CRP BEAUMONT RESEARCH(INDIA)RIVATE LIMITED,MUMBAI vs. ITO WARD 9(2)(1), AAYAKAR BHAWAN

The assessee filed its return of income for the assessment year 2019-20 declaring total income of Rs.26,41,310/-. Subsequently, information was received by the Assessing Officer through the Insight Portal that the assessee had made non-genuine purchases amounting to Rs.1,33,21,728/- from M/s Supeema Advisory Pvt. Ltd., stated to be a bogus concern. Notice under section 148 was issued, followed by statutory notices under section 142(1). However, the assessee neither responded nor furnished the requisite details and supporting documentary evidence in respect of the impugned purchases. Consequently, the Assessing Officer completed the assessment under section 147 read with section 144 of the Act and made an addition of Rs.1,33,21,728/- under section 69C of the Act.

Aggrieved, the assessee preferred an appeal before the Commissioner (Appeals). However, the assessee did not respond to the Commissioner (Appeals) either and did not furnish any written submissions or supporting evidence to controvert the findings of the Assessing Officer. The Commissioner (Appeals), therefore, decided the appeal on the basis of the material available on record and dismissed the appeal.

Before us also, despite the matter being listed for hearing, the assessee has neither appeared nor furnished any material or explanation in support of its case. Thus, it is evident that the assessee has consistently failed to avail the opportunities granted by the Assessing Officer, the Commissioner (Appeals) and, now, the Tribunal.

In the aforesaid circumstances, though the assessee has failed to avail the opportunities granted at every stage, in the interest of substantial justice and to ensure that the issue is adjudicated on merits, we consider it appropriate to grant one final opportunity to the assessee. Accordingly, the impugned order of the Commissioner (Appeals) is set aside and the matter is restored to the file of the Commissioner (Appeals) for adjudication of the issues arising in the appeal on merits, in accordance with law.

The assessee is specifically directed to furnish all relevant documents, evidences, details and explanations upon which it seeks to rely in support of its claimbefore the Commissioner (Appeals). No adjournment shall be sought by the assessee, and the assessee shall cooperate fully in the appellate proceedings. The Commissioner (Appeals), after considering the material and submissions furnished by the assessee, as well as the material available on record, shall adjudicate the issues on merits and pass a reasoned and speaking order in accordance with law, after affording due opportunity of being heard to the assessee.

It is made clear that this is a final opportunity being granted to the assessee. In case the assessee once again fails to respond to the Commissioner (Appeals) or fails to furnish the relevant material and details despite due opportunity, the Commissioner (Appeals) shall be at liberty to proceed with the appeal and decide the issues on merits on the basis of the material available on record.

With the above directions, the grounds raised by the assessee are allowed for statistical purposes.