UDAYA KUMAR CHILLAKURU ,BANGALORE vs. INCOME TAX OFFICER, WARD-5(3)(1), BANGALORE

The brief facts of the case are that the assessee is an individual and not filed his return of income. The AO based on the information that the assessee had sold an immovable property for a consideration of Rs. 72,90,252/- had initiated proceedings u/s. 147 of the Act. Notice u/s. 148A(b) was issued and thereafter an order u/s. 148A(d) was made. Notice u/s. 148 was also issued. The assessee had not responded to any of the

As against the said order, the assessee filed an appeal before the Ld.CIT(A). The Ld.CIT(A) issued a hearing notice on 04/09/2025 and the assessee had not appeared for the said notice and therefore the Ld.CIT(A) had confirmed the addition made by the AO.

As against the said order, the present appeal has been filed before this Tribunal.

At the time of hearing, the Ld.AR submitted that the assessee had not received the hearing notice from the Ld.CIT(A) and therefore without following the principles of natural justice, the Ld.CIT(A) had dismissed the appeal. The Ld.AR further submitted that the Ld.CIT(A) had dismissed the appeal by a non-speaking order even though the assessee had raised several grounds. The Ld.AR therefore prayed that an opportunity may be granted. The Ld.AR also filed a paper book enclosing the written submissions, computation of income and the purchase of TDR and sale of TDR deeds.

The Ld.DR submitted that the assessee had neither appeared before the AO nor before the Ld.CIT(A) and therefore the orders of the lower authorities are in order and prayed to dismiss the appeal filed by the assessee.

We have heard the arguments of both sides and perused the materials available on record.

The assessee before us produced the copy of the purchase deed as well as the sale deed in respect of the TDR and therefore the capital gain should be arrived based on the said documents. The assessee had not produced the said documents before the AO and therefore the AO had no opportunity to examine the said document and to arrive the capital gains.

We have also considered the Ld.CIT(A)’s order and the grounds of appeal raised by the assessee. In the order, the Ld.CIT(A) had merely extracted the findings of the AO and concluded that the order of the AO is in order. It is the case of the assessee that he has not received the hearing notice. We also noticed that the Ld.CIT(A) had granted a single opportunity and thereafter decided the appeal in the absence of the assessee. The Ld.CIT(A) had also not considered the averments made in the grounds and not passed a speaking order. In such circumstances, we are in agreement with the assessee that the assessee had not been provided a reasonable opportunity by the Ld.CIT(A). In fact, the assessee is also not co-operated with the AO in finalizing the assessment in spite of several notices issued to him. In such circumstances, we deem it fit to set aside the orders of the lower authorities and remit this issue to the file of the AO for fresh consideration in accordance with law. The assessee is also directed to furnish the relevant documents before the AO and assist him to arrive a correct computation of income. We, further direct the assessee to pay a cost of Rs. 10,000/- towards the Prime Minister’s National Relief Fund since the

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