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Facts
The assessee, an agriculturist also engaged in business, was unable to respond to notices from the AO due to his daughter's medical treatment. The CIT(A) dismissed the appeal ex-parte as the assessee claimed no notice was served for the CIT(A) proceedings. The assessee sought an opportunity to present submissions.
Held
The Tribunal held that the assessee deserves an opportunity to make submissions before the authorities below. The matter was remanded to the AO for a de novo assessment, providing the assessee with a reasonable opportunity to be heard.
Key Issues
Whether the assessee was denied a reasonable opportunity of being heard before the AO and CIT(A) due to compelling circumstances, warranting a de novo assessment.
Sections Cited
143(2), 144
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCH “A”, DELHI
(A.Y.2017-18) Ashish Bhalwar, 145, Kali Pagri, Bhajanpuri, Amroha, Uttar Pradesh 244221 ...... अपीलाथ�/Appellant PAN: AHJPB-3821-C बनाम Vs. Income Tax Officer, Ward 1(4), ..... �ितवादी/Respondent Amroha, Uttar Pradesh Assessee by : Shri Mayank Gupta, Chartered Accountant Department by : Shri Ashish Tripathi, Sr. DR सुनवाई क� ितिथ/ Date of hearing : 03.03.2025 घोषणा क� ितिथ/ Date of pronouncement : : 03.03.2025 आदेश/ORDER
PER VIKAS AWASTHY, JM:
This appeal by the assessee is directed against an ex-parte order of Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi (hereinafter referred to as 'the CIT(A)') dated 10.11.2023, for assessment year 2017-18.
Shri Mayank Gupta, appearing on behalf of the assessee submits that the assessee is an agriculturist and is also engaged in the business. The Assessing Officer (AO) selected the case of assessee for complete scrutiny through CASS, notice u/s. 143(2) of the Income Tax Act,1961(hereinafter referred to as ‘the Act’)
(AY 2017-18) was issued and served on the assessee on 21.09.2018. However, due to compelling circumstances the assessee was away from his home for the treatment of his daughter. She was admitted to the hospital in Delhi for a prolonged period. Consequently, the assessee was unable to respond to the notices issued by the AO resulting in ex-parte order by the Assessing Officer. Thereafter, the assessee filed appeal against assessment order dated 26.11.2019 passed u/s. 144 of the Act before the CIT(A). No notice was ever received by the assessee with regard to the proceedings before the CIT(A). The tax consultant of the assessee who was handling the matter before the CIT(A) also did not inform about the proceedings. All the notices from the CIT(A) were received on temporary email id created by tax consultant of the assessee appearing before the CIT(A). The assessee had no access to the said email id. It was only on receipt of the order passed by CIT(A), that the assessee came to know that appeal of the assessee has been decided ex-parte on 10.11.2023. The ld. Counsel for the assessee prayed for an opportunity to make submissions before the lower authorities. The ld. Counsel submits that the assessee has prima facie good case in his favour and if an opportunity is granted, the assessee would be able to furnish relevant evidences to substantiate his case.
Per contra, Shri Ashish Tripathi representing the department prayed for dismissing appeal of the assessee and upholding the impugned order. The ld. DR submits that ample opportunity was granted by the AO and thereafter the CIT(A). However, the assessee failed to respond to the notices issued by the AO, as well as, the CIT(A).
Both sides heard, orders of the authorities below examined. The assessee has fairly admitted the fact that the notices issued by the AO were served on him, (AY 2017-18) but due to medical exigencies and prolonged illness of his daughter the assessee could not respond to the notices issued by the AO. In so far as non appearance before the CIT(A) is concerned, the contention of the assessee is that no notice was ever served on the assessee. The ld. CIT(A) has dismissed the appeal of assessee for non prosecution.
Considering entire facts of the case, I am of considered view that the assessee deserves an opportunity of making submissions before the authorities below. Hence, the matter is remanded to the AO for denovo assessment, after affording reasonable opportunity of making submissions to the assessee, in accordance with law.
The assessee shall respond to the notice(s) served by the AO, without fail.