JAGDISH ISHWARDAS NIHALANI,ULHASNAGAR vs. ACIT, CIRCLE 1, KALYAN, KALYAN

This appeal is filed by the assessee against the order dated 31.12.2025 passed by the Ld. Commissioner of Income Tax (Appeals), NFAC, Delhi for A.Y. 2014-15 arising from assessment order passed u/s 147 r.w.s. 144 r.w.s. 144B of the Income Tax Act, 1961.

Brief facts of the case are that the assessment was completed u/s 147 r.w.s. 144 r.w.s. 144B determining total income at Rs.74,37,000/- by making addition of Rs.33,05,000/- u/s 69A and Rs.41,32,000/- towards alleged long term capital gain. Aggrieved by the assessment order, the assessee preferred appeal before the Ld. CIT(A). However, the Ld. CIT(A) dismissed the appeal ex-parte observing that despite several opportunities, the assessee failed to comply with the notices issued during appellate proceedings.

Before us, the Ld. Authorised Representative submitted that the impugned order has been passed ex-parte and effective opportunity of hearing was not granted to the assessee. It was submitted that the assessee is desirous of pursuing the appeal and necessary evidences would be filed before the Ld. CIT(A). The Ld. AR therefore prayed that the matter may be restored to the file of the Ld. CIT(A) for fresh adjudication.

The Ld. Departmental Representative relied upon the orders of the lower authorities. However, he fairly left the issue to the discretion of the Bench.

We have heard the rival submissions and perused the material available on record. We find that the Ld. CIT(A) has dismissed the appeal ex-parte for non-prosecution. Though the Ld. CIT(A) has discussed the issues on merits also, the fact remains that the appeal has been decided without effective representation from the side of the assessee. Considering the principles of natural justice, we are of the

At the same time, it is also evident from the appellate order that several opportunities were granted by the Ld. CIT(A) and there was repeated non-compliance on the part of the assessee. Therefore, in order to balance the equities, we deem it fit to restore the matter to the file of the Ld. CIT(A) subject to payment of cost of Rs.11,000/- by the assessee under “Other Head” of the Income Tax Department within 15 days from the receipt of this order.

The assessee is directed to furnish necessary evidences and cooperate in the appellate proceedings without seeking unnecessary adjournments. The Ld. CIT(A) shall afford reasonable opportunity of hearing and decide the appeal afresh in accordance with law.

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