SAMUVEL,CHENNAI vs. INCOME TAX OFFICER NON CORPORATE WARD 6(5), CHENNAI

The assessee challenged the assessment before the CIT(A).According to the appellate order, notices issued by the CIT(A) were sent through the registered e-mail address. However, there were no compliances by the assessee in response to the notices. The CIT(A) recorded that repeated opportunities of being heard had been provided but the assessee did not comply. The CIT(A), therefore, observed in substance that the appellant appeared to be not interested in pursuing the appeal. In the absence of any written submission or explanation from the assessee, the CIT(A) proceeded to dispose of the grounds on the basis of the facts available on record and ultimately dismissed the appeal on merits. Aggrieved by the aforesaid order, the assessee is now in appeal before the Tribunal.

The ld. Authorised Representative submitted that the order passed by the ld. CIT(A) was ex parte. It is submitted that the assessee could not place the relevant documents before the CIT(A) as assessee missed seeing the notices issued by the CIT(A) due to unavidable circumstances. It is therefore prayed that, in the interest of substantial justice, one final opportunity be granted to the assessee to substantiate its claim before the CIT(A).

Per contra, the ld. Departmental Representative supported the orders of the authorities below. It is submitted that sufficient opportunities had been afforded to the assessee during both the assessment as well as the appellate proceedings, but the assessee

We have heard the rival submissions and perused the material available on record. It is an admitted position that the ld. CIT(A) disposed of the appeal ex parte without the benefit of the assessee's explanations and supporting documentary evidence. Having regard to the facts and circumstances of the case, and bearing in mind the settled principle that an assessee should ordinarily be afforded a reasonable opportunity of being heard before an adverse decision is taken, we are of the considered opinion that one final opportunity deserves to be granted to the assessee to place the necessary material on record.Accordingly, without expressing any opinion on the merits of the additions, we set aside the impugned order of the ld. CIT(A) and restore the matter to the file of the CIT(A) for fresh adjudication in accordance with law. The CIT(A) shall thereafter afford adequate and effective opportunity of hearing to the assessee and decide the issues afresh in accordance with law after considering the evidence that may be produced. The assessee is also directed to extend full cooperation and diligently participate in the appellate proceedings. In the event of any failure or non- compliance on the part of the assessee, the ld. CIT(A) shall be at liberty to proceed in accordance with law. Since we have set aside the matter to the ld. CIT(A) for fresh hearing and adjudication, all the legal issues if any are open.