SPR AUTO INTERIOR SOLUTIONS CHAKAN PRIVATE LIMITED,PUNE vs. THE DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE 8, PUNE, PUNE

Facts of the case, in brief, are that the assessee is a domestic company engaged in the business of manufacturing plastic auto components. It filed its return of income on 29.11.2023 declaring total loss of at Rs.21,12,91,284/-. The 2 Assessing Officer completed the assessment u/s 144 r.w.s. 144B of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) determining the total loss of the assessee at Rs.17,15,53,819/- wherein he made addition of Rs.3,97,37,465/- on account of undisclosed business income by observing as under:

In appeal, the Ld. CIT(A) / NFAC dismissed the appeal filed by the assessee.

Aggrieved with such order of the Ld. CIT(A) / NFAC the assessee is in appeal before the Tribunal.

The Ld. Counsel for the assessee at the outset submitted that the Ld. CIT(A)/ NFAC passed the ex-parte order without granting appropriate opportunity of being heard to the assessee which amounts to violation of principles of natural justice. The Ld. Counsel for the assessee referring to page 575 of the paper book, drew the 3 attention of the Bench to the notice issued by the office of the Ld. CIT(A) / NFAC on 27.05.202 asking the assessee to file certain details. Referring to page 579 of the paper book, he drew the attention of the Bench to the adjournment application filed by the assessee on 11.06.2025. Referring to page 583 of the paper book, he drew the attention of the Bench to the screenshot of the e-proceedings according to which the response filed on 11.06.2025 was viewed by the Ld. CIT(A) / NFAC on 28.10.2025. He submitted that after the first notice was issued, no further notice was issued by the office of the Ld. CIT(A) / NFAC for which the assessee could not make any submission. Finally, he submitted that in the interest of justice, the assessee should be given an opportunity to substantiate its case by filing the requisite details.

The Ld. DR on the other hand heavily relied on the orders of the Assessing Officer and the Ld. CIT(A) / NFAC.

We have heard the rival arguments made by both the sides, perused the orders of the Assessing Officer and the Ld. CIT(A) / NFAC and the paper book filed on behalf of the assessee. We find the Assessing Officer in the instant case in the order passed u/s 144 r.w.s. 144B of the Act determined the total loss at Rs.17,15,53,819/- as against the returned loss of Rs.21,12,91,284/- by making addition of Rs.3,97,37,465/- on account of undisclosed business income. We find the Ld. CIT(A) / NFAC, in absence of any explanation before him to substantiate the case of the assessee, dismissed the appeal filed by the assessee. It is the submission of the Ld. Counsel for the assessee that only one notice was issued by 4 the office of the Ld. CIT(A) / NFAC in response to which the assessee sought adjournment and no further notice was issued by the office of the Ld. CIT(A) / NFAC for which the assessee could not make any submission. It is also his submission that given an opportunity the assessee is in a position to substantiate its case by filing the requisite details. Considering the totality of the facts of the case and in the interest of justice, we deem it proper to restore the issue back to the file of the Ld. CIT(A) / NFAC with a direction to grant one final opportunity to the assessee to substantiate its case by filing the requisite details and decide the issue as per fact and law. The assessee is also hereby directed to make its submissions, if any, on the appointed date without seeking any adjournment under any pretext failing which the Ld. CIT(A) / NFAC is at liberty to pass appropriate order as per law. We hold and direct accordingly. The grounds raised by the assessee are accordingly allowed for statistical purposes.

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

The concerned Pr.CIT, Pune

DR, ITAT, ‘B’ Bench, Pune ग र्ड फ ईल / Guard file. 5. आदेशानुसार/ BY ORDER, Sunil Kumar //// More Date: 2026.10.24 13:00:10 +05'30'