SATBHAIYA TRACTORS,TIKAMGARH vs. DCIT/ACIT 1(1), GWALIOR

The appeal in ITA No. 224/AGR/2026 for AY 2017-18, arises out of the order of the ld National Faceless Appeal Centre, Delhi [hereinafter referred to as ‘ld. CIT(A)’, in short] dated 13.01.2025 against the order of assessment passed u/s 143(3) of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’) dated 16.12.2019 by the Assessing Officer, DCIT/ ACIT, 1(1), Gwalior (hereinafter referred to as ‘ld. AO’).

At the outset, we find that there is delay in filing the appeal by the assessee before us by 365 days. Considering the reasons adduced in the condonation petition, we hold that the assessee was prevented from sufficient cause for not filing the appeal in time before us. Hence, in the interest of substantial justice, we are inclined to condone the delay and admit the appeal of the assessee for adjudication.

The only issue to be decided in this appeal is as to whether, the ld CIT(A) was justified in confirming the addition made on account of cash deposits of Rs. 2,99,50,000/- u/s 68 of the Act in the facts and circumstances of the instant case.

We have heard the rival submissions and perused the material available on record. At the outset we find that on going through the grounds raised by the assessee and the order of the National Faceless Appeal Centre (NFAC), we find that the ld NFAC had decided the issue ex parte without adjudicating the issue on merits giving its independent finding. Hence, in the interest of justice and fairplay we deem it fit and appropriate to restore these appeals to file of ld NFAC for de novo adjudication in accordance with law. Needless to mention the assessee be given reasonable opportunity of being heard. The assessee is directed to cooperate with ld NFAC for expeditious disposal of the appeals by not taking unwarranted adjournments. Hence, the grounds raised by the assessee are allowed for statistical purposes.

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