What did the Tribunal hold?

The ITAT held that dismissing an appeal for non-prosecution without deciding on merits is not permissible. Therefore, the case was remitted back to the CIT(A) for a fresh decision on merits.

The assessee's appeal was dismissed by the CIT(A) solely on grounds of non-prosecution, without deciding the case on its merits. The assessee appealed this decision to the ITAT.

What were the issues?

Whether an appeal can be dismissed for non-prosecution without adjudicating the merits of the case.

Anik Milk Products Private… vs ACIT | ITAT Delhi 2026

Income Tax Appellate Tribunal, DELHI BENCH “E’’ : NEW DELHI

Before: SHRI MAHAVIR SINGH & SHRI KRINWANT SAHAY

Hearing: 05.08.2026Pronounced: 05.08.2026

IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH “E’’ : NEW DELHI) BEFORE SHRI MAHAVIR SINGH, VICE PRESIDENT AND SHRI KRINWANT SAHAY, ACCOUNTANT MEMBER ITA No. 7769/Del/2025 Asstt. Year : 2017-18

ANIK MILK PRODUCTS PVT. LTD., VS. ACIT, CIRCLE-2(2), NO. 47, LEKH RAM ROAD, DARYA GANJ, DELHI, C.R. BUILDING, CENTRAL DELHI, NEW DELHI-2 NEW DELHI - 2 (PAN: AAOCA4722A)

(Appellant) (Respondent)

Appellant by : Sh. S.K. Agarwal, CA Respondent by : Sh. Tarun Sharda, Sr. DR

Date of Hearing 05.08.2026 Date of Pronouncement 05.08.2026

ORDER PER MAHAVIR SINGH, VP : This appeal by the assessee is emanating from the order dated 18.9.2025 of the Ld. Addl/JCIT(A), Thane in Appeal No. ITBA/NFAC/s/250/2025- 26/1080885755(1) relating to assessment year 2017-18.

At the outset, it is submitted by the Ld. AR that in appeal Ld. CIT(A) has

dismissed the appeal on account of non-prosecution and even without deciding

the same on merits. Ld. DR relied upon the orders of the authorities below.

We have heard both the parties and perused the records. Upon careful consideration, we find that Ld. CIT(A) has dismissed the appeal of the assessee on account of non-prosecution and even not decided the same on merits of the case, which is not permissible in the eyes of law. In view of the factual matrix and in the interest of justice, we remit back the issues in dispute to the file of the ld. CIT(A) with the directions to decide the same afresh on merits, after giving adequate opportunity of being heard to the assessee. Assessee is also directed to fully cooperate with the Ld. CIT(A) during the proceedings.

In the result, the Assessee’s appeal is allowed for statistical purposes

Order pronounced in the Open Court on 05.08.2026. Sd/- Sd/- (KRINWANT SAHAY) (MAHAVIR SINGH) ACCOUNTANT MEMBER VICE PRESIDENT SRBhatnagar Date: 10-08-2026 Copy forwarded to: - 1. Appellant 2. Respondent 3. DIT 4. CIT (A) 5. DR, ITAT TRUE COPY By Order,

Assistant Registrar, ITAT, Delhi Bench

ANIK MILK PRODUCTS PRIVATE LIMITED,NEW DELHI vs. ASSISTANT COMMISSIONER OF INCOME-TAX, CIRCLE 2(2), DELHI, NEW DELHI

What did the Tribunal hold?

What were the facts?

What were the issues?

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