OM SHRI SHUBH LABH AGRITECH RETAILERS PVT LTD,GWALIOR vs. ASSISSTANT COMMISSIONER OF INCOME TAX , GWALIOR

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ITA 18/AGR/2026Status: DisposedITAT Agra20 April 2026AY 2019-204 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal noted the assessee's lack of cooperation with the CIT(A) but, in the interest of justice, decided to provide a last opportunity. The matter was remitted back to the CIT(A) for adjudication on merits, with directions for the assessee to cooperate.

What were the facts?

The assessee's appeal before the CIT(A) was dismissed ex-parte. The Assessing Officer had made significant additions to the assessee's income for AY 2019-20, including unexplained cash credit and other disallowances, after cash was found with an associate.

What were the issues?

Whether the CIT(A) erred in dismissing the appeal ex-parte without considering the facts and in violation of natural justice principles.

Which sections of the Income-tax Act were involved?

Section 153C,Section 143(3),Section 250

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, AGRA (DB

Before: SHRI S RIFAUR RAHMAN & SHRI SUNIL KUMAR SINGH

For Respondent: Shri Arun Kumar Yadav, CIT (DR)
Hearing: 20.04.2026Pronounced: 20.04.2026

IN THE INCOME TAX APPELLATE TRIBUNAL, AGRA (DB) BENCH, AGRA BEFORE: SHRI S RIFAUR RAHMAN, ACCOUNTANT MEMBER AND SHRI SUNIL KUMAR SINGH, JUDICIAL MEMBER ITA No. 18/Agr/2026 Assessment Year: 2019-20 Om Shri Shubh Labh Vs. ACIT Agritech Retailers P Ltd. City Centre, G I Shiva Arcade in front Gwalior – 474 011 of Income Tax office, City Centre, Gwalior – 474 011 PAN : AACCO7409E (Appellant) (Respondent) Assessee by None Department by Shri Arun Kumar Yadav, CIT (DR) Date of hearing 20.04.2026 Date of pronouncement 20.04.2026 ORDER

PER: SUNIL KUMAR SINGH, JM. This appeal has been preferred against the impugned order dated 10.11.2025 passed in Appeal no. CIT(A)-3, Bhopal/IT-11700/2018-19 by the Ld. Commissioner of Income– tax, Bhopal [hereinafter referred to as the “CIT(A)”] u/s. 250 of the Income tax Act, 1961 [hereinafter referred to as "Act"] for the Assessment year [A.Y.] 2019-20, wherein learned CIT(A) has dismissed assessee’s appeal exparte. 2. The brief facts under appeal state that the assessee company is engaged in running retail store under the made and style of (SMART WIFE)

ITA No.18/Agr/2026

in Delhi and NCR. This apart, assessee is also engaged whole sale trading of agricultural produce. In this case SST/FST team Morena found cash of Rs. 51,50,000/- from the possession of Shri Girraj Bansal on 16.03.2019. On receipt of this information, revenue recorded the statement of Shri Girraj Bansal, who stated that the above cash belonged to his company M/s. Om Shri Shubh Labh Agritech Retailers P Ltd. Accordingly, action u/s 153C was initiated after recording a satisfaction note. It was noticed by the department that assessee has filed its return of income on 24.10.2019, declaring total income of Rs. 9,52,010/-. During the course of scrutiny proceedings, the assessee was asked to explain in respect of various disallowances like electrical equipment, furniture and fixture, outstanding of sundry creditors, unexplained cash credit etc. After considering assessee’s response, Ld. Assessing officer dropped proceedings u/s 153C for AYs 2013-14 to 2018-19. However, proceeded and completed Assessment u/s 143(3) for AY 2019-20, determining total income at Rs. 16,94,36,293/-, vide assessment order dated 26.04.2021. 3. Aggrieved, assessee preferred an appeal before learned CIT(A), who dismissed assessee’s first appeal exparte. 4. Assessee has filed this second appeal on several grounds stating that learned CIT(A) has erred in confirming the said additions without

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considering the fact of the case which is in violation of the principles of natural justice.

5.

None responded for the appellant assessee. Perused the records and heard Ld. CIT(DR) for the respondent revenue. 6. Learned CIT (DR) for the respondent revenue has submitted that assessee was provided sufficient opportunity of hearing by learned CIT(A) on several occasions but for no avail. Learned CIT (DR) has supported impugned order. 7. We notice that the assessee did not respond to the various opportunities provided by the first appellate authority. Such conduct of the assessee cannot be appreciated. Learned CIT(A), thus passed ex-parte impugned order under compulsion. However, in the interest of justice and fair play, we deem it just and appropriate to afford last opportunity to the assessee and remit the matter back to the file of learned CIT(A) for adjudication on merits. We further direct the assessee to be diligent and cooperative in attending the hearings and making submissions before the learned CIT(A) for the expeditious and effective disposal. Assessee shall refrain from seeking any adjournment but for compelling and unavoidable circumstances. Needless to say that learned CIT(A) shall ensure the observance of the principles of natural justice. It is made clear that we have

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not made any observation in respect of the merits of the case. The appeal is liable to be allowed for statistical purposes. 8. In the result, the appeal is allowed for statistical purposes. Impugned order dated 10.11.2025 is set aside.

Order pronounced on 20.04.2026 Sd- Sd- (S RIFAUR RAHMAN) (SUNIL KUMAR SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER

Dated: 20.04.2026 Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asst. Registrar, ITAT, Agra

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