MALACCA FOREX PVT LTD, MUMBAI vs. ACIT, CENTRAL CIRCLE 7(2), MUMBAI

PDF · subscribers
ITA 10/MUM/2026Status: DisposedITAT Mumbai14 May 2026AY 2020-213 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal acknowledged the assessee's non-compliant conduct but found that the issues required adjudication. Therefore, the case was remanded to the CIT(A) for a fresh decision, granting one last opportunity to the assessee.

What were the facts?

The assessee challenged additions made by the AO regarding commission income and unexplained expenditure. The CIT(A) dismissed the appeal ex-parte due to the assessee's non-compliance despite multiple opportunities.

What were the issues?

Whether the assessee should be granted another opportunity to present its case before the CIT(A) despite previous non-compliance, and whether the additions made by the AO require fresh adjudication.

Which sections of the Income-tax Act were involved?

Section 144,Section 69C,Section 250

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, MUMBAI BENCHES, MUMBAI

Before: HON’BLE NARENDER KUMAR CHOUDHRY & HON’BLE JAGADISH

For Respondent: Shri Mehul Jain ( SR. DR )
Pronounced: 14.05.2026

आदेश / ORDER

PER NARENDER KUMAR CHOUDHRY, JUDICIAL MEMBER: This appeal has been preferred by the Assessee against the order dated 07.11.2025, impugned herein, passed by the National Faceless Appeal Centre (NFAC)/Ld. Commissioner of Income Tax (Appeals) (in short Ld. Commissioner) u/s 250 of the Income Tax Act, 1961 (in short ‘the Act’) for the A.Y. 2020-21.

ITA 10/MUM/2026 MALACCA FOREX PVT LTD

2.

In the instant case, though the Assessee challenged the assessment order dated 29.09.2022 under Section 144 of the Act whereby the additions of Rs.1,29,21,344/- and Rs.48,25,953/- have been made respectively being commission income and unexplained expenditure under Section 69C of the Act by filing first appeal before the ld. Commissioner. However, it is a fact that despite affording various opportunities, the Assessee made no compliance and therefore, in the constrained circumstances, the ld. commissioner decided the appeal filed by the Assessee as ex-parte and ultimately dismissed the same affirming the aforesaid additions. And therefore, the Assessee being aggrieved has preferred the instant appeal and praying for leniency.

3.

On the contrary, the ld. D.R. refuted the claim of the Assessee by supporting the orders passed by the authorities below and alternatively claimed that in case this Hon’ble Court deem it appropriate to afford an opportunity to the Assessee then the same is requested to be subjected to certain reasonable cost.

4.

We have given thoughtful consideration to the peculiar facts and circumstances of the case. Though the conduct of the Assessee appears to be non-compliant and therefore, the Assessee does not deserve any leniency however, it is a fact that in the absence of specific submissions and documents, the issues involved also remains to be adjudicated in its right perspective and proper manner. Thus, in view of the above, we are of the considered view that substantial justice would be met by affording one more opportunity, may be last and final, to the Assessee to substantiate its claim, as otherwise, the case is also requires to be adjudicated in its sphere.

4.

Hence, considering the peculiar facts and circumstances in totality, for just and proper decision of the case and substantial justice, and considering the conduct of the Assessee, we deem it appropriate to

ITA 10/MUM/2026 MALACCA FOREX PVT LTD

remand the instant case to the file of the ld. commissioner for decision afresh, suffice it to say by affording reasonable opportunity of being heard to the Assessee and subject to cost of Rs.11,000/- to be deposited in the Revenue Department under ‘other heads’ within 15 days from the date of the order. Thus, the case is accordingly remanded to the file of the ld. commissioner, in the above terms.

5.

In the result, Assessee’s appeal is allowed for statistical purposes, in the above terms.

Order pronounced in the open court on 14.05.2026. Sd/- Sd/- JAGADISH NARENDER KUMAR CHOUDHRY ACCOUNTANT MEMBER JUDICIAL MEMBER (Tarun Kushwaha) Sr. Private Secretary

Copy to:

MALACCA FOREX PVT LTD, A/101, BLDG NO. 1 SEC NO -9, DREAM 1 CITY BOISAR (EAST) MUMBAI, MUMBAI-401501, MAHARASHTRA

ACIT, CENTRAL CIRCLE 7(2), 2 AAYAKAR BHAVAN, MK ROAD,, MUMBAI- 400020, MAHARASHTRA 3 THE PCIT / CIT, 4 THE D.R., ITAT, MUMBAI BENCH 5 GUARD FILE

More judgments on Section 69C

All 8,217 judgments and leading authorities on Section 69C →

Recent GST High Court judgments

Search GST case law →