INCOME TAX OFFICER, LUDHIANA vs. HATINDER KUMAR, LUDHIANA

PDF · subscribers
ITA 1532/CHANDI/2025Status: DisposedITAT Chandigarh02 June 20264 pages
AI SummaryDismissed

What did the Tribunal hold?

The Tribunal held that the CIT(A) had the power under the proviso to Section 251(1)(a) of the Income Tax Act to set aside an ex-parte assessment order and remand the case back to the Assessing Officer for fresh assessment.

What were the facts?

The Assessing Officer passed ex-parte assessment orders for AY 2014-15 and 2017-18. The assessee appealed to the CIT(A), who set aside the assessments and remanded them back to the Assessing Officer for fresh adjudication.

What were the issues?

Whether the CIT(A) has the power to remand an ex-parte assessment order back to the Assessing Officer for fresh adjudication.

Which sections of the Income-tax Act were involved?

Section 251(1)(a),Section 144

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DIVISION BENCH, ‘A’ CHANDIGARH

Before: SHRI LALIET KUMAR & SHRI MANOJ KUMAR AGGARWAL

For Respondent: Shri Vivek Vardhan, Addl. CIT, Sr.DR, Shri Tej Mohan Singh, Advocate, Shri Vivek Vardhan, Addl. CIT, Sr.DR
Hearing: 01.06.2026Pronounced: 02.06.2026

Heard together (2 matters)

ITA No. 1532/CHD/2025
ITA No. 1533/CHD/2025

Read from the judgment's own cause title. This page is filed under one of them.

आयकर अपील�य अ�धकरण,च�डीगढ़ �यायपीठ, च�डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, ‘A’ CHANDIGARH BEFORE SHRI LALIET KUMAR, JUDICIAL MEMBER AND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No. 1532/CHD/2025 �नधा�रण वष� / Assessment Year: 2014-15 The ITO, Shri Hatinder Kumar, Aayakar Bhawan, Vs B-21, H.No. 13903, Rishi Nagar, Ludhiana. Near Telephone Exchange, Dholewal Chowk, Ludhiana. �थायी लेखा सं./PAN NO: AIXPK5980E अपीलाथ�/Appellant ��यथ�/Respondent Assessee by : None. Revenue by : Shri Vivek Vardhan, Addl. CIT, Sr.DR & आयकर अपील सं./ ITA No. 1533/CHD/2025 �नधा�रण वष� / Assessment Year: 2017-18 The ITO, Gurdas Ram & Company, Aayakar Bhawan, Vs House No. 503, Sector 34-A, Rishi Nagar, Ludhiana. Chandigarh. �थायी लेखा सं./PAN NO: AANFG1038R अपीलाथ�/Appellant ��यथ�/Respondent Assessee by : Shri Tej Mohan Singh, Advocate Revenue by : Shri Vivek Vardhan, Addl. CIT, Sr.DR Date of Hearing : 01.06.2026 Date of Pronouncement : 02.06.2026

PHYSICAL HEARING O R D E R PER LALIET KUMAR, JM

These are two appeals filed by the Revenue feeling aggrieved by the order passed by the ld.CIT (Appeals) whereby the matter has

ITA No.1532 & 1533/CHD/2025 A.Y.2014-15 & 2017-18 2 been remanded back to the file of the Assessing Officer as the order passed by the Assessing Officer was ex-parte.

2.

In ITA No. 1532/CHD/2025, at the time of hearing, none appeared on behalf of the assessee.

3.

The learned Departmental Representative (DR) submitted that the learned Commissioner of Income Tax (Appeals) [CIT(A)] had restored the matter to the file of the Assessing Officer by exercising the powers vested in him under the proviso to section 251(1)(a) of the Income Tax Act, 1961. It was contended that the impugned order required modification as, according to the Revenue, the learned CIT(A) did not possess the power to remand the matter to the file of the Assessing Officer.

4.

We have considered the submissions of the learned DR and have carefully perused the material available on record. It is an undisputed fact that the assessment in the present case was framed ex parte by the Assessing Officer under section 144 of the Act. Aggrieved thereby, the assessee preferred an appeal before the learned CIT(A), who, while exercising the powers conferred under the proviso to section 251(1)(a) of the Act, set aside the assessment and restored the matter to the file of the Assessing Officer for fresh adjudication.

ITA No.1532 & 1533/CHD/2025 A.Y.2014-15 & 2017-18 3 5. The proviso to section 251(1)(a) specifically provides that where an appeal is against an assessment order passed under section 144 of the Act, the Commissioner (Appeals) may set aside such assessment and refer the case back to the Assessing Officer for making a fresh assessment in accordance with law. It is true that, prior to the amendment introduced by the Finance Act, the Commissioner (Appeals) did not possess any general power to set aside an assessment and remand the matter to the Assessing Officer. However, by virtue of the aforesaid statutory amendment, a specific power has now been conferred upon the Commissioner (Appeals) in respect of assessments framed under section 144 of the Act.

6.

In view of the clear legislative mandate contained in the proviso to section 251(1)(a), we find no infirmity or illegality in the action of the learned CIT(A) in restoring the matter to the file of the Assessing Officer for fresh consideration. Accordingly, the ground raised by the Revenue is devoid of merit and the appeal filed by the Revenue is dismissed.

7.

In ITA No. 1533/CHD/2025, we have heard the rival submissions and perused the material available on record. Since the facts, circumstances and issues involved therein are identical to those considered by us in ITA No. 1532/CHD/2025, our findings

ITA No.1532 & 1533/CHD/2025 A.Y.2014-15 & 2017-18 4 and conclusions recorded hereinabove shall apply mutatis mutandis to ITA No. 1533/CHD/2025 as well.

8.

In the result, both the appeals filed by the Revenue are dismissed.

Order pronounced on 02nd June,2026. Sd/- Sd/-

(MANOJ KUMAR AGGARWAL) (LALIET KUMAR) ACCOUNTANT MEMBER JUDICIAL MEMBER “Poonam” आदेश क� �ितिलिप अ�ेिषत/ Copy of the order forwarded to : 1. अपीलाथ�/ The Appellant 2. ��यथ�/ The Respondent 3. आयकर आयु�/ CIT िवभागीय ��त�न�ध, आयकर अपील�य आ�धकरण, च�डीगढ़/ DR, ITAT, 4. CHANDIGARH ग◌ाड� फाईल/ Guard File 5.

सहायक पंजीकार/ Assistant Registrar

More judgments on Section 251(1)(a)

All 935 judgments and leading authorities on Section 251(1)(a) →

Recent GST High Court judgments

Search GST case law →