TORUS FINANCIAL MARKETS PVT LTD,SEWREE, MUMBAI vs. INCOME TAX OFFICER 4(2)(1), MUMBAI, AAYAKAR BHAVAN, MARINE LINES MUMBAI

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ITA 4994/MUM/2026Status: DisposedITAT Mumbai28 July 2026AY 2023-243 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal set aside the order of the CIT(A) and remitted the matter back to the CIT(A) for fresh adjudication. This was done to provide the assessee with an opportunity to present its case due to reasons beyond its control for non-compliance.

What were the facts?

The assessee reduced its profits by Rs. 21,72,510/- on account of unrealised losses on options. The Assessing Officer made an addition of this amount, and the CIT(A) dismissed the assessee's appeal for non-prosecution.

What were the issues?

Whether the appeal dismissed for non-prosecution should be restored to the file of the CIT(A) for fresh consideration when the non-compliance was due to reasons beyond the assessee's control.

Which sections of the Income-tax Act were involved?

Section 143(2),Section 142(1)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “SMC(K

Before: SHRI VIKRAM SINGH YADAV & SHRI SIDDHARTHA NAUTIYAL

Hearing: 16.07.2026Pronounced: 28.07.2026

IN THE INCOME TAX APPELLATE TRIBUNAL “SMC(K)” BENCH; MUMBAI BEFORE SHRI VIKRAM SINGH YADAV, ACCOUNTANT MEMBER AND SHRI SIDDHARTHA NAUTIYAL, JUDICIAL MEMBER ITA No. 4994/Mum/2026 (Assessment Year: 2023-24)

Torus Financial Markets Pvt Income Tax Officer 4(2)(1), Ltd Mumbai 1501, T J Rd, Lodha Aria, vs. Room No. 644, 6th Floor, Sewree, Mumbai, Aayakar Bhavan, M.K. Road, Maharashtra, 400015. MUMBAI, Maharashtra, 400020

PAN: AAICT4839M (Appellant) (Respondent) For Assessee : Shri Satyaprakash Singh CA For Revenue : Shri Ajay Uke, Sr. DR Date of Hearing : 16.07.2026 Date of Pronouncement : 28.07.2026 O R D E R PER VIKRAM SINGH YADAV, A.M : This is an appeal filed by the Assessee against the order of the Learned Commissioner of Income Tax (Appeals)-National Faceless Appeal Centre (NFAC), Delhi [‘Ld.CIT(A)’], dated 21.04.2026, pertaining to Assessment Year (AY) 2023-24, wherein the Assessee has challenged the sustenance of addition of Rs. 21,72,510/-.

2.

Briefly, the facts of the case are that the assessee has filed its return of income on 28.10.2023, declaring total income at Nil. Subsequently, the case of the assessee was selected for scrutiny and notices u/s. 143(2) and 142(1) of the Act were issued calling for the necessary information and documentation. As per the Assessing Officer, the assessee has reduced

ITA No. 4994/Mum/2026; A.Y. 2023-24 Torus Financial Markets Pvt Ltd its profits by amount of Rs. 21,72,510/- on account of unrealised losses on options, which cannot be allowed. Hence, the addition of Rs. 21,72,510/- was made and as against the returned loss of Rs. 23,63,196/-, the assessed loss was determined at Rs. 1,90,686/-. The assessee thereafter carried the matter in appeal before the ld. CIT(A), who has dismissed the appeal of the assessee on account of non-prosecution.

3.

During the course of hearing, the ld. AR submitted that admittedly, the notices have been issued by the ld. CIT(A). However, the same remained non-complied with due to reasons beyond the control of the assessee. It was submitted that the assessee be allowed one more opportunity and the matter may be remitted to the file of ld. CIT(A).

4.

The ld. DR has been heard, who has not raised any specific objection, where the matter is set aside to the file of ld. CIT(A).

5.

After hearing both the parties and considering the material available on the record. It is an admitted position that the appeal of the assessee has been dismissed by the ld. CIT(A) for non-prosecution for which the ld. AR submitted that the notices were issued by the ld. CIT(A), the same remained non-complied with due to reasons beyond the control of the assessee. Therefore, we deem it appropriate to set-aside the matter to the file of ld. CIT(A) to which the ld. DR has not raised any specific objection. The matter is accordingly set aside to the file of ld. CIT(A) to decide the same afresh in accordance with law after providing reasonable opportunity to the assessee.

6.

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

Order pronounced on 28.07.2026

ITA No. 4994/Mum/2026; A.Y. 2023-24 Torus Financial Markets Pvt Ltd Sd/- Sd/- SIDDHARTHA NAUTIYAL VIKRAM SINGH YADAV (JUDICIAL MEMBER) (ACCOUNTANT MEMBER)

Mumbai, Dated: 28.07.2026 Karishma J. Pawar, SR. PS

Copy to : 1) The Appellant 2) The Respondent 3) The CIT concerned 4) The D.R, ITAT, Mumbai 5) Guard file

By Order

Dy./Asst. Registrar I.T.A.T, Mumbai

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