JAYANTILAL SHIVJI HIRANI,KENYA vs. INCOME TAX OFFICER, WARD-1(1)(1), RAJKOT

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ITA 272/RJT/2026Status: DisposedITAT Rajkot17 August 2026AY 2020-213 pages
AI SummaryAllowed

What did the Tribunal hold?

The Tribunal restored the matter to the Assessing Officer for fresh adjudication on merits, granting the assessee one more opportunity. A cost of Rs. 1,000/- was imposed on the assessee for non-compliance.

What were the facts?

The assessee failed to file a return of income for AY 2020-21. Proceedings under section 147 were initiated, but the assessee did not comply with notices. The Assessing Officer made an addition of Rs. 60,89,216/-. The appeal before CIT(A) was dismissed ex parte.

What were the issues?

Whether the assessee should be granted an opportunity to contest additions on merits despite previous non-compliance, and whether the ex parte dismissal by the CIT(A) was justified.

Which sections of the Income-tax Act were involved?

Section 147,Section 148,Section 142(1),Section 143(3),Section 250

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, Rajkot Bench, Rajkot

Before: Dr. Arjun Lal Saini & Shri Sonjoy Sarma

For Appellant: Shri Samir Bhuptani, Ld. AR
For Respondent: Shri Ganesh Iyer, Ld. Sr. DR
Hearing: 12/08/2026Pronounced: 17/08/2026

आयकर अपीलीय अिधकरण, राजकोट �यायपीठ, राजकोट। In The Income Tax Appellate Tribunal, Rajkot Bench, Rajkot Before Dr. Arjun Lal Saini, Accountant Member And Shri Sonjoy Sarma, Judicial Member

आयकर अपील सं./ITA No. 272/RJT/2026 [ �नधा�रण वष�/Assessment Year: 2020-21 ] Jayantilal Shivji Hirani Income Tax Officer, Ward-1(1)(1) P O Box No 11988 00100 Nairobi, Aaykar Bhawan, Race Course Road, Vs. Fazilka Rajkot-360001, Gujarat �थायीलेखासं./जीआइआरसं./PAN/GIR No.: AEWPH7364C (अपीलाथ�/Appellant) (��यथ�/Respondent) Appellant by : Shri Samir Bhuptani, Ld. AR Respondent by : Shri Ganesh Iyer, Ld. Sr. DR Date of Hearing : 12/08/2026 Date of Pronouncement : 17/08/2026

:: ORDER :: Per, Shri Sonjoy Sarma, JM: Captioned appeal filed by the assessee, pertaining to Assessment Year (AY) 2020-21, is directed against the order under section 250 of the Income-tax Act, 1961 [hereinafter referred to as ‘the Act’] passed by the National Faceless Appeal Centre [hereinafter referred to as ‘NFAC’], dated 09.12.2025, which in turn arises out of an order passed by assessing officer u/s. 147 r.w.s. 143(3) of the Act, dated 27.12.2024.

2.

Brief facts of the case are that the assessee did not file the return of income for the assessment year 2020-21. On the basis of information available on the Income-tax Department’s Insight portal and other material available with the Department, it was noticed that the assessee had undertaken various financial

ITA No. 272/RJT/2026 Jayantilal Shivji Hisani transactions during the year, indicating taxable income. Accordingly, proceedings under section 147 of the Act of the Income-tax Act were initiated and notice under section 148 of the Act was issued to the assessee. Thereafter, notice under section 142(1) of the Act was also issued calling for the requisite details and information. However, the assessee failed to comply with the statutory notices and did not appear before the Assessing Officer. Consequently, the Assessing Officer completed the assessment on the basis of material available on record and determined the total income of the assessee at Rs.60,89,216/-, making an addition of the said amount to the returned income.

3.

Aggrieved by the assessment order, the assessee preferred an appeal before the Ld. CIT(A). However, the appeal was dismissed ex parte on technical grounds, without adjudicating the issues on merits.

4.

Still, aggrieved by the order of the Ld. CIT(A), the assessee is in appeal before the Tribunal. During the course of hearing, the Ld. AR submitted that the assessee was prevented from properly prosecuting the proceedings before the lower authorities and requested that an opportunity be granted to contest the additions on merits.

5.

The Ld. DR supported the orders of the lower authorities and submitted that the assessee had failed to comply with the statutory notices.

6.

We, after considering the rival submissions parties and looking into the fact we find that the matter had been disposed of ex parte. Therefore, in the interest of justice and fair play, deemed it appropriate to provide one more opportunity to the assessee to contest the matter on merits. However, considering the assesses repeated non-compliance and the valuable judicial time consumed, a cost of Rs.1,000/- was

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ITA No. 272/RJT/2026 Jayantilal Shivji Hisani imposed upon the assessee, to be deposited with the Prime Minister’s National Relief Fund, with proof of such deposit to be furnished before the Assessing Officer. Subject to compliance with the aforesaid direction, the matter was restored to the file of the Assessing Officer for adjudication afresh in accordance with law. Accordingly, the appeal was allowed for statistical purposes.

7.

In the result, the appeal of the assessee is allowed, for statistical purposes.

Order pronounced in the open court on this 17th day of August, 2026.

Sd/- Sd/- [ Dr. Arjun Lal Saini ] [ Shri Sonjoy Sarma ] लेखा सद�य/Accountant Member �याियक सद�य/Judicial Member राजकोट/Rajkot िदनांक/ Date: 17/08/2026 Copy of the order forwarded to : 1. The assessee 2. The Respondent 3. CIT 4. The CIT(A) 5. DR, ITAT, Rajkot 6. Guard File By order //True Copy// Sr. Private Secretary ITAT, Rajkot

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