RATNAGIRI VIBHAG S T KARMACHARI SAHAKARI PATSANSTHA MARYADIT RATNAGIRI,RATNAGIRI vs. INCOME TAX OFFICER, RATNAGIRI

Since the issues involved in these appeals are common, identical and interlinked and for the sake of convenience, we Ratnagiri Vibhag S T Karmachari Sahakari Patsanstha Maryadit Ratanagiri shall take up ITA 1985/PUN/2026 for the Assessment Year 2018-19 as a lead case and facts narrated.

The brief facts of the case are that, the assessee is a credit cooperative society and as per the information received under Risk Management Strategy formulated by CBDT, it was found that assessee has made cash deposits of Rs. 64,45,107/- in the bank account maintained with the Ratnagiri district Central co-operative Bank Ltd. and also invested Rs. 2,75,00,000/- in time deposits during the F.Y. 2017-18 and the assessee has not filed the return of income for the A.Y. 2018-19. The Assessing Officer has reason to believe that the income has escaped assessment and fallowed the due process of law and passed the order u/sec148A(d) of the Act on 08.04.2022 and issued notice u/sec148 of the Act on 08.04.2022 and there was no response. Subsequently, the notice under Section 142(1) of the Act was issued to the assessee on the various dates and also a show cause notice and there was no compliance by the assessee therefore, the AO considering the information available on record invoked the provisions of section 144 of the Act and obtained the bank statements/information from the banks by issue of notice u/sec133(6) of the Act and made addition of unexplained cash deposits of Rs.64,45,107/- under section 68 of the Act and unexplained investments in time deposits u/sec69 of the Act and assessed the total income of Rs.3,39,45,107/- and passed the order u/sec 147 r.w.s. 144 and 144B of the Act dated 06.03.2024. 4. Aggrieved by the order, the assessee has filed an appeal with the CIT(A). Whereas the CIT(A) has considered the grounds of appeal, statements of facts and finding of the AO and has issued notice of hearings and since there was no Ratnagiri Vibhag S T Karmachari Sahakari Patsanstha Maryadit Ratanagiri compliance by the assessee to the notices, therefore, CIT(A) considering information on record has confirmed the action of the AO and dismissed the appeal. Aggrieved by the order of the CIT(A), the assessee has filed the appeal before the Hon'ble Tribunal. None appeared on behalf of the assessee.

We heard the Ld.DR submissions and perused the material on record. Prima facie CIT(A) has passed the order considering the facts that there is no compliance in spite of providing adequate opportunity of hearing and notices were issued. Therefore, CIT(A) was of the opinion that the assessee is not interested in prosecuting the appeal and dismiss the appeal ex-parte confirming the action of the Assessing Officer. Whereas the CIT(A) has issued notices on various dates referred at Para 5 of the order but there was no response. Whereas the assessee has raised grounds of appeal challenging the additions made by the A.O and there could be various reasons for non- appearance/ non-compliance which cannot be overruled. Therefore, considering the facts, circumstances, submissions and principles of natural justice, we shall provide with one more opportunity of hearing to the assessee to substantiate the case with evidences and information. Accordingly, set aside the order of the CIT(A) and remit the disputed issues to the file of the CIT(A) to adjudicate afresh and the assessee should be provided adequate opportunity of hearing and shall cooperate in submitting the information for early disposal of appeal. And the grounds of appeal of the assessee are allowed for statistical purposes.

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

As the facts and circumstances in this appeal is identical to ITA No.1985/PAN/2026 for the A.Y 2018-19 (except variance in figures) and the decision rendered in above paragraphs 4 to 6 would apply mutatis mutandis for this appeal also. Accordingly, the grounds of appeal are allowed for statistical purpose.

In the result, the two appeals filed by the assessee are allowed for statistical purposes.

The Pr. CIT concerned. 4. तिभागीय प्रतितिति, आयकर अिीिीय अतिकरण, “B” बेंच, पुणे/ DR, ITAT, “B” Bench, Pune. गार्डफ़ाइि / Guard File. 5. ////