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Facts
The assessee's appeal pertains to assessment year 2012-13, where cash deposits of Rs. 17.41 lakhs were added as unexplained by the lower authorities. The case was proceeded ex-parte as the assessee did not appear.
Held
The Tribunal found that the CIT(A)/NFAC did not comply with Section 250(6) of the Act by failing to frame points of determination and provide a reasoned speaking order. Therefore, the appeal was restored to the CIT(A)/NFAC for fresh adjudication.
Key Issues
Whether the lower appellate authority's order complied with the procedural requirements of the Income Tax Act, 1961, particularly Section 250(6).
Sections Cited
147, 143(3), 250(6)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCH: “SMC” NEW DELHI
Before: SHRI SATBEER SINGH GODARA
Date of hearing 28.05.2025 Date of pronouncement 28.05.2025 ORDER This assessee’s appeal for assessment year 2012-13, arises against the Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre [in short, the “CIT(A)/NFAC”], Delhi’s DIN and order no. ITBA/NFAC/S/250/2023-24/1057558831(1), dated 31.10.2023 involving proceedings under section 147 r.w.s. 143(3) of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’).
Case called twice. None appears at the assessee’s behest. He is accordingly proceeded ex-parte.
It emerges during the course of hearing that both the learned lower authorities have added the assessee’s entire cash deposits of Rs. 17.41 lakhs as unexplained in assessment order dated 09.12.2019 and upheld in the lower appellate discussion.
Learned departmental representative vehemently argues in support of the impugned addition that the assessee all along has failed to explain the source thereof by filing cogent supportive evidence.
I have given my thoughtful consideration to the assessee’s pleadings all along and the department’s foregoing vehement submissions. It is noticed from a perusal of the learned CIT(A)/NFAC’s detailed discussion in paragraph 6 onwards that there is no compliance to section 250(6) of the Act requiring him to frame points of determination followed by a detailed adjudication thereof by a reasoned speaking order. That being the case, the assessee’s instant appeal is hereby restored back to CIT(A)/NFAC for his afresh appropriate adjudication, within three effective opportunities of hearing at the appellant’s risk and responsibility, in consequential proceedings. Ordered accordingly.
This assessee’s appeal is allowed for statistical purposes.
2 | P a g e Order pronounced in the open court on 28th May, 2025