LEON CROP SCIENCES PRIVATE LIMITED ,HYDERABAD vs. INCOME TAX OFFICER, WARD-16(1), HYDERABAD

The assessee has raised the following grounds in ITA No. 1793/Hyd/2018: “1. The order of the Ld. CIT(A) is erroneous both on facts and in law. 2. The Ld. CIT (A) erred in confirming the addition of Rs. 9,44,029/- made by the AO towards foreign tour expenses without considering the fact that no TDS need be made in respect of the payment made.

The assessee has raised the following grounds in ITA No.2158/Hyd/20 18:

At the outset, the Ld. AR submitted before us that the Ld. CIT (A) has passed ex-parte orders in both the appeals without providing an opportunity to the assessee of being heard. It was therefore pleaded that the appeals may be remitted back to the file of the Ld CIT (A) in order to provide one more opportunity to the assessee to pursue the appeals. Ld. DR, on the other hand, vehemently opposed to the submissions of the Ld. AR and argued that sufficient opportunities had been provided to the assessee however, on the given dates of hearing, neither the assessee nor his Representative appeared before the Ld. CIT (A). It was further submitted that the Ld. CIT (A) had no other option but to pass ex-parte orders on merits based on the materials available on record. Hence, it was pleaded that the order passed by the Ld. CIT(A) does not call for any interference and appeals of the assessee may be dismissed.

I have heard the rival submissions and carefully perused the materials on record. On examining the facts of the case, I find merit in the submissions of the Ld. DR. The Ld. CIT (A) had posted the case on several occasions. However, none appeared on behalf of the assessee before the CIT(A) on the given dates of hearing. Therefore, the Ld. CIT (A) was left with no other option except to adjudicate the appeal ex-parte. In this situation, I do not find much strength in the arguments advanced by the ld. AR. However, considering the prayer of the Ld. AR, and in the interest of justice, I hereby remit the appeals back to the file of Ld. CIT (A) in order to consider the appeals afresh by providing one more opportunity to the assessee of being heard. At the same breath, I also hereby caution the assessee to promptly cooperate before the Ld. CIT (A) in the proceedings failing which the Ld. CIT (A) shall be at liberty to pass appropriate orders in accordance with law and merits based on the materials on the record. It is ordered accordingly.

In the result, appeals filed by the assessee are allowed for statistical purposes as indicated hereinabove. Pronounced in the open Court on 23rd December, 2019. Sd/- (A. MOHAN ALANKAMONY) ACCOUNTANT MEMBER Hyderabad, Dated: 23rd December, 2019