whether the assessee was afforded a reasonable opportunity of hearing.
Sections Cited
143(3), 144B, 143(1), 143(2), 69C, 250
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Income Tax Appellate Tribunal, DELHI BENCH, ‘C’: NEW DELHI
Before: SHRI VIKAS AWASTHY & SHRI BRAJESH KUMAR SINGH
per details mentioned in para no.4 of his order. The ld. CIT(A) in para no.7 also discussed about the merits of the case and dismissed the appeal of the assessee on the ground that the assessee had failed to avail the opportunity provided and in absence of any substantiation or any documentary evidence filed in support of grounds of appeal, it could only be concluded that the assessee had no evidence or explanation to offer in respect of the additions made in the assessment order.
5. Against the above order of the ld. CIT(A), the assessee is in appeal before us.
We have heard the ld. DR and perused the material available on record. It is seen from the record that the assessee did not appear before the Ld. CIT(A) and also did not make any effective representation before the Assessing Officer as it did not submit the reply to the show-cause notice dated 13.04.2021. It is further seen that the Assessing Officer completed the assessment on 23.04.2021 without allowing any further opportunity to the assessee. Therefore, in the given facts of the case and in the interest of justice, we deem it appropriate to restore this appeal back to the Ld. CIT(A) for de novo adjudication after affording reasonable opportunity of hearing to the assessee in accordance with law.
The assessee is directed to comply with the notice(s) issued by the ld. CIT(A) without fail.
In the result, the appeal of the assessee is allowed for statistical purposes.
Order pronounced in the open court on 23rd June, 2025